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TECHNICAL REVIEWERS' COMMENTS LRC-LXXXV (85) - A "Annual Lignite Energy Council Education Program" 1. OBJECTIVES The objectives or goals of the proposed project with respect to clarity and consistency with North Dakota Industrial Commission/Lignite Research Council goals are: I - very unclear; 2 - unclear; 3 - clear; 4 - very clear; or 5 - exceptionally clear. Reviewer 01-01 (Rating 5) This project is very clear in the fact they wish to educate and inform the next generation of students as to the coal resources in the state. Educated teachers and students will understand the role coal plays with the economy and growth of developing the resource in the state. Reviewer 01-02 (Rating 5) The educational program that would be underwritten by the grant supports LRC's goals to preserve and create jobs thereby ensuring the economic stability of , and supporting the growth and opportunity provided by the industry, in turn maintaining a stable and competitive tax base for all of North Dakota. Reviewer 01-03 (Rating 4) Through the seminar and outreach plans, the proposal would be meeting the goal of promoting the industry and, in turn, encouraging careers and enhancing the industry leading to economic growth. Proposal would align by ensuring accurate and consistent information is readily available to the general public and educational entities. 2. ACHIEVABILITY With the approach suggested and time and budget available, the objectives are: l - not achievable; 2 - possibly achievable; 3 - likely achievable; 4 - most likely achievable; or 5 - certainly achievable. Reviewer 01-01 (Rating 4) The use of incentives for submission of lesson plans is a great way to ensure the goals of the seminar are met. Having teachers go through the process of developing a lesson plan only solidifies the chances of the teachers using the lesson plans in the classroom, therefore passing the information along to students. Reviewer 01-02 (Rating 5) The proposed promotion and recruitment efforts are appropriate for the targeted audience. The timeline is adequate, and the program is being planned and managed by well-qualified personnel. Presenters are industry experts and an abundance of supporting materials are provided to participants. Reviewer 01-03 (Rating 4) I know video production timeline can be flexible, dependent upon content development, approvals, and production during optimal conditions. In addition, the proposal from KAT did not include a development timeline to ensure deployment during the 2018 calendar year. However, with the established timeline of the seminar and past video series production, I feel confident in believing the proposed timeline is achievable. 3. METHODOLOGY The quality of the methodology displayed in the proposal is : 1 - well below average; 2 - below average; 3 - average; 4 - above average; or 5 - well above average. Reviewer 01-01 (Rating 4) The LEC has clearly seen and understands the benefit of incorporating technology into the seminar. They are clearly committed to keeping resources up to date with technology but also attracting extremely qualified speakers. 2

TECHNICAL REVIEWERS' COMMENTS LRC-LXXXV (85) A · Reviewer 01-02 (Rating 5) Good combination of educational tools used to train seminar attendees -lectures and tours, great follow

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TECHNICAL REVIEWERS' COMMENTS LRC-LXXXV (85) - A

"Annual Lignite Energy Council Education Program"

1. OBJECTIVES The objectives or goals of the proposed project with respect to clarity and consistency with North Dakota Industrial Commission/Lignite Research Council goals are: I - very unclear; 2 - unclear; 3 - clear; 4 - very clear; or 5 -exceptionally clear.

Reviewer 01-01 (Rating 5) This project is very clear in the fact they wish to educate and inform the next generation of students as to the coal resources in the state. Educated teachers and students will understand the role coal plays with the economy and growth of developing the resource in the state.

Reviewer 01-02 (Rating 5) The educational program that would be underwritten by the grant supports LRC's goals to preserve and create jobs thereby ensuring the economic stability of, and supporting the growth and opportunity provided by the industry, in turn maintaining a stable and competitive tax base for all of North Dakota.

Reviewer 01-03 (Rating 4) Through the seminar and outreach plans, the proposal would be meeting the goal of promoting the industry and, in turn, encouraging careers and enhancing the industry leading to economic growth. Proposal would align by ensuring accurate and consistent information is readily available to the general public and educational entities.

2. ACHIEV ABILITY With the approach suggested and time and budget available, the objectives are: l - not achievable; 2 - possibly achievable; 3 - likely achievable; 4 - most likely achievable; or 5 - certainly achievable.

Reviewer 01-01 (Rating 4) The use of incentives for submission of lesson plans is a great way to ensure the goals of the seminar are met. Having teachers go through the process of developing a lesson plan only solidifies the chances of the teachers using the lesson plans in the classroom, therefore passing the information along to students.

Reviewer 01-02 (Rating 5) The proposed promotion and recruitment efforts are appropriate for the targeted audience. The timeline is adequate, and the program is being planned and managed by well-qualified personnel. Presenters are industry experts and an abundance of supporting materials are provided to participants.

