Nuclear

Constellation to acquire stake in Texas nuclear plant

After the transaction, Constellation will be one of three plant owners, joining Texas municipal utilities Austin Energy and CPS Energy.
Constellation to acquire stake in Texas nuclear plant

Constellation announced it is acquiring NRG Energy’s 44% ownership stake in the South Texas Project Electric Generating Station, a dual-unit 2,645 MW nuclear plant located about 90 miles southwest of Houston.

The transaction will be financed with a combination of cash and debt and is valued at $1.75 billion, with an effective purchase price of $1.4 billion after taking into consideration the present value of tax benefits to Constellation.

After the transaction, Constellation will be one of three plant owners, joining municipal utilities Austin Energy and CPS Energy (serving San Antonio). The South Texas Project Nuclear Operating Company (STPNOC) will continue to operate the plant. The transaction is expected to be finalized by the end of 2023.

“With the potential to run for at least 46 more years with the right policy support, we look forward to working with the South Texas Project’s other owners to continue bringing clean, reliable electricity to this growing region for decades to come,” said Joe Dominguez, president and CEO of Constellation.

Constellation already operates the largest fleet of nuclear plants in the United States. The company has ownership interests in 13 generating stations, with 23 nuclear units capable of producing approximately 21,000 MW of electricity, enough energy to power approximately 15 million homes.

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