Vistra Corp. (NYSE: VST) will add two new natural gas units at its Permian Basin Power Plant in West Texas, expanding the facility’s capacity from 325 megawatts to 1,185 megawatts. The decision comes as electricity use grows across the state, particularly in energy-intensive industries tied to oil and gas.
The company stated that the project is part of its long-term plan to strengthen the Electric Reliability Council of Texas (ERCOT) grid. Vistra aims to deliver more than 2,000 megawatts of new capacity between 2024 and 2028 to keep pace with demand.
Since 2020, Vistra has added about 1,000 megawatts of new capacity through upgrades and new projects. In 2024, the company outlined options to increase ERCOT’s generation by as much as 2,000 megawatts by 2028, enough power for roughly one million households.
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Texas Gov. Greg Abbott welcomed the expansion, calling it an investment that will stabilize the grid, create jobs, and strengthen the state’s economy.
Vistra has finished more than 400 megawatts of upgrades across its Texas gas plants. It is also nearing completion of the 200-megawatt Oak Hill solar facility and is on track to repower the retiring Coleto Creek coal site with natural gas, restoring 630 megawatts of capacity. Together, these efforts will diversify supply while keeping dispatchable power available.
The company expects to invest nearly $2 billion in Texas projects since 2020, adding a total of about 3,100 megawatts of new capacity. Executives say the expansion underscores Vistra’s role in delivering reliable and affordable energy across the nation.
Monahans Mayor Adam Steen said the Permian Basin plant has been part of the region for decades and that the expansion ensures the community remains central to the state’s energy solutions.
Price Action: VST shares are trading lower by 2.06% to $202.95 at last check Monday.
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