Marathon Energy Acquiring Multi-State Book Of Customers

Marathon Energy ("Marathon") and National Fuel Resources, Inc. ("NFR") jointly announced that they have entered into an Asset Purchase Agreement whereby Marathon will acquire NFR’s commercial and industrial gas contracts in NY and PA, along with select other assets.

The agreement was signed May 22nd, 2020, and is subject to customary regulatory approvals. Closing is expected to take place on or about August 1st, 2020.

Terms of the transaction were not disclosed.

Marathon’s President & CEO, Jerry Drenis, issued the following statement: "The anticipated purchase of NFR’s book coincides with Marathon’s expanded footprint, and enables us to continue increasing our volumetric economies of scale. We are attracted to this opportunity because we have the greatest respect for NFR and its team, the target market it serves, and our shared values of high levels of customer service and industry leading low churn levels. We expect the transaction to be accretive to earnings."

"NFR has appreciated the opportunity to serve our customers over the past two and a half decades," said Jeffrey F. Hart, Vice President of NFR. "Marathon’s experience in the energy sector and its strong reputation make it an excellent successor. With their strength of leadership and attention to customer service, we are confident our customers will be well served by Marathon. NFR's exit from the market comes as its parent company, National Fuel Gas Company, focuses on other strategic areas of the energy market."

Marathon currently serves customers at 33 utilities in New York, New Jersey, Pennsylvania and Maryland

EnergyChoiceMatters.com exclusively first reported in May that, for residential gas customers in New York, NFR was returning such customers to default service and exiting such market