Spire to acquire interstate pipeline, gas distributor
US natural gas company Spire said May 25 it had entered into an agreement to acquire interstate natural gas pipeline MoGas Pipeline and gas distributor Omega Pipeline for $175mn from CorEnergy Infrastructure Trust.
The transaction is expected to close in Spire’s fiscal Q4 (calendar Q3), pending regulatory approvals and subject to customary closing conditions.
“These businesses fit well with our existing natural gas midstream businesses and enhance our ability to serve customers in Missouri,” Spire COO Steve Lindsey said.
Spire is one of the largest investor-owned natural gas companies in the US, serving more than 1.7mn homes and businesses through utility ownership in Alabama, Mississippi and Missouri. The MoGas acquisition will add about 263 miles of federally-regulated interstate pipelines, primarily in Missouri, while Omega owns and operates a 75-mile gas distribution system in south-central Missouri connected to the MoGas system.