Aquila sale moving closer to approval

Great Plains Energy Inc. this week announced that it had settled all issues in Kansas pertaining to the company’s pending acquisition of Aquila Inc., the latest step toward securing a new owner for Aquila’s Lawrence-based natural gas operations in Kansas.

The agreement awaits approval from the Kansas Corporation Commission. A hearing is set for Friday.

Aquila’s natural gas operations – which serve more than 100,000 customers in Kansas, including Lawrence – would be sold to Black Hills Corp. for about $143 million.

Kansas City, Mo.-based Aquila is selling the majority of its assets to Great Plains Energy, part of a deal that has yet to receive regulatory approval in Missouri.

In an earnings report Friday, Aquila said that its overall gas operations – which include those in Kansas – recorded a gross profit of $188.2 million last year, up by $20.1 million from 2006. The company attributed the gain to favorable weather and other volume increases, plus rate increases in Kansas and Nebraska.