Moxie Energy and Caithess Energy to finance 900 MW gas-fired plant

Caithess Energy and Moxie Energy have assigned lead arrangers for debt financing backing the 900 MW Freedom gas-fired project in Pennsylvania, USA.

BNP Paribas, Citigroup, GE Financial Services and MUFG Union Bank are coordinating lead arrangers on the US$600 million deal. The project financing is scheduled to be closed by late October.

The total project investment is estimated at US$800 million.

To be located in Salem Township, Luzerne County, Pennsylvania, the plant will be developed to take advantage of the abundant natural gas resources in nearby areas and the skilled local workforce that has developed around the domestic natural gas production.

The power plant will be fueled by only clean-burning natural gas, and will not require river water or any other large source of water typically used for cooling needs. It will consist of two combustion turbine generators that will each produce up to approximately 325 megawatts of electricity. The combustion turbines will be connected to two heat recovery steam generators where the hot exhaust gases from the combustion turbines will produce steam that will be directed to two steam turbines. The steam turbines will produce up to an additional 200 MW of electricity.