Dominion Energy Sells Questar Pipelines to Southwest Gas for $2 Billion

Activist investor Carl Icahn blasts the Questar Pipeline transaction, which follows the terminated deal with Berkshire Hathaway.

In a deal blasted by activist investor Carl Icahn, Dominion Energy sold Questar Pipelines to Southwest Gas for almost $2 billion. (Source: Hart Energy; GANJIRO KUMA ,63ru78, Olha Yefimova/Shutterstock.com)

In a deal blasted by activist investor Carl Icahn, Dominion Energy sold Questar Pipelines to Southwest Gas for almost $2 billion. (Source: Hart Energy; GANJIRO KUMA ,63ru78, Olha Yefimova/Shutterstock.com)

Dominion Energy said Oct. 5 it would sell its Questar Pipelines unit to Southwest Gas Holdings Inc. in a nearly $2 billion deal that includes the assumption of $430 million in debt. The deal follows the collapse of the sale in 2020 of Questar to Berkshire Hathaway, and it drew scathing criticism from Carl Icahn, who owns a stake Southwest Gas.

In July, Dominion was forced to terminate its deal to sell Questar to Berkshire Hathaway Energy because approval from the Federal Trade Commission was in doubt. The uncertainty stemmed from provisions in the Hart-Scott-Rodino Antitrust Improvements Act of 1976. 

Berkshire Hathaway agreed to buy Questar in July 2020 as part of a $10 billion purchase of Dominion’s natural gas and storage assets. The transaction followed Dominion’s decision to cancel its Atlantic Coast Pipeline, an $8 billion project that would have moved natural gas from West Virginia to points in Virginia and North Carolina.

Already have an account? Log In

Subscribe now to get unmatched and complete coverage of the Energy industry’s entire landscape!

View our subscription options
  • Access to site wide content
  • Access to our proprietary databases
  • Watch exclusive videos with energy executives
  • Unlimited access to an extensive library of Playbooks, Techbooks, Yearbooks, supplements, and special reports
  • Newly Added! Access to Rextag's Energy Datalink, containing extensive GIS databases of energy assets, production records, processing capacities, physical locations, planned projects, acquisition records, and much more.

Joseph Markman

Joseph Markman, senior editor for Hart Energy, covers markets and provides data analysis for all Hart Energy editorial products.