NRG Picks up 5,961 MW, Option on 3,000 More
NRG Energy Inc. plans to spend $658 million to acquire four
combined cycle power projects with a total capacity of 5,961 MW
from LS Power LLC, an independent power producer headquartered in
East Brunswick, NJ. The agreement also gives the Minneapolis-based
NRG the opportunity to acquire ownership in the next 3,000 MW of
generation offered by LS Power and its partners.
"This acquisition is expected to contribute to NRG's long-term
earnings growth and expand our United States generation portfolio,"
said NRG CEO David H. Peterson. "NRG will use its expertise in
construction, finance and operations to integrate these projects
into our company and create additional value for our shareholders.
The opportunity to acquire future projects developed by LS Power
also will allow NRG to pursue new capacity in markets that
complement our existing assets."
The initial purchase, which includes four facilities in
Illinois, Mississippi, Florida and Texas, would increase NRG's
portfolio to more than 20,000 MW and help it advance toward its
goal of 50,000 MW generation in place by 2005.
NRG said the portfolio acquisition, expected to close in the
first quarter of 2001.
Carolyn Davis, Houston
©Copyright 2000 Intelligence Press, Inc. All rights
reserved. The preceding news report may not be republished or
redistributed in whole or in part without prior written consent of
Intelligence Press, Inc.