TransCanada has revealed plans to sell its hydroelectric stations on the Connecticut River and Deerfield River to help finance its $13 billion merger with Houston-based Columbia Pipeline Group.
The properties to be sold include thirty thousand acres of land linked with hydro facilities in Massachusetts, New Hampshire and Vermont; in addition to three storage-only reservoirs.
The company is waiting for shareholder approval to finalize its acquisition of the Houston-based pipeline group. The group has 15,000-mile network of pipeline and storage assets. The merger would create a 57,000-mile system as well as natural gas transmission portfolio worth $23 billion.
Russ Girling, the president of TransCanada, said earlier this month, “At the same time, we will be well positioned to transport North America’s abundant natural gas supply to liquefied natural gas terminals for export to international markets.”
Proceeds from the sales of power generation assets on the Connecticut and Deerfield rivers will help comprise the required funding for its planned merger with the pipeline group.
TransCanada is a major taxpayer in its host communities. West Lebanon, New Hampshire estimates its dam property at $44.9 million, while Hartford, Vermont has pegged the value of its portion at more than $32 million. The dams in Vernon and Rockingham have been assessed at $30.5 million and $108 million, respectively.