![TotalEnergies Acquires 1.5 GW Texas Power Plants](/sites/default/files/styles/hart_news_article_image_640/public/image/2023/11/totalenergies-acquires-15-gw-texas-power-plants.jpg?itok=Q8J4MgEL)
(Source: Shutterstock.com)
France’s TotalEnergies has agreed to buy three gas-fired power plants in Texas from U.S. for $635 million, according to a Nov. 13 press release.
The plants have a total capacity of 1.5 gigawatt (GW).
The three plants, connected to ERCOT (Electric Reliability Council of Texas), consist of:
- The Wolf Hollow I plant, with a 745-megawatt (MW) combined-cycle gas turbine (CCGT) plant on the outskirts of Dallas;
- The Colorado Bend I plant with a 530 MW CCGT and a 74 MW open-cycle gas turbine (OCGT), in south Houston, which provides additional flexibility to meet high demand; and
- The La Porte site with a 150 MW OCGT in southeast Houston.
The assets will serve the fast-growing energy demand of Houston and Dallas and help offset the intermittency of renewable power production, the release stated.
TotalEnergies’ 1.5 GW additional flexible production capacity will complement its renewable capacity in Texas — currently 2 GW gross installed, 2 GW under construction and more than 3 GW under development — and strengthen its trading capabilities in the gas and power market, according to the company.
“These plants will enable us to complement our renewable assets, intermittent by nature, provide our customers with firm power, and take advantage of the volatility of electricity prices,” said Stephane Michel, TotalEnergies’ president of Gas Renewables & Power. “This acquisition will contribute positively to our profitability target of 12% ROACE by 2028 for our Integrated Power business segment.”
The transaction remains subject to approval by the relevant authorities.
Recommended Reading
E-wireline: NexTier Taps Oilfield Grid, Automation for Completions
2024-07-23 - NexTier Completion Solutions is using advanced electric-drive equipment, automation-enabled pump down technology and digital connectivity to optimize wellsite operations during shale completions.
Cracking the Fracking Code: Efficient Approaches to Optimize Wellbores
2024-06-30 - Technology and process innovations improve operational efficiencies even as companies scramble for greener fracking solutions.
International, Tech Drive NOV’s 2Q Growth Amid US E&P Headwinds
2024-07-29 - Despite a U.S. drilling slowdown, slightly offset by Permian Basin activity, NOV saw overall second-quarter revenue grow by 6%, although second-half 2024 challenges remain in North America.
E&P Highlights: June 10, 2024
2024-06-10 - Here’s a roundup of the latest E&P headlines, including a decline in global drilling activity and new contract awards.
Give Us a Signal: Tech Firm Ups E&P Coverage in Remote Plays
2024-07-02 - As E&Ps struggle to transmit information over public networks in out-of-the-way oil and gas basins, tech firm Digi is working to improve its reception.