|SEMCO ENERGY, Inc. Announces Three Acquisitions|
PORT HURON, Mich., Sept. 17 /PRNewswire/ -- SEMCO ENERGY, Inc. (Nasdaq: SMGS) today announced it has broadened its presence in the southern region of the U.S. with the acquisitions of two construction companies and an engineering firm that provide services primarily to natural gas and telecommunications companies.
The acquisitions of Flint Construction Co. of Lawrenceville, Ga.; Long's Underground Technologies, Inc., of Lufkin, Texas; and Drafting Services, Inc., of Monroe, La., are in keeping with the Company's stated mission of aggressive growth within its diversified division. The combined annual revenue from these acquisitions was nearly $23 million for the last fiscal year.
William L. Johnson, Chairman and Chief Executive Officer of SEMCO ENERGY, Inc., made the announcement.
"Each of these companies meets our key acquisition criteria by being solid, profitable, well-managed enterprises with excellent reputations within the industry. The addition of these companies to our diversified business unit will add to our earnings and advance our goal of becoming one of the largest providers of turnkey engineering and construction services in the energy industry," he said.
Flint Construction Co., which has 225 employees, provides specialized construction services for natural gas distribution companies and interstate pipeline companies in the southeast.
Robert Good and Terry Fuller will continue as President and Vice President of Flint Construction Company, respectively.
Long's Underground Technologies, Inc. provides construction services to natural gas distribution companies and to telecommunications companies in Texas. Paul Long remains as President and Chief Executive Officer of the 125- employee company.
Drafting Services, Inc., with eight survey crews and six drafters, specializes in survey/drafting services to interstate pipeline companies. It will become part of Maverick Pipeline Services, Inc. (MPSI), one of the engineering firms operated by SEMCO ENERGY VENTURES, a subsidiary of SEMCO ENERGY, Inc.
Paul Devillier, President of Drafting Services, Inc., becomes Manager of the Survey/Drafting Division of the MPSI Louisiana-based Pipeline Services division.
Flint Construction Co. and Long's Underground Technologies, Inc. also will be operated by SEMCO ENERGY VENTURES, which acquires companies involved in gas engineering, quality assurance services, pipeline construction services, propane distribution, intrastate pipelines and natural gas storage.
SEMCO ENERGY VENTURES companies operate in various regions of the U.S. SEMCO ENERGY, Inc., a diversified energy services and infrastructure company, also has a natural gas distribution segment. SEMCO ENERGY GAS COMPANY distributes natural gas to 250,000 residential, industrial and commercial customers in Michigan's Upper and Lower Peninsulas.
SEMCO ENERGY, Inc. also is in the process of acquiring Anchorage, Alaska-
based ENSTAR Natural Gas Company and Alaska Pipeline Company. This
acquisition, announced in July, is expected to be completed by year-end 1999.
|"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: Statements in this press release regarding SEMCO Energy's business which are not historical facts are "forward-looking statements" that involve risks and uncertainties. For a discussion of such risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see "Risk Factors" in the Company's Annual Report or Form 10-K for the most recently ended fiscal year.|