Gas Natural 10-Q 10 May 17 2017 Q1 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	3 Months Ended
	Mar. 31, 2017	May 08, 2017
Document Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Mar. 31, 2017
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q1
Entity Registrant Name	Gas Natural Inc.
Entity Central Index Key	43,350
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Trading Symbol	EGAS
Entity Common Stock, Shares Outstanding		10,519,728

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Mar. 31, 2017	Dec. 31, 2016
CURRENT ASSETS
Cash and cash equivalents	$ 7,667	$ 6,463
Accounts receivable, less allowance for doubtful accounts of $575 and $385, respectively	10,114	11,093
Unbilled gas	4,957	7,256
Inventory
Natural gas	283	3,380
Materials and supplies	2,255	2,065
Regulatory assets, current	3,628	3,131
Other current assets	1,992	2,423
Total current assets	30,896	35,811
PROPERTY, PLANT, & EQUIPMENT, NET	139,011	139,691
OTHER ASSETS
Regulatory assets, non-current	909	1,032
Goodwill	15,872	15,872
Customer relationships, net of amortization	2,246	2,322
Other non-current assets	2,232	2,696
Total other assets	21,259	21,922
TOTAL ASSETS	191,166	197,424
CURRENT LIABILITIES
Line of credit	6,650	13,450
Accounts payable	7,724	10,055
Accrued liabilities	7,366	8,265
Capital lease liability, current	3,245	3,618
Other current liabilities	554	460
Total current liabilities	25,539	35,848
LONG-TERM LIABILITIES
Deferred tax liability	13,813	11,917
Regulatory liability, non-current	1,458	1,417
Capital lease liability, non-current	2,313	2,780
Other long-term liabilities	3,115	3,113
Total long-term liabilities	20,699	19,227
NOTES PAYABLE	49,405	49,392
COMMITMENTS AND CONTINGENCIES (see Note 12)
STOCKHOLDERS’ EQUITY
Preferred stock: $0.15 par value; 1,500,000 shares authorized, no shares issued or outstanding	0	0
Common stock: $0.15 par value; Authorized: 30,000,000 shares; Issued and outstanding: 10,519,728 shares as of March 31, 2017 and December 31, 2016	1,578	1,578
Capital in excess of par value	64,097	64,092
Retained earnings	29,848	27,287
Total stockholders’ equity	95,523	92,957
TOTAL CAPITALIZATION	144,928	142,349
TOTAL LIABILITIES AND CAPITALIZATION	$ 191,166	$ 197,424

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheets [Parenthetical] - USD ($) $ in Thousands	Mar. 31, 2017	Dec. 31, 2016
Allowance for doubtful accounts	$ 575	$ 385
Preferred stock, par value (in dollars per share)	$ 0.15	$ 0.15
Preferred stock, shares authorized	1,500,000	1,500,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value (in dollars per share)	$ 0.15	$ 0.15
Common stock, shares authorized	30,000,000	30,000,000
Common stock, shares issued	10,519,728	10,519,728
Common stock, shares outstanding	10,519,728	10,519,728

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
REVENUE
Natural gas operations	$ 35,919	$ 35,064
Marketing & production	3,940	3,243
Total revenue	39,859	38,307
COST OF SALES
Natural gas operations	20,602	20,622
Marketing & production	3,693	2,940
Total cost of sales	24,295	23,562
GROSS MARGIN	15,564	14,745
OPERATING EXPENSES
Distribution, general, and administrative	6,039	5,927
Maintenance	270	264
Depreciation and amortization	2,055	1,957
Taxes other than income	1,148	1,080
Provision for doubtful accounts	125	20
Total operating expenses	9,637	9,248
OPERATING INCOME	5,927	5,497
Other income (loss), net	95	(402)
Interest expense	(782)	(753)
Income before income taxes	5,240	4,342
Income tax expense	(1,890)	(1,640)
INCOME FROM CONTINUING OPERATIONS	3,350	2,702
Discontinued operations, net of tax (see Note 2)	0	(23)
NET INCOME	$ 3,350	$ 2,679
BASIC & DILUTED EARNINGS PER SHARE:
Continuing operations (in dollars per share)	$ 0.32	$ 0.26
Discontinued operations (in dollars per share)	0	0
Net income per share (in dollars per share)	0.32	0.26
Dividends declared per common share (in dollars per share)	$ 0.075	$ 0.075

Condensed Consolidated Stateme5

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
CASH FLOWS FROM OPERATING ACTIVITIES
Net income	$ 3,350	$ 2,679
Less loss from discontinued operations	0	(23)
Income from continuing operations	3,350	2,702
Adjustments to reconcile income from continuing operations to net cash provided by operating activities:
Depreciation and amortization	2,055	1,957
Amortization of debt issuance costs	62	101
Provision for doubtful accounts	125	20
Amortization of deferred loss on sale-leaseback	282	170
Stock based compensation	5	34
Loss on sale of assets	2	529
Unrealized holding loss on contingent consideration	0	24
Change in fair value of derivative financial instruments	143	(89)
Deferred income taxes	1,890	1,627
Changes in assets and liabilities
Accounts receivable, including related parties	853	(420)
Unbilled gas	2,299	2,217
Natural gas inventory	3,097	2,730
Accounts payable, including related parties	(2,227)	(896)
Regulatory assets and liabilities	(498)	(1,431)
Other assets	239	297
Other liabilities	(791)	(200)
Net cash provided by operating activities	10,886	9,372
CASH FLOWS FROM INVESTING ACTIVITIES
Capital expenditures	(1,951)	(2,310)
Proceeds from sale of fixed assets	110	2
Contributions in aid of construction	588	120
Net cash used in investing activities	(1,253)	(2,188)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from lines of credit	4,650	5,800
Repayments of lines of credit	(11,450)	(4,400)
Repayments of notes payable, including related parties	0	(6,633)
Payments of capital lease obligations	(840)	(651)
Debt issuance costs	0	(23)
Dividends paid	(789)	0
Net cash used in financing activities	(8,429)	(5,907)
DISCONTINUED OPERATIONS
Operating cash flows	0	(22)
Net cash used in discontinued operations	0	(22)
NET INCREASE IN CASH AND CASH EQUIVALENTS	1,204	1,255
Cash and cash equivalents, beginning of period	6,463	2,728
CASH AND CASH EQUIVALENTS, END OF PERIOD	7,667	3,983
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION
Cash paid for interest	101	925
Cash received from income tax refunds, net	6	133
NONCASH INVESTING AND FINANCING ACTIVITIES
Restricted cash released from customer deposit	0	450
Assets acquired under build-to-suit agreement	0	516
Capital expenditures included in accounts payable	62	0
Capitalized interest	$ 0	$ 136

