UPDATE 1-Dominion Resources to sell three merchant power plants
* Selling one plant in Mass, two in Illinois * Proceeds to go to regulated business * Stock rises 1.5 percent Sept 6 (Reuters) - Power company Dominion said on Thursday it will sell three merchant power stations that sell electricity on the open market and use the proceeds for its regulated business. The company, which serves customers in Virginia and other states, said the 1,536-megawatt Brayton Point Power Station in Somerset, Massachusetts will be put up for sale. Also, it intends to sell the 1,158-MW Kincaid Power Station in Kincaid, Illinois and the 1,424-MW Elwood Power Station, outside Chicago. Thomas Farrell II, Dominion's chairman, president and chief executive officer, said the three facilities had emissions controls either installed or in the process of being installed in their coal-fired units. "We believe the sale of these assets and the redeployment of capital to our regulated businesses is the best path forward for shareholders," he said. The sales are expected to be completed in the first half of 2013 and Dominion said it plans to invest the proceeds in growth of the regulated businesses and reduce debt needs. It did not give an asking price for the plants. Dominion stock was 1.5 percent higher at $53.29 in morning trading on the New York Stock Exchange.
- Tweet this
- Share this
- Digg this