CPV Shore seeks FERC approval for change in upstream ownership

CPV Shore LLC, which is building a 725-MW plant in New Jersey, applied Nov, 10 at the Federal Energy Regulatory Commission for authorization of a change in its upstream ownership.

CPV Shore Investment LLC, an indirect, wholly owned subsidiary of the GIP II Funds, will acquire Shore Co-Investment Holdings LLC’s entire 38.78% Class A Membership interest in CPV Shore LLC’s immediate upstream owner, CPV Shore Holdings LLC. CPV Shore Investment, which already holds 18.75% of the Class A Membership interest in CPV Shore Holdings, will, post-closing, own 57.53% of such interest.

CPV Shore LLC requested that the commission establish a 21-day comment period for this application and issue an order granting the requested authorization by no later than Dec. 10 to allow for a closing of the transaction as soon as possible thereafter.

CPV Shore LLC is constructing, and will own and operate, a 725 MW (nameplate) combined-cycle, gas-fired electric facility and limited interconnection facilities, located in the Township of Woodbridge in Middlesex County, New Jersey. The Woodbridge project will be interconnected to transmission facilities owned by Jersey Central Power & Light and operated by PJM Interconnection. CPV Shore is authorized to sell power at market-based rates and is an exempt wholesale generator.

CPV Shore LLC is a wholly owned subsidiary of CPV Shore Holdings. Shore Co-Investment currently holds 38.78% of the Class A Membership interest directly in CPV Shore Holdings. Shore Co-Investment currently is indirectly owned by AL Shore Investment LLC, which is wholly owned by ArcLight Energy Partners Fund V LP (71.07%), Maine Public Employees Retirement System (11.57%), Treasurer of the State of North Carolina (5.79%) and Capitol Co-Investments 5 LLC (11.57%), the sole member of which is the State of Texas, for the use and benefit of the Texas Permanent School Fund. The remaining indirect owners of CPV Shore Holdings are: Toyota Tsusho Shore LLC (31.25%); John Hancock Life Insurance Co. (U.S.A.) (11.22%); and CPV Shore Investment (18.75%).

CPV Shore Investment currently holds 18.75% of the Class A Membership interest in CPV Shore Holdings. CPV Shore Investment is indirectly and wholly owned by GIP II CPV Intermediate Holdings Partnership LP, which itself is indirectly and wholly owned by the GIP II Funds. The GIP II Funds are independent funds organized as limited partnerships that invest in infrastructure assets around the world. Global Infrastructure Management, LLC (“GIM”) is the manager of the GIP II Funds.

CPV Shore is affiliated, through the GIP II Funds, with CPV Maryland LLC, which is constructing, and will own and operate, a 725-MW (nameplate) combined-cycle, gas-fired facility to be located in Charles County, Maryland, and interconnected to transmission facilities owned by Potomac Electric Power and operated by PJM.

Under the proposed transaction, CPV Shore Investment will acquire Shore Co-Investment’s 38.78% Class A Membership interest in CPV Shore Holdings. Because CPV Shore Investment already owns 18.75% of the Class A Membership interest, following the transaction, it will own 57.53% of the Class A Membership interest in CPV Shore Holdings. Neither Shore Co-Investment, nor its upstream owners will own any direct or indirect interest in CPV Shore LLC following the transaction.

A company contact is: Jonathan C. Odell Sr., Vice President and General Counsel, Competitive Power Ventures Inc., 8403 Colesville Rd., Silver Spring, MD 20910, Tel: (240) 533-9786, Fax: (240) 723-2339, jodell@cpv.com.

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.