NiSource Inc. has announced it has officially spun off Columbia Pipeline Group.
The company first announced its plans of a move in September of last year. NiSource was planning to transition into a pure natural gas company, which is now possible. According to NiSource, they have a few offers in the Arena District, the base of its Columbia Gas of Ohio.
Joe Hamorck, NiSource CEO and former leader of American Electric Power Company Inc.’s Ohio subsidiary, made a statement regarding the spinoff:
As a pure-play utility company, NiSource offers a fully regulated platform for growth with a storied track record of execution on stakeholder-supported system enhancement opportunities, which are expected to exceed $30 billion over the next 20-plus years … This straightforward and well-established plan is underpinned by a deep commitment to safety, customer service, environmental sensitivity and employee engagement.
As reported by the Columbus Business First, “Columbia Pipeline Group is based in Houston and operates more than 15,000 miles of natural gas pipelines. It’s a huge player in eastern Ohio’s Utica shale play – in May the company outlined its “unparalleled strategic footprint,” about $10 billion worth of investment in the coming years, much of it in Appalachia.”
Based in Merrillville, Indiana, NiSource is one of the largest fully-regulated utility companies in the U.S. It currently serves about 3.5 million natural gas customers and 500,000 electric customers across seven different states through Columbia Gas and NIPSCO brands. The company employs about 7,000 people and is focused on delivering safe, reliable and affordable energy to its customers and communities.