Summary of Business and Basis o

Summary of Business and Basis of Presentation	3 Months Ended
	Mar. 31, 2017
Accounting Policies [Abstract]
Organization, Consolidation and Presentation of Financial Statements Disclosure	Note 1 – Summary of Business and Basis of Presentation Energy West was originally incorporated in Montana in 1909 and was reorganized as a holding company in 2009. On July 9, 2010, we changed our name to Gas Natural Inc. (the “Company,” “we,” “us,” or “our”) and reincorporated in Ohio. We are a natural gas company with operations in four states. In October 2016, we implemented a plan of reorganization and formed a new holding company, PHC, an Ohio corporation that is the parent company of our regulated utility subsidiaries, Cut Bank Gas, EWM, Frontier Natural Gas, Bangor Gas, NEO, Brainard, Orwell, and Spelman. Gas Natural is the parent company of PHC, EWR, GNR, Lone Wolfe, and Energy West Propane, Inc. EWR is a natural gas marketing and production company with non-regulated operations in Montana. GNR is a natural gas marketing company that markets gas in Ohio. Energy West Propane, Inc. distributes propane with non-regulated operations in Montana. Lone Wolfe serves as an insurance agent for us. We have three operating and reporting segments: · Natural Gas. Representing the majority of our revenue, we annually distribute approximately 21 69,700 · Marketing and Production. Annually, we market approximately 3.6 53 44 160 · Corporate and Other. Included in corporate and other are costs associated with business development and acquisitions, dividend income, activity from Lone Wolfe which serves as an insurance agent for us and other businesses in the energy industry, and the results of our discontinued operations from the sales of EWW, the Shoshone and Glacier pipelines, and Independence. The accompanying Condensed Consolidated Balance Sheet as of December 31, 2016, which was derived from audited financial statements, and the unaudited interim condensed consolidated financial statements of Gas Natural have been prepared in accordance with U.S. GAAP for interim financial information, the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not contain all disclosures required by U.S. GAAP. In our opinion, all normal recurring adjustments have been made that are necessary to fairly present the results of operations for the interim periods. Operating results for the three months ended March 31, 2017, are not necessarily indicative of the results that may be expected for the year ending December 31, 2017. A majority of our revenue is derived from natural gas utility operations, making revenue seasonal in nature. Therefore, the largest portion of our operating revenue is generated during the colder months of the year when our sales volumes increased considerably. Reference should be made to our Annual Report on Form 10-K for the year ended December 31, 2016 (“Annual Report”). There have been no material changes in our significant accounting policies during the three months ended March 31, 2017, as compared to the significant accounting policies described in our Annual Report. Certain reclassifications of prior year reported amounts have been made for comparative purposes. We do not consider such reclassifications to be material and they had no effect on net income. In January 2017, the FASB issued ASU 2017-04, Intangibles – Goodwill and Other, In January 2017, the FASB issued Accounting Standards Update (“ASU”) 2017-01, Clarifying the Definition of a Business, In February 2016, the FASB issued ASU 2016-02, Leases In November 2015, the FASB issued ASU 2015-17, Balance Sheet Classification of Deferred Taxes 637 In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers

Discontinued Operations

Discontinued Operations	3 Months Ended
	Mar. 31, 2017
Discontinued Operations and Disposal Groups [Abstract]
Discontinued Operations	Note 2 – Discontinued Operations The following table reconciles the carrying amounts of the major line items constituting the pretax loss from discontinued operations to the after-tax loss from discontinued operations that are presented on our Condensed Consolidated Statements of Operations. Three Months Ended March 31, 2016 EWW/Pipeline Assets Interest expense $ (29) Pretax loss from discontinued operations (29) Income tax benefit 11 Loss from discontinued operations of EWW/Pipeline Assets $ (18) Independence Loss from discontinued operations of Independence (5) Discontinued operations, net of income tax $ (23) EWW and the Glacier & Shoshone Pipelines On October 10, 2014, we executed a stock purchase agreement for the sale of all of the stock of our wholly-owned subsidiary, EWW, to Cheyenne Light, Fuel and Power Company (“Cheyenne”). EWW has historically been included in our natural gas operations segment. In conjunction with this sale, our former EWD subsidiary entered into an asset purchase agreement for the sale of the transmission pipeline system known as the Shoshone Pipeline and the gathering pipeline system known as the Glacier Pipeline and certain other assets directly used in the operation of the pipelines (together the “Pipeline Assets”) to Black Hills Exploration and Production, Inc. (“Black Hills”), an affiliate of Cheyenne. As a result of EWW and the Pipeline Assets’ classification as discontinued operations, their results have been included in our corporate and other segment for all periods presented. On July 1, 2015, the transaction was completed. In connection with our sale of EWW and the Pipeline Assets, during the fourth quarter of 2015 we committed to repay the portion of notes payable to Allstate/CUNA that was allocated to EWW and EWD on February 12, 2016. During the first quarter of 2016, we adjusted our estimate of the prepayment penalty of $29. These amounts were recognized within interest expense related to the EWW/Pipeline Assets in the table above, and within discontinued operations, net of tax in the accompanying Condensed Consolidated Statements of Operations. See Note 7 – Credit Facilities and Long-Term Debt Our subsidiary, EWR, continues to conduct some business with both EWW and Black Hills relating to the Pipeline Assets. EWW has continued to purchase natural gas from EWR under an established gas purchase agreement through the first quarter of 2017. Additionally, EWR continued to use EWW’s transmission system under a standing transportation agreement through the first quarter of 2017. Finally, EWR continued to use the Pipeline Assets’ transmission systems under a standing transportation agreement through October 2017. During the three months ended March 31, 2017 and 2016, we recorded revenue in our income from continuing operations of $ 1,752 1,229

Earnings Per Share

Earnings Per Share	3 Months Ended
	Mar. 31, 2017
Earnings Per Share [Abstract]
Earnings per Share	Note 3 – Earnings Per Share Three Months Ended March 31, 2017 2016 Numerator: Income from continuing operations $ 3,350 $ 2,702 Loss from discontinued operations - (23) Net income $ 3,350 $ 2,679 Denominator: Basic weighted average common shares outstanding 10,518,062 10,506,877 Dilutive effect of restricted stock awards 1,151 654 Diluted weighted average common shares outstanding 10,519,213 10,507,531 Basic & diluted earnings per share of common stock: Continuing operations $ 0.32 $ 0.26 Discontinued operations - - Net income $ 0.32 $ 0.26 We compute basic earnings per share by dividing net income by the weighted average number of common shares outstanding during the period. There were no shares that would have been anti-dilutive and therefore excluded in the calculation of diluted earnings per share for the three months ended March 31, 2017 and 2016. Unvested restricted stock awards are treated as participating securities because they participate equally in dividends and earnings with other common shares.

Fair Value Measurements

Fair Value Measurements	3 Months Ended
	Mar. 31, 2017
Fair Value Disclosures [Abstract]
Fair Value Measurements	Note 4 – Fair Value Measurements We follow a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets and liabilities (Level 1) and the lowest priority to measurements involving unobservable inputs (Level 3). The three levels of the fair value hierarchy are as follows: Level 1 inputs - observable inputs that reflect quoted prices (unadjusted) for identical assets or liabilities in active markets. Level 2 inputs - other inputs that are directly or indirectly observable in the marketplace. Level 3 inputs - unobservable inputs which are supported by little or no market activity. We categorize our fair value measurements within the hierarchy based on the lowest level input that is significant to the fair value measurement in its entirety. The following table presents the amount and level in the fair value hierarchy of each of our assets and liabilities that are measured at fair value on a recurring basis as of March 31, 2017 and December 31, 2016. March 31, 2017 Level 1 Level 2 Level 3 Total LIABILITIES: Commodity swap contracts $ - $ 5 $ - $ 5 December 31, 2016 Level 1 Level 2 Level 3 Total ASSETS: Commodity swap contracts $ - $ 139 $ - $ 139 The fair value of our financial instruments including cash and cash equivalents, notes and accounts receivable, and notes and accounts payable are not materially different from their carrying amounts. Under the fair value hierarchy, the fair value of cash and cash equivalents is classified as a Level 1 measurement and the fair value of notes payable are classified as Level 2 measurements. Commodity Swaps Contracts We value our commodity swap contracts, which are categorized in Level 2 of the fair value hierarchy, by comparing the futures price at the measurement date of the natural gas commodity specified in the contract to the fixed price that we will pay. See Note 5 – Derivative Financial Instruments

