TC Energy sells Ontario natural gas-fired power plants
TC Energy Corporation has completed the sale of its interests in three Ontario natural gas-fired power plants to a subsidiary of Ontario Power Generation Inc. for net proceeds of approximately $2.8 billion prior to post-closing adjustments.
The facilities include the 683-megawatt Halton Hills power plant, the 900-megawatt Napanee generating station and TC Energy's 50 per cent interest in the 550-megawatt Portlands Energy Centre.
"Completing this transaction further strengthens our financial position, helps fund our industry-leading secured capital program and maximizes value for our shareholders," said Russ Girling, TC Energy President and Chief Executive Officer. "When combined with the sales of Coolidge, an interest in Northern Courier and certain U.S. Midstream assets in 2019, TC Energy has realized approximately $6.2 billion from portfolio management activities over the last year."
TC Energy's portfolio of high-quality, long-life energy infrastructure assets now includes investments in six low-emission natural gas-fired power plants and the Bruce Power nuclear facility, resulting in a combined generating capacity of approximately 4,200 megawatts. Bruce Power, which provides Ontario with over 30 per cent of its electricity, is undertaking a life-extension program that will see TC Energy invest approximately $2.4 billion by 2023 with the potential for another $5.8 billion thereafter under a long-term agreement with the Ontario Independent Electricity System Operator.