Utility Set to Meet with Officials About Buying Gas Company
FAIRBANKS, Alaska (AP) — A utility company’s representatives are scheduled to meet with state officials to work on the terms for buying a natural gas business that will bring service to more customers in the Fairbanks area.
Interior Gas Utility Board Chairman Mike Meeks and recently appointed board member Bob Shefchik are scheduled to meet this week with Alaska Industrial Development and Export Authority Board Chairman Dana Pruhs and Chief Executive John Springsteen, the Fairbanks Daily News-Miner reported.
The Interior Gas Utility seeks to purchase Pentex for $60 million from the Alaska Industrial Development and Export Authority using state grant money. By purchasing Pentex, the utility would acquire Fairbanks Natural Gas, the Titan LNG gas liquefaction plant and a semi-truck hauling operation to bring liquefied natural gas to Fairbanks.
An Interior Gas Utility acquisition of Pentex would reportedly reduce staff, infrastructure and supplies, which will help keep natural gas delivery costs down, the News-Miner reported.
The Interior Gas Utility Board of Directors has two work sessions and two public information meetings planned between now and its Dec. 5 board meeting. The board will vote on the Pentex purchase that day, Meeks said.
Alaska Industrial Development and Export Authority and Interior Gas Utility officials remain positive a deal will be reached.
However, Alaska Industrial Development and Export Authority’s Interior Energy Project Team Leader Gene Therriault said early last week that, if a deal is not reached soon, the Interior Energy Project’s $275 million funding package could be reappropriated to the state’s general fund. The possibility of losing the funding package is “a real threat,” he said.
If a deal is not reached, the Interior Gas Utility would be absorbed by the Alaska Industrial Development and Export Authority.
Related News
From Archive
- HDD industry faces challenges as cities push back on fiber drilling disruptions
- 2 workers killed, 1 injured while working on sewer line in Mobile, Ala.
- $5.3 billion, 516-mile pipeline to connect Texas to Arizona through New Mexico
- Tunnel boring continues under Chesapeake Bay for $3.9 billion HRBT Expansion project
- Judge approves construction for key portion of $485 million pipeline in Larimer County, Colo.
- New products: Latest industry developments
- 31 workers rescued after LA tunnel partially collapses
- Ohio Supreme Court rules sewer line location isn’t a ‘defect’ in property dispute
- Faulconer Construction begins rock blasting for water pipeline project in Charlottesville, Va.
- $5.3 billion, 516-mile pipeline to connect Texas to Arizona through New Mexico
Comments