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Alaska’s largest natural gas utility being sold for USD800M

ANCHORAGE, ALASKA (AP) – The owner of the largest natural gas utility in Alaska said it is selling the company to Canada-based TriSummit Utilities Inc for USD800 million.

AltaGas Ltd announced on Thursday that the sale includes Anchorage-based ENSTAR Natural Gas, associated pipelines and ENSTAR’s majority ownership in a gas storage facility, the Anchorage Daily News reported. AltaGas, also based in Canada, acquired ENSTAR in 2012.

TriSummit has about 133,000 customers in Canada. ENSTAR, which has about 150,000 customers in Anchorage and parts of south-central Alaska, has had about one per cent annual growth in customers in recent years, AltaGas has reported.

AltaGas said the sale, in part, will allow the company to reduce debt and make “higher growth investments” in other operations, the company’s president, Randy Crawford, said in a statement.

The sale is subject to regulatory approval. The companies expect it to close by early next year. TriSummit in a statement said it plans to “retain all of ENSTAR’s dedicated employees and hire new Alaska employees to perform certain functions currently performed out of state”.