TransCanada sells U.S. power plant in Arizona to Southwest Generation for $623M

TransCanadaCorp. has signed a deal to sell its Coolidge Generating Station in Arizona to a subsidiary of Southwest Generation Operating Co. LLC for $623 million.

TransCanadachief executive Russ Girling says the sale, worth $465 million U.S., is part of a plan to help fund the company's capital spending program.

The 575-megawatt natural gas-fired power in Coolidgeis underpinned by a long-term power purchase agreement.

Under the terms of the PPA, Salt River Project Agricultural Improvement and Power District has a right of first refusal on a sale to a third party.

TransCanadaowns and operates pipelines across North America as well as power generation assets including a stake in the Bruce Power nuclear power plant in Ontario.

• MORE ALBERTA NEWS|Quebecers criticize 'dirty' Alberta oil but buy more gasoline, SUVs: report
• MORE ALBERTA NEWS|Calgary councillors, plus the mayor, film videos promoting pro-pipeline rally
• Read more articles byCBC Calgary, like us onFacebookfor updates and subscribe to ourCBC Calgary newsletterfor the day's news at a glance