HOUSTON, Texas, Feb. 25, 2002 — Sequent Energy Management, the wholesale marketing and supply arm of AGL Resources Inc., said today that rapidly expanding business volumes in December and again in January have prompted the company to expand floor space and infrastructure at its headquarters operations.
In December, Sequent reported natural gas business volumes grew by nearly 300 percent to a daily average of 2 Bcf, and in January daily business volumes rose an additional 25 percent to more than 2.5 Bcf. The totals reflect an increase in transactions from 2,000 in December to nearly 4,200 in January involving 15 pipelines and more than 120 counterparties.
The infrastructure expansion includes hiring additional staff, a 3,000-square-foot increase in space, and related information technology extensions.
“Obviously, when we opened our Houston trading operations last July, we thought we had plenty of capacity,” said Richard J. Duszynski, Sequent’s president and chief executive officer. “However, we have grown beyond our most optimistic expectations, especially as counterparties looked for new and trusted business partners in the wake of the Enron situation.
“One major reason behind our growth is that we have been extremely successful in attracting aggressive, connected and smart energy professionals to our new company,” Duszynski added.
He said another reason is that there has been a “flight to quality” as producers sought stable, creditworthy counterparties and new relationships with experienced and long-standing utilities. Sequent can provide such a business relationship because of its ownership by AGL Resources, which has more than 150 years of experience in the industry.
As part of its business, Sequent manages assets for AGL Resources’ utility subsidiaries, including Atlanta Gas Light Company, Virginia Natural Gas and Chattanooga Gas Company. Sequent also offers asset management services to other third parties.
Sequent Energy Management was created by AGL Resources in March 2001 and opened its Houston trading floor in July.
About Sequent Energy Management
Sequent Energy Management, a wholly owned subsidiary of AGL Resources Inc., is a Houston-based entity focusing on asset management and the wholesale trading, marketing, gathering and transporting of natural gas. Sequent is rapidly positioning itself as a dominant niche player in the southeastern United States natural gas market. For more information, visit www.sequentenergy.com.
About AGL Resources
AGL Resources Inc. is a regional holding company for energy and infrastructure related businesses in the Southeast. The company is the second largest natural gas-only distribution company in the United States and serves nearly 1.8 million customers throughout Georgia, Chattanooga and southeastern Virginia. AGL Resources also is engaged through subsidiaries and partnerships in other businesses, including retail energy marketing, wholesale energy services and telecommunications infrastructure. For more information, visit www.aglresources.com.