NRG and Partners Assemble Team for $5.2 Billion South Texas Nuclear Power Plant Expansion

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Researched by Industrial Info Resources (Sugar Land, Texas) -- NRG Energy (Princeton, New Jersey), 44% owner with municipal utility partners, CPS Energy (San Antonio, Texas), 40% owner and Austin Energy (Austin, Texas), 16% owner, continue to assemble a team for the 2,700-megawatt (MW) South Texas Nuclear Generating Electric Station (STP) expansion. STP is located near Wadsworth in Matagorda County, Texas.

The group is continuing to put together a team that will prepare a Combined License Application (COL) for submission to the Nuclear Regulatory Commission (NRC), to double the station’s output by adding two 1,350-megawatt (MW) nuclear units on time (2015 and 2016) and on budget ($5.2 billion). The STP Nuclear Station currently has two nuclear units that produce a total of approximately 2,700 MW and is operated by the South Texas Nuclear Operating Company.

NRG Energy officially announced plans for the expansion in 2006. In addition to the three owners and the operating company, there have now been five major team members announced bringing the team to a total of nine participants. The reactor technology being investigated is still General Electric Nuclear Energy Project’s (Wilmington, North Carolina) Advanced Boiling Water Reactor (ABWR). Toshiba America Incorporated (New York, New York) a division of Toshiba Corporation (TOSBF.PK) (Tokyo, Japan) will assist in the engineering, procurement and construction, as they are one of the more experienced companies in developing and building the ABWR’s in Japan. Toshiba has selected Fluor Corporation’s (NYSE:FLR) (Irving, Texas) power group (Greenville, South Carolina) to assist in the engineering, procurement and construction of the reactors. Tokyo Electric Power Company (TEPCO), (Tokyo Japan) will be providing consulting services as they have worked with this type of reactor previously and are familiar with its operational parameters. Sargent and Lundy (Chicago, Illinois), an engineering firm that has been working on nuclear power reactors for almost 50 years, is also included in the team of players preparing the COL for submittal to the NRC.

NRG continues to assemble a team that will complete the addition of STP Units 03 and 04 on time and on budget. The two 1,350 MW unit additions at the South Texas Nuclear Generating Stations are currently being targeted to receive their COL’s and commence construction in late 2010. The current schedule calls for Unit 03 to be operational in 2015 and Unit 04 completed in 2016.

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