Gas-fired power plant purchased by PPL

PPL Corp. (NYSE: PPL) said PPL Generation LLC, its generation subsidiary, agreed to acquire AES Ironwood L.L.C. and AES Prescott L.L.C., which together own and operate the 705 MW AES Ironwood combined-cycle natural gas-fired power plant in Lebanon, Pa., from a subsidiary of AES Corp (NYSE: AES).

PPL said the total consideration for the transaction is approximately $304 million, consisting of a cash purchase price of $87 million, which includes $4.8 million in expected working capital, and approximately $217 million of net project indebtedness of AES Ironwood L.L.C.

The plant began operation in 2001, and for the past four years PPL EnergyPlus LLC, the marketing and trading subsidiary of PPL, has supplied natural gas for the operation of the plant in return for securing its full output under a tolling agreement that expires in 2021.

The sale is expected to close in the second quarter of 2012 following the receipt of necessary regulatory approvals and third-party consents.

Read more mergers and acquisitions news

Sponsored by FLSmidth

Related Articles

Solar energy co. SunEdison buying wind power co.

Solar energy company SunEdison is adding some wind-fueled power to its business with a deal worth up to $2.4 billion.

Amec Foster Wheeler creates four business units after merger

Amec Foster Wheeler (NYSE: AMFW) announced the creation of four business units in global engineering: project delivery, asset support, power equipment and consultancy, following a £5 billion merger between AMEC and Foster Wheeler AG.

Follow Power Engineering on Twitter

Products Showcase

Dynamic Fluoride Ion cleaning DFIC of industrial natural gas turbines Hi-Tech Furnace Systems

Dynamic Fluoride Ion Cleaning of IGT Parts

The Dynamic Fluoride Ion Cleaning (DFIC) Process from Hi-Tech Furnace Systems is able to clean deep, narrow cracks of oxides by cycling between negative, atmospheric, and positive pressure.

Latest News

Shutterstock coal production trucks

Weekly Coal Production

The Weekly Coal Production shows how much coal is being produced across the U.S.

Federal Reserve Bank of Dallas Weekly Economic Indicators financial business

The Federal Reserve Bank of Dallas' Economic Indicators

The Federal Reserve Bank of Dallas offers a glimpse into how the markets are doing domestical...

Kvaerner awarded contract for gas-fired power plant in Delaware

Kvaerner North American Construction Inc. and its joint venture partner, Parsons Brinckerhoff...

Canadian Solar purchases two solar projects

Canadian Solar Inc. has acquired a majority interest in two utility-scale solar power project...

Operators Restart Unit 2 at PPL Susquehanna

Unit 2 at the PPL Susquehanna nuclear power plant near Berwick, Pa. resumed generating electr...

Settlement agreement limits cost recovery at Edwardsport

The Indiana Utility Regulatory Commission (IURC) on Dec. 27 modified and approved a settlemen...

Toshiba in talks to sell portion of Westinghouse nuclear unit

Toshiba Corp is in talks  to sell up to 16% of its stake in the Westinghouse Electric Co...

Utah nixes nuclear waste storage facility

Plans to park radioactive waste at a storage facility in Utah have been officially called off.

Archived Articles

2000 | 2001 | 2002 | 2003 | 2004 | 2005 | 2006 | 2007 | 2008 | 2009 | 2010 | 2011 | 2012 | 2013

Buyers Guide Categories

Power Engineering Current Issue

10/01/2014
Volume 118, Issue 10
1410pe-cover

Buyers Guide Company Listings

CAS DataLoggers

Manufacturer of data acquisition and control systems including high performance real-time systems. For use in data acquisition, test and control applications featuring microsecond precision.

Krishnan & Associates

Krishnan & Associates is a specialized consulting firm that provides marketing, market analysis, executive recruitment, and merger and acquisition services to the power, infrastructure, and coal mining industries.

North American Dismantling Corp

Established in 1984, North American Dismantling Corp is a demolition/dismantling contractor specializing in heavy industrial demolition, selective demolition, remediation, plant stripouts, plant decommissioning, emergency response, and turnkey acquisitions.

Contec Systems

Contec Systems develops continuous emission monitoring (CEMS), user-configurable, Windows-based data acquisition software systems (DAHS) offered to CEMS integrators, OEMs, and end users.

Power Industry Wire News

Philip Falcone Departs Harbinger Group Inc. and Will Continue to Advance HC2 Holdings, Inc.

Philip Falcone Departs Harbinger Group Inc. and Will Continue to Advance HC2 Holdings, ...

Planet Resource Recovery, Inc. Adds Water Industry/Manufacturing Veteran to Advisory Board

Planet Resource Recovery, Inc. Adds Water Industry/Manufacturing Veteran to Advisory Bo...

Western Gas Partners Closes Nuevo Midstream, LLC Acquisition and Issuance Under Exercise of Underwriters' Over-Allotment Option

Western Gas Partners Closes Nuevo Midstream, LLC Acquisition and Issuance Under Exercis...

ZBB Energy to Present at LD Micro Conference

ZBB Energy to Present at LD Micro Conference

CBS Money Watch Article Lauds MCW Energy Group's Breakthrough Oil Sands Extraction Technology & MCW Announces Participation in LD Micro Conference, Los Angeles, December 2nd - 4th, 2014

CBS Money Watch Article Lauds MCW Energy Group's Breakthrough Oil Sands Extraction Tech...

Power Engineering

Article Archives for Power Engineering Magazine

Continuing Education

Professional Development Hours

To access a course listing associated to a specific topic listed below, click on the topic of choice from the list below.

Latest Energy Jobs

View more Job Listings >>


Power Engineering Newscasts

EPA chief: carbon caps will boost economy
Australia, Russia enter nuclear power agreement with Argentina
Largest battery energy storage in North America now operational
EPA chief: carbon caps will boost economy Largest battery energy storage in North America now operational Australia, Russia enter nuclear power agreement with Argentina Texas’ Panda Temple combined cycle plant up and running
Siemens agrees to acquire Dresser-Rand
Safety concrete poured at UAE nuclear reactor power project
Foster Wheeler to upgrade natural gas-fired power plant’s emission controls
GE, TransCanada partner on natural gas turbine design
Energy storage global market to grow to $15.6B by 2024; DOE awards $2M to support taller wind turbine towers; Hinkley Point C nuclear project have financial incentives approved; N.J. company building waste-to-energy project in Ireland