The $642-million acquisition was part of a bankruptcy court-supervised divestiture of USGen New England’s fossil assets.
Dominion purchased the 1,599-megawatt coal- and oil-fired Brayton Point Station in Somerset, MA; the 745-megawatt coal- and oil-fired Salem Harbor Station in Salem, MA; and the 495-megawatt, natural gas-fired Manchester Street Station in Providence, RI.
About 60% of the combined output from the three stations is being sold under contracts to various buyers, with the balance being sold into the NEPOOL wholesale market.
Dominion did not acquire any of the facilities’ debt in the transaction and plans to finance the acquisition with a combination of debt and equity that will be balance sheet neutral. Dominion expects the transaction to be accretive immediately.
