DALLAS, April 24, 2002 — TXU, a global energy services company, announced Wednesday that it acquired the Pedricktown Cogeneration Limited Partnership, which includes a 122 megawatt combined-cycle generating facility in Pedricktown, New Jersey and various contracts from Javelin Energy for $36 million.
This purchase represents TXU’s first North American asset acquisition outside of Texas, and is another step in TXU’s strategic plan to build a diversified global portfolio of assets. It follows the February award of 1,000 megawatts of load in the New Jersey Statewide Basic Generation Service (BGS) Electricity Supply Auction, and is an example of TXU successfully implementing its unique portfolio management business model.
VJ Horgan, president of North America Trading at TXU commented that, “These acquisitions represent the ongoing implementation of TXU’s portfolio management model, where we lead with trading and grow our position by adding assets and customers. While a small step, we expect the current market to give us additional opportunities in the future.”
“Purchasing the Pedricktown plant begins the expansion of TXU’s platform into another vibrant competitive market,” said Peter Greenberg, TXU’s vice president of Origination and Business Development. “The Pedricktown plant becomes our first asset in the Pennsylvania-New Jersey-Maryland (PJM) market, where TXU is establishing itself as a major player.”
The Pedricktown facility, a dual fuel combined-cycle cogeneration plant built in 1992, will provide enough energy to power more than 100,000 homes. Pedricktown is located in Southwest New Jersey, near Philadelphia, Pennsylvania.
TXU is a global leader in electric and natural gas services, merchant energy trading, energy marketing, energy delivery, telecommunications, and energy-related services. With $42 billion in assets and $28 billion in annual revenue, TXU is one of the most influential energy services companies in the world. TXU is the No.1 competitive energy retailer in the United States and one of the largest globally, owns or controls extensive competitive generation around the world, and ranks among the top five energy traders globally. TXU, which sells 335 million megawatt hours of electricity and 2.8 trillion cubic feet of natural gas annually, serves 11 million customers worldwide, primarily in the US, Europe and Australia.