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Released September 15, 2016 | SUGAR LAND
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Researched by Industrial Info Resources (Sugar Land, Texas)--NRG Texas Power LLC, a subsidiary of NRG Energy Incorporated (NYSE:NRG) (Princeton, New Jersey), will switch from using Texas lignite to fire its boilers at the Limestone Power Plant in Jewett, Texas, to using low-sulfur coal from the Powder River Basin in Wyoming. NRG Texas Power (NRG) has provided notice that it will terminate the lignite supply agreement at the Jewett mine two years early on December 31, 2016.
The switch will result in the closure of the Jewett Lignite Mine, which is run by Westmoreland Coal Company (NASDAQ:WLB) (Englewood, Colorado), which was built next to the power plant in 1985. The Jewett mine is a surface strip mining operation with a capacity in excess of 4 million tons per year and operated four draglines.
Westmoreland Coal will commence multi-year mine closure and reclamation activities in early 2017.
NRG already uses some Powder River Basin coal at the Limestone plant and has used Powder River Basin coal for a long time at it WA Parish Power Station in Fort Bend County, Texas. Coal is railed in daily from Wyoming to the WA Parrish plant.
NRG's plan to use Powder River Basin coal continues a long-running trend of power-generating companies switching to Powder River Basin coal from other lower-quality coals. Coal from the Powder River Basin provides more than half of the coal used at coal-fired power plants nationwide.
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, five offices in North America and 10 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities. Follow IIR on: Facebook - Twitter - LinkedIn. For more information on our coverage, send inquiries to info@industrialinfo.com or visit us online at http://www.industrialinfo.com/.
The switch will result in the closure of the Jewett Lignite Mine, which is run by Westmoreland Coal Company (NASDAQ:WLB) (Englewood, Colorado), which was built next to the power plant in 1985. The Jewett mine is a surface strip mining operation with a capacity in excess of 4 million tons per year and operated four draglines.
Westmoreland Coal will commence multi-year mine closure and reclamation activities in early 2017.
NRG already uses some Powder River Basin coal at the Limestone plant and has used Powder River Basin coal for a long time at it WA Parish Power Station in Fort Bend County, Texas. Coal is railed in daily from Wyoming to the WA Parrish plant.
NRG's plan to use Powder River Basin coal continues a long-running trend of power-generating companies switching to Powder River Basin coal from other lower-quality coals. Coal from the Powder River Basin provides more than half of the coal used at coal-fired power plants nationwide.
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, five offices in North America and 10 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities. Follow IIR on: Facebook - Twitter - LinkedIn. For more information on our coverage, send inquiries to info@industrialinfo.com or visit us online at http://www.industrialinfo.com/.
