USA: Pivotal LNG Inks Deal for Alabama LNG Facility

Pivotal LNG, a subsidiary of AGL Resources Inc., has signed an agreement with the Utilities Board of the City of Trussville, for the purchase of an approximately 60,000 gallon per day liquefied natural gas facility located in Trussville, Alabama.

As a part of AGL Resources’ growth strategy, Pivotal LNG has embarked on a new business venture selling liquefied natural gas (LNG) in the wholesale market to buyers who then deliver the LNG to end-users such as trucking fleet operators.  This value chain will provide end-users with a lower cost, environmentally clean and abundant American fuel as a substitute for diesel.

This is an exciting time in the natural gas industry,” said John W. Somerhalder II, AGL Resources’ Chairman, President and Chief Executive Officer.We are seeing a trend toward more companies interested in fueling trucks, fleet or heavy duty vehicles, and other large horsepower engines with natural gas. The addition of the Trussville LNG facility aligns with the needs of our new wholesale business venture under Pivotal LNG.”

Natural gas when cooled to the point of becoming a liquid is much easier to transport for use where piped natural gas is impractical or unavailable.  Heavy duty trucking, remote power generation, marine engines and railroad locomotives are just a few examples where this fuel can serve as a less expensive and environmentally friendly alternative fuel to diesel.

Pivotal LNG’s new business initiative complements AGL Resources’ existing businesses,” said David Schultz, Vice President, Pivotal LNG.Our company is another key component of AGL Resources’ strategy to expand the use of natural gas in the alternative fuel market through the use of affordable, clean-burning, abundant and domestic natural gas.”

AGL Resources has been in the business of operating utility LNG facilities for over 30 years.

Source: AGL Resources, August 8, 2011;

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