American Electric Power seeks coal bids for unnamed plants

American Electric Power Service Corp. (AEPSC), acting as agent for the AEP System Companies, went out on Oct. 9 for proposals for the supply of low-sulfur coal to one or more generating stations.

AEPSC is seeking proposals for:

  • Up to 500,000 tons of coal, FOB Barge, beginning in January 2014 and ending in December 2014 (meeting Nymex Specification A, which includes specs of 12,000 Btu/lb and 1.6 lbs/mmBtu of SO2);
  • Up to 1 million tons of coal, FOB Barge or Rail, beginning in January 2015 and ending in December 2015 (Nymex Specification A or CSX Rail Specification B, with the CSX specs including 12,500 Btu/lb and 1.6 lbs of SO2 per MMBtu);
  • Up to 180,000 tons of coal, FOB Barge, beginning in January 2014 and ending in December 2015 (Compliance Specification C, which includes 12,000 Btu/lb and 1.2 lbs/mmBtu of SO2).

Alternately, AEPSC is entertaining offers for a total of 1 million tons of Specification “A” beginning in January 2014 and ending in December 2015 (500,000 tons per year) with a fixed (blended) price for the two years.

AEP said it is open to alternative pricing structures or other innovative, value-added concepts. Proposals with alternative terms will be accepted. Accepted bids will be at AEP’s discretion. Proposal packages must be received by AEP by the end of Oct. 18.

Proposals can be submitted by e-mail to coalrfp@aep.com, by fax to (614) 583-1619 (Attn: Chuck West), or by mail to Chuck West, Manager, Fuel Procurement-Coal, American Electric Power Service Corp., 155 W. Nationwide Blvd., Suite 500, Columbus, Ohio 43215.

About Barry Cassell 20414 Articles
Barry Cassell is Chief Analyst for GenerationHub covering coal and emission controls issues, projects and policy. He has covered the coal and power generation industry for more than 24 years, beginning in November 2011 at GenerationHub and prior to that as editor of SNL Energy’s Coal Report. He was formerly with Coal Outlook for 15 years as the publication’s editor and contributing writer, and prior to that he was editor of Coal & Synfuels Technology and associate editor of The Energy Report. He has a bachelor’s degree from Central Michigan University.