Derivative Financial Instrument

Derivative Financial Instruments	3 Months Ended
	Mar. 31, 2017
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivative Financial Instruments	Note 5 – Derivative Financial Instruments We enter into commodity swap contracts in order to reduce the commodity price risk related to natural gas prices. These commodity swap contracts set a fixed price that we will pay for specified notional quantities of natural gas. We have not designated any of these commodity swap contracts as hedging instruments. Product Type Contract Period Volume Price per MMBtu AECO Canada - CGPR 7A Natural Gas Swap 5/1/17 - 3/31/18 150 MMBtu/Day $ 2.162 AECO Canada - CGPR 7A Natural Gas Swap 5/1/17 - 10/31/17 200 MMBtu/Day $ 1.775 AECO Canada - CGPR 7A Natural Gas Swap 11/1/17 - 3/31/18 250 MMBtu/Day $ 2.078 AECO Canada - CGPR 7A Natural Gas Swap 12/1/17 - 5/31/18 500 MMBtu/Day $ 2.536 We included in cost of sales in the accompanying Condensed Consolidated Statements of Operations, $ 143 (89) (5) 139

Regulatory Assets and Liabiliti

Regulatory Assets and Liabilities	3 Months Ended
	Mar. 31, 2017
Regulatory Assets and Liabilities Disclosure [Abstract]
Regulatory Assets and Liabilities	Note 6 - Regulatory Assets and Liabilities The following table summarizes the components of our regulatory asset and liability balances at March 31, 2017 and December 31, 2016. March 31, 2017 December 31, 2016 Current Long-term Current Long-term REGULATORY ASSETS Recoverable cost of gas purchases $ 3,138 $ - $ 2,638 $ - Deferred costs 490 612 490 735 Income taxes - 297 - 297 Rate case costs - - 3 - Total regulatory assets $ 3,628 $ 909 $ 3,131 $ 1,032 REGULATORY LIABILITIES Income taxes $ - $ 83 $ - $ 83 Asset retirement costs - 1,375 - 1,334 Total regulatory liabilities $ - $ 1,458 $ - $ 1,417

Credit Facilities and Long-Term

Credit Facilities and Long-Term Debt	3 Months Ended
	Mar. 31, 2017
Debt Disclosure [Abstract]
Credit Facilities and Long-Term Debt	Note 7 – Credit Facilities and Long-Term Debt March 31, December 31, 2017 2016 Borrowings outstanding LIBOR plus 1.75% to 2.25%, Bank of America line of credit, due October 19, 2021 $ 6,650 $ 13,450 4.23% TIAA Senior Notes, due October 19, 2028 50,000 50,000 Total borrowings outstanding 56,650 63,450 Less: unamortized debt issuance costs (595) (608) Borrowings outstanding, less unamortized debt issuance costs $ 56,055 $ 62,842 The weighted average interest rate on our current borrowings during the three months ended March 31, 2017 and 2016 was 3.03 2.63 3.17 2.90 Bank of America On October 19, 2016, we entered into a credit agreement and revolving note with Bank of America, N.A. The credit agreement provides for a $ 42,000 15,000 not more than 0.50 to 1.00 not less than 2.00 to 1.00 a base rate, which is defined as 75 to 125 basis points plus a daily rate based on the highest of the prime rate, the Federal Funds Rate plus 50 basis points or the daily LIBOR rate plus 100 basis points LIBOR plus 175 to 225 650 1,050 3.17 2.90 199 35,151 TIAA Senior Notes Also on October 19, 2016, we entered into a note purchase agreement providing for the issuance and sale to investors in a private placement of $ 50,000 4.23 October 19, 2028 not more than 0.50 to 1.00 not less than 2.00 to 1.00 The revolving note and senior note are each guaranteed by our wholly owned non-utility subsidiaries, PHC, EWR, GNR, Independence, Lone Wolfe, and Energy West Propane, Inc.

Stockholders' Equity

Stockholders' Equity	3 Months Ended
	Mar. 31, 2017
Equity [Abstract]
Stockholders’ Equity	Note 8 – Stockholder’s Equity Dividends On March 29, 2017, we paid a dividend of $ 0.075 10,519,728 789 2012 Incentive and Equity Award Plan During the three months ended March 31, 2016, we recognized $ 29 3,786 During each of the three months ended March 31, 2017 and 2016, we recognized $ 5

Employee Benefit Plans

Employee Benefit Plans	3 Months Ended
	Mar. 31, 2017
Compensation and Retirement Disclosure [Abstract]
Employee Benefit Plans	Note 9 – Employee Benefit Plans We have a defined contribution plan (the “ ” 3 10 87 91 We sponsored a defined postretirement health benefit plan (the “Retiree Health Plan”) providing Medicare supplement benefits to eligible retirees. We discontinued contributions in 2006 and are no longer required to fund the Retiree Health Plan. The Retiree Health Plan pays eligible retirees (post- 65 72 82

Related Party Transactions

Related Party Transactions	3 Months Ended
	Mar. 31, 2017
Related Party Transactions [Abstract]
Related Party Transactions	Note 10 – Related Party Transactions Transactions with Richard M. Osborne Historically we engaged in various related party transactions with entities owned or controlled by our former chairman and chief executive officer, Richard M. Osborne. After Richard M. Osborne’s removal as chief executive officer on May 1, 2014, the board took a measured approach to reduce or terminate, as appropriate, related party transactions with Richard M. Osborne while ensuring that we continue to serve our customers affected by such activities. These efforts were made in furtherance of our long-term plan to phase out related party transactions. We made purchases of natural gas and transportation services from entities owned or controlled by Richard M. Osborne of $ 667 922 2 3 4 As of March 31, 2017 and December 31, 2016, we had accounts receivable of $ 11 14 8 We accrued a liability of $ 166 253 In addition, we had related party natural gas imbalances of $ 89 46

Segment Reporting

Segment Reporting	3 Months Ended
	Mar. 31, 2017
Segment Reporting [Abstract]
Segment Reporting	Note 11 – Segment Reporting Our reportable segments are based on our method of internal reporting, which generally segregates the strategic business units due to differences in services and regulation. We separate our state regulated utility businesses from non-regulated marketing and production businesses, and our corporate level operations. We have regulated natural gas utility businesses in the states of Maine, Montana, North Carolina and Ohio that form our natural gas segment. We have non-regulated natural gas marketing and production businesses in Montana, Wyoming and Ohio that together form our marketing and production segment. Our corporate operations, our Lone Wolf insurance subsidiary, and our discontinued operations together form our corporate and other segment. Transactions between reportable segments are accounted for on an accrual basis, and are eliminated. Intercompany eliminations between segments consist primarily of gas sales from the marketing and production operations to the natural gas operations, intercompany accounts receivable and payable, equity, and investments in subsidiaries. Three Months Ended March 31, 2017 Marketing & Corporate & Natural Gas Production Other Consolidated OPERATING REVENUE $ 35,929 $ 4,339 $ - $ 40,268 Intersegment elimination (10) (399) - (409) Total operating revenue 35,919 3,940 - 39,859 COST OF SALES 20,612 4,092 - 24,704 Intersegment elimination (10) (399) - (409) Total cost of sales 20,602 3,693 - 24,295 GROSS MARGIN $ 15,317 $ 247 $ - $ 15,564 OPERATING EXPENSES 9,221 198 218 9,637 OPERATING INCOME (LOSS) $ 6,096 $ 49 $ (218) $ 5,927 DISCONTINUED OPERATIONS $ - $ - $ - $ - NET INCOME (LOSS) $ 3,517 $ 10 $ (177) $ 3,350 Three Months Ended March 31, 2016 Marketing & Corporate & Natural Gas Production Other Consolidated OPERATING REVENUE $ 35,076 $ 3,605 $ - $ 38,681 Intersegment elimination (12) (362) - (374) Total operating revenue 35,064 3,243 - 38,307 COST OF SALES 20,634 3,302 - 23,936 Intersegment elimination (12) (362) - (374) Total cost of sales 20,622 2,940 - 23,562 GROSS MARGIN $ 14,442 $ 303 $ - $ 14,745 OPERATING EXPENSES 8,925 220 103 9,248 OPERATING INCOME (LOSS) $ 5,517 $ 83 $ (103) $ 5,497 DISCONTINUED OPERATIONS $ - $ - $ (23) $ (23) NET INCOME (LOSS) $ 2,772 $ 29 $ (122) $ 2,679

