HOUSTON, TEXAS, April 16, 2013 (GLOBE NEWSWIRE) -- Quantum Utility Generation, LLC ("QUG") completed the acquisition of three combined cycle natural gas-fired generation and cogeneration projects located in Florida from affiliates of Atlantic Power Corporation ("Atlantic"). The three projects being acquired total approximately 400 megawatts and are each currently under contract with a Florida investor-owned utility:
- Auburndale Power Partners, Limited Partnership, (155MW; contracted to Progress Energy Florida)
- Lake Cogen, Ltd. (121MW; currently contracted to Progress Energy Florida), and
- Pasco Cogen, Ltd. (121MW; currently contracted to Tampa Electric Co.)
"All three projects continue to generate significant free cash flow through the remaining terms of their power sales agreements which facilitated an attractive acquisition financing. As the contracts expire over the next several years on each of these operationally flexible, low heat rate power projects, QUG's intent is to structure new power sales agreements with regional utilities." said Sean O'Donnell, QUG's CFO.
About Quantum Utility Generation:
Quantum Utility Generation, LLC is an operating company based in Houston, Texas that was established to invest in the North American power generation space, and is co-funded by Quantum Energy Partners, a private equity fund with more than $6.5 billion in commitments, the Canada Pension Plan Investment Board, which manages $170 billion on behalf of the Canada Pension Plan, and management. QUG's approach to investments and operations capitalizes on the deep industry experience of our team to provide investor-owned and public power customers with a unique set of physical, financial and commercial options through structured transactions involving our portfolio of assets. QUG's current portfolio interests include the Quantum Choctaw Power project, a 760 MW combined cycle generation facility in Mississippi, the Hopewell and Portsmouth projects, two 120 MW scrubbed coal-fired plants in Virginia, and advanced stage, contracted development projects involving solar and wind generation. For more information, please see our website at www.quantumug.com.
Source:Quantum Utility Generation, LLC