The STEC Red Gate power station will be located in Hidalgo County of Texas, and it will be powered by 12 Wärtsilä 50SG engines.
The new plant is expected to enter commercial operation by summer 2014 and will help STEC to meet the increasing demand for electricity in South Texas.
Designed to meet Best Available Control Technology (BACT) pollution standards, the Red Gate power plant will feature the Wärtsilä combustion engine technology.
STEC generation manager John Packard commented, "Wärtsilä engine technology has proven to be very effective at meeting the challenges of a dynamic ERCOT (Electric Reliability Council of Texas) market."
Wärtsilä North America Agreement Support area general manager Aron Rader stated, "We are very pleased that STEC entered into a Wärtsilä Maintenance Agreement which provides technical, parts and risk sharing support in managing its Red Gate operations."
In Texas, Wärtsilä already has three power plants, including the 200MW plant at Pearsall. The firm has sold 4,600 power plants with total capacity of 49GW in 169 countries across the world.