A Koch Energy Services LLC subsidiary has agreed to buy an existing 1,055-MW combined-cycle natural gas plant in Odessa, Texas, from Energy Capital Partners.
The transaction is subject to customary conditions and regulatory approvals and could close late in the fourth quarter of 2013 or early in the first quarter of 2014. Financial terms of the transaction were not disclosed.
Koch Energy Services is an indirect subsidiary of Koch Industries, which is based in Wichita, Kan. Since 2003, Koch companies have invested about $50bn in acquisitions and other capital expenditures.
The electric power generating facility, located in the Permian Basin region of West Texas, began commercial operations in 2001, Koch Industries noted in an Oct. 8 statement. The Energy Capital Partners website indicated that the firm purchased Odessa Power Holdings in July 2011.
The facility provides electric power to the Electric Reliability Council of Texas (ERCOT) system, a power market serving 23 million Texas customers and representing 85% of the state’s electric load.