The Sempra Energy Building in downtown San Diego. Photo via Wikimedia Commons

San Diego-based Sempra Energy announced the completion of its divesture Monday of its renewable energy assets and natural gas storage facilities.

Sempra, parent of San Diego Gas & Electric Co., made the announcement after completing a $584 million sale of its wind operating and development assets to American Electric Power. Sempra also completed sales of its natural gas and solar assets to an affiliate of ArcLight Capital Partners and Consolidated Edison, respectively, over the last six months.

The company also plans to sell its equity stakes in energy companies in Peru and Chile. All told, Sempra Energy will receive roughly $2.5 billion in cash for the sales, which the company framed as a reorganization of its assets.

“We have a long and successful track record of actively managing our portfolio, including exiting businesses that are no longer consistent with our strategy,” said Sempra President and CEO Joseph Householder. “The proceeds from the asset sales will be used to pay down debt and redeploy capital to support the strategic growth of Sempra Energy in North America.”

As a result of the sale, AEP will take over the Black Oak Getty Wind project in Minnesota, the Apple Blossom Wind project in Michigan, five projects that Sempra jointly owned with BP Wind Energy and Sempra’s wind projects that are still in development.

Sempra Energy reported $11.6 billion in revenue in 2018.

— City News Service

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