Fresh from its asset divestment programme, debt laden Calpine Corp has commissioned two new US power stations in the past week.
The latest project to begin commercial operations, Phase I of the Fox Energy Centre in Kaukauna, Wisconsin, is a 300 MW facility which runs on either natural gas or fuel oil. Phase II, due before the year’s end, will increase the output to 550 MW.
A long-term deal with Wisconsin Public Power, a subsidiary of WPS Resources Corp, will see 150 MW from the Fox plant contracted, while the rest will be sold in the region's wholesale power market.
The project is being financed using a $400 million, 25-year sale-leaseback deal with GE Commercial Finance Energy Financial Services.
The 600 MW Metcalf Energy Centre, in San Jose, California, has also been commissioned this week. The gas-fired $500 million facility will sell its output into Silicon Valley.
Calpine also plans to boost capacity at its Pastoria plant in Southern California. This 250 MW gas-fired facility near Bakersfield is expected to increase to 750 MW this summer.
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