Energy Services of America, a Huntington-based company that provides contracting services for energy-related companies, announced Wednesday the formation of a new, wholly owned subsidiary.
That subsidiary, West Virginia Pipeline Acquisition Company, announced it has reached an agreement to purchase the assets of Princeton-based WV Pipeline, Inc., for $3.5 million in cash and a $3 million seller note. Energy Services anticipates the transaction will close on Dec. 31.
“WV Pipeline is a great company with a long history in southern West Virginia and this acquisition extends and deepens our services offered to gas and water distribution utilities,” Douglas Reynolds, president of Energy Services of America, said in a news release. “Increasing our exposure to these growing markets is a key strategic initiative for Energy Services, which makes WV Pipeline a great fit.”
David Bolton and Daniel Bolton, who served as president and vice president, respectively, of WV Pipeline, will continue in those roles with the new subsidiary.
“They have a tremendous amount of knowledge and experience in the industry and we look forward to working with them,” Reynolds said.
Reynolds is the principal owner of HD Media LLC, publisher of the Charleston Gazette-Mail and (Huntington) Herald-Dispatch.