Strategic investment from Avista Corp. to support growth
SEATTLE, WA – April 23, 2014: Plum Energy, LLC, which is engaged in the development of small-scale liquefied natural gas (LNG) value chains, today announced an investment from Avista Capital, a subsidiary of Avista Corp. (NYSE: AVA). Avista Corp. is a Spokane, Wash.- based energy company involved in the production, transmission and distribution of energy as well as other energy-related businesses. In exchange, Avista Capital received a 20 percent equity share of the company.
Plum Energy is headed by Kirt Montague, a seasoned energy executive and pioneer in the creation of new “off grid” markets for natural gas using small-scale LNG solutions. Previously, Montague was the founder and former CEO of Prometheus Energy, which he led from its inception in 2003 through the sale of a majority interest of its equity to the Shell Technology Venture Fund in late 2010.
Founded in 2011, Plum Energy focuses its LNG operations on distributed applications where volumes of less than 150,000 gallons per day meet the needs of customers in displacing traditional fuels like diesel and gasoline with natural gas. These types of applications include mining, oil and gas drilling, transportation, agriculture and other off-the-grid industrial or manufacturing operations.
“Small-scale LNG offers customers a game-changing source of lower cost, clean burning natural gas for all kinds of commercial and industrial uses,” said Montague. “Avista’s investment affirms the direction of our company and gives us the means to extend the value of LNG to a broader customer base in North America.”
“We are pleased to help support Plum Energy’s work in the alternative use of a clean fossil fuel such as natural gas,” said Roger Woodworth, vice president and chief strategy officer for Avista. “This fits well with our strategy to make targeted investments to help us gain valuable insights into building new growth platforms. The LNG solutions that Plum Energy offers its customers align well with our company’s focus on using domestic natural gas, and LNG in particular, to reduce our dependence on foreign oil with a clean fuel that’s also competitively priced.”
About Plum Energy LLC
Plum Energy LLC (www.plumenergy.com) is focused on the development of small-scale LNG value chains to service the industrial and transportation markets. In addition to developing its own projects, the company provides services to other companies seeking to develop small-scale LNG projects involving various aspects of the value chain. Plum’s key management team has extensive experience with, and deep relationships across, all aspects of the small-scale LNG value chain, ranging from the design and operation of small-scale LNG production plants, through the transport and delivery of the product to the onsite storage and regasification for end users’ applications.