ContourGlobal to buy US and Trinidad & Tobago assets for $837m

ContourGlobal has agreed to buy a portfolio of natural gas-fired and combined heat and power assets in the US and Trinidad and Tobago from Western Generation Partners (WGP) for $837m.

The company said the assets, which total 1,502MW, are attractive, low carbon, principally natural gas-fired, flexible assets located in or adjacent to areas where it has an operating presence.

They benefit from long-term dollar-denominated contracts providing a high degree of visibility into the long-term earnings and cash flow outlook, it said. They also include a highly efficient combined heat and power asset similar to those in the company’s existing solutions portfolio.

President and chief executive officer Joseph C. Brandt said: "We are very pleased to announce the continued expansion of our Caribbean and Solutions businesses and the entry into the United States market with this acquisition of contracted combined heat and power and flexible natural gas assets.

"This transaction fits squarely into our strategic and financial approach to acquisitions, which seeks high quality growth through operationally led strategic acquisitions."