Commitments and Contingencies

Commitments and Contingencies	3 Months Ended
	Mar. 31, 2017
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Note 12 – Commitments and Contingencies Legal Proceedings From time to time, we are involved in lawsuits that have arisen in the ordinary course of business. We are contesting each of these lawsuits vigorously and believe we have defenses to the allegations that have been made. In our opinion, the outcome to these legal actions will not have a material adverse effect on our financial condition, cash flows or results of operations. Derivative Suit Beginning on December 10, 2013, five putative shareholder derivative lawsuits were filed by five different individuals, in their capacity as our shareholders, in the United States District Court for the Northern District of Ohio, purportedly on behalf of us and naming certain of our current and former executive officers and directors as individual defendants. These five shareholder lawsuits are captioned as follows: (1) Richard J. Wickham v. Richard M. Osborne, et al., (Case No. 1:13-cv-02718-LW); (2) John Durgerian v. Richard M. Osborne, et al., (Case No. 1:13-cv-02805-LW); (3) Joseph Ferrigno v. Richard M. Osborne, et al., (Case No. 1:13-cv-02822-LW); (4) Kyle Warner v. Richard M. Osborne, et al., (Case No. 1:14-cv-00007-LW) and (5) Gary F. Peters v. Richard M. Osborne, (Case No. 1:14-cv-0026-CAB). On February 6, 2014, the five lawsuits were consolidated solely for purposes of conducting limited pretrial discovery, and on February 21, 2014, the Court appointed lead counsel for all five lawsuits. The consolidated action contains claims against various of our current or former directors or officers alleging, among other things, violations of federal securities laws, breaches of fiduciary duty, waste of corporate assets and unjust enrichment arising primarily out of our acquisition of the Ohio utilities, services provided by JDOG Marketing and the acquisition of JDOG Marketing, and the sale of our common stock by Richard M. Osborne, our former chairman and chief executive officer, and Thomas J. Smith, our former chief financial officer. The suit, in which we are named as a nominal defendant, seeks the recovery of unspecified damages allegedly sustained by us, corporate reforms, disgorgement, restitution, the recovery of plaintiffs’ attorney’s fees and other relief. On January 13, 2017, (i) plaintiffs John Durgerian and Joseph Ferrigno, individually and derivatively on behalf of the Company; (ii) certain of our current and former officers and directors; and (iii) we entered into a Stipulation of Settlement (the “Stipulation”). On January 31, 2017, the Court issued an order in the consolidated action preliminarily approving a proposed settlement (the “Settlement”), for which we have accrued a liability of $ 550 On April 17, 2017, following a hearing on April 12, 2017, the United States District Court for the Northern District of Ohio issued an order (the “Final Order”) granting final approval of the Settlement as set forth in the Stipulation. The Final Order approved the award of attorneys’ fees and unreimbursed expenses to lead counsel for plaintiffs’ in the amount of $ 3,200 2,650 The Settlement, as finally approved, caused the dismissal with prejudice of the derivative litigation. However, the Final Order is subject to appeal. The Settlement will become effective 30 days from April 17, 2017, the date the Final Order was entered by the Court, in the event no appeal is filed. Merger Litigation On November 3, 2016, a putative derivative and class action lawsuit was filed in the Cuyahoga County Court of Common Pleas, Case Number CV16871400, captioned Alison D. “Sunny” Masters vs. Michael B. Bender et. al. The complaint (as amended) alleges, among other things, that (i) our board breached its fiduciary duties and acted in bad faith by failing to undertake an adequate sales process during the time leading up to the execution of the Merger Agreement, (ii) our officers violated their fiduciary duty of loyalty, (iii) the Merger Agreement contains preclusive deal protection devices, (iv) our board failed to act with due care, loyalty, good faith, and independence owed to our shareholders, (v) that our executive officers, board members, InterTech, NIL Funding, and First Reserve conspired and aided and abetted such breaches of fiduciary duties, and (vi) that our board breached their fiduciary duties and violated related federal securities laws by omitting and misrepresenting material information in our preliminary proxy statement filed on November 9, 2016. The complaint further alleges various claims against the Zucker Trust and First Reserve including, as applicable, claims for breach of fiduciary duties, violations of Section 13(d) of the Exchange Act and Exchange Act Rule 13d-2(a). On November 28, 2016, all defendants removed the Masters Case to the United States District Court for the Northern District of Ohio, Case Number 1:16-CV-02880. We agreed to provide expedited discovery to the plaintiff. On December 23, 2016, we entered into a Memorandum of Understanding with the plaintiff providing for the settlement of the Masters case. In the Memorandum of Understanding, we agreed to make certain supplemental disclosures to the Definitive Proxy Statement filed on November 23, 2016, solely for the purpose of minimizing the time, burden, and expense of litigation. The Memorandum of Understanding provides that, in exchange for making these disclosures, defendants will receive, after notice to potential class members and upon court approval, a customary release of claims relating to the Merger. On December 23, 2016, we filed with the SEC a Form 8-K making supplemental disclosures to our definitive proxy statement. On March 7, 2017, the parties executed a Stipulation of Settlement, as contemplated by the Memorandum of Understanding. On March 13, 2017, the Court entered an order preliminarily approving the settlement and setting a fairness hearing on July 5, 2017. Litigation with Richard M. Osborne On March 31, 2015, Orwell filed a complaint, captioned Orwell Natural Gas Company v. Orwell-Trumbull Pipeline Company LLC On July 14, 2016, we entered into a settlement agreement with Richard M. Osborne, our former chairman and chief executive officer (the “Settlement”). Under the Settlement, we settled numerous, but not all, outstanding litigation and regulatory proceedings between us, including our subsidiaries and certain of our current and former directors, and Mr. Osborne. All matters previously disclosed and subject to the Settlement are described in further detail in Part II, Item I of our Quarterly Report on Form 10-Q for the quarter ended March 31, 2016, and under the caption “Litigation with Richard Osborne” in our Definitive Proxy Statement, filed with the SEC on May 9, 2016 and June 21, 2016, respectively. The specific litigation and regulatory proceedings subject to the Settlement are described in Part I, Item 3 of our Annual Report on Form 10-K for the fiscal year ended December 31, 2016 filed with the SEC on March 16, 2017. We and Mr. Osborne further agreed to dismiss all other pending or threatened litigation matters between us, although not specifically identified in the agreement. In connection with the Settlement, Mr. Osborne withdrew the director candidates he had nominated for election to the board at the annual meeting of shareholders held on July 27, 2016. The proxy materials circulated in support of his candidates were also withdrawn. Pursuant to the Settlement, further details of the Settlement are confidential. On October 20, 2016, Orwell-Trumbull Pipeline Co., LLC filed a complaint in the Court of Common Pleas in Lake County, Ohio, captioned Orwell-Trumbull Pipeline Co., LLC v. Orwell Natural Gas Company On December 20, 2016, Orwell filed a complaint with the PUCO against Orwell-Trumbull, captioned Orwell Natural Gas Company v. Orwell-Trumbull Pipeline Co., LLC On March 14, 2017, Richard M. Osborne, our former chairman and chief executive officer, filed a complaint in the Court of Common Pleas in Cuyahoga County, Ohio, captioned “Richard M. Osborne and Richard M. Osborne Trust, Under Restated and Amended Trust Agreement of February 24, 2012 v. Gas Natural, Inc.,” Case No. CV-17-877354. Mr. Osborne’s complaint alleges that we have breached the terms of the Settlement and seeks damages in excess of $ 4,000 Harrington Suit On February 25, 2013, one of our former officers, Jonathan Harrington, filed a lawsuit captioned “Jonathan Harrington v. Energy West, Inc. and Does 1-4,” Case No. DDV-13-159 in the Montana Eighth Judicial District Court, Cascade County. Mr. Harrington claims he was terminated in violation of a Montana statute requiring just cause for termination. In addition, he alleges claims for negligent infliction of emotional distress and negligent slander. Mr. Harrington is seeking relief for economic loss, including lost wages and fringe benefits for a period of at least four years from the date of discharge, together with interest. Mr. Harrington is an Ohio resident and was employed in our Ohio corporate offices. On March 20, 2013, we filed a motion to dismiss the lawsuit on the basis that Mr. Harrington was an Ohio employee, not a Montana employee, and therefore the statute does not apply. On July 1, 2014, the court conducted a hearing, made extensive findings on the record, and issued an Order finding in our favor and dismissing all of Mr. Harrington’s claims. On July 21, 2014, Mr. Harrington appealed the dismissal to the Montana Supreme Court. On August 11, 2015, the Montana Supreme Court agreed with us that Mr. Harrington’s employment was governed by Ohio law, and as such he could not take advantage of Montana’s Wrongful Discharge from Employment Act. However, the Montana Supreme Court also held the trial court erred in determining it lacked jurisdiction over the case, finding the trial court should have retained jurisdiction and applied Ohio law to Mr. Harrington’s claims. As Ohio is an “at will” state, we believe there are no claims under Ohio law and the case will ultimately be dismissed by the trial court on remand. On September 28, 2015, Mr. Harrington filed a motion to amend complaint to assert new causes of action not previously alleged including claims for misrepresentation, constructive fraud based on alleged representations, slander, and mental pain and suffering. We answered the amended complaint to preserve our defenses, we have also opposed Mr. Harrington’s motion to amend. On December 14, 2015, we filed a motion to dismiss the Montana action in its entirety on the basis that the forum is not appropriate. On August 17, 2016, the District Court again ruled in our favor and dismissed the case in its entirety. On September 1, 2016, Mr. Harrington again appealed to the Montana Supreme Court. The matter was required to proceed through a mandatory mediation process before briefs on the merits of the appeal would be heard by the Montana Supreme Court. The mediation process was not successful and no resolution of the claims has been reached to date, though the mediation has not yet been formally closed by the mediator. In addition, the issues appealed by Mr. Harrington in September 2016 have now been fully briefed and await ruling by the Montana Supreme Court. We continue to believe Mr. Harrington’s claims under both Montana and Ohio law are without merit and we will continue to vigorously defend this case on all grounds.

