Macquarie Infrastructure Corp. (MIC), which acquired the Bayonne Energy Center in New Jersey only three years ago, now plans to sell the 644-MW gas-fired generation plant by the end of this year.
The Bayonne Energy Center was built in 2012 as a joint venture between the Hess Corp. and ArcLight Capital Partners. MIC acquired the facility in 2015.
MIC has a price tag of about $900 million for the Bayonne, hoping to use about $650 million to reduce debt. The transaction values the energy center at about $1,400 per kilowatt of generating capacity.
“Having completed various capacity and capability expansion projects at BEC, we concluded that this was an appropriate time to sell the facility and redeploy the proceeds to address strategic priorities including strengthening our balance sheet,” said Christopher Frost, chief executive officer of MIC, in a statement.
Bayonne is operated by EthosEnergy and connects to the grid via 6.5-mile, 345-kV submarine transmission line under the New York Bay to Brooklyn. In 2012, ABB completed what it called the world’s first cross-linked polyethylene cable system linked the power plant to a substation.