Southern Company, KBR to help drive global adoption of 21st century coal gasification technology

   Southern Company, KBR to help drive global adoption of 21st century coal
                           gasification technology

TRIG™ technology allows for low-carbon generation using an affordable,
abundant coal resource

PR Newswire

ATLANTA, Oct. 29, 2012

ATLANTA, Oct. 29, 2012 /PRNewswire/ --Southern Company – through subsidiary
Southern Generation Technologies, LLC – and KBR, LLC, of Houston, Texas, have
formed an alliance to market 21^st century coal technology, Transport
Integrated Gasification (TRIG™), to power companies worldwide. This innovative
coal gasification process can provide power companies an efficient means to
generate electricity using an abundant, low-cost fuel – low-rank coal – while
significantly reducing carbon emissions. The technology, which was developed
by Southern Company and KBR under the sponsorship of the U.S. Department of
Energy (DOE), can support coal-based generation with carbon dioxide emissions
comparable to those of a natural gas plant, providing a viable solution for
clean coal generation in the U.S. and around the world.


Through this partnership, Southern Company and KBR will contribute their
proven technical and marketing expertise, respectively, capitalizing on each
company's strengths in expanding TRIG™ technology to worldwide markets.

"Through the development of TRIG™ technology, we've found a way to preserve
coal as an important, low-carbon energy resource for America," said Southern
Company Chairman, President and CEO Thomas A. Fanning. "By leveraging this
example of American energy innovation worldwide, we will help ensure more
customers have access to clean, safe, reliable and affordable energy produced
by an abundant and underutilized coal resource."

More than half of the world's coal reserves consist of low-rank coal, such as
lignite and sub-bituminous coal – the types that TRIG™ was developed to
utilize. China alone is expected to add more than 300,000 megawatts (MW) of
new coal-based generating capacity by 2035, while India and other parts of
Asia are projected to add more than 100,000 MW in that same time frame.As
electricity demand around the world continues to grow, TRIG™ is particularly
suited to be part of the portfolio of technologies that can cleanly meet
customers' energy needs while utilizing low-cost, abundant fuel resources.

In the U.S., Mississippi Power, a Southern Company subsidiary, is using TRIG™
as the basis for its state-of-the-art integrated gasification combined cycle
(IGCC) facility under construction in Kemper County, Miss. An abundance of
Mississippi lignite located adjacent to the plant site will be gasified to
create clean, safe, reliable and affordable energy for customers for the next
40 years. Since emission controls are built into the coal gasification
process, the project is expected to have fewer sulfur dioxide, particulate and
mercury emissions than traditional pulverized coal technology while capturing
at least 65 percent of the carbon dioxide (CO[2]) produced, with resulting
CO[2 ]emissions comparable to those of a similarly sized natural gas plant.

TRIG™ ^ technology incorporates numerous design and efficiency features that
significantly improve a facility's cost, reliability and emissions
performance, as well as water withdrawal requirements, compared with
traditional coal-fired generation.

In the case of the Kemper County project, the byproducts are expected to
significantly offset the cost of the fuel of the plant. For example, the
carbon captured at the Kemper County energy facility will assist in enhanced
oil recovery, enabling the production of more domestically sourced oil and
increasing America's energy security when the IGCC facility enters service,
scheduled for 2014. Enhanced oil recovery is a well-established method for
increasing oil production by injecting CO[2] into depleted oil wells to force
more oil out of the ground.

As part of a diverse portfolio of energy resources, TRIG™ technology can be
designed and configured to help meet U.S. Environmental Protection Agency

With the signing of this agreement, KBR acquires exclusive global licensing
rights for power generation in addition to its existing rights in industrial
applications of TRIG™. Southern Company will provide engineering and
technology expertise and draw on its operations experience in support of KBR's
sales, marketing, licensing and design efforts.

