Constellation to Buy Shell's 609-MW Rhode Island Gas Plant — SkimNews
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- Constellation Energy plans to acquire the 609-MW Rhode Island State Energy Center (RISEC) from Shell Energy North America for $715 million, expanding its merchant generation position in the ISO New England market.
- Shell will separately acquire 100% equity in Hunlock Creek Generating LLC, which owns 169 MW of gas-fired capacity in Pennsylvania serving the PJM Interconnection market, from Castleton Commodities International's indirect subsidiary Riverview Power Holdings.
- PwC reported that first-half 2026 power market M&A value surged 173% to $216 billion versus H1 2025, with AI data center demand fueling what the firm called a "new M&A cycle" in its June report.
- RISEC, a combined-cycle gas plant in Johnston, Rhode Island, was acquired by Shell in 2025 from global investment firm Carlyle; Constellation CEO Joe Dominguez called the asset a complement to its New England customer business.
- The Hunlock portfolio Shell is buying includes a 125-MW two-unit combined-cycle plant plus a 44-MW simple-cycle peaking plant; both transactions are expected to close in the first quarter of 2027.
- Shell President of Trading and Supply Andrew Smith framed the deals as "selectively invest[ing] in assets that strengthen our market position" while realizing value on RISEC "on an accelerated timeline."
Why it matters: Constellation is plowing $715 million into a 609-MW combined-cycle plant to anchor its New England merchant generation business, while PwC documents a 173% surge in H1 power-sector M&A to $216 billion tied to AI data center load. Shell is simultaneously reshuffling its trading book — exiting Rhode Island, buying 169 MW in PJM Pennsylvania — with both transactions set to close in Q1 2027.
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