EPCOR acquires Morris Cogeneration
The Morris facility is a 177 megawatt (MW) natural gas-fired cogeneration facility located on Equistar Chemicals LP's (Equistar) chemical plant in Morris, Illinois, near Chicago.
The facility began commercial operations in 1998. All of the steam and a portion of the electricity produced from the facility are sold to Equistar under the terms of a long-term energy services agreement which expires in 2023. Equistar, a wholly-owned subsidiary of Lyondell Chemical Company, produces ethylene and its co-products and derivatives including polyethylene plastic, at the Morris facility.
The Morris facility also has an electric capacity agreement with Exelon Generation Company, LLC that terminates in 2011, for capacity and electricity in excess of the needs of Equistar and can participate in the PJM (Pennsylvania, New Jersey, and Maryland) market.
"The acquisition of the Morris facility is an excellent strategic fit and is expected to be modestly accretive to cash flow," said Brian Vaasjo, President of the General Partner of EPCOR Power L.P. "This facility combines the off-gas normally generated by the Equistar production process with natural gas, and efficiently combusts the mixture to simultaneously cogenerate steam and electricity, very similar to other EPCOR operated facilities.
"We understand the technology utilized by this plant, we support the efficiencies attributable to cogeneration, and we propose to add value to the Morris facility by leveraging on the Partnership's operating expertise and capitalizing on growth opportunities within the highly developed geographical area."
Related News
Bomb Cyclone Leaves Half a Million Without Power in Western Washington
SEATTLE - A powerful "bomb cyclone" recently hit Western Washington, causing widespread destruction across the region. The intense storm left more than half a million residents without power, with outages affecting communities from Seattle to Olympia. This weather phenomenon, marked by a rapid drop in atmospheric pressure, unleashed severe wind gusts, heavy rain, and flooding, causing significant disruption to daily life.
The bomb cyclone, which is a rapidly intensifying storm, typically features a sharp drop in barometric pressure over a short period of time. This creates extreme weather conditions, including gale-force winds, torrential rain, and coastal flooding. In Western Washington,…
