Transmission and substation project to begin engineering and siting

Pioneer Transmission, a joint venture formed by American Electric Power (NYSE: AEP) and Duke Energy (NYSE: DUK), will begin engineering, permitting and siting activities in 2012 on a 66-mile, 765 kV electric transmission line in Indiana. The line is expected to stretch between the existing Greentown substation and a new substation called New Reynolds.

The project was one of 17 included in the Midwest ISO (MISO) Transmission Expansion Plan and is expected to cost $245 million. Pioneer Transmission will construct and own the 765 kV New Reynolds substation.

Greentown-New Reynolds is part of a larger, 240-mile transmission project in Indiana originally proposed by Pioneer Transmission in 2008 that would extend from Duke Energy’s Greentown substation and end at AEP’s Rockport substation near Evansville, Ind. The total cost of the project is estimated at $950 million.

Pioneer Transmission is also working with Tennessee Valley Authority (TVA, NYSE: TVC) on a 765-kV line connecting AEP’s Rockport Station with TVA’s Paradise Station in Drakesboro, Ky.

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