KAG to Transport LNG for UPS

Posted on: January 30, 2014

NORTH CANTON, OH, January 10, 2014 – The Kenan Advantage Group’s (“KAG”), Merchant Gas Group announced it has completed a transportation agreement with UPS to deliver liquefied natural gas (LNG) to eleven of their thirteen new fueling hubs. During the fourth quarter of this year, UPS announced additional details for the liquefied natural gas trucks, to include a $50 million investment to build a total of 13 fueling stations by the end of 2014.

KAG is North America’s largest tank truck transporter and logistics provider. The company specializes in the logistics and transportation of fuels, chemicals and merchant gases. Subsidiaries in its Merchant Gas Group include Jack B. Kelley and Cryogenic Transportation – making it the largest transporter of gases in the U.S. Gases transported include LNG, CNG, nitrogen, hydrogen, oxygen, helium, etc.

UPS operates one of the largest private alternative fuels and advanced technology fleets in the industry with more the 2,700 vehicles. In addition to 1,000 LNG trucks, UPS alternative fuel line-up includes all electric, hybrid electric, hydraulic hybrid, CNG biomethane and propane (LPG/autogas).

According to Mark Davis, President of Jack B. Kelley, “We are currently fueling the first two UPS LNG hubs in Knoxville and Nashville, TN. During the first half of next year, our operations will include nine additional hubs in Texas and the Midwest. With our combined fleet of over 500 power units and 400 cryogenic trailers (including 35 LNG) we are well poised to successfully manage this growing and exciting business with UPS. Our North American footprint also allows us to grow into just about any region required by this valued customer.”

The Kenan Advantage Group operates through its five groups consisting of the Fuels Delivery Group, Specialty Products Group, Merchant Gas Group, Logistics Group and KAG Canadian Group. KAG’s fleet consists of approximately 6,200 power units and 9,700 trailers. KAG also provides specialized supply chain logistics services through KAG Logistics (www.kaglogistics.com).

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