US
company fires up energy deal
Newsday
Port
Spain
Petroleumworldtt.com
06 04 07
Energy industry executive Paul Pra-ger and Natural
Gas Partners, the leading investment franchise
in the energy industry have announced that they
have entered into an agreement to acquire the domestic
independent power production and power development
business units of MDU Resources Group in a transaction
valued at US$636M.
The businesses being acquired include Centennial
Power and Colorado Energy Management.
Centennial Power and Colorado Energy Management
will become part of a new company formed by Prager
and NGP to engage primarily in the ownership, operation
and acquisition of coal-fired, natural gas-fired
and wind generation in North America.
The
team also controls Trinity Power Ltd, which owns
a 225 megawatt gas fired electricity generating
facility located in Trinidad and Tobago. Trinity
enjoys a 30 year contract to sell electricity to
TTEC, the Trinidad state utility, and is subject
to a further guarantee by the Trinidad government.
Barclays Capital and Goldman, Sachs & Co have
committed to provide the debt financing to support
the transaction. Com-pletion of the transaction
is expected to be in June 2007.
Centennial
Power’s generating assets include
603 MW of electric generating capacity located
in Montana, Colorado, California and Geor-gia.
The assets are fully contracted under mid- to long-term
power purchase and sale agreements, and include
coal-fired, natural gas-fired and wind-powered
generation. Colorado Energy Management provides
design, construction, operation and maintenance
services to energy partners.
Newsday
Thursday,
May 24 2007
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