Southern Montana Electric may have found an out-of-state buyer for power from the planned coal-fired Highwood Generating Station near Great Falls.

At last week's city commission work session, S.M.E. General Manager Tim Gregori said the co-op had been actively seeking a replacement for Yellowstone Valley Electric Cooperative, who left the project in April.

A spokeswoman for the Grant County Public Utility district in Washington confirmed they have been talking with S.M.E. about purchasing power from Highwood.

"The Highwood Generating Station is one of a number of resources that Grant P.U.D. commissioners are looking at for future power sources," said Public Information Officer Dorothy Harris.

Southern Montana Electric General Manager Tim Gregori was unavailable for comment on the negotiations.