"This new collaboration between KBR and Southern Company will utilize the
respective strengths of each organization to deploy commercial TRIG™ licensed
processes worldwide and accelerate the adoption of TRIG™ in the marketplace,"
said Bill Utt, KBR chairman, president and chief executive officer."It brings
to bear the best of KBR's global technology sales and delivery focus and
Southern Company's technology and operations experience to deliver the most
comprehensive, innovative, low-rank coal gasifier and IGCC combination

The DOE-sponsored project that led to the development of TRIG™ technology is
an example of America's longstanding commitment to finding meaningful
solutions through innovation.

Prior to this agreement, Southern Company and KBR licensed TRIG™ to the Tian
Ming Electric Power Company for a facility under construction in China.

Through its ongoing commitment to energy innovation through proprietary
research and development, Southern Company is advancing the full energy
portfolio, or "all the arrows in the quiver" – 21^st century coal, new
nuclear, natural gas, renewables and energy efficiency.

Southern Generation Technologies, LLC was formed in 2010 to license advanced
power generation technology developed and owned by Southern Company and its

KBR is a global engineering, construction and services company supporting the
energy, hydrocarbon, government services, minerals, civil infrastructure,
power, industrial and commercial markets.For more information, visit

With 4.4 million customers and more than 43,000 megawatts of generating
capacity, Atlanta-based Southern Company (NYSE: SO) is the premier energy
company serving the Southeast. A leading U.S. producer of clean, safe,
reliable and affordable electricity, Southern Company owns electric utilities
in four states and a growing competitive generation company, as well as fiber
optics and wireless communications. Southern Company brands are known for
energy innovation, excellent customer service, high reliability and retail
electric prices that are below the national average. Southern Company is
leading the nation's nuclear renaissance through the construction of the first
new nuclear units to be built in a generation of Americans and is
demonstrating its commitment to energy innovation through development of a
state-of-the-art coal gasification plant. Southern Company has been recognized
by the U.S. Department of Defense and GI Jobs magazine as a top military
employer and listed by DiversityInc as a top company for Blacks. The company
received the 2012 Edison Award from the Edison Electric Institute for its
leadership in new nuclear development, was named Platts' 2011 Power Company of
the Year and is continually ranked among the top utilities in Fortune's annual
World's Most Admired Electric and Gas Utility rankings. Visit our website at

Certain information contained in this release is forward-looking information
based on current expectations and plans that involve risks and uncertainties.
Forward-looking information includes, among other things, statements
concerning the completion of the Kemper integrated coal gasification combined
cycle facility ("Kemper IGCC") and fuel costs. Southern Company cautions that
there are certain factors that can cause actual results to differ materially
from the forward-looking information that has been provided. The reader is
cautioned not to put undue reliance on this forward-looking information, which
is not a guarantee of future performance and is subject to a number of
uncertainties and other factors, many of which are outside the control of
Southern Company; accordingly, there can be no assurance that such suggested
results will be realized. The following factors, in addition to those
discussed in Southern Company's Annual Report on Form 10-K for the year ended
December 31, 2011, and subsequent securities filings, could cause actual
results to differ materially from management expectations as suggested by such
forward-looking information: the impact of recent and future federal and state
regulatory changes, as well as changes in application of existing laws and
regulations; current and future litigation, regulatory investigations,
proceedings, or inquiries; available sources and costs of fuels; state and
federal rate regulations and the impact of pending and future rate cases and
negotiations, including rate actions relating to fuel and other cost recovery
mechanisms; regulatory approvals and actions related to the Kemper IGCC,
including Mississippi Public Service Commission approvals, potential U.S.
Department of Energy loan guarantees, the South Mississippi Electric Power
Association purchase decision, utilization of investment tax credits, and the
outcome of any further proceedings regarding the Mississippi Public Service
Commission's issuance of the certificate of public convenience and necessity;
and the ability of counterparties of Southern Company's affiliates to make
payments as and when due and to perform as required. Southern Company
expressly disclaims any obligation to update any forward-looking information.

SOURCE Southern Company

Contact: Southern Company Media Relations, +1-404-506-5333 or 1-866-506-5333
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