Ares EIF Group has closed an equity investment for the construction of a 488MW natural gas-fired combined-cycle generation Birdsboro power plant in Berks County, in the US state of Pennsylvania.
CIT Bank, GE Energy Financial Services and Investec have arranged a non-recourse debt financing for the project. However, the terms of the transaction have not been disclosed.
Kiewit has been retained as the contractor for the engineering, procurement and construction of the project, which will feature GE 7HA.02 gas turbine and a GE steam turbine.
After the completion of the construction phase, the project is expected to create about 20 permanent jobs. Commercial operations of the plant are expected to begin in the second quarter of 2019.
Ares EIF Group vice presidents Ben Pike said: “We are excited to be moving forward on this project, which once again demonstrates how private sector infrastructure investors can create jobs, clean up an old dirty site, and reinvigorate the economy.”
Ares EIF Group partner Mark Voccola said: “Birdsboro is another example of Ares EIF partnering with an independent developer successfully to complete a state-of-the-art combined-cycle power project.
“This strategic investment will benefit from efficient new turbine technology, a differentiated location with tremendous local support, and a once-in-a-generation transformation of the nation’s energy sector.
“Natural gas from the Marcellus and Utica are driving the power market towards a cleaner resource mix and lower cost for end consumers.”