While power demand hit record levels throughout the Northeastand power prices rocketed to $850/MWh yesterday, NRG Energycontinued to position itself as a major generator in thepower-hungry region. The subsidiary of Northern States Power landeda major power generation deal with Connecticut Light & Power ofHartford. NRG is snatching up 2,235 MW of generating capacity fromCL&P for $460 million.

The assets are composed of the Middletown, Montville, Devon andNorwalk Harbor gas- and oil-fired steam generating stationstotaling 2,108 MW, and 127 MW of remote gas turbines at Branford,Torrington and Cos Cob, CT. When the CL&P deal and anotherpurchase of 1,700 MW of generation from Niagara Mohawk arecompleted, NRG will own and operate more than 7,000 MW ofgenerating capacity in the Northeast.

“On completion of the CL&P acquisition and the pendingNiagara Mohawk acquisition, NRG will pass the 10,000 MW milestonein owned generating capacity,” said NRG CEO Dave Peterson. “Whilethis megawatt growth is impressive, returns to NSP are moreimportant. These acquisitions will help NRG meet its earnings goalsin 2000 and beyond.”

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