LS Power to acquire hydro portfolio
Hull Street Energy has agreed to sell an almost 330MW portfolio of hydroelectric projects spread across the US to LS Power.
The deal will see LS Power purchase a 45-project hydroelectric portfolio, the majority of which are located across New England and in New York, with projects also operating in California, West Virginia, Virginia, North Carolina, South Carolina and Washington.
The largest project being purchased from the portfolio is the 80MW Summersville asset in Nicholas County, West Virginia.
The asset sells the entirety of its output to the utility Appalachian Power Co, a subsidiary of American Electric Power, under a long-term power purchase agreement which is set to expire in 2027. The agreement has been in place since 2001, when the project came online.
Hull Street first purchased the project from Enel Green Power North America and GE Energy Financial Services in 2019 (PFR, 10/22/19). The company also acquired an additional 255MW of hydroelectric generation from the two parties after Enel and GE launched a sale process to divest from its hydro portfolio.
The remaining assets that LS Power is set to purchase are all sized between 1MW and 25MW, with 30 of the remaining 44 projects selling their output into either the NYISO or ISO-NE markets.
Hull Street refinanced the New England projects, which total 87MW and are held under the Central Rivers Power NE portfolio company, with a $66 million debt package in August 2020 (PFR, 8/4/20).
Both parties are aiming to close the deal before the end of the year, with the transaction still subject to regulatory approvals and customary closing conditions.