RICHMOND, Va. — Dominion Energy announced Friday it has reached an agreement to sell the company’s West Virginia natural gas utility – Hope Gas, Inc. to Ullico Inc.’s infrastructure fund for $690 million. The transaction is expected to close later this year.
Once the sale is final, Ullico plans to integrate the utility with Hearthstone Utilities, Inc. that delivers natural gas to 80,000 customers in Indiana, Maine, Montana, North Carolina, and Ohio. Hearthstone will also move its headquarters to West Virginia, a news release said.
Robert M. Blue, Dominion Energy chair, president, and chief executive officer, said:
“For nearly 125 years, Dominion Energy West Virginia has provided reliable and affordable natural gas, safely, to the people and businesses of the Mountain State. From its roots as the Flaggy Meadow Gas Co., DEWV has been a pioneer in the natural gas sector, taking part in the construction of one of America’s first interstate pipelines, which originated in Wetzel County, and building our country’s first extraction plant at Hastings.”
“We are excited about the opportunity to continue to build on and invest in this important and valuable West Virginia company,” said Morgan O’Brien, Hearthstone’s president and chief executive officer. “Our vision is to grow the business and expand the footprint within the state, including to underserved communities. A key component is to establish West Virginia as our foundation for growth in creating new family-sustaining jobs, including bringing new jobs into the state in the first year.”
Hope Gas, Inc. is based in Clarksburg with about 300 employees, 111,000 West Virginia customers with 3,200 miles of gas distribution pipelines and more than 2,000 miles of gathering pipelines. Dominion Energy continues to own and operate Mt. Storm Power Station in Mt. Storm.
Ullico, which has been around for more than 90 years, is the nation’s only labor-owned insurance and investment company. It formed its investment fund in 2010 “to assist in the construction, maintenance, and refurbishment of America’s infrastructure..”