Calpine purchased a natural gas-fired, combined-cycle power plant in Guadalupe County, Texas, for $625 million, the company announced today. The plant, which was previously owned by MinnTex Power Holdings, sits 30 miles northeast of San Antonio and has a nameplate capacity of 1,050 megawatts.
Calpine announced Dec. 2 it would buy the plant as part of its growth strategy in Texas. The company completed the acquisition of an 800-megawatt combined-cycle plant in Central Texas in November 2012.
“We strongly believe in the potential of the Texas market as electric demand increases and reserve margins tighten,” Calpine CEO Jack Fusco said upon announcing his company's agreement to buy the Guadalupe County plant. “Acquiring this modern, flexible and efficient plant in ERCOT’s south zone at a discount to replacement cost furthers our strategic objectives in this key market.”
