Client AltaGas Ltd, a Canadian-based energy infrastructure company, announced an agreement to acquire Blythe Energy, LLC, which owns a 507 MW natural gas-fired combined cycle plant and a related 230 kV 67-mile electric transmission line in Southern California. The Blythe Energy Center power plant is contracted under a Power Purchase Agreement through July 2020 with Southern California Edison. The project is located on a 76-acre site, which will allow for potential future expansion, according to a company press release.
In the company release, David Cornhill, Chairman and CEO of AltaGas, called the acquisition an important addition to the AltaGas power business. "The addition of natural gas-fired power generation to our energy infrastructure portfolio in the US provides another platform for growth to meet the increasing demand for clean sources of energy," he added.
Stoel Rives assisted AltaGas in the negotiation of the $515 million purchase and sale agreement, as well as related due diligence regarding corporate structure issues, regulatory considerations, employee matters, real property, environmental matters, power purchase and interconnection agreements, fuel supply agreements and permitting issues. David Quinby led the cross-office Stoel Rives client team, with substantial assistance from Alexandra Mertens, Melissa Foster, Allison Smith, Michael Christopherson, Jason Johns, Joseph Loosle and Adrienne Bell.