Diamond Vault FAQ

Cleco Power is investing in the development of a new, state-of-the-art carbon capture facility located in the heart of central Louisiana at the Brame Energy Center. Project Diamond Vault will retrofit Cleco’s existing Madison 3 plant to reduce up to 95% of the CO2 emissions of Madison 3 by employing proven carbon capture and sequestration (CCS) technology.

Madison 3 is a 600 MW electric generation unit fueled 70% by petroleum coke (a waste product of oil refining) and 30% by Illinois Basin coal. Madison 3 incorporates Circulating Fluidized Bed technology, an advanced solid fuel combustion technology, and a circulating dry scrubber as well as air quality control systems including selective non-catalytic reduction and fabric filter. These measures currently achieve very low levels of SO2, NOX, and particulate matter emissions relative to other solid fuel units in the electric industry.The unit uses circulating fluidized bed combustion technology which means that it has much lower sulfur, NOX and particulate matter (PM) emissions relative to other solid fuel units in the electric industry.

Madison 3 has these advantages for CCS development:

• Relatively new plant already having relatively low sulphur emission rates (required for best carbon capture efficiency)
• Large site with room for new construction
• Easy availability of electricity and steam for carbon capture process
• Most importantly, there are geological formations suitable for permanent carbon sequestration directly below the Madison 3 unit. No need for expensive pipeline transportation of CO2

The FEED study will include confirmation and finalization of all Diamond Vault operating and capital costs, as well as operational performance which will support revenue estimations to determine if costs are properly covered to support the investment. 

The FEED study will include confirmation and finalization of all Diamond Vault operating and capital costs, as well as operational performance which will support revenue estimations to determine if costs are properly covered to support the investment. 

An impact study by LSU economist Dr. Loren Scott estimates that, when economic multiplier effects are taken into account, Project Diamond Vault during the construction period will (i) create an average of approximately 2900 jobs each year, (ii) inject approximately $2.7 billion in increased sales and household earnings into the Louisiana economy, and (iii) produce approximately $50 million in increased state tax revenues. Most of these benefits will be centered on central Louisiana and Rapides Parish. Permanent employment at the Brame site will increase by 30-40 positions.

We strongly believe in the value of solar energy. In fact, in August 2022 we announced a long-term renewable energy off-take agreement with D.E. Shaw Renewable Investments. The Dolet Hills Solar Project includes a 240 MWac facility – set to be one of the largest solar facilities in Louisiana – that will be constructed at the recently retired Dolet Hills lignite-fired power plant in DeSoto Parish, Louisiana.  

However, there is a public misperception that the U.S. electric system can achieve net zero carbon emissions based on wind and solar resources alone. Even assuming the widespread availability of storage solutions such as batteries (which do not yet exist as economic substitutes for generation), the vast majority of knowledgeable analysts believe that fossil fuel electric generation plants will be needed for decades in order to maintain grid reliability. Because fossil fuel use will continue, Princeton University’s Net-Zero America study (the most credible analysis of climate mitigation strategies to date) concludes that significant carbon capture will be required in all six of the plausible scenarios for achieving net zero emissions of greenhouse gasses by 2050. Five of the six scenarios will require geological carbon sequestration as well (concentrated in the Gulf Coast area). Project Diamond Vault is consistent with those scenarios and will help to ensure that Cleco reaches its own net zero goals.