Summary of Business and Basis18

Summary of Business and Basis of Presentation (Policies)	3 Months Ended
	Mar. 31, 2017
Accounting Policies [Abstract]
Nature of Business	Nature of Business Energy West was originally incorporated in Montana in 1909 and was reorganized as a holding company in 2009. On July 9, 2010, we changed our name to Gas Natural Inc. (the “Company,” “we,” “us,” or “our”) and reincorporated in Ohio. We are a natural gas company with operations in four states. In October 2016, we implemented a plan of reorganization and formed a new holding company, PHC, an Ohio corporation that is the parent company of our regulated utility subsidiaries, Cut Bank Gas, EWM, Frontier Natural Gas, Bangor Gas, NEO, Brainard, Orwell, and Spelman. Gas Natural is the parent company of PHC, EWR, GNR, Lone Wolfe, and Energy West Propane, Inc. EWR is a natural gas marketing and production company with non-regulated operations in Montana. GNR is a natural gas marketing company that markets gas in Ohio. Energy West Propane, Inc. distributes propane with non-regulated operations in Montana. Lone Wolfe serves as an insurance agent for us. We have three operating and reporting segments: · Natural Gas. Representing the majority of our revenue, we annually distribute approximately 21 69,700 · Marketing and Production. Annually, we market approximately 3.6 53 44 160 · Corporate and Other. Included in corporate and other are costs associated with business development and acquisitions, dividend income, activity from Lone Wolfe which serves as an insurance agent for us and other businesses in the energy industry, and the results of our discontinued operations from the sales of EWW, the Shoshone and Glacier pipelines, and Independence.
Basis of Presentation	Basis of Presentation The accompanying Condensed Consolidated Balance Sheet as of December 31, 2016, which was derived from audited financial statements, and the unaudited interim condensed consolidated financial statements of Gas Natural have been prepared in accordance with U.S. GAAP for interim financial information, the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not contain all disclosures required by U.S. GAAP. In our opinion, all normal recurring adjustments have been made that are necessary to fairly present the results of operations for the interim periods. Operating results for the three months ended March 31, 2017, are not necessarily indicative of the results that may be expected for the year ending December 31, 2017. A majority of our revenue is derived from natural gas utility operations, making revenue seasonal in nature. Therefore, the largest portion of our operating revenue is generated during the colder months of the year when our sales volumes increased considerably. Reference should be made to our Annual Report on Form 10-K for the year ended December 31, 2016 (“Annual Report”). There have been no material changes in our significant accounting policies during the three months ended March 31, 2017, as compared to the significant accounting policies described in our Annual Report.
Reclassifications	Reclassifications Certain reclassifications of prior year reported amounts have been made for comparative purposes. We do not consider such reclassifications to be material and they had no effect on net income.
Recent Accounting Pronouncements	Recent Accounting Pronouncements In January 2017, the FASB issued ASU 2017-04, Intangibles – Goodwill and Other, In January 2017, the FASB issued Accounting Standards Update (“ASU”) 2017-01, Clarifying the Definition of a Business, In February 2016, the FASB issued ASU 2016-02, Leases In November 2015, the FASB issued ASU 2015-17, Balance Sheet Classification of Deferred Taxes 637 In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers

Discontinued Operations (Tables

Discontinued Operations (Tables)	3 Months Ended
	Mar. 31, 2017
Discontinued Operations and Disposal Groups [Abstract]
Schedule of Balance Sheet and Statement of Comprehensive Income to Discontinued Operations	The following table reconciles the carrying amounts of the major line items constituting the pretax loss from discontinued operations to the after-tax loss from discontinued operations that are presented on our Condensed Consolidated Statements of Operations. Three Months Ended March 31, 2016 EWW/Pipeline Assets Interest expense $ (29) Pretax loss from discontinued operations (29) Income tax benefit 11 Loss from discontinued operations of EWW/Pipeline Assets $ (18) Independence Loss from discontinued operations of Independence (5) Discontinued operations, net of income tax $ (23)

Earnings Per Share (Tables)

Earnings Per Share (Tables)	3 Months Ended
	Mar. 31, 2017
Earnings Per Share [Abstract]
Schedule of Earnings Per Share, Basic and Diluted	Three Months Ended March 31, 2017 2016 Numerator: Income from continuing operations $ 3,350 $ 2,702 Loss from discontinued operations - (23) Net income $ 3,350 $ 2,679 Denominator: Basic weighted average common shares outstanding 10,518,062 10,506,877 Dilutive effect of restricted stock awards 1,151 654 Diluted weighted average common shares outstanding 10,519,213 10,507,531 Basic & diluted earnings per share of common stock: Continuing operations $ 0.32 $ 0.26 Discontinued operations - - Net income $ 0.32 $ 0.26