Reviewer 01-03 (Rating 4) I know video production timeline can be flexible, dependent upon content development, approvals, and production during optimal conditions. In addition, the proposal from KAT did not include a development timeline to ensure deployment during the 2018 calendar year. However, with the established timeline of the seminar and past video series production, I feel confident in believing the proposed timeline is achievable.

3. METHODOLOGY The quality of the methodology displayed in the proposal is : 1 - well below average; 2 - below average; 3 -average; 4 - above average; or 5 - well above average.

Reviewer 01-01 (Rating 4) The LEC has clearly seen and understands the benefit of incorporating technology into the seminar. They are clearly committed to keeping resources up to date with technology but also attracting extremely qualified speakers.

2

Reviewer 01-02 (Rating 5) Good combination of educational tools used to train seminar attendees - lectures and tours, great follow­up resources available - lesson plans and educational videos, and good follow-up to gauge effectiveness of the program.

Reviewer 01-03 (Rating 5) The proposal includes a variety of methods to reach educators and the general public. Due to the variety and nature of these activities - seminar, videos, hands-on kits, online lesson plans - I feel like the LEC has proposed a multitude of means to reach the stakeholders.

4. CONTRIBUTION The scientific and/or technical contribution of the proposed work to specifically address North Dakota Industrial Commission/Lignite Research Council goals will likely be: 1 - extremely small; 2 - small ; 3 - significant; 4 - very significant; or 5 - extremely significant.

Reviewer 01-01 (Rating 5) It appears as if the quality of the technical expertise is vast and deep. There are numerous speakers with a number of years in the industry. These speakers should be able to translate their experiences in industry well to teachers to take that expertise back to the classroom.

Reviewer 01-02 (Rating 2) Not applicable. Focus is on promotion of the industry. Limited scientific and/or technical contribution.

Reviewer 01-03 (Rating 5) While not overtly scientific/technical in nature, the technical information of the industry is shared with a wider audience to a level that is more digestible. Communications through the seminar, video series, etc. , are demonstrated in the proposal to be clear to a general audience, which is optimal.

5. AWARENESS The principal investigator' s awareness of other current research activity and published literature as evidenced by literature referenced and its interpretation and by the reference to unpublished research related to the proposal is: 1 - very limited; 2 - limited; 3 - adequate; 4 - better than average; or 5 -exceptional.

Reviewer 01-01 (Rating 4) Clearly they have a handle on what it takes to reach their target market. However, if direct mail is the best way to reach teachers - the LEC should provide examples of the material they are providing to teachers. Recruitment brochure is attached. Also, the LEC states they have the first four phases of Video One completed with plans on providing the video to the LRC at a later date. Any outline materials/scripts and story boards should have been included in the application. Information should have been provided as an update to the KAT estimate as far as time line for completion of Video One. Video One (Lignite 101/Industry Overview) will be previewed for the LRC members at the Grant Round Meeting. Storyboard and script is attached. Scripting for video Two will begin during the winter of 2017/2018 with completion date slated for June-October 20 I 8. Timeline is dependent upon necessary footage based on approved script. Outlines, materials, scripts were not provided in this grant application as Video One was approved under the previous year' s grant. However, it is the goal of the LEC to provide the LRC an update during the LRC meeting.

If direct mail has been determined to be the best method of communication, documentation of that fact should be provided. It appears, based on the number of participants that method is effective.

3

Reviewer 01-02 (Rating 4) Survey of attendee perceptions, use of an audience response system, collaboration with an Education Advisory Group, and employing new educational video series demonstrates that the group is actively working to keep the activities and materials current.

Reviewer 01-03 (Rating 4) The proposal notes awareness of existing energy curriculum and working hand-in-hand with that initiative, which is agreeable to avoid duplication.

6. BACKGROUND The background of the investigator(s) as related to the proposed work is: 1 - very limited; 2 - limited; 3 - adequate; 4 - better than average; or 5 - exceptional.

Reviewer 01-01 (Rating 4) No comment

Reviewer 01-02 (Rating 4) The trade association's management staff has diverse experience from government relations, to research and development, and event management.

Reviewer 01-03 (Rating 5) The investigator has significant and established background and experience with the proposed goals.

7. PROJECT MANAGEMENT The project management plan, including a well-defined milestone chart, schedule, financial plan, and plan for communications among the parties involved in the project, is: 1 - very inadequate; 2 - inadequate; 3 - adequate; 4 -very good; or 5 - exceptionally good.

