LS Power to Acquire U.S. Portfolio of Hydro Facilities

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Nov 15, 2022, 12:01 ET

Geographically Diverse Projects Support Company's Energy Transition Focus

NEW YORK, Nov. 15, 2022 /PRNewswire/ -- LS Power, a leading development, investment and operating company focused on the North American power and energy infrastructure sector, today announced it has reached an agreement to acquire 42 run-of-river hydro facilities across 11 states, totaling 334 MW, from Hull Street Energy. The acquisition is expected to close by the end of Q1 2023, subject to the satisfaction of certain closing conditions and regulatory approvals.

The portfolio is primarily concentrated in ISO-NE (152 MW), PJM (86 MW) and NYISO (48 MW), with the remaining facilities located in CAISO, SERC and WECC.

"With the addition of this large, geographically diverse, run-of-river hydroelectric portfolio, combined with our existing energy transition platforms, LS Power continues to lead the effort to develop a cleaner, more reliable, and more affordable energy ecosystem," said LS Power CEO Paul Segal.

"Reducing carbon intensity is an enduring secular trend that has long informed our energy transition strategy, which combines our renewable generation and fuels, battery energy storage, distributed energy, transmission, and transportation electrification platforms with a flexible, complementary natural gas fleet," Segal added.

"The hydro projects we are acquiring are located in states and markets with attractive regulatory environments supportive of energy transition investments, which we anticipate will grow over time," said LS Power Generation President Nathan Hanson. "Policies in New York and Massachusetts already promote the use of small hydro projects to meet renewable portfolio standards, and we expect additional states will follow as energy transition tailwinds continue to grow."

"Hydroelectric generation is a long-lived, carbon free asset class that can operate essentially in perpetuity with the appropriate maintenance and care," continued Hanson. "These projects will be integral to achieving carbon reduction goals, and we are excited to add them to our portfolio."

LS Power was represented by Milbank LLP as legal counsel with BMO Capital Markets Corp. and Scotiabank serving as financial advisors.

LS Power's growing family of energy transition platforms consists of the following:

EVgo, the nation's largest public fast-charging network for electric vehicles, powered by 100% renewable energy
Endurant Energy, a leading provider of on-site energy infrastructure solutions
CPower Energy Management, a leading provider of distributed energy resource management solutions
Primary Renewable Fuels, LLC, a waste-to-renewable natural gas development and operating platform
REV Renewables, a leader in renewables and energy storage with a ~2.8 GW operating portfolio including the largest non-utility owned pumped storage hydro portfolio in the U.S.
Rise Light & Power, NYC's largest generator, and developer of clean energy infrastructure
LS Power Grid, developer and operator of ~680 miles of high-voltage transmission lines, with 100+ miles and multiple substations under construction
LS Power Generation, operator of ~14,000 MW of flexible, fast-start gas facilities that complement the intermittency of wind and solar resources

About LS Power
LS Power is a development, investment, and operating company focused on the North American power and energy infrastructure sector. Since inception in 1990, LS Power has developed, constructed, managed, or acquired more than 46,000 MW of power generation, including utility-scale solar, wind, hydro, natural gas-fired, and battery energy storage projects, of which ~16,700 MW are currently operating. LS Power's Energy Transition Platforms include CPower Energy Management, Endurant Energy, EVgo, Rise Light & Power, and REV Renewables, as well as Waste-to-Energy initiatives. In addition, LS Power developed and is operating ~680 miles of high-voltage transmission, with 100+ miles and multiple substations under construction. Across these efforts, LS Power has raised $49 billion in debt and equity financing to support North American infrastructure. Through 2021, assets under LS Power control avoided 80.67 million metric tons of CO2e, equivalent to nearly 187 million barrels of oil not consumed or over 17.5 million cars taken off the road for one year. For more information, please visit www.LSPower.com.