Spire Divests U.S. Gas Storage Assets in $650 Million Deal with I Squared

I Squared Capital will acquire Spire’s gas storage assets in Wyoming and Oklahoma for $650 million, adding 72 Bcf of capacity. The deal highlights growing investment in U.S. storage infrastructure as demand for flexibility rises.

(P&GJ) — I Squared Capital has agreed to acquire Spire Inc.’s natural gas storage assets in Wyoming and Oklahoma for $650 million, in a deal that underscores continued investment in U.S. gas storage infrastructure.

The transaction includes $600 million in cash at closing and a $50 million deferred payment expected in 2027. The assets, collectively known as Spire Storage, provide a combined 72 Bcf of working gas capacity across key western and midcontinent markets.

Spire Storage West, located in southwestern Wyoming, serves customers in the western U.S., while the Salt Plains facility in Oklahoma is connected to major pipeline systems including Southern Star Pipeline and Oklahoma Gas Transmission, supporting markets in the Midwest and Midcontinent.

The divestment aligns with Spire’s strategy to focus on its regulated natural gas utility operations. Proceeds from the sale are expected to support the company’s recent acquisition of Piedmont Natural Gas assets in Tennessee.

For I Squared Capital, the acquisition expands its footprint in energy infrastructure, with plans to enhance operational capabilities and pursue growth opportunities for the storage platform as demand for flexible gas supply continues to increase.

The transaction is expected to close in the second half of 2026, subject to regulatory approvals and customary conditions.