NRG Energy Wins Multiple Contracts with Southern California Edison
Nov 5 14
NRG Energy has been awarded multiple contracts with Southern California Edison to repower the company's Mandalay facility in Oxnard with 262 megawatts (MW) of newer, more flexible and efficient natural gas generation under a 20-year PPA with SCE, install 178 MW of ‘Preferred Resources’ that include both demand response and energy efficiency products to be deployed under long-term contracts at sites across Southern California, develop a two megawatt-hour battery storage system. The repowering of Mandalay is designed to ensure continued reliability and to help integrate renewable into the grid and will also involve the removal the two large steam units at the site, enhancing the coastal view shed. The repowered Mandalay units are expected to come online in 2020. The Mandalay repowering project complements NRG's 600 MW Carlsbad Energy Center, in which NRG will remove the five steam units at its existing site in Carlsbad, California and replace them with smaller, flexible, fast start peaking units. The Carlsbad Energy Center is expected to help integrate renewable into the grid, eliminate once-through cooling, and result in a significantly reduced environmental and visual profile. The Carlsbad Energy Center is expected to come online in late 2017, and is awaiting CPUC approval of a 20 year PPA with SDG&E.
Construction Begins on New NRG Natural Gas Peaking Plant Near Houston
Nov 5 14
NRG Energy, Inc. announced that construction has begun on an approximately 360 megawatt, natural gas-fired peaking plant at a site near Bacliff, Texas, southeast of Houston. When completed, the units will produce enough electricity to power an additional 72,000 Texas homes when needed most during times of peak demand. The new facility will be located on a 230-acre site which was once part of the former PH Robinson power plant. It will use natural gas to power six GE 7E, economical, fast-start combustion turbines. The units require no water for cooling making them well-suited to operate in water-constrained Texas. With their fast-start capability, the peaking units have the potential to help integrate renewable power from intermittent wind and solar generation into the ERCOT grid. The air permitting process began in 2013 and was granted by the Texas Commission on Environmental Quality in August 2014. The project will benefit from a number of unique advantages which allow NRG to construct the project at a cost of approximately $400 per kilowatt, a significant discount to typical new build costs. Specifically, the gas turbines will be relocated from a site in New Albany, Mississippi to the Houston area at a location NRG already owns and is immediately adjacent to the switchyard where they expect to connect to the transmission grid.
NRG Energy, Inc. Announces Consolidated Unaudited Earnings Results for the Third Quarter and Nine Months Ended September 30, 2014; Reports Impairment Losses for the Third Quarter of 2014; Revised Earnings Guidance for the Year 2014; Provides Earnings Guidance for the Year 2015
Nov 5 14
NRG Energy, Inc. announced consolidated unaudited earnings results for the third quarter and nine months ended September 30, 2014. For the quarter, the company reported total operating revenues of $4,569 million against $3,490 million a year ago. Operating income was $549 million against $527 million a year ago. Income before income taxes was $271 million against $298 million a year ago. Net income was $143 million against $8 million a year ago. Net income attributable company was $168 million against $119 million a year ago. Earnings per diluted share were $0.48 against $0.36 a year ago. EBITDA was $951 million against $883 million a year ago. Adjusted EBITDA was $1,014 million against $1,000 million a year ago. Net cash provided by operating activities was $744 million against $901 million a year ago. Adjusted cash flow from operating activities was $662 million against $844 million a year ago.
For the nine months, the company reported total operating revenues of $11,676 million against $8,500 million a year ago. Operating income was $818 million against $548 million a year ago. Loss before income taxes was $33 million against $117 million a year ago. Net income attributable company was $15 million against net loss attributable company of $89 million a year ago. Earnings per diluted share were $0.02 against loss per diluted share of $0.30 a year ago. Net cash provided by operating activities was $1,114 million against $823 million a year ago. CapEx was $675 million compared to $1,581 million a year ago. EBITDA was $1,969 million against $1,568 million a year ago. Adjusted EBITDA was $2,501 million against $1,967 million a year ago. Adjusted cash flow from operating activities was $1,226 million against $1,175 million a year ago.
For the quarter, the company reported impairment losses of $70 million.
The company is reducing its guidance range for fiscal year. Adjusted EBITDA is expected to be $3,100 –$3,200 million compared to $3,200 – $3,400 million of prior guidance. Adjusted cash flow from operations is expected to be $2,029 – $2,229 million compared to $1,731– $1,831 million of prior guidance. Maintenance capital expenditures, net operations is expected to be $375 – $395 million compared to $375 – $395 million of prior guidance. Environmental capital expenditures, net operations is expected to be $340 – $360 million compared to $290 – $310 million of prior guidance. NRG’s 2014 Adjusted EBITDA guidance also includes a projected negative $50 million contribution from NRG Home Solar business.
For the year 2015, the company expects adjusted EBITDA of $3,200 million -$3,400 million, adjusted cash flow from operations of $2,250 million to $2,405 million, maintenance capital expenditures net of $300 million to $320 million.