Reviewer 01-01 (Rating 3) More information needs to be provided in terms of an agenda for the seminar. 2017 Agenda is attached. While there is a list of the financial plan - there are a few line items with very general descriptors that could use more detail.

There has not been a well demonstrated plan for when the videos will be completed. Currently the plan is that at least one video will be completed each year until four videos are completed. It was deemed by the Lignite Energy Council that the cost to produce all four videos in one grant year would be excessive to ask of the Lignite Research Council. Therefore, the plan is to produce one video, in part with matching funds, each year as long as funding is available. The option remains to produce more than one in a given year depending upon the actual cost of any video to be produced.

It is also unclear as to the total cost for the video services. The budget estimates $55,000 for video services, however the estimates appears to quote $60,000 per video. More information as to costs, as well as timeline for completion should be provided. In an effort to keep costs of the videos down, it is the plan to largely rely on existing footage as in-kind contributions for the videos. Varying topics and production methods (ie: video vs animation) of the videos make it inherently difficult to pin-point more exact budget projections for each video production.

Reviewer 01-02 (Rating 4) Program budget has been determined and is provided. Resources required have been identified as have the presenters and the event facilities have been secured.

4

Reviewer 01-03 (Rating 3) Project plan for the seminar is well-defined. I would have liked to have seen a more defined timetable for the additional outreach plans with the lesson plans and video

8. EQUIPMENT PURCHASE The proposed purchase of equipment is: I - extremely poorly justified; 2 - poorly justified; 3 - justified; 4 - well justified; or 5 - extremely well justified. (Circle 5 ifno equipment is to be purchased.)

Reviewer 01-01 (Rating 5) It is unclear if the videos are considered equipment. However, if they are it would be a well justified expense.

Reviewer 01-02 (Rating 3) The "equipment" purchased, if identified as classroom and educational outreach materials, are appropriate expenses. Program participants ' interest in using said materials was not provided.

Reviewer 01-03 (Rating 5) No comment.

9. FACILITIES The facilities and equipment available and to be purchased for the proposed research are: I - very inadequate; 2 -inadequate; 3 - adequate; 4 - notably good; or 5 - exceptionally good.

Reviewer 01-01 (Rating 3) There is not much discussion as to the facilities, other than use of Bismarck State College. No rationale is given as to why this facility is used or is cost effective.

Reviewer 01-02 (Rating 3) Event will be held at BSC' s National Energy Center of Excellence, an appropriate venue for an educational seminar. While the materials provided to seminar participants appear to be more than adequate, no examples of said materials were provided with the grant application.

Reviewer 01-03 (Rating 5) The space and plan for the seminar at the National Energy Center appears to work well for attendees; equipment purchased in previous years provides an interactive environment for attendees.

10. BUDGET The proposed budget value relative to the outlined work and the financial commitment from other sources is of: I -very low value; 2 - low value; 3 - average value; 4 - high value; or 5 - very high value.

Reviewer 01-01 (Rating 4) The in-kind contribution appears to have high-value, however if speaker fees are a part of the LEC share, it should be documented as to what speakers require fees and the cost of said fees. It is understandable to think these speakers will also require lodging, but more needs to be justified in terms of Entertainment line-item. What does this all include?

Reviewer 01-02 (Rating 4) The total program budget is $215,000 with the LEC providing $115,000 which exceeds the Industrial Commission's 50 percent financial commitment threshold. The return on investment is excellent with 82 percent indicating that they incorporated the seminar info into teaching plans and 73.5 percent promote employment by the industry.

Reviewer 01-03 (Rating 5) There are significant in-kind resources available for this project, which is a great benefit. In addition, because the proposal reaches a high number of teachers, which in tum reach a high number of students,

5

this seminar has a significant impact on the general public, which is backed by the search and findings the investigator has provided from surveys.

OVERALL COMMENTS AND RECOMMENDATIONS:

Please comment in a general way about the merits and flaws of the proposed project and make a recommendation whether or not to fund.

Reviewer 01-01 (Rating: FUND) Clearly this project is vital to outreach and education regarding the importance of North Dakota's lignite industry. I do believe this project should be funded because of the outreach capabilities this program has. However a few suggestions prior to approving the application:

• A stronger timetable needs to be presented in regards to completion of the four video projects. • A clearer budget picture is needed in regards to the cost of the video. The budget indicates

