Southern Company announces intent to purchase Florida plant from Constellation Energy
Southern Company announces intent to purchase
Florida plant from Constellation Energy
ATLANTA Southern Power, a subsidiary of Southern Company, announced today that it has filed an 8-K statement with the Securities and Exchange Commission (SEC) announcing Southern Power has signed a Purchase and Sale Agreement with Constellation Energy to purchase a 680-megawatt dual-fueled simple-cycle generating plant in Cocoa, Fla., for $206 million. The 8-K filing starts the regulatory process for Southern Powers purchase of Oleander Power Plant from Constellation Energy.
Once the purchase is finalized, Oleander Power Plant will be owned and operated by Southern Power, which is the subsidiary of Southern Company that owns, builds, acquires and markets energy in the competitive wholesale supply arena. Through Southern Company Generation, the business unit of Southern Company that oversees both retail and wholesale generation and generation services, Southern Company operates 272 generating units in 68 fossil plants.
Oleander Power Plant is located in the growing Florida market, which is part of Southern Company Generations competitive wholesale growth strategy. Southern Power already co-owns and operates Stanton A near Orlando, Fla., with Orlando Utilities Commission, Florida Municipal Power Agency and Kissimmee Utility Authority.
The GE gas turbine technology at Oleander is similar to technology at numerous Southern Company Generation plants. The facility is fueled primarily by natural gas. Gas-fired simple-cycle and combined-cycle technology is among the cleanest and most efficient methods of producing electricity.
Oleander Power Plant supplies electricity through long-term wholesale contracts to Florida Power and Light (FPL) and Seminole Electric Cooperative, Inc. Once the transaction is completed, Southern Power will assume responsibility for these contracts. Southern Company has existing long-term wholesale power agreements with FPL as well as with other customers in Florida.
With more than 4 million customers and nearly 39,000 megawatts of generating capacity, Atlanta-based Southern Company (NYSE: SO) is the premier super-regional energy company in the Southeast and a leading U.S. producer of electricity. Southern Company owns electric utilities in four states, a growing competitive generation company and a competitive retail natural gas business, as well as fiber optics and wireless communications. Southern Company brands are known for excellent customer service, high reliability and retail electric prices that are 15 percent below the national average. Southern Company has been ranked the nations top energy utility in the American Customer Satisfaction Index five years in a row. Southern Company has more than 500,000 shareholders, making its common stock one of the most widely held in the United States. Visit the Southern Company Web site at www.southerncompany.com.