### Name:

Title: Company: Sign Date: Name: Title: Company: Sign Date: Permitted Facility Representative / Date Testing Company Representative / Date Final Test Report for

/ / Based on information and belief formed after reasonable inquiry, I certify that the statements and information in this test report are true, accurate, and complete. I have reviewed all testing details and results in this test report and hereby certify that the test report is authentic and accurate.

Monday, January 31, 2011 Page 1 of 14

### Facility Information:

Optim Energy LP, Twin Oaks
13065 Plant Road

Bremond TX 76229 Contact: Eddy Young Phone: (254) 746-7604 Fax: (254) 746-7159 Email: eddy.young@optimenergy.com Testing Company:
METCO Environmental
3226 Commander Dr.

Carrollton TX 75006 Contact: Ned Shappley Phone: 972-931-7127 Fax: 931-931-8398 Email: shappley@metcoenv.com

Air Permit Number: 17294 Permitted Source ID/Name: Unit Number 1 EPN 1 - 1 Permitted Maximum Process Rate: N/A Max. Normal Operation Process Rate: N/A Target Process Test Rate N/A

Description of the source (including control equipment). Please see the attachments for source or process flow diagram: Twin Oaks (TO) is a two-unit 305MW, lignite-fired plant completed in 1991. The plant utilizes circulating fluidized bed (CFB) technology to produce electricity with minimum emissions. Each of the CFB boilers is rated at 1,025,254 pounds of steam per hour at 1815 psia and 1005 degrees F. The boilers are controlled circulation reheat units with three 50% capacity KSB wet stator boiler circulating pumps. Each unit has two 60% capacity primary and secondary air fans to provide combustion air. Two 60% capacity variable speed induced draft fans pull flue gas from the fabric filter system and discharge to the 330-foot concrete stack for each unit.
Each boiler has four refractory-lined cyclones arranged in parallel between the combustor and the convective backpass. Particulates collected in the cyclones drop into standpipes and are conveyed through fluidized loop seals back to the combustor. A portion of the solids passing through the loop seals is drawn off through Spiess valves to the fluidized bed heat exchangers (FBHE’s) on each boiler. The FBHE’s are water cooled bubbling bed units fluidized with high-pressure blowers. On each boiler, the front FBHE contains the finishing superheater and evaporator sections while the rear FBHE contains the middle temperature superheater and finishing reheater assemblies.
Each unit has one steam turbine designed to produce a gross output of 160,082 kw at 2.5 inches of mercury (absolute) back pressure and rated conditions of 1,025,000 lbs. /hr. of steam at 1815 psia and 1005 degrees F. The steam turbines are also designed to operate at 5% overpressure with a maximum steam flow of 1,100,000 lbs. /hr. However, the maximum steam flow rating is reached at approximately 2.5% overpressure at high back pressures of approximately 3.5 in. Hg. High-pressure feedwater heater shell safety valve settings also limit operations to the 2.5% overpressure condition. Industry/SCC/NAIS 221112 AFS #: 483956E002 FRS #: 110015666144

SCC / Description 10100318 External Combustion Boilers - Electric Generation - Lignite - Atmospheric Fluidized Bed Combustion - Circulating Bed

The following state and federal regulations that apply to the proposed testing:



### Monday, January 31, 2011 Page 2 of 14

### The condensate feedwater circuit on each unit is equipped with two 100% capacity variable speed condensate pumps,

two 60% capacity variable speed boiler feed pumps, three low-pressure heaters, one deaerating heater, and two high pressure feedwater heaters. Each unit has a five-cell concrete cooling tower (10 deg. F. design wet-bulb approach) with two 100% capacity circulating water pumps. The plant has three ground water wells with a capacity of 2,500 gpm each. The plant also has a 16.5 million gallon storage pond that can supply make-up water requirements for 4 1⁄2 days.
Lignite from the Walnut Creek mine is delivered by truck from the mine, located a few miles from the plant to a delivery hopper at the plant or to an adjacent lignite storage pile. Ownership of the lignite transfers to TO just past the delivery hopper. From the hopper, lignite can be conveyed directly to the plant, placed in a covered 25,000 ton live storage building, or conveyed to a dead storage area. Approximately four days of lignite is typically maintained in the covered storage that is served by a Krupp stacker-reclaimer. A covered dead storage area of 25,000 tons was added in August, 2008. Crushed lignite is transported via conveyors to four 250-ton coal silos per unit which provides approximately four hours of fuel at full load.
Natural gas from a 24 inch high pressure pipeline located approximately 5 1⁄2 miles from the plant is supplied to the plant via a 16 inch pipeline owned by TO. The capacity of the pipeline is 150MMCFD to the plant which should provide enough fuel for full load operation.
Limestone, which is used to reduce emissions of sulfur dioxide (S02), is currently delivered by truck from local suppliers. A rail spur into the plant is also available for limestone delivery. Limestone is transported to the top of the pulverizers by variable speed feeders. Pulverized limestone is stored in two storage silos for each unit.
Limestone kiln dust (LKD), which is also used to reduce emissions of sulfur dioxide (SO2), is currently delivered by pneumatic truck from local suppliers. LKD is transported to one silo per unit via blowers. The material is blown into the boiler on each corner near the fuel injection ports.
Anhydrous ammonia, which is used to reduce emissions of nitrogen oxides (NOx), is currently delivered by truck from local suppliers. The ammonia is stored in two 12,000 gallon tanks. It is distributed into 16 injection lances per unit (4 per cyclone inlet).
Part of the secondary air is routed to 18 Rotating Opposed Fire Air (ROFA) nozzles to mix combustion gases. ROFA improves the removal efficiency of SO2 and NOx by generating a turbulent cyclonic effect in the boiler.
The plant produces approximately 300,000 tons per year of fly ash and 100,000 tons per year of bed ash. Headwaters (ISG) market the ash for TOP. The CFB ash that is produced from burning Texas lignite is not the typical class F ash produced by other lignite fired plants in the state. Because of the limestone injection, the ash properties are changed so much that the ash is classified “Class C modified” and is marketed as soil stabilization material.
Each hydrogen-cooled generator (rated at 194MVA and 18kV) is connected to a step-up transformer (18/345kV) which is connected to the transmission system through two switchyard breakers. Either of these two breakers must be used to synchronize the unit. Each step-up transformer also has a motor operated disconnect switch within the switchyard, which cannot be used for synchronization but may be used to isolate the unit for maintenance. A double circuit 345 kV transmission line connects the plant switchyard to the Texas Utilities Twin Oak substation, located approximately 18 miles from the plant. This transmission system gives the plant a total transmission capacity of 1,200 MW at an N-1 condition (one circuit out of service).
Sampling Location Information:

Test Parameter Information: Location Round

Duct Diam. Distance from upstream dist. Distance from

downstream dist. Number of

Traverse Ports Equiv. Diam Min.Travers Points Rect. Duct Length /Width Stack Exit 144 2328 1164 4 144 12 0 0

Target Parameter Test Method Number of

Test Runs Test Run

Duration Sample

Points Comments Location 

### Monday, January 31, 2011 Page 3 of 14

### The following describes any modifications and/or deviations to the applicable test

methods. If alternative methods were requested, see the attachments for documentation of request AND approval, including dates.
NA Target Parameter Test Method Number of

Test Runs Test Run

Duration Sample

Points Comments Location Carbon Monoxide Method 10 3 120 0 Stack Exit Total organic compounds

(TOC) as Propane Method 25A 3 120 0 Stack Exit

O2 Method 3A O2 3 120 0 Stack Exit Co2 Method 3A CO2 3 120 0 Stack Exit



### Monday, January 31, 2011 Page 4 of 14

### Sampling / Stack Data Results Summary



### Location Stack Exit - Method 10 Average Run Number 1 2 3
Test Date 4/27/2010 4/27/2010 4/27/2010 Run Start Time 9:15:00 AM 12:15:00 PM 3:05:00 PM

Run Finish Time 11:29:00 AM 2:31:00 PM 5:24:00 PM Carbon Dioxide, % 14.11 13.99 14.09 14.063 Oxygen, % 5.44 5.09 5.42 5.317 Dry Volumetric Flow Rate, dry scfm 395682 402127 400662 399,490.333 F-Factor, dscfm/MMBtu @ %O2 9860 9860 9860 9,860.000 Moisture, % 13.04 13.83 13.33 13.400 Fuel Type Coal - Lignite Coal -

Lignite Coal -

Lignite
Fw 11950 11950 11950 11,950.000
Fc 1910 1910 1910 1,910.000



### Location Stack Exit - Method 25A Average Run Number
Test Date Run Start Time Run Finish Time Carbon Dioxide, % Oxygen, % Dry Volumetric Flow Rate, dry scfm F-Factor, dscfm/MMBtu @ %O2 Moisture, % Fuel Type
Fw
Fc