$55,000 towards video production, but the KAT estimate indicated a $60,000 cost per video. • An agenda for the teacher's seminar should be provided. If one is not available, the previous

year' s agenda should be provided with the indication that the 2018 agenda will be similar. • What speakers require fees and how much? Could they be waived and considered part of in-kind

donations? • The Entertainment line-item needs to be better defined. • Three line-items of the Management/ Administration fees portion of the budget should be better

defined. Professional services, additional staff resources, office expense/Overhead are extremely broad. More information as to what previously went into these costs should be better defined. Management/ Administration - this section refers to costs associated with administering the Education Program. Program management includes the portion of salaries and benefits of the program director and other staff (excluding Mike Holmes and Steve Van Dyke) that spend specific time working on behalf of the Education Program. Instructor of Record is the fee charged by Instructor of Record from the University of North Dakota to oversee the education aspect of credits and grading lesson plans. Additional staff resources are funds ear-marked for hiring additional help to package material for Seminar participants. Office Expenses are the portion of expenses for building, phone, technology, etc usage associated with administering the Education Program. Professional Services - this is a contract with Kent Ellis who administers the North Dakota Energy Education program. This program takes energy education into the classroom across the state of North Dakota. The Lignite Energy Council collaborates with the program to provide up to date and hands on energy education.

• While income is clearly broken out it is not entirely clear what part of the expenses are dedicated to LRC funds . The expenses should be better broken out to justify the 80/20 portion of the grant request.

Reviewer 01-02 (Rating: FUND) I recommend approval of the grant request. My only suggestion to the grant recipient would be to monitor the use of the classroom materials to confirm that past participants are utilizing the materials and that the materials are useful resources.

Reviewer 01-03 (Rating: FUND) Overall, I found the proposal to be solid, with achievable goals that meet the LRC goals. I would have liked to have seen a more defined timetable of the seminar activities and ancillary outreach initiatives. Recommend to fund.

6

(+) Lignite . ~ r Energy Council

~t'- Lignite ~r Energy Council

YOU'RE INVITED! You are invited to Iha

at the NIIIIIII bl,n 11 blllllllcl on the campus of •11•1111111111111 Bismarck, ND on

Applications will be accepted until the Seminar is full or until April 15, 2017, whichever occurs first (please note that the seminar could be full prior to this date). The $60 deposit checR is required to reserve your spot in the Seminar. Vour checR will be returned to you when you checR-in at the Seminar on June 12, 2017.

Should applications outnumber the spots available, preference will be given based on the following criteria:

- 4th grade through 12th grade teachers - Science, math or social studies as a primary subject matter - Career counselors

IIIIITllfllaTIII Two Professional Developement Graduate credits in economics will be available through University of North DaRota, science through Minot State University, or education through North DaRota State University. To receive the credits, teachers must attend ALL

portions of the seminar and prepare a lesson plan demonstrating how they could use the seminar information and materials in the classroom.

(;l(AT ~ Comrnuni'-at ,ons

Client File name

LEC 17-LEC-0297-Li_g_nite 101-170627-tm-v4

# Actions/Video/Images On- Screen Text Dialogue/ Narrator/ Host Production Notes

NARRATOR

1 Life in North Dakota is pretty great. Growing communities,

:10 friendly neighbors, beautiful land with plenty of room to roam-we live the good life.

NARRATOR

2 We're also pretty resourceful here. We know that a lot of

:08 what we need for our livelihood can be found right here in North Dakota.

NARRATOR Take our electricity for example. Did you know that almost 0070% of our electricity in North Dakota comes from coal

3 0070% of our found right here in the ground? The lights you turn on at

:21 electricity night, the heat you use in the winter to keep your house

warm, the power you use to charge your phones and computers-all of that is possible because of what can be found right underneath your feet.

4 What Is Lignite? :04

You see, in North Dakota, we have a lot of a certain type of coal. In total, there are four different types of coal-anthracite, bituminous, subbituminous and lignite . They

5 differ from each other by how far do 19\'A in the ground they

:28 can be found and how old they are. Lignite, the type we have here in North Dakota, is the youngest type of coal, even though it still took millions of years to turn into what it is today.

© KAT Communications 2016

El(AT Client File name

I LEC I 17-LEC-0297-Lignite 101-170627-tm-v4 I .... a.• , ... \..Jt l ll I t Ut J!\. Cltf\JI 1.'. '

Lignite is a soft, brown substance that has a low heat content, meaning it gives off fairly low amounts of energy compared to the other types of coal. However, because it's a :19

young type of coal, lignite is found close to the ground's

6 surface, which means we don't have to go too far to get it.

In fact, years ago when there weren't large machines to do the work, coal miners were still able to use simple tools to

: 15 get lignite out of the ground. And because it's so accessible it requires less disruption to the environment.

Once we extract lignite from the ground, we turn it into electricity to power our state. North Dakota has one of the

7 25 billion tons! largest reserve~ of lignite in the world with 25 billion tons!

