August 6, 2008
Dynegy Subsidiary Completes Sale of Rolling Hills Peaking Plant
Electricity generation company Dynegy has announced that one of its subsidiaries has completed the sale of the Rolling Hills power generation facility, a peaking plant located in Wilkesville, Ohio, to a company managed by Tenaska Capital Management for $368 million in cash.
The sale equates to more than $450 per kW based on the plant's summer capacity rating. The Rolling Hills plant, which has an 815MW summer capacity rating, is a natural gas-fired peaking facility that began commercial operation in 2003.
Dynegy expects to record a gain of approximately $50 million on the sale of the Rolling Hills facility, subject to adjustments for working capital and other items, in the third quarter of 2008.