City PointEnergy Center LLC is planning to acquire the approximately 115-MWJames River Gencocoal-fired plant, associated interconnection facilities and assets forunspecified terms.
The facility in Hopewell, Va., is owned by subsidiaryQuantum VirginiaPower and CogentrixPower Holdings LLC, an indirect subsidiary of an investment fundvehicle sponsored and managed by Carlyle Group LP.
The power plant's electrical output is sold on a merchantbasis into the wholesale market while its thermal energy output is contractedto Honeywell InternationalInc. for use by Advansix Resins & Chemicals LLC's manufacturingplant.
The transaction was done in accordance with a terminationagreement between James River Genco and Advansix under which the facility is tobe transferred to City Point Energy, a subsidiary of Honeywell International.
Upon the deal's close, City Point Energy plans to continueoperations of the cogeneration power plant, as well as construct a steamgeneration facility that will provide steam to Advansix but will not generateelectricity. When the steam generation facility reaches operations, the cogenerationfacility will be decommissioned, according to a Sept. 23 FERC application.
FERC was asked to issue an order by Nov. 22. (EC16-190)