ECK contracts Kladno expansion

ECK Generating has completed pivotal contracts in the 365 MW electric cogeneration project in Kladno, Czech Republic. ECK, a consortium which includes NRG Energy Inc., Nations Energy Corp., Independent Power CZ and Stredoceska Energeticka, is conducting an environmental upgrade of existing electric generation assets of Energy Center Kladno, and adding two coal-fired circulating fluidized bed boilers and a gas-fired combustion turbine. Electrical output from the project will be sold principally to STE, the local electric utility, and to industrial customers. Thermal energy in the form of hot water will be sold to the city for district heating. Project milestones include a 20-year power sales agreement and a 20-year coal supply contract. Total debt financing for the project is (US)$350 million. Construction of the new facility is expected to begin in early 1997, with power deliveries to the grid planned for January 1999.