Cardinal Operating Company Seeks Bids for Coal
Cardinal Operating Company (COC), on behalf of AEP Generation Resources, is inviting bids for coal supply to Cardinal Power Plant Units 1, 2, and 3. The bid period includes spot coal for delivery starting Q4 2021 and term coal starting Q1 2022, lasting up to three years. Proposals must be submitted by 5 p.m. on June 7, 2021, and will remain open until July 16, 2021. AEP is a major electricity producer in the U.S. with a capacity of approximately 30,000 megawatts, including over 5,500 megawatts in renewable energy.
- AEP Generation Resources expanding coal supply through bidding, enhancing operational capabilities.
- Potential for long-term coal supply contracts which may stabilize costs.
- Dependency on coal supply may expose AEP to market volatility.
- Environmental concerns regarding coal usage could impact future regulations and operational costs.
COLUMBUS, Ohio, May 24, 2021 /PRNewswire/ -- Cardinal Operating Company (COC) on behalf of AEP Generation Resources Inc. (AEPGR), an unregulated wholly owned subsidiary of AEP Energy Supply, LLC, is seeking bids for the supply of coal to Cardinal Power Plant Units 1, 2, and 3. AEP Energy Supply, LLC, which owns Cardinal Unit 1, is a wholly owned subsidiary of American Electric Power (Nasdaq: AEP), and Buckeye Power, Inc. (BPI), which owns Cardinal Units 2 and 3, is a corporation not for profit organized and existing under the laws of the state of Ohio and engaged in the generation and transmission of electric energy in Ohio for distribution and use by its membership.
Proposals for spot coal are sought for delivery beginning Q4 2021 and lasting up to three months. Proposals for term coal are sought for delivery beginning Q1 2022 and lasting up to three years. AEPGR and/or BPI may choose to individually transact on a specific year, or years, contained within a term proposal. Delivery via FOB Barge and/or FOB Truck Cardinal Plant.
Proposal packages must be received no later than 5 p.m., Monday, June 7, 2021. Proposals can be submitted by e-mail to jdhenry@aepes.com, or delivered in an envelope marked "COC RFP- COAL PROPOSAL" to COC RFP- COAL PROPOSAL, Attn: Jim Henry, AEP Energy Supply, 1187 Sleeping Meadow Drive, New Albany, OH, 43054. Proposals are to be kept open for acceptance by AEPGR and/or BPI until 5 p.m., Friday, July 16, 2021.
Complete details about the Requests for Proposals are available at www.aep.com/go/coaloffers.
American Electric Power, based in Columbus, Ohio, is focused on building a smarter energy infrastructure and delivering new technologies and custom energy solutions to our customers. AEP's approximately 16,800 employees operate and maintain the nation's largest electricity transmission system and more than 223,000 miles of distribution lines to efficiently deliver safe, reliable power to nearly 5.5 million regulated customers in 11 states. AEP also is one of the nation's largest electricity producers with approximately 30,000 megawatts of diverse generating capacity, including more than 5,500 megawatts of renewable energy. AEP's family of companies includes utilities AEP Ohio, AEP Texas, Appalachian Power (in Virginia and West Virginia), AEP Appalachian Power (in Tennessee), Indiana Michigan Power, Kentucky Power, Public Service Company of Oklahoma, and Southwestern Electric Power Company (in Arkansas, Louisiana, east Texas and the Texas Panhandle). AEP also owns AEP Energy, AEP Energy Partners, AEP OnSite Partners, and AEP Renewables, which provide innovative competitive energy solutions nationwide. For more information, visit aep.com.
View original content to download multimedia:http://www.prnewswire.com/news-releases/cardinal-operating-company-seeks-bids-for-coal-301297790.html
SOURCE American Electric Power
FAQ
What is AEP seeking bids for?
What is the deadline for submitting coal proposals to AEP?
When will the coal deliveries begin for AEP's Cardinal Power Plant?
How long are the coal supply contracts AEP is offering?
What is the significance of this coal procurement for AEP?