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	3 Months Ended
	Mar. 31, 2017
Fair Value Disclosures [Abstract]
Fair Value Hierarchy of Assets and Liabilities Measured at Fair Value on Recurring Basis	The following table presents the amount and level in the fair value hierarchy of each of our assets and liabilities that are measured at fair value on a recurring basis as of March 31, 2017 and December 31, 2016. March 31, 2017 Level 1 Level 2 Level 3 Total LIABILITIES: Commodity swap contracts $ - $ 5 $ - $ 5 December 31, 2016 Level 1 Level 2 Level 3 Total ASSETS: Commodity swap contracts $ - $ 139 $ - $ 139

Derivative Financial Instrume22

Derivative Financial Instruments (Tables)	3 Months Ended
	Mar. 31, 2017
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Schedule of Derivative Instruments	The following table summarizes our commodity swap contracts outstanding as of March 31, 2017. We will pay the fixed price listed based on the volumes denoted in the table below in exchange for a variable payment from a counterparty based on the market price for the natural gas product listed for these volumes. These payments are settled monthly. Product Type Contract Period Volume Price per MMBtu AECO Canada - CGPR 7A Natural Gas Swap 5/1/17 - 3/31/18 150 MMBtu/Day $ 2.162 AECO Canada - CGPR 7A Natural Gas Swap 5/1/17 - 10/31/17 200 MMBtu/Day $ 1.775 AECO Canada - CGPR 7A Natural Gas Swap 11/1/17 - 3/31/18 250 MMBtu/Day $ 2.078 AECO Canada - CGPR 7A Natural Gas Swap 12/1/17 - 5/31/18 500 MMBtu/Day $ 2.536

Regulatory Assets and Liabili23

Regulatory Assets and Liabilities (Tables)	3 Months Ended
	Mar. 31, 2017
Regulatory Assets and Liabilities Disclosure [Abstract]
Regulatory Assets And Liabilities	The following table summarizes the components of our regulatory asset and liability balances at March 31, 2017 and December 31, 2016. March 31, 2017 December 31, 2016 Current Long-term Current Long-term REGULATORY ASSETS Recoverable cost of gas purchases $ 3,138 $ - $ 2,638 $ - Deferred costs 490 612 490 735 Income taxes - 297 - 297 Rate case costs - - 3 - Total regulatory assets $ 3,628 $ 909 $ 3,131 $ 1,032 REGULATORY LIABILITIES Income taxes $ - $ 83 $ - $ 83 Asset retirement costs - 1,375 - 1,334 Total regulatory liabilities $ - $ 1,458 $ - $ 1,417

Credit Facilities and Long-Te24

Credit Facilities and Long-Term Debt (Tables)	3 Months Ended
	Mar. 31, 2017
Debt Disclosure [Abstract]
Summary of Outstanding Long-Term Debt Balances	The following table presents our outstanding borrowings at March 31, 2017 and December 31, 2016. March 31, December 31, 2017 2016 Borrowings outstanding LIBOR plus 1.75% to 2.25%, Bank of America line of credit, due October 19, 2021 $ 6,650 $ 13,450 4.23% TIAA Senior Notes, due October 19, 2028 50,000 50,000 Total borrowings outstanding 56,650 63,450 Less: unamortized debt issuance costs (595) (608) Borrowings outstanding, less unamortized debt issuance costs $ 56,055 $ 62,842

Segment Reporting (Tables)

Segment Reporting (Tables)	3 Months Ended
	Mar. 31, 2017
Segment Reporting [Abstract]
Summary of Financial Information for Operating Segments	The following tables set forth summarized financial information for our natural gas, marketing and production, and corporate and other operations segments for the three months ended March 31, 2017 and 2016. Three Months Ended March 31, 2017 Marketing & Corporate & Natural Gas Production Other Consolidated OPERATING REVENUE $ 35,929 $ 4,339 $ - $ 40,268 Intersegment elimination (10) (399) - (409) Total operating revenue 35,919 3,940 - 39,859 COST OF SALES 20,612 4,092 - 24,704 Intersegment elimination (10) (399) - (409) Total cost of sales 20,602 3,693 - 24,295 GROSS MARGIN $ 15,317 $ 247 $ - $ 15,564 OPERATING EXPENSES 9,221 198 218 9,637 OPERATING INCOME (LOSS) $ 6,096 $ 49 $ (218) $ 5,927 DISCONTINUED OPERATIONS $ - $ - $ - $ - NET INCOME (LOSS) $ 3,517 $ 10 $ (177) $ 3,350 Three Months Ended March 31, 2016 Marketing & Corporate & Natural Gas Production Other Consolidated OPERATING REVENUE $ 35,076 $ 3,605 $ - $ 38,681 Intersegment elimination (12) (362) - (374) Total operating revenue 35,064 3,243 - 38,307 COST OF SALES 20,634 3,302 - 23,936 Intersegment elimination (12) (362) - (374) Total cost of sales 20,622 2,940 - 23,562 GROSS MARGIN $ 14,442 $ 303 $ - $ 14,745 OPERATING EXPENSES 8,925 220 103 9,248 OPERATING INCOME (LOSS) $ 5,517 $ 83 $ (103) $ 5,497 DISCONTINUED OPERATIONS $ - $ - $ (23) $ (23) NET INCOME (LOSS) $ 2,772 $ 29 $ (122) $ 2,679

Summary of Business and Basis26

Summary of Business and Basis of Presentation - Additional Information (Detail) $ in Thousands	3 Months Ended
	Mar. 31, 2017USD ($)Bcf	Dec. 31, 2016USD ($)
Summary of Business and Accounting Policies [Line Items]
Number Of Customers Served	69,700
Deferred Tax Liabilities, Net, Noncurrent | $	$ 13,813	$ 11,917
Accounting Standards Update 2015-17 [Member]
Summary of Business and Accounting Policies [Line Items]
Deferred Tax Liabilities, Net, Noncurrent | $		$ 637
Natural Gas Operations [Member]
Summary of Business and Accounting Policies [Line Items]
Annual distribution of natural gas | Bcf	21
Marketing & Production Operations [Member]
Summary of Business and Accounting Policies [Line Items]
Annual Amount Of Natural Gas Marketed | Bcf	3.6
EWR Subsidiary [Member]
Summary of Business and Accounting Policies [Line Items]
Number of natural gas producing wells and gas gathering assets	160
Gross Percentage Of Working Interest	53.00%
Average Net Revenue Interest, Percentage	44.00%

Discontinued Operations - Addit

Discontinued Operations - Additional Information (Detail) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Energy West Wyoming, Inc [Member]
Schedule Of Discontinued Operations [Line Items]
Estimated Prepayment Penalty Recognized In Discontinued Operations Net Of Tax		$ 29
Black Hills [Member]
Schedule Of Discontinued Operations [Line Items]
Proceeds From Gas and Transportation	$ 1,752	$ 1,229

Discontinued Operations - Conso

Discontinued Operations - Consolidated Statement of Comprehensive Income (Detail) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Discontinued operations, net of income tax	$ 0	$ (23)
EWW/Pipeline Assets [Member]
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Interest expense		(29)
Pretax loss from discontinued operations		(29)
Income tax benefit		11
Discontinued operations, net of income tax		(18)
Independence [Member]
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Discontinued operations, net of income tax		$ (5)

Earnings Per Share - Additional

Earnings Per Share - Additional Information (Detail) - shares	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	0	0

Earnings Per Share - Summary of

Earnings Per Share - Summary of Earnings Per Share (Detail) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Numerator:
Income from continuing operations	$ 3,350	$ 2,702
Discontinued operations	0	(23)
Net income	$ 3,350	$ 2,679
Denominator:
Basic weighted average common shares outstanding	10,518,062	10,506,877
Dilutive effect of restricted stock awards	1,151	654
Diluted weighted average common shares outstanding	10,519,213	10,507,531
Basic & diluted earnings per share of common stock:
Continuing operations	$ 0.32	$ 0.26
Discontinued operations	0	0
Net income	$ 0.32	$ 0.26

