Resource Energy Services Company Acquires Natural Gas Marketing Assets of Triumph Natural Gas, Inc.

Strategic Insights -

Resource Energy Services Company, LLC, a Houston-based natural gas marketing company, has acquired the natural gas marketing assets of Triumph Natural Gas, Inc. (Triumph), a Dallas-based gas gathering and marketing firm. The acquisition includes all of Triumph's natural gas marketing agreements to serve industrial customers in Indiana, Wisconsin, Illinois, and Michigan, as well as several related firm gas supply and transportation contracts. Resource Energy's President, Leon Bray, stated that the purchase brings long-term relationships with NIPSCO Industries and its subsidiaries, and provides entry into the midwestern markets. This acquisition is an important step in Resource Energy's expansion process.

Key Takeaways:

  • Resource Energy Services Company, LLC has acquired the natural gas marketing assets of Triumph Natural Gas, Inc., a Dallas-based gas gathering and marketing firm.
  • The acquisition includes all of Triumph's natural gas marketing agreements to serve industrial customers in Indiana, Wisconsin, Illinois, and Michigan.
  • Resource Energy's President, Leon Bray, stated that the purchase brings long-term relationships with NIPSCO Industries and its subsidiaries, and provides entry into the midwestern markets.
  • Piedmont Natural Gas, a subsidiary of Resource Energy, has a majority ownership stake, with a subsidiary of NIPSCO Industries, Inc. owning 51% of Triumph.
  • Resource Energy was formed in January 1994 to offer natural gas supply acquisition, transportation, and storage services to industrial and utility customers.
  • Piedmont Natural Gas, the second-largest natural gas utility in the southeast, opened an office in Houston in 1982 to acquire natural gas supplies for itself and its large industrial direct-serve customers.

Statistics:

  • 51% of Triumph Natural Gas, Inc. is owned by NIPSCO Energy Service, Inc., a subsidiary of NIPSCO Industries, Inc.
  • Resource Energy has acquired all of Triumph's natural gas marketing agreements to serve industrial customers in 4 states (Indiana, Wisconsin, Illinois, and Michigan).
  • Resource Energy was formed in January 1994, and has been offering natural gas supply acquisition, transportation, and storage services to industrial and utility customers.
  • Piedmont Natural Gas has over 512,000 residential, commercial, and industrial customers in North Carolina, South Carolina, and Tennessee.

Sources:

  • PRNewswire, May 4
  • Piedmont Natural Gas Company, Inc., Yahoo Finance
  • Resource Energy Services Company, LLC, Yahoo Finance
  • NIPSCO Industries, Inc., Yahoo Finance
  • Triumph Natural Gas, Inc., not available online.