Blackstone, advised by Kirkland & Ellis LLP, has agreed to purchase a natural gas power plant in Loudoun County, Virginia, for $1 billion, according to a source familiar with the transaction. The acquisition, announced Friday, includes Potomac Energy Center, a 774-megawatt facility strategically located in one of the world’s largest data center markets.
Strategic Acquisition Bolsters Blackstone’s Energy Portfolio
The investment will be managed through Blackstone Energy Transition Partners, the firm’s energy-focused private equity business. While financial terms were not disclosed in the announcement, a source confirmed the $1 billion valuation, with Ares Management serving as the seller.
Mark Zhu, managing director at Blackstone Energy Transition Partners, praised the plant’s forward-looking capabilities.
“Potomac is one of the most efficient gas power plants in the region and has the potential to integrate a hydrogen fuel blend in the future, which could provide future environmental benefits,” Zhu said in a statement.