Fair Value Measurements - Fair

Fair Value Measurements - Fair Value Hierarchy of Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) - Fair Value, Measurements, Recurring [Member] - USD ($) $ in Thousands	Mar. 31, 2017	Dec. 31, 2016
ASSETS:
Commodity swap contracts		$ 139
LIABILITIES:
Commodity swap contracts	$ 5
Level 1 [Member]
ASSETS:
Commodity swap contracts		0
LIABILITIES:
Commodity swap contracts	0
Level 2 [Member]
ASSETS:
Commodity swap contracts		139
LIABILITIES:
Commodity swap contracts	5
Level 3 [Member]
ASSETS:
Commodity swap contracts		$ 0
LIABILITIES:
Commodity swap contracts	$ 0

Derivative Financial Instrume32

Derivative Financial Instruments - Additional Information (Detail) - Swap [Member] - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016	Dec. 31, 2016
Derivative [Line Items]
Derivative Instruments Not Designated as hedging instruments, (Gain) Loss, Net	$ 143	$ (89)
Derivative Assets (Liabilities), at Fair Value, Net	$ (5)		$ 139

Derivative Financial Instrume33

Derivative Financial Instruments - Summary of Our Commodity Swap Contracts Outstanding (Detail) - Swap [Member]	3 Months Ended
	Mar. 31, 2017MMBTU$ / MillionsofBTU-MMBTU
Product [Member]
Derivative [Line Items]
Derivative, Type of Instrument	Swap
Derivative, Swap Type, Fixed Price | $ / MillionsofBTU-MMBTU	2.162
Derivative, Nonmonetary Notional Amount, Energy Measure | MMBTU	150
Product [Member] | Contract Start Date [Member]
Derivative [Line Items]
Derivative, Inception Date	May 1, 2017
Product [Member] | Contract End Date [Member]
Derivative [Line Items]
Derivative, Maturity Date	Mar. 31, 2018
Product One [Member]
Derivative [Line Items]
Derivative, Type of Instrument	Swap
Derivative, Swap Type, Fixed Price | $ / MillionsofBTU-MMBTU	1.775
Derivative, Nonmonetary Notional Amount, Energy Measure | MMBTU	200
Product One [Member] | Contract Start Date [Member]
Derivative [Line Items]
Derivative, Inception Date	May 1, 2017
Product One [Member] | Contract End Date [Member]
Derivative [Line Items]
Derivative, Maturity Date	Oct. 31, 2017
Product Two [Member]
Derivative [Line Items]
Derivative, Type of Instrument	Swap
Derivative, Swap Type, Fixed Price | $ / MillionsofBTU-MMBTU	2.078
Derivative, Nonmonetary Notional Amount, Energy Measure | MMBTU	250
Product Two [Member] | Contract Start Date [Member]
Derivative [Line Items]
Derivative, Inception Date	Nov. 1, 2017
Product Two [Member] | Contract End Date [Member]
Derivative [Line Items]
Derivative, Maturity Date	Mar. 31, 2018
Product Three [Member]
Derivative [Line Items]
Derivative, Type of Instrument	Swap
Derivative, Swap Type, Fixed Price | $ / MillionsofBTU-MMBTU	2.536
Derivative, Nonmonetary Notional Amount, Energy Measure | MMBTU	500
Product Three [Member] | Contract Start Date [Member]
Derivative [Line Items]
Derivative, Inception Date	Dec. 1, 2017
Product Three [Member] | Contract End Date [Member]
Derivative [Line Items]
Derivative, Maturity Date	May 31, 2018

Regulatory Assets and Liabili34

Regulatory Assets and Liabilities - Schedule Of Regulatory Assets And Liabilities (Detail) - USD ($) $ in Thousands	Mar. 31, 2017	Dec. 31, 2016
REGULATORY ASSETS
Regulatory Assets, Current	$ 3,628	$ 3,131
Regulatory Assets, Long-term	909	1,032
REGULATORY LIABILITIES
Regulatory Liability, Current	0	0
Regulatory Liability, Long-term	1,458	1,417
Recoverable cost of gas purchases [Member]
REGULATORY ASSETS
Regulatory Assets, Current	3,138	2,638
Regulatory Assets, Long-term	0	0
Deferred costs [Member]
REGULATORY ASSETS
Regulatory Assets, Current	490	490
Regulatory Assets, Long-term	612	735
Income taxes [Member]
REGULATORY ASSETS
Regulatory Assets, Current	0	0
Regulatory Assets, Long-term	297	297
REGULATORY LIABILITIES
Regulatory Liability, Current	0	0
Regulatory Liability, Long-term	83	83
Rate case costs [Member]
REGULATORY ASSETS
Regulatory Assets, Current	0	3
Regulatory Assets, Long-term	0	0
Asset retirement costs [Member]
REGULATORY LIABILITIES
Regulatory Liability, Current	0	0
Regulatory Liability, Long-term	$ 1,375	$ 1,334

Credit Facilities and Long-Te35

Credit Facilities and Long-Term Debt - Additional Information (Detail) - USD ($) $ in Thousands	1 Months Ended	3 Months Ended	12 Months Ended
	Oct. 19, 2016	Mar. 31, 2017	Dec. 31, 2016
Short-term Debt [Member]
Debt Instrument [Line Items]
Weighted average interest rate on term loan		3.03%	2.63%
Short-term Debt, Weighted Average Interest Rate		3.17%	2.90%
Senior Notes [Member]
Debt Instrument [Line Items]
Debt Instrument, Interest Rate, Stated Percentage	4.23%
Debt Instrument, Maturity Date	Oct. 19, 2028
Debt Instrument, Face Amount	$ 50,000
Letter of Credit [Member]
Debt Instrument [Line Items]
Line of Credit Facility, Maximum Borrowing Capacity	$ 15,000
Revolving Credit Facility [Member]
Debt Instrument [Line Items]
Line of Credit Facility, Maximum Borrowing Capacity		$ 35,151
Revolving Credit Facility [Member] | Base Rate [Member]
Debt Instrument [Line Items]
Outstanding borrowings		$ 650	$ 1,050
Revolving Credit Facility [Member] | Bank of America [Member]
Debt Instrument [Line Items]
Weighted Average Interest Rate On Current Borrowings		3.17%	2.90%
Debt Instrument, Interest Rate Terms		LIBOR plus 175 to 225
Letters of Credit Outstanding, Amount		$ 199
Debt Instrument Other Interest Rate Terms	a base rate, which is defined as 75 to 125 basis points plus a daily rate based on the highest of the prime rate, the Federal Funds Rate plus 50 basis points or the daily LIBOR rate plus 100 basis points
Unsecured Revolving Credit Facility [Member]
Debt Instrument [Line Items]
Line of Credit Facility, Maximum Borrowing Capacity	$ 42,000

Credit Facilities and Long-Te36

Credit Facilities and Long-Term Debt - Debt Covenants - Additional Information (Detail)	1 Months Ended
	Oct. 19, 2016
TIAA Senior Notes [Member]
Summary of outstanding long-term debt balances
Maximum debt to capital ratio	not more than 0.50 to 1.00
Interest coverage ratio	not less than 2.00 to 1.00
Debt Instrument, Term	12 years
Bank of America [Member]
Summary of outstanding long-term debt balances
Maximum debt to capital ratio	not more than 0.50 to 1.00
Interest coverage ratio	not less than 2.00 to 1.00

