News Summary
SiEnergy Operating, a subsidiary of Northwest Natural Holding Company, is set to acquire EPCOR’s Texas gas utility, Hughes Gas Resources, for $60 million. With assets serving 6,900 metered connections, this acquisition will enhance natural gas services across 12 communities in Texas, leveraging SiEnergy’s expertise for improved infrastructure and reliability. Mark your calendars for the expected closing in the second quarter of 2025, heralding a brighter future for natural gas customers in the Lone Star State.
Texas Gas Utility Acquisition Announced
SiEnergy Operating, a subsidiary of Northwest Natural Holding Company, will acquire EPCOR USA Inc.’s Texas gas utility and transmission assets for $60 million. The assets are located northeast of Houston and the transaction is expected to close in the second quarter of 2025.
Details of the Acquisition
The acquisition will include 100% of EPCOR’s interest in Hughes Gas Resources Inc., which operates under the name EPCOR Texas Gas. This utility serves approximately 6,900 metered connections across 12 communities northeast of Houston and includes a network of 353 miles of pipeline.
Hughes Gas Resources has been under EPCOR’s ownership since 2017. By the end of 2025, the expected rate base for EPCOR Texas Gas is projected to reach around $46 million.
Strategic Shift for EPCOR
The decision to divest these assets is part of EPCOR’s strategic focus on expanding its water utility opportunities within Texas, signaling a shift in operational priorities. The company aims to enhance its water service offerings while allowing SiEnergy to leverage its natural gas utility experience.
Benefits for SiEnergy and Expansion Plans
SiEnergy is anticipated to gain from increased scale and operational expertise, improving service for existing and future natural gas customers in the region. The acquisition aligns seamlessly with SiEnergy’s growth strategy, particularly its ambition to increase its footprint in the Houston metropolitan area.
Northwest Natural Holding Company owns several energy-related interests, including Northwest Gas Co. and NW Natural Water Co. The integration of Hughes Gas Resources is expected to strengthen SiEnergy’s position in the market by enhancing infrastructure offerings to both residential and commercial developments, which have seen notable growth in recent years.
Future Prospects
With the acquisition on track to finalize within the upcoming quarter, SiEnergy’s President June Dively has expressed optimism about the company’s enhanced presence in metro Houston. This move is expected not only to benefit SiEnergy’s portfolio but also to improve service reliability and access for customers across the affected communities.
Joe Gysel, Senior Vice President of North American Commercial Services for EPCOR, acknowledged that customers in Texas will benefit from SiEnergy’s established utility footprint and operational capabilities, which can lead to enhanced services and reliability.
Conclusion
The acquisition marks a significant development in the Texas energy sector, illustrating how companies like EPCOR and SiEnergy are strategically positioning themselves to adapt to changing market demands and customer needs. As community engagement in energy service continues to evolve, this transaction exemplifies a proactive approach in strengthening service infrastructure and expanding operational capacities in the region.
Deeper Dive: News & Info About This Topic
- Business Wire
- Wikipedia: Natural Gas
- Hart Energy
- Google Search: EPCOR Texas Gas
- Pipeline & Gas Journal
- Google Scholar: SiEnergy EPCOR
- MSN Money
- Encyclopedia Britannica: Natural Gas
- Star Local Media
- Google News: SiEnergy Texas
Author: STAFF HERE COLLEGE WRITER
The COLLEGE STATION STAFF WRITER represents the experienced team at HERECollegeStation.com, your go-to source for actionable local news and information in College Station, Brazos County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the Brazos Valley Fair & Rodeo, Chilifest, and Aggie Muster. Our coverage extends to key organizations like the Bryan-College Station Chamber of Commerce and United Way of the Brazos Valley, plus leading businesses in education, biotechnology, and retail that power the local economy such as Texas A&M University, Fujifilm Diosynth Biotechnologies, and H-E-B. As part of the broader HERE network, including HEREAustinTX.com, HEREDallas.com, HEREHouston.com, and HERESanAntonio.com, we provide comprehensive, credible insights into Texas's dynamic landscape.
