The plant is expected to come online in 2019.
An existing facility supplies up to 61 MW of cogenerated steam and electricity for use in Kimberly-Clark's mill operations. This plant is owned and operated by Mobile Energy under a 15-year agreement which expires in April 2019.
The decision to build a new plant came after “extensive discussions” with MESC Capital, which holds a 50% stake in Mobile Energy.
As for the existing facility, "We are engaged in identifying other potential customers for MESC's output or alternative uses for our facility,” MESC said in a statement.