Asset management firm Silverfern Group Inc. in partnership with Arroyo Energy Investment Partners LLC completed the acquisition of the 878-MW Broad River Energy Center from Energy Capital Partners.
Silverfern and Arroyo, who together purchased 100% ownership in the Gaffney, South Carolina-based plant from Energy Capital Partners in October, said in a Dec. 20 statement that the transaction was completed, but declined to disclose the closing price.
Energy Capital Partners purchased the facility from Calpine Corp. in 2014 for $427 million, or approximately $504/kW.
Broad River is a dual-fuel, simple-cycle gas-fired peaking facility that sells power under a pair of tolling agreements with Duke Energy Corp. subsidiary Duke Energy Progress LLC, according to a Dec. 20 statement by Silverfern.
For Silverfern, the deal represents its initial inroad into power generation assets, supported through its partnership with Arroyo.
"We are excited to partner with Arroyo in the acquisition of an important gas-fired peaking plant in the SERC-East electricity market, at a time when coal-fired generation is being retired and the lower environmental impact of gas-fired electricity generation is being increasingly valued by utilities and customers alike," Silverfern Managing Director Brooks Klimley said.