The Public Utility Commission of Texas is due at its Oct. 28 meeting to look at an Oct. 6 draft approval from its staff on a recent application from Western Generation Partners LLC for a sign-off on its purchase of 100% of the ownership interests in the Borger Facility, a 230 MW gas-fired plant located near Borger, Texas, in the Southwest Power Pool region.
Western Generation is a joint venture among Harbert Power Fund V LLC (HPF V), UBS Asset Management Funds Ltd. (UBSI), and The Northwestern Mutual Life Insurance Co. (NML).
On July 26, under the Public Utility Regulatory Act (PURA), Western Generation filed an application for approval of this purchase, The Borger Facility is currently owned by Borger Energy Associates LP, which is a wholly owned subsidiary of First Reserve Energy Infrastructure Fund.
HPF V, UBSI and NML have formed Western Generation, a joint venture holding company that will own, indirectly, 100% of the membership interests in a Delaware limited liability company to be formed that will act as the buyer under a Purchase and Sale Agreement, which will govern the terms and conditions of the transaction.
UBSI and NML, through subsidiaries, own electric generation facilities in Texas that offer electricity for sale in the state. As a result of the transaction, Western Generation will also acquire a 604 MW gas-fired generation facility located outside of Texas but within the SPP footprint.
