Duke expands its fiefdom

Wednesday, 4 July 2012

The merger of Duke Energy and Progress Energy is complete, resulting in a massive nuclear utility boasting 7.1 million customers in three regions of the southeast and midwest USA.

The combined service areas of the two firms (Image: Duke Energy)

The $32 billion merger completed yesterday created an expanded Duke Energy that will keep Progress as a wholly owned subsidiary, after outstanding Progress shares were exchanged for 0.87 shares in Duke.

Duke's new market capitalization was put at about $49 billion and its total assets at $100 billion. The company laid claim to being "the country's largest electric utility by enterprise value, market capitalization, generation assets, customers and numerous other criteria."

Duke will be led by current president, CEO and chairman Jim Rogers rather than, as previously announced, by Bill Johnson who held those positions with Progress Energy. A statement today said Johnson had retired by mutual agreement.

The combined company has around 57 GWe of generating capacity, of which 11 GWe comes from 12 nuclear reactors at seven sites: Brunswick, Catawba, Crystal River, McGuire, Oconee, HB Robinson and Shearon Harris. It has three current licence applications for new nuclear build, all regarding twin Westinghouse AP1000 developments: at a new site at Levy, Florida; at Shearon Harris in North Carolina; and at William States Lee III in South Carolina. Duke has also been linked to a potential project to build an Areva EPR at Piketon in Ohio.

Researched and written
by World Nuclear News