NRG Completes Acquisition - Analyst Blog

Independent power company NRG Energy Inc. (NRG) completed the acquisition of the South Trent wind farm near Sweetwater, Texas after being approved by the Public Utility Commission of Texas (PUCT) on June 11. The announcement of the acquisition was made in March, 2010, and AEP Energy Partners, Inc., a unit of American Electric Power Co. (AEP), has a 20-year agreement to buy power from the wind farm. 

With a capacity of 101 megawatt (MW) and comprising of 44 Siemens 2.3 MW wind turbines, the wind farm is capable of generating adequate power for more than 80,000 homes at its maximum capacity. The farm became operational in January, 2009. 

Following the South Trent acquisition, NRG Energy’s wind portfolio will consist of four onshore wind farms. The company owns and operates the Elbow Creek wind farm (120 MW) near Big Spring, Texas along with the Langford wind farm (150 MW) near San Angelo, Texas. The company is also a joint owner of the 150 MW Sherbino wind farm near Fort Stockton, Texas, along with BP Alternative Energy, North America, a wholly owned subsidiary of BP Plc. (BP). 

The deal will not only enhance NRG’s expanding wind portfolio but will also generate renewable energy in west Texas to power homes and businesses across the state. Apart from onshore wind power ventures, NRG Energy is developing a diverse mix of sustainable energy generation projects, comprising nuclear, solar, offshore wind, biomass and carbon sequestration to fulfill the vision of a clean and green environment in the future. 

Recently, major energy companies are actively developing the U.S wind industry as evidenced by the increasing number of lately-started wind projects. Suncor Energy Products Inc. a subsidiary of Canada’s premier energy company Suncor Energy (SU), is also ready with its fifth wind project at Wintering Hills. To keep pace with the world’s increasing energy needs, the development of this form of natural energy is highly appreciated given that wind projects are eco friendly as well as economically feasible.
 
Headquartered in Princeton, New Jersery, NRG Energy, possesses one of the country’s leading and most diverse power generation portfolios. With 24,000 megawatts of generation capacity, the company’s power plants are capable of catering to the requirements of more than 20 million homes.
Read the full analyst report on "NRG"
Read the full analyst report on "AEP"
Read the full analyst report on "SU"
Read the full analyst report on "BP"
Zacks Investment Research