BUTTE — Northwestern Energy, which is one of Butte’s largest employers, announced it’s going to be part of a multi-billion-dollar merger with a South Dakota-bases utility company that will greatly expand its customer base across multiple states in the region.
Northwestern is planning to combine with Black Hill Corporation to create at $15.4 billion electric and natural gas utility. The merger is expected to be completed in about 15 months and will include a new name and headquarters in Rapid City, South Dakota.
Northwestern’s Butte office is the largest employer in Montana with 544 employees. The new Uptown building was completed just 10 years ago.
Northwestern spokesperson Jo Dee Black said she doesn’t anticipate the merger will result in any major changes at the Butte office.
Butte Chief Executive J.P. Gallagher told KXLF he just learned of the merger and did not want to comment on this matter until he could speak with Northwestern leadership to learn more about the plan.
Northwestern Energy took over the storied Montana Power Company in 1997. Montana Power had been headquartered in Butte since it first started in 1912. Butte residents who were around at the time remember it as a major shakeup in the industry.
WATCH: MTN's Josh Emeigh investigates what this means for Butte
“Montana Power was the cock of the walk, the king of the hill in Montana, the king of the politics in Montana, the biggest economic entity,” said long-time Butte resident Evan Barrett. “And they frittered that away with careless decision making all in the name of we think we can make a bigger buck. So that’s what makes me a skeptic about all these conglomerations and consolidations, they’re all about money, they aren’t really about people.”
Northwestern says the merger will help them invest in grid infrastructure and meet rising demand for power.
