AEP to rebuild over 900 miles of transmission infrastructure in Ohio, Oklahoma, to improve electric grid; project valued at US$300M, to be completed in 2014
November 15, 2011
– Quanta Services, Inc. (NYSE: PWR - News) today announced that it has been selected by American Electric Power (NYSE: AEP - News) to provide transmission infrastructure services for two AEP Transmission Company subsidiaries. Under agreements with AEP Ohio Transmission Company and AEP Oklahoma Transmission Company, Quanta will rebuild or replace existing transmission infrastructure including, but not limited to, structures, conductor and shield wire. The infrastructure services provided by Quanta will be performed on over 900 miles of existing transmission lines for an estimated aggregate value of more than $300 million . Work has begun and should be completed in 2014. The final terms and conditions of the agreements are expected to be finalized shortly.
"AEP's initiatives to improve their transmission infrastructure are part of a nationwide trend by utilities to improve the U.S. electric grid, and Quanta is proud to have been selected to play an important role in this effort," said Jim O'Neil, president and chief executive officer of Quanta Services. "These projects build on the long-term relationship that Quanta has with AEP, and we appreciate their confidence in our ability to complete these important projects on time and on budget."
About American Electric Power
American Electric Power is one of the largest electric utilities in the United States , delivering electricity to more than 5 million customers in 11 states. AEP ranks among the nation's largest generators of electricity, owning nearly 38,000 megawatts of generating capacity in the U.S. AEP also owns the nation's largest electricity transmission system, a nearly 39,000-mile network that includes more 765-kilovolt extra-high voltage transmission lines than all other U.S. transmission systems combined. AEP's transmission system directly or indirectly serves about 10 percent of the electricity demand in the Eastern Interconnection, the interconnected transmission system that covers 38 eastern and central U.S. states and eastern Canada , and approximately 11 percent of the electricity demand in ERCOT, the transmission system that covers much of Texas . AEP's utility units operate as 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 and east Texas ). AEP's headquarters are in Columbus, Ohio.
About Quanta Services
Quanta Services is a leading specialized contracting services company, delivering infrastructure solutions for the electric power, natural gas and pipeline and telecommunication industries. The company's comprehensive services include designing, installing, repairing and maintaining network infrastructure nationwide. Additionally, Quanta licenses point-to-point fiber optic telecommunications infrastructure in select markets and offers related design, procurement, construction and maintenance services. With operations throughout North America and in select international markets, Quanta has the manpower, resources and expertise to complete projects that are local, regional, national or international in scope.