NMPRC Approves New PNM Energy Resources for 2026

Rhea-AI Summary

The New Mexico Public Regulation Commission (NMPRC) has approved Public Service Company of New Mexico's (PNM) application for new energy resources, adding 410 megawatts of solar and battery storage capacity by summer 2026. This move aims to meet growing retail demand, with PNM's peak demand hitting record highs in the summers of 2022 and 2023.

PNM's approved resources include 100 megawatts of solar and 310 megawatts of battery storage. This integration will help PNM achieve 75% carbon-free resource capacity by 2026. PNM Resources reported consolidated operating revenues of $1.9 billion in 2023 and serves over 800,000 customers in New Mexico and Texas.

The initiative aligns with PNM's pledge to reach 100% carbon-free energy by 2040. Additional details and materials are available on the PNM Resources website.

Positive

• NMPRC approval for 410 megawatts of new energy resources.
• Integration will bring PNM's resource capacity to 75% carbon-free by 2026.
• PNM's peak demand reached new highs in summers of 2022 and 2023, indicating robust growth.
• PNM Resources reported consolidated operating revenues of $1.9 billion in 2023.
• PNM's goal to achieve 100% emissions-free energy by 2040 remains on track.
• The addition includes 100 megawatts of solar and 310 megawatts of battery storage, enhancing clean energy portfolio.

Negative

• Significant investment required for the addition of 410 megawatts of new resources.
• Potential financial risks associated with large-scale infrastructure projects.
• Any delays or cost overruns could negatively impact future earnings and stock performance.

News Market Reaction

+2.62%

1 alert

+2.62% News Effect

On the day this news was published, PNM gained 2.62%, reflecting a moderate positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

ALBUQUERQUE, N.M., May 31, 2024 /PRNewswire/ -- The New Mexico Public Regulation Commission (NMPRC) approved an application by Public Service Company of New Mexico (PNM), a wholly-owned subsidiary of PNM Resources (NYSE: PNM), for new energy resources to be added by summer 2026.

The new resources, totaling 410 megawatts of solar and battery storage capacity, are planned to serve growing demand from PNM's retail customers. PNM system peak demand reached new record highs in the summers of 2022 and 2023.

"PNM's system needs are growing, and we are pleased the Commission approved our application to meet these growing needs with additional clean energy resources," said Pat Vincent-Collawn, PNM Resources Chairman and CEO. "We are continuing to fulfill our pledge to reach carbon-free energy in New Mexico while ensuring we can reliably meet our customers' growing energy demands."

PNM filed its application in October 2023 after issuing a request for proposals in late 2022 to identify potential new resources available to serve customers in 2026. The approved resources consist of 100 megawatts of solar and 310 megawatts of battery storage, including a 60-megawatt battery storage facility to be owned by PNM.

Integration of these resources, along with other renewable and battery storage resources previously approved, will bring PNM's resource capacity to 75% carbon-free in 2026.

The application and related materials are available at https://www.pnmresources.com/investors/rates-and-filings.aspx. The Commission order will be added once available.

Background:

PNM Resources (NYSE: PNM) is an energy holding company based in Albuquerque, N.M., with 2023 consolidated operating revenues of $1.9 billion. Through its regulated utilities, PNM and TNMP, PNM Resources provides electricity to more than 800,000 homes and businesses in New Mexico and Texas. PNM serves its customers with a diverse mix of generation and purchased power resources totaling 3.3 gigawatts of installed capacity, with a goal to achieve 100% emissions-free energy by 2040. For more information, visit the company's website at www.PNMResources.com.

Contacts:

Analysts	Media
Lisa Goodman	Corporate Communications
(505) 241-2160	(505) 241-2783

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995
Statements made in this news release for PNM Resources, Inc. ("PNMR"), Public Service Company of New Mexico ("PNM"), or Texas-New Mexico Power Company ("TNMP") (collectively, the "Company") that relate to future events or expectations, projections, estimates, intentions, goals, targets, and strategies, including any unaudited financial results and earnings guidance, are made pursuant to the Private Securities Litigation Reform Act of 1995. Readers are cautioned that all forward-looking statements are based upon current expectations and estimates and apply only as of the date of this report. PNMR, PNM, and TNMP assume no obligation to update this information. Because actual results may differ materially from those expressed or implied by these forward-looking statements, PNMR, PNM, and TNMP caution readers not to place undue reliance on these statements. PNMR's, PNM's, and TNMP's business, financial condition, cash flow, and operating results are influenced by many factors, which are often beyond their control, that can cause actual results to differ from those expressed or implied by the forward-looking statements. For a discussion of risk factors and other important factors affecting forward-looking statements, please see the Company's Form 10-K, Form 10-Q filings and the information included in the Company's Forms 8-K with the Securities and Exchange Commission, which factors are specifically incorporated by reference herein.

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SOURCE PNM Resources, Inc.

FAQ

What new energy resources did PNM get approved for?

PNM received approval for 410 megawatts of new energy resources, including 100 megawatts of solar and 310 megawatts of battery storage.

When will PNM's new energy resources be added?

The new energy resources are planned to be added by summer 2026.

What is the significance of PNM's new energy resources?

The new resources aim to meet growing demand and help PNM achieve 75% carbon-free resource capacity by 2026.

How much was PNM's operating revenue in 2023?

PNM Resources reported consolidated operating revenues of $1.9 billion in 2023.

What is PNM's long-term goal for carbon-free energy?

PNM aims to achieve 100% emissions-free energy by 2040.