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Saskatchewan plans carbon capture project


    CALGARY, Alberta (Reuters) - Saskatchewan will launch a C$1.4 billion retrofit of a 130-megawatt coal-fired power plant to add carbon-capture equipment, its government said on Wednesday, after the federal government committed C$240 million to the project in its latest budget.

    Ken Cheveldayoff, the Canadian province's minister of Crown corporations, said planning for the two-phase project will begin immediately, with construction expected to be complete in 2015.

    The project at provincial utility SaskPower's Boundary Dam power plant is expected to cut 1 megatonne of carbon dioxide annually, 7 percent of the corporation's yearly emissions of the gas.

    ($1=$0.98 Canadian)

    (Reporting by Scott Haggett; Editing by Peter Galloway)