Shell to acquire US combined cycle power plant

Shell Energy North America (SENA), a subsidiary of Shell plc (Shell), has signed an agreement to acquire 100% of RISEC Holdings (RISEC), which owns a 609 megawatt (MW) twin-unit combined cycle gas turbine power plant in Rhode Island, USA.

The acquisition secures Shell’s long-term supply and capacity offtake in the deregulated Independent System Operator New England (ISO New England) electricity market, with SENA having an energy conversion agreement with RISEC since 2019 to offtake 100% of the plant’s energy offtake.

Huibert Vigeveno, Shell’s Director of Downstream, Renewables and Energy Solutions, said: “Shell has successfully operated an integrated gas and power business in the growing ISO New England market for more than 20 years and this acquisition secures valuable trading opportunities by securing SENA’s position in the market. Our deep knowledge of the plant’s performance enables Shell to fully exploit its value within our existing trading portfolio.”

RISEC’s combined cycle gas turbine power plants supply electricity to the ISO New England power market, where demand is expected to increase in the coming decades due to increasing decarbonization efforts in sectors such as home heating and transportation.

The acquisition will be included in Shell’s cash capital expenditure guidance, which remains unchanged.

The transaction is subject to regulatory approvals and is expected to close in the first quarter of 2025.