The Wyoming Energy Authority (WEA) announced today that Governor Gordon has approved three separate projects to receive Energy Matching Funds (EMF). Peabody Energy Corporation was awarded $6,250,000 for its Wyoming Rare Earths project. The University of Wyoming School of Energy Resources was awarded $989,282 for its Advanced Characterization and Development of the Mowry Total Petroleum System project. Carbon GeoCapture and Black Hills Energy were awarded $4,950,000 for their Innovative Dispatchable Power from Wyoming’s Coal and Natural Gas Fired Power Plants. 

 

Since 2022, the Wyoming State Legislature has appropriated $155 million in funds to the Office of the Governor to leverage Wyoming-based energy projects receiving federal or private funding. The Governor delegated the management of the Energy Matching Funds (EMF) to the Wyoming Energy Authority (WEA). The projects must meet the criteria set forth by the legislature to be eligible for funding: research, demonstration, pilot, or commercial deployment projects related to Wyoming’s energy needs.

 

“Wyoming continues to lead the way in energy innovation by investing in the very resources that have long powered our nation,” Governor Gordon said. “By leveraging these matching funds, we are not just supporting local industry; we are ensuring Wyoming’s energy legacy remains competitive, resilient, and unmatched for decades to come.”

 

“We are advancing energy dominance the Wyoming way by strengthening coal, oil, natural gas, nuclear fuel, and critical minerals through innovation, private sector partnership, and investment,” said Wyoming Energy Authority Executive Director Rob Creager. “These projects enhance national security, secure domestic supply chains, and reinforce President Trump’s call to restore American energy leadership. By investing in research, commercialization, and next-generation technologies here at home, Wyoming is ensuring we remain the backbone of reliable, American-made energy for decades to come.”

 

Peabody Energy’s Wyoming Rare Earths project would establish a pilot facility in the Powder River Basin to produce market-ready rare-earth concentrate from unconventional deposits, creating a new domestic source of critical minerals. The project expects to generate construction and operations jobs, strengthen Campbell County’s economy, and position Wyoming as a leader in value-added mineral processing. By leveraging existing mine infrastructure and partnering with the University of Wyoming, the project advances economic diversification, national security, and responsible resource development while laying the groundwork for a new future commercial-scale industry in the state.

 

“Peabody looks forward to the opportunity to partner with the State of Wyoming, national laboratories, corporate supply chain entities, and government agencies to test further, analyze and begin processing deposits of rare earths and critical minerals from our existing operations,” said Peabody President and Chief Executive Officer Jim Grech. “Given our leadership position in the PRB, this project could present a compelling opportunity to access major deposits of rare earth elements and critical minerals. The pilot plant could go a long way to demonstrating lasting benefits for the State of Wyoming and the United States, and we are grateful for the vision of the Wyoming Energy Authority.” 

 

The University of Wyoming School of Energy Resources’ Advanced Characterization and Development of the Mowry Total Petroleum System project brings together the University of Wyoming School of Energy Resources and Continental Resources to better understand and unlock the potential of the Mowry Shale in the Powder River Basin. This effort will use new field data, laboratory testing, and digital modeling to reduce drilling risk, improve development decisions, and attract long-term investment in one of Wyoming’s most significant oil and gas resources. This project will strengthen domestic energy production, support severance tax revenue, and create hands-on education and workforce opportunities.

 

“This project is about better understanding the Mowry Shale so operators can make smarter, lower-risk decisions in the Powder River Basin,” says Scott Quillinan, Acting Executive Director, University of Wyoming School of Energy Resources. “We’re combining new field data, lab work, and modeling with an industry partner to improve how Wyoming’s oil and gas resources are developed, to support long-term investment and state revenue, and to give students practical, hands-on experience.”

 

Carbon GeoCapture, Black Hills Energy, and Black & Veatch are partnering to demonstrate how Wyoming coal- and natural gas-fired power plants can deliver low-cost, dispatchable energy by using unminable coal seams to store carbon dioxide from flue gases naturally. The project will establish a test bed at the Neil Simpson Complex to support full-scale deployment, unlock significant carbon storage capacity, and potentially access stranded natural gas resources within Wyoming coal seams. With private investment already committed, the effort positions Wyoming to lead in practical carbon innovation, protect existing power generation, and meet growing energy demand from data centers, industry, and communities.

 

“Carbon GeoCapture appreciates Governor Gordon, the Wyoming Energy Authority, and the review committee for their support of this project. We also thank the Wyoming Legislature for establishing programs to foster innovation in Wyoming’s energy economy. We are proud to partner with Black Hills Energy on a commercial project that supports reliable baseload power, protects and sustains Wyoming energy jobs, and advances responsible emissions management. Together, we are strengthening the long-term stability and competitiveness of Wyoming’s energy future.”

 

“At Black Hills Energy, we are committed to growing Wyoming’s economy by providing the safe, reliable energy that businesses, homes and communities need,” said Wes Ashton, vice president of South Dakota & Wyoming utilities. Our partnership with Carbon GeoCapture and the Wyoming Energy Authority reflects our commitment for responsibly using our resources to advance innovative energy solutions that strengthen the state’s mineral resiliency and support the environment.”

 

The EMF project review process includes an initial concept paper, followed by an invitation to submit a formal proposal. The project proposal then goes to a Review Committee – comprised of the Executive Director of the WEA, a designee from the Governor’s Office, the Director of the Department of Workforce Services, the Wyoming State Geologist, and the CEO of the Wyoming Business Council. If projects are recommended for approval, a 10-day public comment period opens. All comments are reviewed and considered in the final decision to award EMF. The project proposal goes to the Attorney General’s office and then the Governor for final approval. This public process ensures that each project awarded has been thoroughly considered by multiple parties, including an invitation to members of the public to weigh in on projects.

 

The Energy Matching Funds continuously accepts concept papers but follows a periodic review process. For more information and to learn more about these three projects, please visit https://wyoenergy.org/energy-matching-funds.