AUSTIN, Texas – International Power plc and South Texas Electric Cooperative (STEC) today announced their partnership and filed for a permit, with the Texas Commission on Environmental Quality, to build and operate a 650 MW second electric power generating unit at International Power's Coleto Creek plant in South Texas.

“We are proud to be a part of this partnership formed to add a second unit at Coleto Creek,” said STEC General Manager Michael Packard. “The $1.2 billion unit will provide needed affordable power for our members’ 170,000 customers throughout South Texas. The additional unit will also help us by increasing fuel diversity for the region. This is good for our members and will encourage growth in the economic region our members serve.”

The plant construction will create approximately 1,000 construction jobs with $220 million in salaries during the five year construction period and result in 72 new permanent direct and indirect jobs with salaries totaling $46 million during the next 10 years. During the same period, the project will generate $128 million in new property tax revenue, including $93 million for the Goliad Independent School District.

“We are excited about partnering with STEC to implement this important project,” said International Power plant manager Mike Fields. “STEC members supply power to customers throughout South Texas and this new plant will assure the continued competitiveness of the region.”

International Power will serve as the operator of the project and own 51 percent. STEC will own 49 percent of the project.

The proposed plant will incorporate state-of-the-art efficiency and emission controls to reduce emissions of sulfur dioxide (SO2), nitrogen oxides (NOx), mercury and ash. In addition, the use of advanced, boiler-design technology will deliver a reduction in carbon dioxide (CO2) emissions compared to existing plants. Provisions have also been included in the plant design to allow for installation of emerging carbon dioxide removal technologies.

"International Power supports efforts to reduce CO2 emissions,” said Fields. “The Company is conducting a CO2 sequestration pilot project at a site in Australia that we hope will provide valuable experience.”

The Coleto Creek station at Fannin in Goliad County was built in 1980 with the site designed for two generating units. Some of the key systems at the plant were built to support this second unit.

Shared support facilities include electric transmission infrastructure, site layout and infrastructure, cooling lake, water intake and discharge structures, and coal and ash handling. With these facilities already in place, the addition of a second unit at the existing site will minimize the environmental impact compared to building on an undeveloped site.

The expanded power plant also fulfills a long-standing commitment to the citizens of Goliad County and South Texas to build the second unit.

Visit the Coleto Creek 2 Site