SUNYA SCOOP

$20 billion in power deals

January 14, 2025

KKR, PSP Back AEP with $2.82B for Transmission Expansion

  • KKR and PSP acquire 19.9% equity interest in two AEP Transcos, covering 5% of AEP’s $56B transmission rate base.

  • Funds support AEP's $54B capital plan (2025–2029) and offset $5.35B in equity financing needs.

  • Assets include transmission lines in Ohio, Indiana, and Michigan, where demand growth has surged.

  • AEP retains control of its transmission system, the largest in the U.S., spanning 29,000 MW of generating capacity.

  • Deal closes in H2 2025, pending Federal Energy Regulatory Commission and CFIUS approval.

Constellation’s $16.4B Calpine Acquisition Creates Clean Energy Giant

  • Acquisition blends Constellation’s 24/7 emissions-free electricity with Calpine’s low-emission natural gas and renewables.

  • Combined entity serves 2.5M customers, reinforcing Constellation’s position as the cleanest U.S. energy producer by carbon intensity.

  • Financial breakdown: $4.5B cash, 50M Constellation shares, $12.7B assumed Calpine debt, equating to a $26.6B net price.

  • Regulatory approval anticipated within 12 months; Constellation retains headquarters in Baltimore and expands presence in Houston.

  • Emphasis on R&D for clean technologies and community-focused initiatives, aligning with both companies' sustainability goals.

Montana Renewables Secures $1.44B DOE Loan for SAF Expansion

  • $782M in initial funding targets scaling SAF production to 300M gallons/year.

  • Expansion creates 450 construction jobs, 40 operational roles, and boosts local agricultural feedstock use.

  • Facility positioned as North America's largest SAF producer upon completion.

ENGIE and Meta Sign 200 MW Solar Deal in Texas

  • ENGIE will supply Meta with 200 MW of solar power from the Anson 2 Solar Project in Jones County, Texas, operational by late 2025.

  • This deal brings the total collaboration between the two companies to 460 MW of renewable energy in 2024 alone.

  • Meta has procured over 12 GW of renewable energy since 2020 to meet the growing power needs of its data centers and maintain net-zero emissions.

  • ENGIE, with 8 GW of renewables in North America, strengthens its position as a leading global provider of renewable power purchase agreements.

Morgan Stanley’s 1GT Joins €115M XOCEAN Fundraise

  • €115M raised by XOCEAN from Morgan Stanley’s 1GT, S2G Ventures, and others to scale ocean data services.

  • XOCEAN's Uncrewed Surface Vessels cut CO2 emissions by 99.9% vs. traditional survey ships.

  • Fleet has delivered 4.9M+ GB of data across 23 jurisdictions, supporting offshore wind projects.

NZAM Suspends Operations After BlackRock's Exit

  • The Net Zero Asset Managers initiative (NZAM) pauses operations to reassess its strategy after BlackRock’s withdrawal.

  • Regulatory shifts and evolving client expectations drive NZAM’s review, aiming to align with global decarbonization challenges.

  • Activities, including tracking signatory progress and reporting, are suspended during the review.

  • NZAM removes its commitment statement and signatory targets from its website but commits to transparency throughout the review.

  • Previously, NZAM helped global investors align with energy transition goals while maintaining fiduciary and financial responsibilities.

Kinder Morgan Buys $640M Gas System from Outrigger Energy II

  • Kinder Morgan acquires a gas gathering and processing system in North Dakota’s Williston Basin from Outrigger Energy II, a private midstream energy company.

  • Outrigger’s system includes a 270 MMcf/d processing plant and a 104-mile rich gas pipeline with 350 MMcf/d capacity.

  • Outrigger Energy II, backed by NGP Energy Capital Management 

  • Kinder Morgan operates 79,000 miles of pipelines, handling diverse energy products, and continues expanding its natural gas infrastructure portfolio.

  • Regulatory approval is anticipated by Q1 2025, reinforcing Kinder Morgan's leadership in energy infrastructure.

Langford Energy Partners Expands into Midland Basin

  • Acquired 8,000 net acres producing 7,200 boe/d (72% oil) in Texas' Howard, Borden, and Midland counties.

  • Deal includes 63 horizontal wells, existing infrastructure, and equity backing from Langford Energy Partners I, LP.

  • Acquisition reflects Langford's growth in operated oil and gas investments.

Westinghouse and NSMTC Team Up for Nuclear Growth

  • Agreement focuses on deploying AP300 SMRs for clean energy and industrial applications in New Brunswick.

  • Collaboration highlights Indigenous-led innovation and economic benefits for First Nations.

  • AP300 technology combines a compact footprint with load-following capability, boosting clean energy goals.

DISCLAIMER: None of this is financial advice. This newsletter is strictly educational and is not investment advice or a solicitation to buy or sell any assets or to make any financial decisions. Please be careful and do your own research.