The acquisition of the 527 megawatt natural gas facility located in Carlsbad, California footed US$184 million.
Clearway Energy (NYSE:CWEN), a company that invests in wind, solar and natural gas projects has completed the acquisition of Carlsbad Energy Center for US$184 million. Located in Carlsbad, California the Carlsbad Energy Center operates a 527 megawatt natural gas facility with a 20-year power purchase plan with San Diego Gas and Electric Company.
As quoted in the press release:
“The closing of the Carlsbad transaction is an important milestone for Clearway as it provides both diversification and significant accretive growth,” said Christopher Sotos, Clearway Energy, Inc.’s President and Chief Executive Officer. “As we await the final resolution of the PG&E bankruptcy, with Carlsbad now in the portfolio, the Company is able to advance its business plan and remains well positioned to deliver upon its long-term growth objectives.”
Carlsbad is a 527 MW natural gas fired facility located in Carlsbad, CA. The project has a 20-year power purchase and tolling agreement with San Diego Gas and Electric Company, with approximately 19 years remaining under the agreement. The project is expected to have a five-year average annual asset CAFD of approximately $27 million beginning in 2020.