Shell Sells RISEC Holdings to Constellation Energy for $715 Million
On September 10, Shell announced a deal with Constellation Energy to sell its stake in the Rhode Island State Energy Center (RISEC) for $715 million. The facility is part of New England's power market and has a capacity of 609 MW from natural gas generation. In exchange, Shell will acquire full ownership of Hunlock Creek Generating, which operates 169 MW of Pennsylvania-based natural gas-fired generation assets. Both transactions are expected to close in Q1 2027 after regulatory approvals. The move aligns with Shell's strategy for portfolio optimization and capital efficiency while expanding its presence within the PJM Interconnection grid region — a key area due to rising electricity demand from data centers. For Constellation, acquiring RISEC complements its growing New England operations by adding reliable generation capacity that supports peak load flexibility alongside nuclear assets. The deal is expected to be immediately accretive for Constellation and generate returns above 10% unlevered return thresholds. It also aligns with the company's broader strategy following its acquisition of Calpine, which added significant gas and geothermal power generation capacity.
Topics: Corporate Transactions Energy Natural Gas Generation