A company hired to overhaul Xcel Energy’s Prairie Island nuclear power plant is accusing the Minneapolis-based energy giant of failing to cover cost overruns on the project.
In a lawsuit filed Wednesday in Goodhue County District Court, Babcock & Wilcox, a North Carolina-based construction and engineering firm that specializes in energy projects, says Xcel owes it $45 million for replacing two steam generators at the facility near Red Wing, Minn.
“As a general rule, Xcel Energy does not comment on the specifics about pending litigation,” the company said in an emailed statement. “However, we believe all the claims … in this case are without merit.”
Babcock & Wilcox was subcontracted by SNC-Lavalin Nuclear, which Xcel hired in 2009. Babcock & Wilcox completed its work in December 2013 and submitted invoices totaling $116 million. While Xcel paid the company $71 million, it has refused to pay the rest, contending that these costs were not “reasonably incurred,” according to Babcock & Wilcox’s complaint.
Xcel plans to file a response to Babcock & Wilcox’s suit within 20 days, its statement said.
Nick Woltman can be reached at 651-228-5189. Follow him on Twitter at @nickwoltman.
