OVERLAND PARK, KS – August 21, 2017 – Tyr Energy, Inc. (Tyr), Kansai Electric Power Co., Inc. (Kansai) and Siemens Financial Services, Inc. (Siemens) announced today that they have started the construction of the Hickory Run Energy Center, LLC Power Plant (Hickory Run), a nominal 1,000 megawatt (MW) natural gas power plant located near North Beaver Township, Lawrence County, approximately 45 miles northwest of Pittsburgh, PA.
Hickory Run plans to meet its commercial operation date in April 2020, and when completed, it will provide efficient, clean and reliable power to the area. Kiewit Power Constructors Co. (Kiewit), which has extensive engineering, procurement and construction (EPC) experience for power projects in Pennsylvania, is the contractor for the project. Primary equipment includes two Siemens SGT6-8000H gas turbine generators, two heat recovery steam generators (HRSGs), and a Siemens steam turbine generator.
Tyr has been the 100% owner of the project and has led the development, including contractor selection, PJM auction participation, contract origination, fuel supply, permitting and financing. BNP Paribas Securities Corp. (BNPP), Bank of America Merrill Lynch (“BAML”) and Crédit Agricole Corporate and Investment Bank (CA-CIB), together with MUFG (Mitsubishi UFJ Financial Group), Development Bank of Japan, Sumitomo Mitsui Banking Corporation, ABN AMRO, National Australia Bank, and Shinhan Bank, acted as the coordinating lead arrangers.
During the construction phase the project will provide 500 full time equivalent jobs, and after its commercial operation, it will produce enough electricity for approximately one million households, by providing it to the PJM market, the largest power wholesale market in US. Tyr Energy, LLC will provide all asset management services upon commercial operations and NAES Corporation (NAES), a Tyr affiliate, will provide operations and maintenance (O&M) to the project, employing approximately 20 full time individuals locally.
Tyr represents the North American cornerstone of the ITOCHU Corporation global Independent Power Producer (IPP) strategy. Tyr currently holds interests in 15 operating projects with gross capacity of over 9,000 MW. Tyr provides M&A, development, finance arrangement, asset management, and construction management to IPP’s in which it holds an investment interest. Its affiliate NAES also provides operations and maintenance (O&M) services throughout the industry. More information about Tyr is available at http://www.tyrenergy.com/.