:21 We have so much lignite in North Dakota that we're not only able to power our entire state, but we even have enough lignite to provide electricity to Minnesota and other states !

Lignite is abundant, inexpensive to mine and good to use for electricity. Because of that, the lignite industry thrives in

8 North Dakota and in turn benefits the economy here by : 17

providing thousands of jobs and billions of dollars in revenue.

9 But before we get into how we do all that, let's take a look

:07 at how we got lignite in the first place.

10 How Was Lignite

:04 Formed?

To see how lignite formed in North Dakota, we have to go

11 60 million years ago back in time. Waaaay back in time. Around 60 million years

:12 ago, in fact. Back to when North Dakota was nothing more than a swampland from an inland sea .

© KAT Communications 2016

~l<AT C ~ j

I LEC I 17-LEC-0297-Lignite 101-170627-tm-v4 I

If you had a time machine and could travel back to this time, you'd find yourself in the middle of a humid swamp surrounded by plants and trees. As the plants died, they

12 would fall to the ground and become piled under water and :27

sediment. As time passed, these plants would start to decompose and became layered under more plants and sediment, increasing the pressure and heating things up!

Nearby, the Rocky Mountains began to form and the runoff from this process packed these plants down further and

13 further, compressing them together even more. All this heat : 17

and pressure caused a chemical reaction which turned these plants and sediment into the coal we use today.

The more the plant material was compressed and the longer it existed determined the type of coal it is today. Take bituminous coal, for example. Bituminous coal was formed

14 under more pressure and heat and for a longer period of

:30 time than lignite. Because of that, bituminous coal is found deeper in the ground and is harder to get. Bein§ a 'f0UAQeF coal, li §nit e is located close to the grnu nd's suFface and is easieF t e get to.

In North Dakota, we have 25 billion tons of lignite! Here's a quick math equation to show you just how much that is ... In 2016, North Dakota mined and produced 28. 7 million tons of

15 28. 7 million tons of lignite. 1 ton of lignite has as much energy as one barrel of

:39 lignite in 2016 oil. Annually, an average car consumes 580 gallons of

gasoline (what we get from a barrel of oil). So those 28. 7 million tons of lignite is enough energy to run 5.5 million cars for a whole year. Whoa!

16 But in order for us to be able to produce that energy, we

:07 had to start by getting the lignite out of the ground ...

© KAT Communications 2016

~l<AT ,~ ~ Crnvr,, 1n ·c;:n 1nn5

I LEC I 17-LEC-0297-Lignite 101-170627-tm-v4 I

How Is Lignite 17 Extracted from the :04

Ground?

Extracting coal out of the ground is a process called mining. Since lignite coal is found close to the surface, we actually

18 don't have to dig very far-deep to mine it. Early lignite :17

miners even used horse-drawn carts and steam shovels to get to the lignite years ago.

Graphic of ND with the The mining process looks quite different than it did nearly a location of each mine hundred years ago. Today, North Dakota has five retat (Beulah Mine, Center su rfa ce mines, each one strategically placed near a pocket

19 Mine, Falkirk Mine, of lignite reserves. We also work closely with a mine in

:18 Freedom Mine and Coyote Creek Mine) Montana to provide lignite to ou r stateu Montana power highlighted g_lant.

Even though lignite is close to the surface, miners still have to go through a couple of layers fi-f5t-to get to it. First to go

20 through are the topsoil and subsoil. These soils are fertile :20

and good for plants to grow in, so it is kept and either redistributed elsewhere or stockpiled for future use.

Next up is the overburden, sett-a clay mat erial that isn't 21 suitable for plants. Mining companies remove overburden :11

with excavators, dump trucks and draglines.

22 The excavators dig up some of the overburden and eft€l.

:06 dump trucks then remove it from the site.

A lot of overburden is removed by draglines-giant

23 8,000 tons machines that can weigh over 8,000 tons. That's almost as

:16 heavy as 40 blue whales, the largest mammal in the world! But that's not the only thing huge about these draglines ...

© KAT Communications 2016

El(AT Client File name

~ ..--.'il l

LEC 17-LEC-0297-Liqnite 101-170627-t 4 • • '~ ' , ' ... . '..._ • J •

Draglines use buckets that are larger than school buses to 24 sweep up the overburden. When draglines arrive, serious : 12

work gets done. Overburden beware!

Once all of that has been removed, we have finally reached the lignite! Before it can be rem oved dug up though, lignite

25 has to be broken up a bit first. This is the job for rippers. : 17

They plow through the lignite and break it into small pieces for front-end loaders to pick up.

It's then transferred to coal haulers that take the coal to 26 power plants to be burned for electricity. These haulers can : 13

be massive! The tires alone can get up to 6-8 feet high!