Credit Facilities and Long-Te37

Credit Facilities and Long-Term Debt - Summary of Outstanding Long-Term Debt Balances (Detail) - USD ($) $ in Thousands	Mar. 31, 2017	Dec. 31, 2016
Debt Instrument [Line Items]
Long-term borrowings Outstanding	$ 56,650	$ 63,450
Less: unamortized debt issuance costs	(595)	(608)
Borrowings outstanding less unamortized debt issuance costs	56,055	62,842
LIBOR plus 1.75% to 2.25%, Bank of America line of credit, due October 19, 2021
Debt Instrument [Line Items]
Long-term borrowings Outstanding	6,650	13,450
4.23% TIAA Senior Notes, due October 19, 2028 [Member]
Debt Instrument [Line Items]
Long-term borrowings Outstanding	$ 50,000	$ 50,000

Credit Facilities and Long-Te38

Credit Facilities and Long-Term Debt - Summary of Outstanding Long-Term Debt Balances (Parenthetical) (Detail)	3 Months Ended	12 Months Ended
	Mar. 31, 2017	Dec. 31, 2016
LIBOR plus 1.75% to 2.25%, Bank of America line of credit, due October 19, 2021
Long-term Debt, Fiscal Year Maturity [Abstract]
Notes payable, maturity date	Oct. 19, 2021	Oct. 19, 2021
LIBOR plus 1.75% to 2.25%, Bank of America line of credit, due October 19, 2021 | Maximum [Member]
Long-term Debt, Fiscal Year Maturity [Abstract]
Interest Rate	2.25%	2.25%
LIBOR plus 1.75% to 2.25%, Bank of America line of credit, due October 19, 2021 | Minimum [Member]
Long-term Debt, Fiscal Year Maturity [Abstract]
Interest Rate	1.75%	1.75%
4.23% TIAA Senior Notes, due October 19, 2028 [Member]
Long-term Debt, Fiscal Year Maturity [Abstract]
Notes payable, maturity date	Oct. 19, 2028	Oct. 19, 2028
Interest Rate	4.23%	4.23%

Stockholders' Equity - Addition

Stockholders' Equity - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands	1 Months Ended	3 Months Ended
	Mar. 29, 2017	Mar. 31, 2017	Mar. 31, 2016	Mar. 15, 2017	Dec. 31, 2016
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Common Stock, Dividends, Per Share, Cash Paid	$ 0.075
Common Stock, Shares, Outstanding		10,519,728		10,519,728	10,519,728
Payments of Ordinary Dividends	$ 789
2012 Incentive and Equity Award Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares granted during period			3,786
Number of shares granted fair value			$ 29
2012 Incentive and Equity Award Plan [Member] | Restricted Stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Employee Benefits and Share-based Compensation, Total		$ 5	$ 5

Employee Benefit Plans - Additi

Employee Benefit Plans - Additional Information (Detail) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016	Dec. 31, 2016
Annual contribution of employees salaries	3.00%
Expense related to plan	$ 87	$ 91
Company makes matching contributions in form of common stock, percent	10.00%
Minimum age criteria for retirees to remain on the same medical plan to retain coverage	65 years
Value of plan assets	$ 72		$ 82

Related Party Transactions - Ad

Related Party Transactions - Additional Information (Detail) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016	Dec. 31, 2016
Related Party Transaction [Line Items]
Related Party Natural Gas Imbalances	$ 89		$ 46
Accounts Receivable, Related Parties, Current	11		14
Accounts Payable, Total			8
Cost of Natural Gas Purchases	20,602	$ 20,622
Former Chairman and Chief Executive Officer [Member]
Related Party Transaction [Line Items]
Due to Related Parties, Current	166		$ 253
Operating Leases, Rent Expense		2
Oil and Gas Sales Revenue	3	4
Cost of Natural Gas Purchases	$ 667	$ 922

Segment Reporting - Summary of

Segment Reporting - Summary of Financial Information for Operating Segments (Detail) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Segment Reporting Information [Line Items]
Total operating revenue	$ 39,859	$ 38,307
Total cost of sales	24,295	23,562
GROSS MARGIN	15,564	14,745
OPERATING EXPENSES	9,637	9,248
OPERATING INCOME (LOSS)	5,927	5,497
DISCONTINUED OPERATIONS	0	(23)
NET INCOME (LOSS)	3,350	2,679
Consolidated Entities [Member]
Segment Reporting Information [Line Items]
Total operating revenue	39,859	38,307
Total cost of sales	24,295	23,562
GROSS MARGIN	15,564	14,745
OPERATING EXPENSES	9,637	9,248
OPERATING INCOME (LOSS)	5,927	5,497
DISCONTINUED OPERATIONS	0	(23)
NET INCOME (LOSS)	3,350	2,679
Operating Segments [Member] | Consolidated Entities [Member]
Segment Reporting Information [Line Items]
Total operating revenue	40,268	38,681
Total cost of sales	24,704	23,936
Intersegment Eliminations [Member] | Consolidated Entities [Member]
Segment Reporting Information [Line Items]
Total operating revenue	(409)	(374)
Total cost of sales	(409)	(374)
Natural Gas [Member]
Segment Reporting Information [Line Items]
Total operating revenue	35,919	35,064
Total cost of sales	20,602	20,622
GROSS MARGIN	15,317	14,442
OPERATING EXPENSES	9,221	8,925
OPERATING INCOME (LOSS)	6,096	5,517
DISCONTINUED OPERATIONS	0	0
NET INCOME (LOSS)	3,517	2,772
Natural Gas [Member] | Operating Segments [Member]
Segment Reporting Information [Line Items]
Total operating revenue	35,929	35,076
Total cost of sales	20,612	20,634
Natural Gas [Member] | Intersegment Eliminations [Member]
Segment Reporting Information [Line Items]
Total operating revenue	(10)	(12)
Total cost of sales	(10)	(12)
Marketing & Production Operations [Member]
Segment Reporting Information [Line Items]
Total operating revenue	3,940	3,243
Total cost of sales	3,693	2,940
GROSS MARGIN	247	303
OPERATING EXPENSES	198	220
OPERATING INCOME (LOSS)	49	83
DISCONTINUED OPERATIONS	0	0
NET INCOME (LOSS)	10	29
Marketing & Production Operations [Member] | Operating Segments [Member]
Segment Reporting Information [Line Items]
Total operating revenue	4,339	3,605
Total cost of sales	4,092	3,302
Marketing & Production Operations [Member] | Intersegment Eliminations [Member]
Segment Reporting Information [Line Items]
Total operating revenue	(399)	(362)
Total cost of sales	(399)	(362)
Corporate and Other [Member]
Segment Reporting Information [Line Items]
Total operating revenue	0	0
Total cost of sales	0	0
GROSS MARGIN	0	0
OPERATING EXPENSES	218	103
OPERATING INCOME (LOSS)	(218)	(103)
DISCONTINUED OPERATIONS	0	(23)
NET INCOME (LOSS)	(177)	(122)
Corporate and Other [Member] | Operating Segments [Member]
Segment Reporting Information [Line Items]
Total operating revenue	0	0
Total cost of sales	0	0
Corporate and Other [Member] | Intersegment Eliminations [Member]
Segment Reporting Information [Line Items]
Total operating revenue	0	0
Total cost of sales	$ 0	$ 0

Commitments and Contingencies -

Commitments and Contingencies - Additional Information (Detail) - USD ($) $ in Thousands	Mar. 14, 2017	Apr. 17, 2017	Jan. 13, 2017
Loss Contingencies [Line Items]
Loss Contingency, Damages Sought, Value	$ 4,000	$ 3,200
Estimated Litigation Liability			$ 550
Litigation Settlement, Amount		$ 2,650