Sponsors explore sale of PJM power plant stake

A group of sponsors is exploring the sale of their interest in a 700 MW combined-cycle gas turbine power plant located in the PJM Interconnection. 

The sponsors, JERA, Prudential, and Ullico, are looking to sell up to 40% of the equity in Carroll County, a CCGT in northeast Ohio. 

Whitehall & Co. is advising, PeakLoad has learned. 

Officials at the sponsors and Whitehall declined comment or could not immediately be reached. 

The move comes after BCPG USA Inc., a newly established subsidiary of Thailand’s BCPG Public Co. Ltd., in February agreed to acquire an 8.88% stake, equivalent to 61 MW, in Carroll County. 

Carroll County was developed by Advanced Power, which also manages the plant, and began commercial operation in December 2017. 

A portion of the plant’s energy margin in hedged on a rolling basis to mitigate natural gas and power price volatility, according to an industry source. 

Carroll County also receives black start revenue per the PJM tariff and receives revenues for reactive power from the Federal Energy Regulatory Commission. 

Advanced Power in 2015 closed an $899 million project-level financing for Carroll County, comprising $411 million of equity commitments led by TIAA-CREF, Chubu Electric Power Co., Ullico and Prudential; and $488 million of senior secured credit facilities led by BNP Paribas and Credit Agricole.