Star West Generation
Star West Generation LLC is an innovative independent power producer focused on clean, reliable, and efficient power generation serving North American markets. We were established in 2011 with the strategic acquisition of our two anchor assets located in the Desert Southwest: the Arlington Valley and Griffith Energy facilities. These facilities employ efficient, state-of-the-art power generation and heat recovery technologies to produce up to 1,147 megawatts of electricity from clean burning natural gas.
Ownership in Star West is held by investment funds managed by Highstar Capital, a premier infrastructure investment firm with over a decade of experience in the power generation sector. With solid financial backing, a proven leadership team, and best-in-class operations, Star West is well positioned to play a significant role in the future of the power markets of the western United States.
Both the Arlington Valley and Griffith Energy facilities serve the rapidly growing electricity markets of the Desert Southwest (Arizona, New Mexico, and southern Nevada) as well as California. Both plants also enjoy direct transmission connections to major electricity trading hubs. With their modern, clean-burning natural gas turbine technologies and “combined cycle” configurations, Arlington Valley and Griffith are among the most desirable sources of power in the markets they serve. Looking ahead, as energy efficiency and environmental footprint become even more critical considerations in the coming years, we believe Star West will be in an even stronger position as a supplier of choice in meeting the burgeoning demand for electricity in the region.
We consider innovation be one of our core strengths at Star West. We pride ourselves in “thinking outside the box” and taking new approaches to old problems. Our management team is highly experienced in optimizing plant operations, mitigating operational and financial risks, structuring commercial contracts, and strategically deploying capital. Applying this skill set, we are able to add value for the benefit of our customers – and if our customers are successful, we are successful.
Star West holds approximately $1 billion in assets on our balance sheet. In addition, we enjoy predictable and stable cash flows with virtually no commodity exposure under our existing tolling agreements with two of the largest load serving utilities in the southwest. Our primary focus is serving current and future customers under long-term supply contracts and, hence, our financial future will not be dictated by near-term volatility of energy commodity prices. We are, however, well positioned to compete and realize financial upside from merchant transactions around our uncommitted capacity as those opportunities arise.
Poised for Growth
Star West has established a solid foundation on which to grow the company through strategic acquisitions. The Arlington Valley and Griffith Energy facilities, with their modern technology footprint and existing power purchase agreements, represent an ideal cornerstone on which to build the business. In conjunction with our owner, Highstar Capital, we are actively pursuing opportunities to grow our portfolio with assets that are complementary to our existing plants – operationally and commercially – and situated in markets in which the long-term supply/demand outlook presents opportunities for companies like Star West to apply our core strengths to create value.