Dominion scrubs sale of US gas pipe company
US company Dominion Energy said July 12 it had terminated the sale of gas pipeline operator Questar Pipelines to Berkshire Hathaway Energy, citing antitrust issues.
Questar Pipeline is a multi-state gas pipeline company with more than 4,000 km of pipe. Providing transportation and storage services, the company operates primarily in Utah, Wyoming and Colorado. Its Clay Basin storage facility is the largest underground facility of its kind in the region, with 54bn ft3 of working gas storage capacity.
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On the potential sale to Berkshire Hathaway Energy, Dominion said it terminated the agreement because of “uncertainty associated with achieving clearance” from the government under antitrust laws.
Dominion will now look to secure a 364-day loan to repay the roughly $1.3bn deposit made by Berkshire related to the acquisition.
“That loan is expected to be repaid by year-end 2021 with proceeds from the sale of Questar Pipelines to an alternative buyer,” Dominion said.
Most of the Dominion’s revenue is derived from its utility operations in Virginia. The company plays another role as an LNG exporter, sending cargoes from the Cove Point facility in Maryland.
Dominion said the termination of the agreement does nothing to alter other parts of a November deal to sell off assets to Berkshire.