### Monday, January 31, 2011 Page 5 of 14

### Location Stack Exit - Method 3A CO2 Average

Run Number
Test Date Run Start Time Run Finish Time Carbon Dioxide, % Oxygen, % Dry Volumetric Flow Rate, dry scfm F-Factor, dscfm/MMBtu @ %O2 Moisture, % Fuel Type
Fw
Fc



### Location Stack Exit - Method 3A O2 Average Run Number
Test Date Run Start Time Run Finish Time Carbon Dioxide, % Oxygen, % Dry Volumetric Flow Rate, dry scfm F-Factor, dscfm/MMBtu @ %O2 Moisture, % Fuel Type
Fw
Fc



### Monday, January 31, 2011 Page 6 of 14

### Emissions Summary

Process Run Data 

### Location: Stack Exit - Method 10 Compound: Carbon Monoxide Average Run 1 2 3 Elb/hr 1.58E+01 1.53E+01 1.56E+01 15.567 lb/mmBtuO2 8.85E-03 8.29E-03 8.64E-03 0.009 ppm 9.13E+00 8.75E+00 8.93E+00 8.937 ppm@7%O2 8.21E+00 7.69E+00 8.02E+00 7.973



### Location: Stack Exit - Method 25A Compound: Total organic compounds (TOC) as Average Run 1 2 3 Elb/hr 2.51E-01 9.55E-02 4.12E-01 0.253 lb/mmBtuO2 1.41E-04 5.16E-05 2.28E-04 0.000 ppm 9.24E-02 3.46E-02 1.50E-01 0.092 ppm@7%O2 8.31E-02 3.04E-02 1.35E-01 0.083



### Monday, January 31, 2011 Page 7 of 14

### Process Run Data



### Run Name Value UOM Comments Target Value 1 Lignite Burned 136.3 Tons 0


### 2 Lignite Burned 0 Tons 0
3 Lignite Burned 0 Tons 0
1 Average Heat Input 1794.6 MMBtu/hr 0


### 2 Average Heat Input 0 MMBtu/hr 0
3 Average Heat Input 0 MMBtu/hr 0
1 Steam Output 1089 1000 lb steam/hr 0


### 2 Steam Output 0 1000 lb steam/hr 0
3 Steam Output 0 1000 lb steam/hr 0
1 Flue Gas Flow Rate 395682 0


### 1 Flue Gas Oxygen Content 5.44 % 0
1 Flue Gas Carbon Dioxide Content 14.11 % 0
1 Flue Gas Moisture Content 13.04 % 0


### 1 Flue Gas Sampling Point Temperature 341 Deg F 0
1 Flue Gas Pressure 0.984 atm 0
1 Standard Pressure 1 atm 0


### 1 Standard Temperature 68 Deg F 0
1 Unit Gross Electrical Output 172.9 Mwe 0
1 Unit Net Electric Generation 153.5 MWh 0


### 4 Lignite Burned 136.9 Tons Run 2 Unit 1 0
4 Average Heat Input 1803 MMBtu/hr 0
4 Steam Output 1097.4 1000 lb steam/hr 0


### 4 Flue Gas Flow Rate 402127 0
4 Flue Gas Oxygen Content 5.09 % 0


### 4 Flue Gas Carbon Dioxide Content 13.99 % 0
4 Flue Gas Moisture Content 13.83 % 0
4 Flue Gas Sampling Point Temperature 348 Deg F 0


### 4 Flue Gas Pressure 0.98 atm 0
4 Standard Pressure 1 atm 0
4 Standard Temperature 68 Deg F 0


### 4 Unit Gross Electrical Output 174 Mwe 0
4 Unit Net Electric Generation 155.1 MWh 0
5 Lignite Burned 134.3 Tons Run 3 Unit 1 0



### Monday, January 31, 2011 Page 8 of 14

### APCD Run Data

Process Lab Run Data 5 Average Heat Input 1768.3 MMBtu/hr 0


### 5 Steam Output 1097.5 1000 lb steam/hr 0
5 Flue Gas Flow Rate 400662 0
5 Flue Gas Oxygen Content 5.42 % 0


### 5 Flue Gas Carbon Dioxide Content 14.09 % 0
5 Flue Gas Moisture Content 13.33 % 0
5 Flue Gas Sampling Point Temperature 344 Deg F 0


