Columbia Gas Could Be Sold For $2B After Fatal Gas Explosions

ANDOVER, MA — NiSource Inc. is considering selling Columbia Gas of Massachusetts, the utility faulted for last year's gas explosions in Andover, Lawrence and North Andover. Bloomberg News reported earlier this week that NiSource received bids this month from other utilities, but has yet to make a final decision. The sale could be worth as much as $2 billion for NiSource, which is facing more than $1 billion in disaster claims.

"It might be worth more to somebody else," Charles Fishman, a utilities analyst with Morningstar Inc., told Bloomberg. "There might be a better owner at this point. Two billion sounds a little high. Could they get $1 billion for it? Sure."

Columbia Gas has been faulted for the over-pressurization of gas lines that caused explosions that killed one and damaged or damaged more than 130 buildings in the three communities. The disaster left thousands in the Merrimack Valley without heat or hot water for months following the Sept. 13 incident. The recovery and repair effort is expected to last into 2020.