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Calpine 3Q profit more than doubles

HOUSTON (AP) -- Independent power producer Calpine Corp. said Tuesday that its third-quarter profit more than doubled as fuel expenses dropped dramatically.

Calpine said it made $437 million, or 94 cents per share for the quarter ending Sept. 30, compared with $190 million, or 39 cents per share, a year ago.

Revenue fell almost 10 percent to just under $2 billion. Analysts polled by FactSet expected revenue of $1.57 billion.

Fuel and purchased energy expenses fell 36 percent compared with last year, primarily because of lower natural gas prices.

The Houston company also announced Tuesday that it has sold its Broad River Energy Center, a natural gas-fired power plant in South Carolina, to a subsidiary of Energy Capital Partners LLC, for $427 million. Calpine expects the deal to close in December.

Calpine also issued a full-year net income estimate of $250 million to $300 million, and an adjusted earnings before taxes and depreciation estimate of $1.73 billion to $1.78 billion.

For 2013, the company expects net income of $135 million to $335 million, and adjusted earnings before taxes and depreciation of $1.76 billion to $1.96 billion.

Shares of Calpine were down 1 cent to $17.60 in Tuesday morning trading. They have traded from $14.29 to $19.03 in the past year.