El Paso Electric begins construction on two more 88-MW turbines in Texas

El Paso Electric (NYSE:EE) said in its May 6 quarterly earnings release that construction has started on the second set of 88-MW units at its new Montana Power Station in Texas.

“We had a productive first quarter as seen in our financial results, the increase in the number of customers served, and the completion and commercial operation of the first two generating units at the Montana Power Station,” said Tom Shockley, Chief Executive Officer. “We have begun construction on Units 3 and 4 at the Montana Power Station and these units are scheduled to be completed in 2016. Montana Power Station will serve our customers with dependable, cost-effective technologies that will help foster the region’s overall growth and modernization. We now begin the process of requesting rate recovery for the significant construction costs we have incurred.”

On March 19 and 20 of this year, the company placed into commercial operation the first two units at the Montana Power Station and the related common facilities and transmission systems at a cost of approximately $222.7 million. The two 88-MW simple cycle aero-derivative combustion turbines are fueled by natural gas and have quick start capabilities which allow the units to go from off-line to full output in less than 10 minutes, thus increasing overall power grid stability, and work in concert with highly variable renewable energy sources.

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.