Raven completes deal to buy three Maryland coal plants

The sale of the largely coal-fired H.A. Wagner, C.P. Crane and Brandon Shores power plants in Maryland to affiliates of Raven Power Holdings LLC closed on Nov. 30.

“Pursuant to Ordering Paragraph (8) of the Order Authorizing the Disposition of Facilities issued by the Federal Energy Regulatory Commission (‘Commission’) on October 5, 2012, in the above-captioned docket, Brandon Shores LLC, H.A. Wagner LLC, and C.P. Crane LLC (together with Constellation Power Source Generation, Inc., ‘Applicants’), on behalf of the Applicants, hereby notify the Commission that the disposition and acquisition of the jurisdictional facilities authorized in the October 5 Order was consummated on November 30, 2012,” said a brief Nov. 30 filing by those companies with FERC.

Exelon (NYSE: EXC), the now former plant owner, said in August that it had reached an agreement to sell these three Maryland plants to Raven Power Holdings LLC, a new portfolio company of Riverstone Holdings. This deal fulfills Exelon’s commitment to regulators to divest the plants, for regional market power mitigation reasons, as part of its merger with Constellation Energy, Exelon noted in a Dec. 3 statement about the closing of the plant sale.

Since 2008, the three plants have undergone major environmental upgrades, including investment in a new scrubber at Brandon Shores that makes it one of the cleanest coal plants in the nation, Exelon noted at the time. The plants comply with the Maryland Healthy Air Act and are well positioned to meet pending EPA emissions standards, Exelon said.

On Aug. 23, Constellation Power Source Generation (CPSG), Brandon Shores LLC, H.A. Wagner LLC and C.P. Crane LLC filed an application with FERC seeking authorization under section 203(a)(1) of the Federal Power Act (FPA) for the sale of these plants  to Brandon Shores LLC, H.A. Wagner LLC and C.P. Crane LLC. The jurisdictional facilities include the plants, interconnection facilities and related equipment associated with the plants, and related books and records, as well as certain forward commitments to provide capacity at clearing prices established in the PJM Interconnection Reliability Pricing Model. CPSG is a wholly owned subsidiary of Exelon.

  • Brandon Shores consists of two coal-fired boilers and two steam turbines with 1,286 MW of nameplate capacity.
  • Wagner is a coal-, natural gas-, and oil-fired facility located in Anne Arundel County, Md., that shares a site with Brandon Shores. Wagner consists of two coal- fired units with 459 MW of nameplate capacity, one natural gas-fired unit with 133 MW of nameplate capacity, and one oil-fired unit with 415 MW of nameplate capacity.
  • Crane is a coal- and oil-fired facility located in Baltimore County, Md., and consists of two coal-fired units powered by cyclone steam boilers with 385 MW of nameplate capacity and an oil-fired turbine with 14 MW of nameplate capacity.

Brandon Shores LLC, H.A. Wagner LLC and C.P. Crane LLC are wholly owned subsidiaries of Raven Power Holdings LLC, which is over 90% indirectly owned by investment vehicle affiliates of Riverstone Global Energy and Power Fund V LP, whose general partner and controlling entity is Riverstone Energy GP V LLC, whose sole shareholder is Riverstone Energy GP V Corp. Riverstone Holdings LLC is the sole shareholder of Riverstone Energy GP V. Riverstone is an energy and power-focused private equity firm with $22bn of equity capital raised across seven investment funds and co-investments.

About Barry Cassell 20414 Articles
Barry Cassell is Chief Analyst for GenerationHub covering coal and emission controls issues, projects and policy. He has covered the coal and power generation industry for more than 24 years, beginning in November 2011 at GenerationHub and prior to that as editor of SNL Energy’s Coal Report. He was formerly with Coal Outlook for 15 years as the publication’s editor and contributing writer, and prior to that he was editor of Coal & Synfuels Technology and associate editor of The Energy Report. He has a bachelor’s degree from Central Michigan University.