GE arranges financing for US cogeneration plant

In a move to secure greater financial flexibility for a US cogeneration plant, GE Energy Financial Services has helped secure a US$97.4 million loan to be used for working capital.

The 105-MW combined-cycle plant in Henderson, Nevada, US is owned by NRG Energy affiliates and a partnership between MSD Capital and Paragon Energy, and is operated by the Saguaro Power Company. It features two Frame 6B gas turbines and one SAXC steam turbine from GE, and uses heat recovery steam generators to produce process-critical steam for adjacent chemical manufacturing and food processing plants.

GE served as the lead arranger for the secured loan. The lender was CIT Corporate Finance, Energy.

The companies did not disclose further financial details of the transaction.

Paragon Energy Holdings managing director Brian Redmond said, ‘The additional financing will provide us with the financial flexibility to continue operating a gas-fired cogeneration plant that is integral to the operations of our steam customers.’

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