GILLETTE - Wyoming has the power source, and California's got the demand.

Experts say if the forces aren't connected, California could suffer more blackouts, and Wyoming's electrical generating industry could remain static.

On Monday, Wyoming Gov. Dave Freudenthal joined governors from Utah, Nevada and California to announce a four-state partnership to create the "Frontier Line." It is an effort to connect Wyoming's vast electrical generation capacity from wind and coal to meet growing demand in California and other points west.

"It is our hope to be able to see more of the coal and natural gas in Wyoming converted into electrons to be transmitted. The importance of this is that it is a step on a regional basis to address a problem that is national in scope," Freudenthal said during a press conference on Monday.

Researchers say the Frontier Line could bring California an annual energy cost savings of up to $400 million compared to building new natural gas generation in that state.

In Wyoming, the Frontier Line would create a whole new electrical export industry. The state now has about 5,700 megawatts of coal-fired generation - most of which is exported. With the Frontier Line, the state could add up to 6,000 new megawatts from coal, wind and low-emissions coal generation, said Sadrul Ula, energy adviser to Freudenthal.

"The value-added potential of producing electricity here adds more jobs, and it provides more value. Shipping electricity is 10 times more valuable than what the coal mines get for their Btu (British thermal heating unit) production," Ula said.

The same ton of coal that might sell for $7 per ton at the mine mouth could generate $70 worth of electricity for export. If Wyoming were to add 6,000 megawatts of new generation, that would require about 25 million tons of coal per year.

Ula said 6,000 megawatts would also create about 1,500 permanent jobs in Wyoming.

"And those are good, high-paying jobs," Ula said.

The cost of the Frontier Line itself is estimated between $3.5 billion and $5 billion, according to a press release from Freudenthal's office. The expense of building the additional electrical generation capacity might range from $10 billion to $15 billion.

The states do not cover the cost. Rather, the states have been involved in research to determine that such a project is financially viable. Much of that research was done in the Rocky Mountain Area Transmission Study, which identified several "low-hanging fruit" transmission projects, referring to electrical grid upgrades that make financial sense to private companies.

The purpose of the four-state Frontier Line partnership is to put that information in the hands of investors who might actually invest in the project. The partnership also dedicates staff members from each state to the Frontier Line Task Force to provide technical assistance.

"Detailed feasibility and financial planning remains to be done, but this project is the result of nearly two years of dedicated planning by stakeholders in the West," Freudenthal said. "I appreciate those efforts, because this proposal could be a huge opportunity for the West to remove obstacles that prevent low-cost, diverse electricity sources from satisfying a growing customer demand."

Joining Freudenthal in signing a memorandum of agreement were California Gov. Arnold Schwarzenegger, Nevada Gov. Kenny Guinn and Utah Gov. Jon Huntsman Jr. The governors' announcement was made from San Diego at an energy conference sponsored by the Center for the New West. Freudenthal joined a conference call from a Shell Oil Co. drilling platform in the Gulf of Mexico.

Ula said the Frontier Line design would likely be built with several "on-ramps" and "off-ramps" between Wyoming and California, meaning Utah and Nevada would have opportunities to add their electricity to the line, or pull electricity from it.

Southern California could face tight power supplies this summer, and fast-growing cities throughout the Southwest will eventually have similar problems, officials said.

"There's a growing recognition in the West that what was once viewed exclusively as a California need is a Western problem," said Sen. Larry Craig, R-Idaho, a key player in the effort. "California is probably within a few years of being up against the wall on energy demand that will siphon capacity from the West."

Electricity consumption in the West has grown 60 percent over the past 20 years, but the region's transmission system has expanded only 20 percent. The Western Governors' Association last year set a goal of bringing on line 30,000 megawatts of clean energy by 2015.

The four states involved in the Frontier Line indicated they would consider the participation of other Western states in an expanded transmission project.

The Associated Press contributed to this report.

Energy reporter Dustin Bleizeffer can be reached at (307) 682-3388 or dzeffer@trib.com.