JERA Co., Inc. (JERA), through its wholly owned subsidiary JERA Americas Inc. (JERA Americas), has entered into an agreement with Starwood Energy Group to acquire a 50% equity interest in three natural gas-fired thermal power generation plants (the âCompass Portfolioâ?) in the northeastern United States.
The Compass Portfolio includes the Marcus Hook Energy Center, in suburban Philadelphia, and the Dighton and Milford Energy facilities in Massachusetts, with an aggregate power generation capacity of 1,123 MW. Power and capacity from the Marcus Hook Energy Center is sold mainly into the PJM Interconnection wholesale electricity market, and power and capacity from the other facilities is sold into the ISO New England. In addition, the Marcus Hook Energy Center has a contract for capacity with the Long Island Power Authority, a power distribution utility. After the acquisition of this interest, JERA Americas will participate in the operation of the Compass Portfolio.
In April of 2018, JERA closed on its 50% acquisition of Linden Cogeneration Facility, a 972 MW natural gas-fired thermal power cogeneration complex in northern New Jersey. After the Compass Portfolio transaction with Starwood Energy Group closes, JERAâs net ownership of electric generation in North America will total approximately 3,536 MW and will represent one of the largest ownership positions for a Japanese-affiliated company.
JERA, the parent company, will help drive the Compass Portfolio forward by transferring skilled personnel who will bring operational know-how accumulated through JERAâs extensive power generation business both overseas and in Japan.
