Boralex Inc. of Montreal has signed an agreement to buy the 3.5-MW Stillwater hydroelectric project in New York for $9.3 million from Stillwater Hydro Partners L.P., the project’s licensee and operator.
Boralex, which plans to finance the purchase itself, said June 1 it would operate the project through Boralex Stillwater LLC. Regulatory and other approvals are required to complete the transaction.
Boralex said Stillwater (No. 4684) will provide operating synergies with five of its other New York projects: 3.35-MW Fourth Branch (also known as Mohawk Paper Mills) (No. 3605); 1.98-MW Middle Falls (No. 8610); 10.83-MW New York State Dam (No. 7481); 2.3-MW Sissonville (No. 9260); and 2.9-MW Warrensburg (No. 9074).
Generation from the Stillwater project, on the Hudson River, averages 14 gigawatt-hours per year and will be sold to National Grid under a contract that ends in 2027, Boralex said.
Boralex owns 20 power stations in Quebec, the U.S., and France, with an installed capacity of 315 MW. It also holds a 23 percent interest in Boralex Power Income Fund, which owns ten power stations in Quebec and the U.S. with an installed capacity of nearly 190 MW. Boralex manages the fund’s assets.
In 1991, Ridgewood Energy Electric Power L.P. (later Ridgewood Electric Power Trust I) acquired a 32.5 percent general partner’s interest in Stillwater Hydro Partners L.P., which was formed to build, own, and operate the project. In 1994, the trust elected to exchange its general partner interest for a limited partnership interest and $1 million cash.