The investment project, worth some PLN 1.6bn, is being financed by the partners' own resources and with funding from the European Investment Bank (EIB) and the European Bank for Reconstruction and Development (EBRD). Another institution to have acceded to the project's financing is Bank Pekao SA, which has taken over 50% of the facility amount from the EBRD.

The total facility amount is PLN 1.13bn, of which the EIB will advance PLN 566m, and the EBRD and Pekao SA PLN 283m each.

On April 25th 2013, the first tranche of the facility, in the amount of PLN 56m, was disbursed to Elektrociepłownia Stalowa Wola, the plant's operator. Disbursement of the next tranche of PLN 250m is due in the third quarter of 2013.

The new Stalowa Wola plant will be fitted with an advanced CCGT unit with a capacity of 450 MW_e. Operating in high-efficiency co-generation, the unit will produce not only electricity, but also heat in the form of hot water for municipal needs and process steam for local industry. The unit is scheduled to be placed in service in 2015, and is being funded through the project finance model. It will be operated by an SPV, Elektrociepłownia Stalowa Wola, in which PGNiG and TAURON Polska Energia each hold a 50% interest.

It is estimated that the Stalowa Wola unit will generate approximately 3,500 GWh of electricity per year, while burning 600 million cubic metres of gas . The investment is a turn-key project involving construction of the 450 MW_e CCGT unit with a heating unit, complete with infrastructure and all the required auxiliary equipment and connections.

The General Contractor has already signed contracts for the delivery of key components, including a gas turbine, steam turbine and capacitor, as well as a recovery boiler.

Moreover, the first stage of work - construction of a weir on the San river - has been completed, as has electrical work on the incoming power supply to the project site and reinforcement of the ground on which the steam turbine building is to be erected. Test wells have also been drilled in preparation for de-watering the site.

The General Contractor has also prepared an engineering design for the foundations of the main buildings, work on which is now underway. Concurrently, work is ongoing to connect the site to the gas and power grids, via construction of a 220 kV substation by Polskie Sieci Elektroenergetyczne and a gas metering station by Gaz-System. Work is proceeding according to schedule.

Press Team

PGNiG SA