Calpine to Sell Stake in a Gas-Fired Plant

3 November 2010 (Last Updated November 3rd, 2010 18:30)

Calpine will sell a 25% undivided interest in the 1,038MW Freestone Energy Center in Texas, US, to Rayburn Country Electric Cooperative for $215m. Calpine remains the majority owner and will continue to operate the plant in exchange for annual operating and management fees from Rayburn.

Calpine will sell a 25% undivided interest in the 1,038MW Freestone Energy Center in Texas, US, to Rayburn Country Electric Cooperative for $215m.

Calpine remains the majority owner and will continue to operate the plant in exchange for annual operating and management fees from Rayburn.

Rayburn will receive 25% of the economic benefit of the plant's output, allowing it to better serve its customers in rural north and east Texas.

The combined-cycle natural gas-fired power plant began commercial operation in June 2002.

The Freestone plant generates power first through four electricity-producing natural gas turbines, and then uses heat from the process to create steam to drive two steam turbines.

This fuel-efficient approach allows Calpine to reduce emissions compared with older fossil-fuel facilities.