Inergy Explained

Inergy, L.P. is an American supplier of propane based in Kansas City, Missouri that claims to be the fourth-largest propane retailer in the United States. Serving 800,000 customers in 28 states.^{[1] [2]} It is also a major salt miner via its U.S. Salt LLC subsidiary with its salt caverns later being used for natural gas storage.

It was founded in 1998 by its current president and CEO John J. Sherman after he sold his start up propane marketing company LPG Services Group to Dynegy.^[3] As of November 2010, the company had acquired 89 businesses – mostly regional and local propane distributors.^[4]

It operates 28 states and employs approximately 3,000 associates and has 700,000 customers. .^[1]

In August 2010 it acquired its parent Inergy Holdings which had also traded on the New York Stock Exchange under the ticker symbol NRGP in a deal valued at $2 billion with the resulting company being reported to be worth $6 billion. Prior to the acquisition both companies shared the same offices in Kansas City.^[5]

Midstream operations

Its midstream operations include

• West Coast Midstream Operations near Bakersfield, California which provides 25abbr=unitNaNabbr=unit per day natural gas processing as well as a rail and truck terminals.^[6]
• Tres Palacios Gas Storage, Matagorda County, Texas adjacent to the Eagle Ford Formation which has 38.4e9ft3 of working gas^{[7] [8]}
• Steuben Gas Storage, Steuben County, New York, 6.2e9ft3 of gas storage^{[9] [10]}
• Thomas Corners Gas Storage Steuben County, New York, 7e9ft3 of storage^{[11] [12]}
• Finger Lakes LPG Storage, Steuben County with 1.7abbr=unitNaNabbr=unit LPG storage and Watkins Glen, New York facility 5e6oilbbl of LPG storage.^[13]
• U.S. Salt Gas Storage Development, Watkins Glen, 5to of natural gas storage capacity in salt caverns.^[14]
• Stagecoach Storage - 26.25e9ft3 of storage in the Marcellus Formation^[15]
• U.S. Salt LLC Operations, Watkins Glen on Seneca Lake, New York - sells 300000short ton of salt each year and has 40e6oilbbl of cavern capacity for gas^{[16] [17]}

Retail propane services

The company has purchased various regional or local propane operations which continue to operate under their original names including:^[18]

• Arrow Gas
• Blue Flame
• Blue Ridge Propane
• Blu-Gas
• Bradley Propane
• Burnwell Gas
• Country Gas
• Delta Propane
• Dowdle Gas
• Eastside Gas
• Farm & Home Oil Company
• Gaylord Gas
• Hancock Gas Service
• Highland Propane
• Homestead Propane
• Hoosier Propane
• Independent Propane Company
• Jenkins Gas
• Legacy Propane
• Liberty Propane
• Maingas
• McCracken Propane
• MGS Propane
• Modern Gas
• Moulton Gas Service
• Northwest Energy
• Ohio Gas and Appliance
• Pearl Gas
• Pennington Gas Service
• Permagas
• ProGas
• Pyrofax Energy
• Rocky Mountain Propane
• Shirley Bottle Gas
• Silgas
• Southeast Propane
• Tru-Gas
• United Propane
• Yates Gas

External links

• inergylp.com

Notes and References

1. http://www.inergylp.com/downloads/2009InergyLP-AR.pdf Inergy 2009 Report
2. Web site: Propane Marketing and Distribution . Inergy, L.P. . 2010-11-23.
3. Web site: Great Plains Energy Inc. - Investor Relations - News Release . Phx.corporate-ir.net . 2009-07-30 . 2010-11-23.
4. News: Kansas City Business Journal . Inergy subsidiary expands propane operations with two acquisitions | Kansas City Business Journal . Bizjournals.com . 2010-11-19. 2010-11-23.
5. News: Inergy LP to buy Inergy Holding in $2.1 billion deal . Reuters . 2010-08-09. 2010-11-23.
6. Web site: NGL Marketing and Distribution . Inergy, L.P. . 2010-11-23.
7. Web site: Inergy Midstream | Energy Storage and Transportation . Inergylp.com . 2010-11-23.
8. Web site: Tres Palacios Gas Storage LLC - Informational Postings . Gasnom.com . 2010-11-23.
9. Web site: Inergy Midstream | Energy Storage and Transportation . Inergylp.com . 2010-11-23.
10. Web site: Informational Postings . Steuben Gas Storage . 2010-11-23.
11. Web site: Inergy Midstream | Energy Storage and Transportation . Inergylp.com . 2010-11-23.
12. Web site: Informational Postings . Thomas Corners Gas Storage . 2010-11-23.
13. Web site: Inergy Midstream | Energy Storage and Transportation . Inergylp.com . 2010-11-23.
14. Web site: Inergy Midstream | Energy Storage and Transportation . Inergylp.com . 2010-11-23.
15. Web site: The Stagecoach Natural Gas Storage Facility - Informational Postings . Stagecoachstorage.com . 2010-11-23.
16. Web site: Inergy Midstream | Energy Storage and Transportation . Inergylp.com . 2010-11-23.
17. Web site: US Salt LLC . US Salt LLC . 2008-12-05 . 2010-11-23.
18. Web site: Energy Storage & Transportation and Propane Marketing & Distribution . Inergy, L.P. . 2010-11-23.