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Navajo Generating Station buyer backs out; coal plant's future in doubt

Published 09/21/2018, 05:36 PM
© Reuters.  Navajo Generating Station buyer backs out; coal plant's future in doubt
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  • The largest coal-fired plant in the western U.S. suffered a new setback this week in an effort to keep the plant running until 2040, as Middle River Power said it would not move forward with the purchase of the Navajo Generating Station in Arizona.
  • Peabody Energy (NYSE:BTU), which supplies NGS with its coal, has been looking for buyers to take ownership after most of its original owners opted to sell the plant last year; the federal government owns a 25% stake.
  • While Middle River did not specify the developments had led to its change of heart, coal facilities continue to close as they become less economical than cheap natural gas and renewables.
  • A number of groups, including the Trump administration, want the Navajo plant to stay open, but there are no takers yet for the power it produces.
  • Now read: Sirius Minerals (SRUXF) Investor Presentation - Slideshow


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