Spire Inc. completes $175m acquisition of MoGas Pipeline and Omega Pipeline
Spire Inc. (NYSE: SR), a prominent player in the energy sector, has announced the successful completion of its acquisition of two significant assets: MoGas Pipeline (MoGas) and Omega Pipeline. The transaction, valued at $175 million, subject to customary closing adjustments, marks a significant expansion in Spire’s midstream infrastructure. The acquisition includes Spire Storage and Spire STL Pipeline, further solidifying the company’s presence in the energy market.
Integration into Spire’s Existing Infrastructure
With this acquisition, MoGas will now operate under the new legal name Spire MoGas Pipeline LLC, integrating seamlessly with Spire’s existing operations. “Spire MoGas and Omega are ideal fits with our existing businesses and will further enhance our ability to serve customers in Missouri,” stated Steve Lindsey, President and Chief Executive Officer of Spire.
Spire Inc. Bolsters Gas Distribution Network with MoGas and Omega Acquisition
Details of MoGas and Omega Pipelines
Spire MoGas Pipeline boasts approximately 263 miles of interstate natural gas pipelines primarily in Missouri. It plays a crucial role in delivering gas to Spire Missouri’s growing customer base in regions like St. Charles, Franklin, and western St. Louis counties. This network serves a variety of utility, municipal, industrial, and commercial customers. Importantly, Spire MoGas Pipeline interconnects with three other interstate pipelines and operates under the regulation of the Federal Energy Regulatory Commission (FERC).
Omega Pipeline, on the other hand, is a roughly 75-mile natural gas distribution system. It primarily serves the Fort Leonard Wood Army Base in south-central Missouri and is interconnected with the Spire MoGas Pipeline system.
The acquisition of MoGas and Omega pipelines by Spire Inc. represents a strategic move in expanding the company’s midstream infrastructure. It enhances Spire’s ability to serve an increasing customer base in Missouri, positioning the company as a key player in the natural gas distribution sector.