Natural Gas Leads Texas, Louisiana Gulf Coast Power Projects
In the eight market regions that comprise the Texas and Louisiana Gulf Coast region, Industrial Info is tracking $18.8 billion of active Power Industry projects. The projects vary in scope, ranging from a proposed $1.3 billion offshore windfarm down to basic maintenance projects at existing plants.
In its upcoming Market Outlook in Baton Rouge, Louisiana, which will be held Wednesday, November 16, Industrial Info's industry experts will be presenting about the Power Industry, Petroleum Refining, Oil & Gas, and Petrochemicals. Space is limited for this event, so make sure to RSVP today!
One of the largest projects in the region is NRG Energy Incorporated's (NSYE:NRG) (Princeton, New Jersey) $1 billion carbon capture project at the company's W.A. Parish Power Plant in Thompsons, Texas. Construction on the project began in the summer of 2014 and is expected to wrap up this quarter. Captured carbon dioxide will be transported via an 83-mile pipeline to be used in an enhanced oil recovery project.
As with other parts of the country, natural gas-fired projects are being constructed in a big way in the region, accounting for $11.4 billion in active capital projects. Included in this is the $1 billion, 980-megawatt (MW) combined-cycle addition in Montz, Louisiana, by Entergy Corporation (NYSE:ETR) (New Orleans, Louisiana). Construction kicked off earlier this year and is expected to take about three years to complete. Twenty-three other natural gas capital projects are also being tracked by Industrial Info in the region.
"While not all these projects will be built," said Britt Burt, Industrial Info's vice president of research for the Global Power Industry, this amount of activity is indicative of what we're seeing in other parts of the country as cheap shale gas fuels a boom in the natural gas-fired generation sector."
Industrial Info also is tracking 70 renewable energy projects valued at $5.75 billion in the Texas and Louisiana Gulf Coast region. One of the largest of these projects is Duke Energy Corporation's (NYSE:DUK) (Charlotte, North Carolina) $740 million, 200-MW Los Vientos Rio Bravo Windfarm in Lyford, Texas. The project will use 100 2-MW Vestas turbine-generators. Construction began in early 2015 and is expected to be wrapped up in the first quarter of 2017.
For more information and updates, please subscribe to the Industrial Info blog.