SALT LAKE CITY — Questar Gas today filed an application seeking Utah Public Service Commission approval of an agreement in principle to purchase Utah Gas Service Company and Wyoming Industrial Gas Company.

Utah Gas Service Company, a privately held company based in Denver, serves Moab, Monticello and Vernal, Utah. Wyoming Industrial Gas, also based out of Denver, serves Kemmerer and Diamondville, Wyo.

When completed, the purchases will add about 10,500 customers to Questar Gas's service territory. That is about half the number of customers Questar Gas typically adds annually.

"While this system expansion will have no impact on our current customers, Wyoming Industrial and Utah Gas customers will benefit from lower-priced gas from our company-owned wells. As a result, in the future they can expect to see lower gas prices, if the acquisitions are approved by the respective public service commissions," said D.N. "Nick" Rose, Questar Gas president and CEO. "In addition, Questar can expand its business by servicing individuals who currently do not take advantage of the benefits of natural gas in those two companies' service areas."

The purchase is contingent upon approval of the Utah and Wyoming Public Service Commissions.

Questar Gas is a subsidiary of Questar Corp., a diversified natural gas business in Salt Lake City. It delivers natural gas to residential, commercial and industrial customers throughout Utah, southwestern Wyoming and southeastern Idaho.