Sherman Economic Development Corporation (SEDCO) announced a planned 450 megawatt expansion of Panda Power Funds’ existing 758 megawatt combined cycle natural gas power facility in Sherman’s Progress Park. The project is expected to cost $200-$300 million and would create up to 500 jobs during construction. The expansion is scheduled to be completed in 2019.
“Panda Power is an integral part of Sherman’s growing business community, and this expansion demonstrates their continued commitment to the city,” said Robby Hefton, city manager for Sherman. “The expanded plant will not only create new jobs in Sherman, but also supply the power needs for approximately one million homes. Altogether, the plants will contribute more than $2 billion to the North Texas economy.”
In order to help finalize the deal, the SEDCO Board of Directors unanimously approved a $2.5 million development incentive for the project. The incentive will be paid in three installments based on company performance criteria outlined in the agreement.
“As Texas continues to grow, so will the demand for electricity,” said Steve Tessem, Vice President of Panda Power Funds. “When the ERCOT market signals the need for more power, we want to be at the ready to serve North Texas.”
Brooks Hull, chairman of the SEDCO Board of Directors, added, “Panda’s expansion is a testament to our city. Growing our business community through existing companies that are based here is always a priority, because it demonstrates the value we can offer to other companies considering relocating to the area.”