Vistra Moves Forward with New Gas-Fueled Power Expansion in Texas’ Permian Basin

Vistra Corp. (NYSE: VST) has announced a significant step in its long-term strategy to bolster grid reliability in Texas. Building on a 2024 assessment that identified over $1 billion in potential generation capacity investments by 2028—contingent on market conditions—Vistra has now made a final investment decision to construct two advanced natural gas power units at its Permian Basin Power Plant. Combined, these units will deliver 860 megawatts (MW), more than tripling the site’s existing capacity from 325 MW to 1,185 MW. This expansion is aimed at supporting West Texas’ growing energy demands, driven in part by the state’s expanding oil and natural gas sectors.

“As Texas’ leading competitive power generator, Vistra is committed to meeting the energy requirements of all customers, from households to industrial users,” said Jim Burke, president and CEO. “Energy is critical to economic growth, and Texas is poised to play a leading role. Based on our ongoing engagement with customers, we are advancing our multi-year plan to add over 2,000 MW of new capacity within ERCOT between 2024 and 2028. Leveraging our fleet, grid interconnections, and experience in developing, upgrading, and operating power plants, we are uniquely positioned to deliver reliable and cost-effective power across Texas and the United States, supporting economic competitiveness and national security.”

Strengthening Texas’ Energy Grid

From 2020 to 2023, Vistra increased Texas’ generation capacity by roughly 1,000 MW, enhancing its gas-fired fleet and bringing new projects such as Brightside, Emerald Grove, and DeCordova online. In 2024, the company unveiled additional initiatives capable of adding up to 2,000 MW to the grid by 2028—sufficient electricity to supply about 1 million homes.

Texas Governor Greg Abbott commented, “Vistra’s investment in the Permian Basin strengthens our electric grid, generates jobs, and drives regional economic growth. Together, we ensure Texans have reliable power while supporting businesses and families.”

Progress on Other Key Projects

Vistra continues to advance multiple initiatives across the state:

• Completed Gas Plant Upgrades: Over the past year, upgrades and technology investments have added more than 400 MW across existing Texas gas plants, with a total projected increase of 500 MW once ongoing projects are finished.
• New Solar Development: Construction of the 200-MW Oak Hill solar facility, located on a reclaimed lignite mine, is nearly complete, with commercial operations expected in Q4 2025.
• Coal Plant Repowering: The Coleto Creek Power Plant, initially set for retirement in 2027, will be repowered into a dispatchable gas facility, restoring roughly 630 MW of generation and maintaining economic benefits for the Goliad region.

Burke emphasized, “Vistra has consistently grown its generation portfolio to meet America’s increasing power demand. Our diverse asset base enables us to deliver solutions that sustain the nation’s energy leadership while supporting economic growth.”

Once these projects are complete, Vistra will have invested nearly $2 billion to add approximately 3,100 MW of new capacity in Texas since 2020.

Monahans Mayor Adam Steen added, “The Permian Basin Power Plant has been integral to our community for over 75 years. This latest investment will further strengthen our region and ensure we remain part of Texas’ energy solution.”