Wexpro Acquisition of Producing Properties (Notes)

12 Months Ended

Dec. 31, 2013

Wexpro Acquisition of Producing Properties [Abstract]

Wexpro Acquisition of Producing Properties

Note 17 - Wexpro Acquisition of Producing Properties

On September 4, 2013, Wexpro completed the transaction announced in July 2013 to acquire an additional interest in natural gas-producing properties in the Trail Unit of southwestern Wyoming's Vermillion Basin. This is a “bolt-on” acquisition to the company’s current Trail assets, which are governed by the 1981 Wexpro Agreement. In January 2014, the PSCU and PSCW approved the inclusion of these properties in the Wexpro II Agreement.

Because it contains producing properties, the Trail acquisition is accounted for under the accounting guidance for business combinations. Summary information related to the Trail acquisition is shown in the table below. Amounts reflect routine post-closing adjustments to the purchase price recorded in the fourth quarter of 2013.

	(in millions)
Fair value of consideration transferred:
Net cash paid, after post-closing adjustments	$	104.3
Recognized amounts of identifiable assets acquired and liabilities assumed, at fair value:
Proved properties	$	106.4
Asset retirement obligations	(2.1		)
Total fair value of identifiable net assets acquired	$	104.3

Revenues of$6.0 millionand net income of$1.3 millionattributable to the Trail acquisition are included in Questar's Consolidated Statements of Income for the period between the September 4, 2013 closing date and December 31, 2013. Trail acquisition-related transaction costs of$0.3 million for 2013are included ingeneral and administrative expenseon Questar's Consolidated Statement of Income. Supplemental pro forma income information related to the Trail acquisition is not presented because it is immaterial to Questar's consolidated revenues, expenses and income in all periods presented.