AUSTIN, Texas, Sept. 6, 2005 (PRIMEZONE) -- Topaz Power Group, a joint venture of Sempra Energy Partners a subsidiary of Sempra Energy (NYSE:SRE) and Carlyle/Riverstone that owns several Texas power-generation assets, today announced it has agreed in principle to sell the 6 megawatt (MW) Eagle Pass hydroelectric power plant to the Maverick County Water Control and Improvement District No.1 for approximately $3.9 million.
The sale agreement is expected to be finalized in approximately 60 days.
"This transaction is considered a win-win for both parties in that it provides the water district with control of the hydroelectric power plant while allowing Topaz Power Group to divest itself of a non-strategic asset," said Darren Stephens, president of Topaz Power Group.
"The transaction allows the District to optimize the management of the water resources at its disposal for the benefit of its current customers," said Roy Cooley, general manager of the Maverick County Water Control and Improvement District.
The Eagle Pass generating facility is located on the Rio Grande River in Eagle Pass, Texas. On July 1, 2004, Topaz Power Group acquired Eagle Pass along with 10 Texas-based power plants, including the 632-MW Coleto Creek Power Plant, from American Electric Power (AEP). Shortly thereafter, Topaz Power Group sold the 254-MW E. S. Joslin Power Station, an inactive generating facility in Calhoun County, Texas.
Riverstone Holdings and The Carlyle Group are the co-general partners of the Carlyle/Riverstone Global Energy and Power Fund II. Riverstone is a New York-based energy and power focused private equity firm founded in 2000. The Carlyle Group is a global private equity firm. Carlyle invests in buyouts, venture, real estate, and leveraged finance in North America, Europe, and Asia.
Sempra Energy based in San Diego, is a Fortune 500 energy services holding company with 2004 revenues of $9.4 billion. The Sempra Energy companies' 13,000 employees serve more than 29 million consumers in the United States, Europe, Canada, Mexico, South America and Asia.