PP&L Expands its Natural Gas Business

In PP&L Resources, Inc.'s efforts to expand its portfolio of energy products and services, it recently finalized the acquisition of Penn Fuel Gas, Inc. Penn Fuel Gas, headquartered in Oxford, PA, distributes and stores natural gas and also sells propane to approximately 100,000 customers in Pennsylvania and in a small area of Maryland. This acquisition expands PP&L's natural gas business.

According to the merger agreement, Penn Fuel Gas will retain its name and operate as a wholly owned subsidiary of PP&L Resources. Penn Fuel Gas will join PP&L, Inc., PP&L Global, PP&L Spectrum, H.T. Lyons and McClure Co. as first-tier subsidiaries of PP&L Resources.

Terry Hunt will remain president and chief executive officer of Penn Fuel Gas and will continue to run the operation from its Oxford, Pa., headquarters.

Penn Fuel Gas owns and operates PFG Gas, Inc., and North Penn Gas Co., both natural gas distribution companies. Penn Fuel Gas also operates a propane business and North Penn Gas owns natural gas storage facilities. Penn Fuel Gas and its two subsidiaries provide natural gas service to customers in more than half the counties in Pennsylvania, in an area stretching from northern Maryland to northern Pennsylvania.

PP&L Resources, Inc. is a holding company based in Allentown, Pa. Its subsidiary PP&L, Inc., provides electricity delivery service to 1.2 million homes and businesses in Pennsylvania through its PP&L Access brand. It also generates electricity; sells retail electricity throughout Pennsylvania through its PP&L EnergyPlus brand; and markets or trades wholesale energy to 26 states and Canada through its Energy Marketing Center.