Electricity Generating Public Company Limited (SET: EGCO) or EGCO Group confirmed the successful completion of its acquisition of a 50% interest in the US-based 1,304 MW Compass Portfolio. The new asset gives EGCO Group 652 MW of additional power generation capacity based on its shareholding.
Mr. Thepparat Theppitak, EGCO Group’s President, said, “EGCO Compass II, LLC, a wholly owned subsidiary of EGCO domiciled in the United States, successfully completed the investment in Compass Portfolio on January 9, 2024. The investment will boost EGCO Group’s power generation capacity by an additional 652 MW on an equity owned basis. In the meantime, the company will recognize immediate earnings in proportion of its shares commencing from the closing date.”
Compass Portfolio consists of Marcus Hook Energy, L.P. (Marcus Hook), a 912 MW CCGT facility located in the state of Pennsylvania; Milford Power, LLC (Milford) and Dighton Power, LLC (Dighton), which hold 205 MW and 187 MW facilities, respectively, in the state of Massachusetts. Marcus Hook, Milford, and Dighton are all strategically located near major metropolitan load centers close to the cities of Philadelphia, Boston, and Providence. These areas pose high barriers to entry for new capacity sources and have robust energy transition policies that require both firming capacity and energy support.
The Compass Portfolio enjoys a unique capacity sales contract at the Marcus Hook facility with Long Island Power Authority (LIPA). The balance of the facility’s capacity is sold into the PJM market. The capacity sales at Milford and Dighton are settled in the ISO-NE market. All three of the Compass facilities sell energy and ancillary services into their host power markets.
“Investment in the Compass Portfolio is aligned with EGCO Group’s strategic objective of acquiring and operating high quality gas-fired power facilities which support energy transition goals in their host power markets. This investment fortifies EGCO Group’s growing presence in key US power markets, where EGCO intends to play an expanding role in the country’s energy transition objectives”, added Mr. Thepparat.