### 5 Flue Gas Pressure 0.983 atm 0
5 Standard Pressure 1 atm 0
5 Standard Temperature 68 Deg F 0


### 5 Unit Gross Electrical Output 174 Mwe 0
5 Unit Net Electric Generation 155.1 MWh 0

Run Name Value UOM Comments Target Value 

### 1 DRY LIMESTONE INJECTION 0 0
1 BAGHOUSE 0 0
1 NSCR (NON-SELECTIVE CATALYTIC REDUCTION) 0 0

Run Name Value UOM Comments 

### 1 Fuel Higher Heating Value 9164 Btu/lb 1 Fuel Moisture 29.19 % 1 Fuel Mercury Content 0.27 ppm 

### 1 Fuel Cadmium Content 0.4 ppm 1 Fuel Nickel Content 10 ppm 1 Fuel Arsenic Content 2 ppm 

### 1 Fuel Chromium Content 17 ppm 1 Fuel Beryllium Content 1.5 ppm 1 Fuel Lead Content 7 ppm 1 Fuel Manganese Content 163 ppm 

### 1 Fuel Chlorine Content 41 ppm 1 Fuel Fluorine Content 77 ppm 2 Fuel Higher Heating Value 9454 Btu/lb 

### 2 Fuel Moisture 29.39 % 2 Fuel Mercury Content 0.03 ppm 2 Fuel Cadmium Content 0.4 ppm 2 Fuel Nickel Content 11 ppm



### Monday, January 31, 2011 Page 9 of 14

### 2 Fuel Arsenic Content 3 ppm



### 2 Fuel Chromium Content 19 ppm 2 Fuel Beryllium Content 1.7 ppm 2 Fuel Lead Content 7 ppm 2 Fuel Manganese Content 183 ppm 

### 2 Fuel Chlorine Content 43 ppm 2 Fuel Fluorine Content 83 ppm 3 Fuel Higher Heating Value 9329 Btu/lb 

### 3 Fuel Moisture 29.74 % 3 Fuel Mercury Content 0.24 ppm 3 Fuel Cadmium Content 0.4 ppm 3 Fuel Nickel Content 10 ppm 

### 3 Fuel Arsenic Content 2 ppm 3 Fuel Chromium Content 16 ppm 3 Fuel Beryllium Content 1.5 ppm 

### 3 Fuel Lead Content 6 ppm 3 Fuel Manganese Content 164 ppm 3 Fuel Chlorine Content 38 ppm 3 Fuel Fluorine Content 77 ppm



### Monday, January 31, 2011 Page 10 of 14

### Sampling / Stack Data Results Detail



### Location Stack Exit - Method 10 Average Run Number 1 2 3 Test Date 4/27/2010 4/27/2010 4/27/2010 Run Start Time 9:15:00 AM 12:15:00 PM 3:05:00 PM Run Finish Time 11:29:00 AM 2:31:00 PM 5:24:00 PM Carbon Dioxide, % 14.11 13.99 14.09 14.063 Oxygen, % 5.44 5.09 5.42 5.317 Fuel Factor 1.1 1.13 1.1 Dry Volumetric Flow Rate, dry scfm 395682 402127 400662 399,490.333 F-Factor, dscfm/MMBtu @ %O2 9860 9860 9860 9,860.000 Moisture, % 13.04 13.83 13.33 13.400 Analyzer Make Thermo Environmental hermo

Environment

al hermo Environmenta

l Analyzer Model 48C 48C 48C Analyzer Serial Number 503010324 503010324 503010324 503,010,324 .000 Operating Range 100 100 100 100.000 Operating Units ppm ppm ppm No. Readings/Avg. 480 480 480 480.000 Calibration Set 1 1 1 1.000 Calibration Pre Zero Cylinder ID N2- ALM 65384 N2- ALM

65384 N2- ALM

65384 Calibration Pre Zero Cylinder Instrument Response 0.32 0.32 0.32 0.320 Calibration Pre Zero Cylinder Bias 0.1 0.1 0.1 0.100 Calibration Pre Zero Cylinder Drift 0 0 0 0.000 Calibration Pre High Cylinder ID CO-ALM 8696 CO-ALM

8696 CO-ALM

8696 Calibration Pre High Cylinder Instrument Response 41.33 41.01 41.22 41.187 Calibration Pre High Cylinder Bias -0.3 -0.64 -0.42 -0.453 Calibration Pre High Cylinder Drift 0 0 0 0.000 Calibration Post Zero Cylinder ID N2- ALM 65384 N2- ALM

65384 N2- ALM

65384 Calibration Post Zero Cylinder Instrument Response 0.32 0.32 0.32 0.320 Calibration Post Zero Cylinder Bias 0.1 0.1 0.1 0.100 Calibration Post Zero Cylinder Drift 0 0 0 0.000 Calibration Post High Cylinder ID CO-ALM 8696 CO-ALM