This may seem like a big job (and it is!) but lignite miners have worked really hard over the years to make sure this

27 process doesn't only benefit us by providing electricity. They

:21 really wanted to make a positive impact on our land in North Dakota too! So after removing the lignite from the ground, they start a process called reclamation.

Reclaiming the land means that mining companies leave the land as healthy or healthier than they found it. This means the land needs to produce as much or more than it did prior

28 to mining so plants can continue to grow and wildlife can :25

flourish there once again. So far, the lignite industry has reclaimed over 22,000 acres of land in North Dakota. Pretty cool, huh?

29 How Is Lignite

:04 Used?

30 So once we have this lignite, what do we do with it? Well. .. :OS

© KAT Communications 2016

~l<AT ,~

~ -- -I LEC I 17-LEC-0297-Lignite 101-170627-tm-v4 I

' • '- ''<> ' ' ~ ' '

A lot of this lignite coal is used to generate electricity! About 80% of it actually. Fun fact: 74% of all the electricity we use

31 74% of electricity in North Dakota comes from lignite coal. Even 44About 10% :19

of Minnesota's electricity comes from the lignite we mine here in North Dakota!

Take a moment to think of everything you use electricity for. You wake up and turn on your lights. Boom, electricity. You turn off the alarm on your phone. Boom, electricity. Want to

32 watch some cartoons? Play some video games? Yup, that's :25

electricity too. It might just be easier to think of things that don't use electricity. We'd really be heading back to the Stone Age then!

Map of ND w ith the locations of the 7 different power plants highl ighted (R.M. Heskett Station, Coal

33 Creek Station, Milton R. In North Dakota, there are a total of 7 power plants that

:10 Young Station, Leland turn lignite into electricity for us to use. Olds Station, Antelope Valley Station, Coyote Station a n d l::ewi5-att€l-Gl-ark-Spiritwood Station)

34 So what do we do with the other 20%? Well. .. :OS

13% of lignite is used to make synthetic natural gas. Currently, North Dakota has the only large-scale, coal-to-

35 gas plant in the nation-the Great Plains Synfuels plant in

:22 Beulah, North Dakota. This plant takes lignite and produces natural gas that is then delivered to 400,000 homes and businesses all over the state~cross th e nation.

© KAT Communications 2016

c-:,l<AT , 1i

~! I LEC I 17-LEC-0297-Lignite 101-170627-tm-v4 I

We have even taken things internationally! When lignite is converted to natural gas, carbon dioxide is created as a

36 byproduct. We don't let that go to waste though! We send : 19

that carbon dioxide through a pipeline to Canada where they pump it into their own oil fields to force oil out!

37 And finally, the remaining 7% of lignite is used to produce

:05 fertilizer products and other useful chemicals .

People in the lignite industry are always working to use all

38 the different parts of lignite mining to better our

: 12 environment and our quality of life. So they strive to never let anything go to waste.

Certain byproducts are created when we use lignite. For example, coal gasification, the process used to produce the natural gas we mentioned earlier, creates byproducts that we now use to make other things like ...

• Dephenolized Cresylic Acid which is used in things like

39 industrial solvents, resins and antioxidants,

:40 • Catechols which are-i-5 used in pharmaceuticals,

insecticides and food flavoring, • Naphtha which is used in gasoline, cleaning fluid,

shoe polish and as fuel for camping equipment, • And phenol which is used in resins that bond plywood

together and in the casting industry.

In another process called coal combustion, quite a bit of fly ash is created as a byproduct. 600,000 tons of it to be

40 600,000 tons exact! To keep this from going to waste, this fly ash is :20

collected and sold to be used to replace cement in some cases, creating stronger and more durable products!

© KAT Communications 2016

~l<AT , -.;

~ I LEC I 17-LEC-0297-Lignite 101-170627-tm-v4 I ' f • • • ' • ~

So, as you can see, a lot of thought has gone into utilizing lignite as efficiently as possible. And just as much thought is

41 put in to making lignite mining better for the environment! :18

In fact, since the 1970's emissions from coal-based energy has decreased around 83%.

A common misconception is that what you see coming out of the stacks at power plants is harmful smoke. In reality, this

42 is almost entirely steam. The lignite industry has been

: 21 working on technology that allows us to generate power while also maintaining our status as one of only a handful of designated "clean air states."

How Does Lignite 43 Impact Our :04

Economy?

We now know a little bit about the relationship between lignite and our land here in North Dakota-how it got here,

44 how we get it out of the ground and how we turn it into : 16

electricity to use. But what about us? How does lignite affect us directly?

