Now Playing: How to purchase a forest home article Now Play: What you need to know about building a home using natural gas source Fortune article Now Read: What the best products are to buy for your home, apartment or business from the big players article NowRead: 10 ways to be more creative with your home decor NowRead:”We have always been at the cutting edge of natural gas technology, and this is a great opportunity for us to continue our mission,” said Mark B. Hulley, chief executive officer of the Mid-Atlantic Power Company, which operates natural gas-fired power plants across the region.
“We’re excited to join forces with our customers and partners to help make natural gas affordable for customers and for the environment.”
Power Generation, Inc. (PG&L), the parent company of Duke Energy, and SunPower Corp. (SPWR) announced Thursday that they had entered into a new agreement for the purchase of up to 5 million acres of land in southern New Jersey.
Duke Energy will pay $4.1 billion, while SunPower will pay about $4 billion, including $500 million for a $250 million loan.
The deal is one of several that have emerged in recent weeks in the energy market, as states across the country grapple with the impact of rising carbon emissions.
In December, two major power companies agreed to purchase an additional 1.2 million acres in New Jersey to help meet a demand for energy in the region that has grown in recent years.
The company that will receive the largest amount of the new power deal is Duke Energy.
In a statement Thursday, Duke Energy said the purchase will help increase the amount of electricity that can be produced from natural gas, a more efficient source of energy than coal and oil, in areas where the demand for it is greatest.
In addition, Duke said it has completed a $4 million agreement to purchase up to 1.3 million acres near the towns of Greenville and Bergen, N.J., and in parts of New York and New Jersey, in order to meet demand for natural gas as demand continues to rise in the U.S. and globally.
SunPower, which owns about 20,000 megawatts of generating capacity, said it was pleased to be a part of the transaction.
The two companies will work together to meet the increasing demand for power, and will be the first companies in the United States to be in a long-term commercial agreement for this type of project,” spokesman Eric D. Pfeifer said in a statement.