Gas Companies Tap Sequent to Manage Assets in Virginia, West Virginia
November 4, 2004
HOUSTON, Texas - (Nov. 4, 2004) - Sequent Energy Management, the wholesale marketing and asset optimization arm of AGL Resources Inc. (NYSE: ATG), signed a three-year agreement to manage the natural gas transportation and storage assets for Roanoke Gas Company and Bluefield Gas Company, affiliates of RGC Resources Inc. (NASDAQ: RGCO).
Roanoke Gas has more than 100 years' experience serving the natural gas needs of Virginia citizens in the Roanoke region. Bluefield Gas serves customers in both Bluefield, Va., and Bluefield, W.Va. In total, Roanoke Gas and Bluefield Gas provide natural gas to approximately 58,100 residential, commercial and industrial customers in the two states.
In its role as an asset manager, Sequent has been successful in lowering costs and providing value to its clients' natural gas customers. Sequent clients include utilities, marketers, retail aggregators, municipalities and large industrial customers primarily in the eastern half of the United States.
"Sequent's portfolio of energy clients is greatly enhanced by the addition of Roanoke Gas and Bluefield Gas," said Marshall Lang, Sequent vice president of business development. "At Sequent, we handle a large volume of natural gas each day, so we are able to coordinate the best pricing and return value to our clients. At a time when energy prices are increasing, companies like Roanoke and Bluefield are looking for ways to provide optimum values for their customers."
"Between them, Roanoke Gas and Bluefield Gas have more than 200 years of experience in the natural gas business," said Mike Gagnet, director of operations for Roanoke and Bluefield. "We've used variations of the asset management concept successfully for the past several years, and Sequent has the resources and the commitment to assist us in building upon our proven track record. We believe Sequent is emerging as one of the top managers in this region of the country."
Sequent has broad access to firm transportation and storage capacity and salt-dome storage in the eastern half of the United States and long-standing relationships with natural gas producers and energy marketers. Sequent manages an average of more than 2 billion cubic feet of natural gas each day.
About RGC Resources Inc.
RGC Resources, Inc. provides energy products and services to customers in Virginia and West Virginia through its operating subsidiaries including Roanoke Gas Company, Bluefield Gas Company, Diversified Energy Company, and RGC Ventures of Virginia, Inc. For more information, visit www.rgcresources.com.
About Sequent Energy Management
Sequent Energy Management, a wholly owned subsidiary of AGL Resources Inc. (NYSE: ATG), is a Houston-based entity focusing on asset management and the wholesale trading, marketing, gathering and transporting of natural gas. Sequent is rapidly positioning itself as a dominant niche player in the Southeastern United States natural gas market. For more information, visit www.sequentenergy.com.
About AGL Resources
AGL Resources Inc. is a regional holding company for energy and infrastructure related businesses in the Southeast. The company is the second largest natural gas-only distribution company in the United States and serves nearly 1.8 million customers throughout Georgia, Chattanooga and Southeastern Virginia. AGL Resources also is engaged through subsidiaries and partnerships in other businesses, including retail energy marketing, wholesale energy services and telecommunications infrastructure. For more information, visit www.aglresources.com.