8696 CO-ALM

8696 Calibration Post High Cylinder Instrument Response 41.01 41.22 41.22 41.150 Calibration Post High Cylinder Bias -0.64 -0.42 -0.42 -0.493 Calibration Post High Cylinder Drift 0.34 0.22 0 0.187 Cavg 9.29 8.9 9.1 9.097 Cavg Units ppmvd ppmvd ppmvd Cgas 9.1347 8.7493 8.9303 8.938 Cgas Units ppmvd ppmvd ppmvd Fuel Type Coal - Lignite Coal - Lignite Coal - Lignite

Fw 11950 11950 11950 11,950.000 Fc 1910 1910 1910 1,910.000 Cgasw 0 0 0 0.000



### Monday, January 31, 2011 Page 11 of 14Cgasw Units



### Location Stack Exit - Method 25A Average Run Number Test Date Run Start Time Run Finish Time Carbon Dioxide, % Oxygen, % Fuel Factor Dry Volumetric Flow Rate, dry scfm F-Factor, dscfm/MMBtu @ %O2 Moisture, % Analyzer Make Analyzer Model Analyzer Serial Number Operating Range Operating Units No. Readings/Avg. Calibration Set Calibration Pre Zero Cylinder ID Calibration Pre Zero Cylinder Instrument Response Calibration Pre Zero Cylinder Bias Calibration Pre Zero Cylinder Drift Calibration Pre High Cylinder ID Calibration Pre High Cylinder Instrument Response Calibration Pre High Cylinder Bias Calibration Pre High Cylinder Drift Calibration Post Zero Cylinder ID Calibration Post Zero Cylinder Instrument Response Calibration Post Zero Cylinder Bias Calibration Post Zero Cylinder Drift Calibration Post High Cylinder ID Calibration Post High Cylinder Instrument Response Calibration Post High Cylinder Bias Calibration Post High Cylinder Drift Cavg Cavg Units Cgas Cgas Units Fuel Type Fw Fc Cgasw Cgasw Units



### Monday, January 31, 2011 Page 12 of 14

### Location Stack Exit - Method 3A CO2 Average

Run Number Test Date Run Start Time Run Finish Time Carbon Dioxide, % Oxygen, % Fuel Factor Dry Volumetric Flow Rate, dry scfm F-Factor, dscfm/MMBtu @ %O2 Moisture, % Analyzer Make Analyzer Model Analyzer Serial Number Operating Range Operating Units No. Readings/Avg. Calibration Set Calibration Pre Zero Cylinder ID Calibration Pre Zero Cylinder Instrument Response Calibration Pre Zero Cylinder Bias Calibration Pre Zero Cylinder Drift Calibration Pre High Cylinder ID Calibration Pre High Cylinder Instrument Response Calibration Pre High Cylinder Bias Calibration Pre High Cylinder Drift Calibration Post Zero Cylinder ID Calibration Post Zero Cylinder Instrument Response Calibration Post Zero Cylinder Bias Calibration Post Zero Cylinder Drift Calibration Post High Cylinder ID Calibration Post High Cylinder Instrument Response Calibration Post High Cylinder Bias Calibration Post High Cylinder Drift Cavg Cavg Units Cgas Cgas Units Fuel Type Fw Fc Cgasw Cgasw Units



### Monday, January 31, 2011 Page 13 of 14

### Location Stack Exit - Method 3A O2 Average

Run Number Test Date Run Start Time Run Finish Time Carbon Dioxide, % Oxygen, % Fuel Factor Dry Volumetric Flow Rate, dry scfm F-Factor, dscfm/MMBtu @ %O2 Moisture, % Analyzer Make Analyzer Model Analyzer Serial Number Operating Range Operating Units No. Readings/Avg. Calibration Set Calibration Pre Zero Cylinder ID Calibration Pre Zero Cylinder Instrument Response Calibration Pre Zero Cylinder Bias Calibration Pre Zero Cylinder Drift Calibration Pre High Cylinder ID Calibration Pre High Cylinder Instrument Response Calibration Pre High Cylinder Bias Calibration Pre High Cylinder Drift Calibration Post Zero Cylinder ID Calibration Post Zero Cylinder Instrument Response Calibration Post Zero Cylinder Bias Calibration Post Zero Cylinder Drift Calibration Post High Cylinder ID Calibration Post High Cylinder Instrument Response Calibration Post High Cylinder Bias Calibration Post High Cylinder Drift Cavg Cavg Units Cgas Cgas Units Fuel Type Fw Fc Cgasw Cgasw Units



### Monday, January 31, 2011 Page 14 of 14