Average price of electricity in the U.S.: $33.02 per megawatt- For starters, using lignite coal for power makes the price of hour our electricity one of the most inexpensive in the country!

45 This is the average price in the United States for electricity ... :18

Average price of And this is the average price for electricity in North Dakota ... electricity in North And it's all thanks to lignite. Dakota: $22.83 per megawatt-hour

© KAT Communications 2016

~l<AT ,-.;

~ (cn,•1 I LEC I 17-LEC-0297-Lignite 101-170627-tm-v4 I

'n 1 ,:'l 'Of'!S

We use a lot of energy in North Dakota! Think of the many, cold winter months for a moment. The one thing you can

46 always look forward to is a nice, warm house or school. :17

Inexpensive electricity, then, helps us stay warm for a low cost!

The low price of electricity also benefits our farmers and businesses. They use quite a bit of electricity as well, so

47 having inexpensive prices lowers their costs to operate-

:18 saving them money that can then be used to grow their business and compete on an international level with others in their industry.

Other companies actually notice this and are then attracted to set up shop in North Dakota too, which grows and

48 strengthens our economy even more. All this new business :19

sparked by the lignite industry actually results in $3 billion of total revenue that goes directly back to our economy!

In fact, the lignite industry even provides jobs for many 49 people in North Dakota-either directly or indirectly! Let's :10

take a closer look at some of those ...

50 Who Works with

:04 Lignite?

The lignite industry needs more than just coal miners to

51 function. Today, about 15,000 people have jobs because of

:14 this booming industry! That's about 1 in 20 people in North Dakota who have jobs tied to lignite.

Because the lignite industry brings in so much revenue to

52 $70-80,000 a year North Dakota's economy, it offers some of the highest

:14 salaries in the state. On average, people working in the lignite industry make $70-80,000 a year!

© KAT Communications 2016

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.. , .

There are a wide variety of jobs that are all tied to lignite, 53 but let's start at the source. In total, there are about 4,000 : 12

people who work directly with lignite in the industry itself.

Surveyors work to examine the lignite deposits before any

54 mining has begun. Because of their work, mining companies

:12 know where to dig for the coal and about how much of it they will be able to extract.

Mining engineers and geologists are the people who

55 design a plan of action to get that coal out of the ground.

: 12 They're the ones in charge of making sure lignite is mined safely and efficiently.

Once a plan is prepared, people like the heavy equipment

56 operators get to work to uncover the coal. These

: 15 individuals operate the big machines like the draglines, dozers, end dump trucks and excavators, to name a few.

Then, there are about 11,000 individuals who work

57 11,000 indirectly with the lignite industry. Electricians, for

: 12 example, help provide the electricity produced by lignite to our homes and businesses.

So, as you can see, there's quite a variety of careers that 58 exist because of the lignite industry, each one equally as : 10

important and beneficial to our communities as the other.

It's safe to say that the lignite industry makes quite the positive impact onboosts the North Dakota economy. Whether by providing jobs to thousands of people,

59 strengthening the .economy with billions of dollars of : 20

revenue and new businesses or just lighting up our communities with low-cost electricity, lignite has proven to be quite a valuable resource to our state!

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As we look towards the future of lignite, we can be excited

60 by the many advancements and changes it will bring to our

:14 state. But we know one thing will always stay the same-that living in North Dakota truly is living the good life.

Total Running Time : 14:00

© KAT Communications 2016

2017 Lignite Education Seminar:

Energy, Economics & Environment June 12-15, 2017

Monday, June 12

7:30 a.m.

8:45 a.m.

9:15 a.m.

9:45 a.m.

10:45 a.m.

11:00 a.m.

12:00 p.m.

12:45 p.m.

2:15 p.m.

2:30 p.m.

3:30 p.m.

3:45 p.m.

Registration Begins National Energy Center of Excellence - Bismarck State College - 4th Floor

Welcome, Introductory Remarks, Instructions & Pre-Test Kay LaCoe - Director of Membership Marketing, Lignite Energy Council

Lesson Plan Collaborative Work Terry Hagen - Professor, University of North Dakota

Lignite: The Region's Best Kept Secret Steve Van Dyke - Vice President of Communications, Lignite Energy Council

Classroom Activity: Economics Video: TBD

Break

North Dakota Geology: Coal-Bearing Rocks in the Northern Great Plains

Kendra Kungu - Geological Engineer, The Coteau Properties Co. Freedom Mine

Classroom Activity: Chocolate Chip Cookie Mining Video: Lignite Rocks (if time allows)

Lunch

Lignite Mining and Reclamation Sarah Flath - Environmental Manager, The Coteau Properties Co. Freedom Mine

Classroom Activity: Cake pan mining and reclamation

Break

Electricity Generation Choices John Bauer - Director of North Dakota Generation, Great River Energy

Classroom Activity: Pedal generation

Video: Qptional/TBD

Break

Synfuels Production from Lignite Joan Dietz - Communication and Creative Services, Great Plains Synfuels Plant

Video: Synfuels video

4:30 p.m.

