ProLiance to Serve Tennessee Valley Supply Group
Indiana-based ProLiance Energy has been awarded a
two-and-a-half-year portfolio management contract by the Tennessee
Valley Supply Group (TVSG), of municipal energy buyers.
ProLiance, an energy marketing firm, will sell approximately 15
Bcf of gas annually and provide commodity procurement,
transportation and storage services for the five Alabama municipal
utilities that make up TVSG.
The multi-year deal will produce over $200 million in revenues
for ProLiance Energy over the life of the contract. The utilities
--- which serve more than 50,000 customers --- include Huntsville
Utilities Gas System, Decatur Utilities, Sheffield Utilities,
Cherokee Water Works & Gas Board, and the City of Russellville.
The total value of the contract is dependent on the ongoing price
of natural gas.
Including the TVSG contract, ProLiance will manage over 50 Bcf
of pipeline transportation on Midcoast Interstate Transmission
Pipeline, Tennessee Gas Pipeline and Southern Natural Gas
pipelines. The company now lays claim to the title of the "largest
U.S. natural gas supplier to municipals and one of the largest
portfolio managers for natural gas utilities."
"We awarded ProLiance Energy this contract because this marketer
is innovative in its service offerings to the municipal buying
group," said John DeMent, manager of gas supply for Huntsville
Utilities Gas System. He added, "We have a high confidence level
with ProLiance, since it has been managing the gas portfolio for
Citizens Gas & Coke Utility, the nation's fourth largest
municipal with 256,000 customers, since April 1996."
"Our strength is developing and implementing innovative,
cost-effective gas management and portfolio strategies," said
ProLiance President John Talley. In addition to providing portfolio
management to eleven municipal customers located in three states,
the company also supplies other municipal customers with natural
gas procurement and transportation services. The firm serves
customers in fourteen states and Ontario. ProLiance Energy is a
joint venture by affiliates of Citizens Gas & Coke Utility, and
©Copyright 2000 Intelligence Press, Inc. All rights
reserved. The preceding news report may not be republished or
redistributed in whole or in part without prior written consent of
Intelligence Press, Inc.