STP News Release

                  STP UNIT 1 Concludes Safe,  Efficient                     Refueling Outage

April 29, 1999 -- Wadsworth, TX -- Electricity production at the South Texas Project Unit 1 resumed at 11:57 p.m. April 28, with the completion of the eighth refueling outage for the unit. The outage started on March 27 and was completed in just under 33 days.

Company officials credit outage preparation and work scheduling, the material condition of plant equipment and the teamwork and safety-consciousness displayed by plant personnel as the most notable factors in the efficient outage.

About every 18 months, one of the two 1,250-megawatt reactors is shut down to replace uranium oxide fuel assemblies that have reached the end of their useful life. In all, 89 of the fuel assemblies – out of 193 – were replaced in Unit 1’s reactor core. At the same time, 9,254 work activities were performed during the outage. Major activities, in addition to refueling, included a 10-year inspection of the reactor vessel that verified the safety and integrity of the vessel and associated components.

The reactor vessel inspection contributed to a longer-than-average outage schedule; the last five refueling outages at STP averaged 22-day durations, compared to the national median of 42 days. According to Bill Cottle, President and Chief Executive Officer of STP Nuclear Operating Company, "The 10-year inspection of the reactor vessel was a significant first-time evolution for STP. We did it right and we did it safely. That’s how our team approaches every job. I am pleased to work with such a conscientious, capable team."

During this outage, STP also prepared Unit 1 for the installation of four new steam generators in the spring of 2000. Each new generator weighs nearly 500 tons and reaches close to 72 feet in height and 16 feet in diameter. Benefits of replacing steam generators include enhanced safety and improved plant system efficiency. This major project will also require a marked increase in outage employees. "During the generator replacement outage, there will be between 800 - 900 additional workers on site directly supporting installation, in addition to the typical complement of refueling outage contractors," said Steam Generator Replacement Project Manager Dave Stonestreet. "Ultimately, everyone in STP's workforce will be supporting this project, either directly or indirectly."

STP will also replace all four steam generators in Unit 2 in the fall of 2002.

STP, located 12 miles southwest of Bay City, Texas, ranked second in the U.S. for nuclear power net electrical generation in 1998 and has consistently ranked in the top ten percent of all U.S. nuclear power plants for the last five years.

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