Gas Natural (ticker: EGAS, exchange: American Stock Exchange (.A))
News Release -
Energy, Inc. Announces Acquisition of Cut Bank Gas Company
Great Falls, Montana, November 5, 2009/PRNewswire — First Call/ — Energy, Inc. (NASDAQ: EGAS), a natural gas utility and energy marketing company, today announced that it's subsidiary Energy West, Incorporated has completed the acquisition of approximately 83% of the outstanding shares of Cut Bank Gas Company, a natural gas utility serving Cut Bank, Montana.
On December 18, 2007, we entered into a stock purchase agreement with certain shareholders of Cut Bank Gas to acquire their shares of Cut Bank for a purchase price of approximately $500,000, paid in shares of our common stock. The Montana Public Service Commission approved the acquisition on November 2, 2009. We issued 56,900 shares of our common stock in consideration for the 83% interest in Cut Bank. Energy West, Incorporated is actively seeking to acquire the remaining 17% of outstanding shares of Cut Bank Gas Company.
"The Cut Bank Gas transaction fits well with our growth strategy, which includes the acquisition of smaller natural gas utility operations in Montana and Wyoming that are complementary to our existing business," said Kevin J. Degenstein, Energy Inc.'s president and chief operating officer. "Cut Bank Gas serves approximately 1,500 customers in Cut Bank and we are excited about the opportunity to improve their service while adding them to our customer base in Montana."
About Energy, Inc.
About Energy, Inc. Energy, Inc. distributes and sells natural gas to end-use residential, commercial, and industrial customers. It distributes approximately 26 billion cubic feet of natural gas to approximately 37,000 customers through regulated utilities operating in Montana, Wyoming, North Carolina and Maine. The company markets approximately 2.3 billion cubic feet of natural gas to commercial and industrial customers in Montana and Wyoming on an unregulated basis. The company also has a majority ownership interest in 160 natural gas producing wells and gas gathering assets. In addition, the company owns the Shoshone interstate and the Glacier gathering pipelines located in Montana and Wyoming. The company's Montana public utility was originally incorporated in 1909 and is headquartered in Great Falls, Montana.
Safe Harbor Regarding Forward-Looking Statements
The company is including the following cautionary statement in this release to make applicable and to take advantage of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 for any forward-looking statements made by, or on behalf of, Energy, Inc. Forward-looking statements are all statements other than statements of historical fact, including, without limitation, those that are identified by the use of the words "anticipates," "estimates," "expects," "intends," "plans," "predicts," "believes" and similar expressions. Such statements are inherently subject to a variety of risks and uncertainties that could cause actual results to differ materially from those expressed. Factors that may affect forward-looking statements and the company's business generally include but are not limited to the company's continued ability to make dividend payments, the company's ability to implement its business plan, fluctuating energy commodity prices, the possibility that regulators may not permit the company to pass through all of its increased costs to its customers, changes in the utility regulatory environment, wholesale and retail competition, weather conditions, litigation risks, and various other matters, many of which are beyond the company's control, the risk factors and cautionary statements made in the company's public filings with the Securities and Exchange Commission, and other factors that the company is currently unable to identify or quantify, but may exist in the future. Energy, Inc. expressly undertakes no obligation to update or revise any forward-looking statement contained herein to reflect any change in Energy, Inc.'s expectations with regard thereto or any change in events, conditions or circumstances on which any such statement is based.
For additional information or clarification regarding Energy West, please contact: Kevin Degenstein, President and Chief Operating Officer.
The company's toll-free number is (800) 570-5688. The company's web site is www.ewst.com. The company's address is 1 First Avenue South, Great Falls, Montana 59401.