A POWER station near Selby has been sold - only two years after being bought by American company Edison Mission energy.

The new owners are another US company, American Electric Company, who have paid £650 million for Ferrybridge and Fiddler's Ferry coal-fired stations.

The sale is the result of a competitive bidding process announced earlier in the year, and Edison Mission expects the transaction to close before the end of the year.

Edison Mission bought the two plants from PowerGen in 1999 for £1.3 billion.

Since then the electricity market has changed substantially, with a sharp decline in wholesale prices.

Willie Heller, European President of Edison Mission, said: "We are pleased to have reached agreement with American Electric.

"The plants have operated very well over the past two years but, the rapid change in market conditions has been a big disappointment.

"This sale will end the uncertainty and enable us to take advantage of new opportunities in the UK and the rest of Europe.

"We remain committed to the UK market and are pleased with the performance of our other assets.

"We see great potential both in the UK and across Europe for renewables, particularly wind. We are currently developing a large offshore wind farm in North Wales and expect to be in the forefront of this latest round of projects."

A company spokesman said all employees at Ferrybridge and Fiddler's Ferry, near Widnes, would transfer to the new company.

American Electric Power (AEP) is a multinational energy company based in Columbus, Ohio. It owns and operates more than 38,000 megawatts of generating capacity, making it America's largest generator of electricity.

The company is also a leading wholesale energy trader.

Updated: 14:25 Monday, October 08, 2001