SAINT JOHN, N.B. - NB Power says refurbishment of the Point Lepreau nuclear generating station is progressing and the plant is on track to return to service in the fall of 2012.

The utility said Thursday that the reactor's 380 calandria tubes have been safely removed and the next stage of the $1.4-billion project has begun.

The project to extend the life of the New Brunswick reactor by another 25 to 30 years is running three years behind schedule and $1 billion over the original budget.

It costs New Brunswick about $1 million for replacement power and other costs every day Lepreau is out of service.

New Brunswick has argued that the delays have been caused by Atomic Energy of Canada Ltd., which is a federal Crown corporation, so Ottawa should pay the cost.