Magnolia Combined Cycle Gas plantis located in Mississippi. TVA is buying the 968-megawatt plant from Kelson Energy.
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TVA finalized its purchase of the Magnolia Combined Cycle Gas Plant in northern Mississippi on Wednesday, paying $436 million for what will be the utility’s biggest gas-fired power plant.
“At less than half the cost of new construction, the fully permitted Magnolia plant will be a cost-effective addition to the TVA system,” Bob Irvin, senior vice president for TVA Strategy & Planning, said in announcing the purchase.
Combined-cycle gas plants generate electricity from gas turbines as well as from one or more generators powered by steam heated by the turbines’ exhaust.
The three-unit Magnolia plant near Ashland, Miss., has a generation capacity of 968 megawatts, making it the fourth and largest high-efficiency, combined cycle gas plant acquired or leased by TVA since 2007, according to TVA spokesman Duncan Mansfield.