5:00 p.m.

Introduction to North Dakota Energy Curriculum Retha Mattern - Business & Outreach Coordinator, National Energy Center of Excellence Wrap-up, Day 2 Preview, Dorm Check-in

Dinner at Bismarck State College Evening on your own

Tuesday, June 13

7:00 a.m.

8:00 a.m.

9:00 a.m.

9:15 a.m.

10:45 a.m.

11:00 a.m.

12:00 p.m.

12:45 p.m .

2:00 p.m.

2:15 p.m.

3:15 p.m.

3:30 p.m.

4:45 p.m.

5:00 p.m.

Breakfast at National Energy Center of Excellence

Transmission - Transporting Electricity by Wire

Matthew Stoltz - Director of Transmission Services, Basin Electric Power Cooperative

Classroom Activity: Power Line Siting

Break

Enhancing Lignite's Future through Research & Development

Mike Holmes -Vice President of Research & Development, Lignite Energy Council Classroom Activity: Lignite Jeopardy

Break

Economics and Electricity 101

Brian Kalk- Director of Energy Systems, Energy and Environmental Research Center at UND

Lunch

Energy and CO2 Management: Carbon Capture and Storage

Dan Daly- Research Manager, Energy & Environmental Research Center at the University of North Dakota Classroom Activity: Jeopardy Videos: PCOR Videos

Break

Plant Level Environmental Compliance Craig Bleth - Environmental Manager, Minnkota Power Cooperative

Break

Industry Career Choices

Kent Ellis - Special Projects Coordinator, Bismarck Public Schools

Wrap-up - Day 3 Preview Tour of Power Plant Program Facilities

Dinner at Bismarck State College Energy Education Demonstrations and Hands-On

Wednesday, June 14

6:15 a.m.

7:00 a.m.

Breakfast at BSC Student Union

Load buses in front of Student Union

7:15 a.m. Buses leave for Coal Country Tour

Group 1

9:00 a.m. 11:00 a.m. 11:15 a.m. 11:45 a.m. 12:30 p.m. 2:00 p.m. 2:15 p.m.

3:15 p.m.

Group 2 9:00 a.m.

10:15 a.m. 11:15 a.m. 11:30 a.m. 12:15 p.m. 2:00 p.m. 2:30 p.m. 4:30 p.m.

Group 3 9:00 a.m. 10:15 a.m. 11:15 a.m. 11:30 a.m. 12:15 p.m.

2:15 p.m. 2:30 p.m.

4:30 p.m.

Tour Freedom Mine

Bus leaves for Antelope Valley Station Arrive at Antelope Valley Station - Photos Lunch at Antelope Valley Station Tour Antelope Valley Station Bus leaves for Great Plains Synfuels Plant Tour Great Plains Synfuels Plant

Bus leaves for Bismarck State College

Tour Great Plains Synfuels Plant

Bus leaves for Coal Creek Station Arrive at Coal Creek Station - Photos Lunch at Coal Creek Station Tour Coal Creek Station 8us leaves for Falkirk Mine Tour Falkirk Mine

Bus leaves for Bismarck State College

Tour Great Plains Synfuels Plant

Bus leaves for Center Mine Arrive at Center Mine Lunch at Center Mine Tour Center Mine Bus leaves for Milton R. Young Station - Photos

Tour Milton R. Young

Bus leaves for Bismarck State College

5:00 p.m . Dinner at Bismarck State College

Evening on your own

Thursday, June 15

7:00 a.m.

8:00 a.m.

9:00 a.m.

9:15 a.m.

11:00 a.m.

11:15 a.m.

12:15 p.m.

1:00 p.m .

1:30 p.m.

Breakfast at National Energy Center of Excellence

Energy Sense Tom Butz - Senior Planning Engineer, Power System Engineering, Inc.

Break

Workforce Issues and Needs Panel

Moderator: Jason Bohrer - President & CEO, Lignite Energy Council Dan Oorfschmidt - Operations Manager, Butler Machinery Jamey Backus - Plant Manager, Leland Olds Station

Jay Volk - Environmental Manager, BNI Coal, Ltd. Bruce Em mil -Associate Vice President - NECE, Bismarck State College

Break

From the Mine to the Electric Line - Making Connections

TBD

Lunch

Post Test

Seminar adjourns