Little Rock, Ark. — Sept. 10, 2012 — Arkansas Electric Cooperative Corporation (AECC) has completed the purchase of a 746-megawatt combined cycle natural gas-fired power plant located near Magnet Cove. AECC purchased the plant for $240 million.
“The addition of the Magnet Cove facility positions AECC for future load growth in a very economical manner,” said Duane Highley, president and chief executive officer of AECC, a Little Rock-based wholesale electricity supplier. “The purchase price was far below the cost to construct a new generation resource. This facility will benefit electric cooperative members for many years.”
The state-of-the-art power plant has three generators – two combustion turbines and one steam turbine. The plant began commercial operation in 2006.
Highley said AECC’s purchase will assist in meeting the present and future generation needs of AECC’s 17 member-cooperatives, which provide retail electricity to farms, homes and businesses in Arkansas and surrounding states.
The addition of the Hot Spring plant brings AECC’s combined total of generating capacity to 3,418 megawatts. With the completion of this transaction, AECC owns and operate three hydropower plants on the Arkansas River, three natural gas/oil-based plants, four natural gas-based plants, and portions of three coal-based plants.
The Electric Cooperatives of Arkansas comprise 17 electric distribution cooperatives; Arkansas Electric Cooperatives Inc. (AECI), a Little Rock-based cooperative that provides various services to the distribution cooperatives; and Arkansas Electric Cooperative Corp. (AECC), a generation and transmission cooperative. The distribution cooperatives provide electricity to more than 500,000 members, or customers, in Arkansas and surrounding states.
For additional information, contact:
Rob Roedel, Electric Cooperatives of Arkansas, 501.570.2296 or firstname.lastname@example.org