Enstar Natural Gas Co., Southcentral Alaska’s natural gas distribution company, is on its way to having a Canadian owner.
Calgary-based AltaGas Ltd. said yesterday that it will pay more than $1.1 billion for natural gas businesses in Alaska and Michigan. The acquisition of Semco Holding Corp. includes Semco Energy Inc. in Port Huron, Mich., Enstar and an interest in Cook Inlet Natural Gas Storage Alaska LLC.
AltaGas said the transaction is subject to customary approvals, expected to take about six months, and including regulatory approvals from the Michigan Public Service Commission, the Regulatory Commission of Alaska and expiration of the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976.
“AltaGas’ vision is to be a leading North American energy infrastructure company. This acquisition continues the successful execution of our growth strategy,” said David Cornhill, AltaGas chairman and CEO, in a Feb. 1 statement.
“These assets come with strong management teams and employees who have a strong record of delivering safe and reliable service to their customers and have excellent relationships with the communities in which they operate,” he said, adding that AltaGas looks forward to welcoming Semco management teams to AltaGas.
“We have a long history of operating natural gas utilities, and we will continue to delivery safe and reliable service to our customers,” Cornhill said.
The message was the same in Alaska.
“Enstar will continue to provide the same safe and reliable service relying on the same personnel, working from the same offices, doing the same work they do now,” Enstar’s director of corporate communications and customer service, John Sims, told Petroleum News Feb. 1.
“Colleen Starring will remain as president of Enstar Natural Gas and we really expect it to be a smooth transition,” Sims said.
See stories in Feb. 5 issue, available online at 11 a.m., Friday, Feb. 3 at www.PetroleumNews.com