TVA to acquire $340 M power plant in Missouri

The Tennessee Valley Authority (TVA) has announced plans to acquire the 760 MW Quantum Choctaw combined-cycle power plant near Ackerman, in Missouri, USA.

TVA would purchase the asset from an affiliate of Quantum Utility Generation, which acquired the power plant three years ago from GDF Suez North America.

The transaction has an estimated value of US$340 million.

TVA directors has also approved a plan to enter into a 20-year power purchase agreement (PPA) with NextEra Energy for an 80 MW solar power facility in northern Alabama.

Since 2007, TVA has built or bought five combined-cycle gas plants with 3,900 MW of capacity. During the last year, TVA has approved the development of two more gas plants to replace aging coal-fired plants.

We have recently reported about several power transactions in the USA:

• Northleaf Capital Partners partners with Ormat Technologies to invest in Power Plants
• Starwood Energy acquires of Quail Run Energy Center
• ArcLight Capital Partners LLC sells Bayonne Energy Center
• DTE Energy to acquire 350 MW of gas power
• The Carlyle Group acquires 96 MW Malaga Peaking Plant
• The Carlyle Group acquires 75.05% stake in six power plants in Georgia
• Starwood Energy Group purchases Lakeside Generation