Dear Friends,

I started working here at P. Gagnon and Son with my dad in 1989. December of that year became sort of a legendary time period in this industry because of the extreme cold that began the day before Thanksgiving and ran straight through into January. It was “all hands on deck” day after day for the whole month. Several of our current employees were with us then and every one of them remember December of ’89 vividly.

Well, it took 26 years but a new legend has been born. February of 2015 is the new king of the rugged weather months. Snow like we’ve never seen and extreme below-normal cold challenged us like never before. It is with a huge amount of pride that I’m able to tell you that our team of office folks, delivery drivers and heating technicians stepped up to the plate and took great care of our customers day after day after day.

Think of it this way. February was 37% colder in Portsmouth than the 30-year average. That basically means that our folks delivered about a third more heating oil and propane than in a normal busy February. About an additional 10 days’ worth of deliveries were done in the month’s four weeks. All in the extreme cold while often wading in snow up to their belt loops. The pictures here of Bruce Goodwin and Phil Amato pretty much sum it up. Great job, guys!

During the month we heard from an alarming number of noncustomers who told us that they were running out of oil and “their oil company” wouldn’t come out. We actually heard from one person who was told they couldn’t get a delivery for two weeks. When our responsibility to our loyal customers allowed it, we were able to help some of them out. The snow slowed us down a bit but P. Gagnon and Son customers were taken care of.

Last February was unlike anything anyone here has ever experienced. We would all be OK to never have to do it again. But if we do, we will be ready. You can count on the people of P. Gagnon and Son to take care of you for many winters to come.

Warmly,

Mark Gagnon
President

Everyone needs a shopping spree once in a while, and here’s your chance to win a big one—for any place you want to go!

Read this newsletter and answer the questions on our contest page to enter. All entries received by 7/10/15 with the correct answers will be entered into a drawing.

No purchase necessary. A purchase will not improve chance of winning. Visit the contest page for details.

Heating oil and propane are safe and efficient home heating fuels that keep getting better. Here’s the latest great news about these two fuels.

Building Homes with Propane

Let us introduce the Propane Energy Pod. No, it’s not the latest electronic gadget from Apple. It’s an innovative model for new-home construction that merges these five applications of propane into an integrated whole house energy package:

• space heating
• water heating
• cooking
• clothes drying
• fireplaces

Builders can now use this approach to give their buyers a home that is a pleasure to live in—with gas for cooking, clothes drying and fireplaces, unlimited hot water and super-efficient space heating. Some builders are raising the bar even further by incorporating propane outdoor living products as well. As an added bonus, rebates are available through the Propane Education & Research Council.

Besides enjoying heightened, affordable comfort, anyone who builds a new home using the Propane Energy Pod model will have bragging rights because of how effectively it reduces carbon emissions.

If you or someone you know is considering purchasing a newly built home, please plan to visit BuildWithPropane.com/energypod to check out videos, facts sheets and more. And then pass this information on to your builder.

Warm up to propane

Affordable, guaranteed comfort. That’s what you get when you rely on propane to warm up your home. Most high-efficiency propane furnaces feature two-stage gas burners and variable-speed motors to deliver all the warm air you need, no matter how cold it gets. That’s one reason heated air from a furnace is much warmer than the temperatures achieved by more inefficient electric heat pumps.

Unlimited hot water

A tankless propane water heater uses a flame so hot you no longer need to keep water sitting in a storage tank, eating up energy dollars while it waits to be used. What’s more, it’s almost impossible to run out of hot water, no matter how many showers, hot baths or laundry loads you have running.

Clothes encounters

Gas dryers typically dry your clothes 25% faster than electric models while being gentler on fabrics. Remember to clean the lint screen after every load. The duct, vent and hinged hood cover should also be cleaned at least once a year.

Hearth and home

With a propane fireplace, there’s more heat without the work and fuss. Light your fire with the flip of a switch and then enjoy the incredible atmosphere of today’s log sets and realistic flames. Gas fireplaces can produce twice as much heat as wood-burning fireplaces at about a third of the cost. Plus no soot, ash or smoke.

Cook like a pro

You’ll never see an electric stove being used on Top Chef! Gas ovens give you much better temperature control and heat distribution than electric stoves. The most efficient stoves have an automatic electric ignition system, which saves propane because the pilot light is not burning continuously. Propane cooktops, ranges and ovens are available in the latest styles, including commercial grade stainless steel.

Over the last 30 years, there have been only two times that crude oil prices have fallen 50% or more from their peak levels. Why does this matter? Think about it: After the price plunge in 1985–86, oil prices remained low and stable for 15 years, except for a temporary blip during the lead-up to the Persian Gulf War in 1991.

Could oil prices remain stable for that long again?

As always, it remains to be seen how oil prices will play out in the years ahead, since factors such as severe weather, the state of the economy and world events affecting energy production are unpredictable. But with U.S. oil production levels surging strongly, there is a better chance that oil prices may stay at lower levels in the future.

Production Revs Up Again

In 1985, U.S. oil production reached peak levels for the decade, with nearly 9 million barrels per day being pumped out. Unfortunately, domestic production began waning in the years that followed. However, today’s breakthrough technology has enabled us to get back to those high levels again. Total U.S. crude oil production in 2015 is on track to surpass 9 million barrels per day. And we have seen estimates that crude oil output will top 13 million barrels a day by 2019!

The new American oil revolution has changed the equation!

1. Reliable service. We always go the extra mile to deliver fuel and service — even when the weather is at its worst; you can count on us for emergency service 24 hours a day, 7 days a week.
2. No hidden delivery fees. We’re honest and up front about our prices!
3. Long-term savings. Our programs and services, combined with the skill and experience of our comfort experts, help you save money year after year.
4. Locally owned and operated. Our employees live in the neighborhoods they love to serve.
5. Longevity. We have been around for 111 years and plan on being here for many more.

Get 50 FREE GALLONS of heating oil or propane when you install a new heating system by July 1, 2015.

Because of falling fuel prices, most folks saved a lot of money on heating costs this winter. We encourage you to invest your fuel savings back into your home so you can save even more money.

Replace your heating system. A new furnace or boiler can reduce your annual heating costs by 30% or more. Install a new heating system by July 1 and get 50 free gallons of heating oil or propane.

Put cooling where you need it. Mitsubishi mini-split ductless air conditioning systems let you create your own zone of comfort, allowing you to cool individual rooms — or your entire house! They are quiet and energy effi cient and they blend with any decor.

Call us or go to our contest page to request more information.

Oil prices fell sharply in the fall and early winter, reaching their lowest point in six years. However, a bitter-cold February pushed up demand and prices ticked upward again. This shows that there is still volatility in the energy markets.

It’s also the reason many of our customers stay enrolled in our SimplePay Plan. Once you’re in this monthly payment plan, you’ll never pay a big delivery bill again. It’s easier to plan ahead when you know what your monthly fuel expenses will be. And there is no fee to join! (If you are already a SimplePay member, your monthly payments should be lower this year!)

SimplePay also gives you the option of adding a price cap. You never pay more than the cap, and you will pay a lower amount when market prices fall below the cap. This past winter, price cap customers saved an average of a dollar per gallon!

Enrollment has already begun! Please call us or go to our contest page to request more information.