Caithness Energy Closes Financing of $1.6 Billion Electric Generating Facility in Guernsey County, Ohio
August 29, 2019
New York, NY: Caithness Energy announced today that it has successfully closed a $1.6 billion financing for the construction of a fully-permitted 1,875 megawatt combined-cycle natural gas electric generating facility located in Guernsey County, Ohio known as Guernsey Power Station, clearing the way for the project to move forward to construction. Caithness partnered with Apex Power Group to develop the project in the heart of the Utica and Marcellus shale region.
“Caithness is proud to deliver this state-of-the-art electric generating solution for cleaner, more efficient power into the PJM Market,” said Ross Ain, Caithness Energy’s President. “Our energy design is cleaner, providing maximum power with minimal impact on the surrounding environment with a dry cooling system that reduces water use by 95% compared to traditional facilities.”
“We have worked closely with our partners, suppliers and contractors to complete financing and begin construction of this important project,” continued Ain. “The local community will benefit from up to 1,000 jobs at peak construction and approximately 30 permanent high-tech jobs, all while providing vital funds committed to the Rolling Hills School district that will enable a major school infrastructure construction project.”
The completed electric generating facility, which will be managed by Caithness Energy, will sell energy, capacity and ancillary services into the PJM market. The PJM is the regional transmission organization that coordinates the movement of wholesale electricity in all or parts of 13 states and the District of Columbia, including all of Ohio.
“Guernsey Power Station will create jobs and bring significant economic benefits to southeast Ohio,” said Mike King, Apex Power Group Managing Partner. “Thank you to all of the community leaders who made this project a reality with their relentless support as we are looking forward to starting construction and providing clean energy from one of the most efficient generating plants in the nation.”
Gemma Power Systems, a wholly owned subsidiary of Argan, Inc. (NYSE: AGX), has responsibility for the engineering, procurement and construction of the energy center slated for completion early in the fourth quarter of 2022.“We are thrilled to have the opportunity to help deliver clean, reliable energy to Guernsey County and the greater Ohio community,” said William F. Griffin, Jr., Chief Executive Officer of Gemma Power Systems. Caithness Energy will be the construction and asset manager.
The facility will use three of General Electric’s most advanced gas turbines, each with a heat recovery steam generator and steam turbine generator, and will produce electricity equivalent to the power needs of approximately one million homes within the PJM region.
“We are honored to work with the team at Caithness again to bring another leading gas power plant project to life,” said Dave Ross, President of Sales, North America for GE Power. “GE’s industry leading gas turbine technology and services will ensure Guernsey Power Station delivers highly efficient electricity to homes and businesses across the PJM market.”
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About Caithness Energy
Caithness Energy, L.L.C. (“Caithness”) is a privately-held Independent Power Producer specializing in the development, acquisition, operation, and management of renewable energy and natural gas development projects. Learn more at: www.caithnessenergy.com