# Governor Abbott Announces Texas Energy Fund Loan For 452 MW West Texas Natural Gas Power Plant

Date: 7 Oct 2026
Released by: Office of Governor Greg Abbott

## MediaRelease.co Summary

Texas Governor Greg Abbott announced the ninth Texas Energy Fund loan, for a natural gas plant of more than 450 megawatts in Reeves County being developed by Pecos Power Plant LLC with co-sponsors Mercuria and Continental Resources. The plant, enough to power about 110,000 homes, is set to begin supplying the ERCOT region in 2027. The eight projects previously approved under the In-ERCOT Generation Loan Program total 4,994 MW.

## Original release

Governor Greg Abbott today announced the ninth Texas Energy Fund (TxEF) loan for more than 450 megawatts (MW) of new, reliable power in Reeves County, enough electricity to power approximately 110,000 Texas homes. Pecos Power Plant LLC is developing the project, which will add new natural gas generation to the West Texas power grid. “Texas is the energy capital of the world because we build the power our economy needs,” said Governor Abbott. “This Texas Energy Fund loan adds more than 450 megawatts of new, reliable natural gas generation in West Texas and fortifies the grid for Texas homes and businesses.” The project is set to begin generating power for the Electric Reliability Council of Texas (ERCOT) power region in 2027. “This project brings significant investment and more dispatchable power to West Texas, while benefitting all Texans by strengthening grid reliability,” said PUCT Chairman Thomas Gleeson. “With quick start capabilities to meet fluctuating demand and a design suited for West Texas winters, this facility will add a dependable source of power for Texas families and businesses.” The loan agreement between the PUCT and Pecos Power Plant LLC, with co-sponsors Mercuria and Continental Resources, is the ninth finalized under the TxEF’s In-ERCOT Generation Loan Program, which provides low-interest loans for projects that add new, reliable power to the ERCOT region. The eight projects already approved through the TxEF In-ERCOT Generation Loan Program represent 4,994 MW of new, reliable power for the grid. Additional information about the TxEF and the In-ERCOT Generation Loan Program is available on the PUCT website.

## Key details

- Issued by: Office of Governor Greg Abbott
- Published: 7 Oct 2026
- Publisher country: United States
- Subject country/region: Texas (United States)
- Original source: https://gov.texas.gov/news/post/governor-abbott-announces-texas-energy-fund-loan-for-452-mw-west-texas-natural-gas-power-plant
- MediaRelease.co URL: https://mediarelease.co/us/mr01497-governor-abbott-announces-texas-energy-fund-loan-for-452-mw-07102026.html

Original source: https://gov.texas.gov/news/post/governor-abbott-announces-texas-energy-fund-loan-for-452-mw-west-texas-natural-gas-power-plant
MediaRelease.co canonical URL: https://mediarelease.co/us/mr01497-governor-abbott-announces-texas-energy-fund-loan-for-452-mw-07102026.html