LUDINGTON — A Japanese firm has acquired a cogeneration natural gas-fired power plant on the lakeshore from a Texas-based private equity firm.
The Rockland Capital LLC-owned Wolverine Power Holdings LLC last month said it was selling the 125-megawatt Michigan Power facility in Ludington to Osaka Gas USA, a wholly owned subsidiary of Osaka Gas Co. Ltd., according to a statement.
The Michigan Power cogeneration plant, which was built in 1995, has a long-term power purchase agreement with Consumers Energy Co. for its electrical output. The facility also sells steam and compressed air to the nearby Occidental Chemical Corp. in Ludington.
According to a report in Reuters, the transaction is valued at $93 million.
Wolverine Power purchased the facility at the end of 2015 from Boston-based ArcLight Capital Partners LLC, as MiBiz reported at the time.
The Woodlands, Texas-based Rockland Capital operated the power plant as part of its $425 million Rockland Power Partners II LP fund, which it launched in 2003. The fund, which included U.S. endowments and foundations, funds of funds, pension plans and family offices, specialized in investments in power and energy infrastructure. The company also owns a cogeneration power plant in Midland, Mich.
Osaka Gas Co. is a Japanese producer and supplier of natural gas for the Osaka, Kyoto, and Hyogo areas. The company generated $11.01 billion in revenue last year, according to a statement.