New York-based LS Power announced it will acquire 2,145 MW of natural gas generation in the ERCOT North region of Texas through a special purpose affiliate.
LS Power is a development, investment, and operating company focused on power generation, electric transmission and energy infrastructure. The company is acquiring the following assets from Brazos Electric Power Cooperative:
- Jack County – Two baseload combined cycle blocks totaling 1,297 MW located in Jack County, TX
- Johnson County – A 280 MW combined cycle plant located in Johnson County, TX
- RW Miller – Four peaking units totaling 568 MW located in Palo Pinto County, TX
Johnson County and RW Miller are dual-fuel resources with significant on-site fuel oil storage that provides important fuel security during periods of gas scarcity, while Jack County benefits from firm gas transport as well as firm storage arrangements.
Brazos Electric Power Cooperative was one of the Texas generators that filed for Chapter 11 bankruptcy following the deadly February 2021 winter storm and power crisis. “Winter Storm Uri” caused extended sub-zero or at least below freezing temperatures in much of state, leading to higher demand, power generation shutdowns and load shedding. Under the state’s deregulated, competitive market structure, rates rocketed upward with the combination of historically high demand and constricted supply.
After the transaction with Brazos closes, LS Power’s gas generation fleet would total 16,000 MW. The company also owns more than 3,000 MW of wind, solar, hydro and energy storage, as well as demand response, microgrids, renewable fuels, electric transportation and transmission infrastructure.
The transaction with Brazos Electric Power Cooperative is expected to close in early June, pending regulatory approvals.
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