Avista Corp., of Spokane, announced this morning it has formed a subsidiary, called Salix Inc., to explore domestic markets, specifically wholesale and business-to-business customers in the western U.S., for liquefied natural gas.

Robert J. Lafferty, a 30-year Avista employee who has been named president of Salix, said in a release, “The increase in natural-gas production and sustained lower costs make it possible to serve new markets. Salix will explore ways to extend … natural gas beyond traditional pipeline-supplied markets.”

Liquefied natural gas is converted from the gaseous state to take up less space and so that it’s easier to transport and store.

Salix is considered a non-utility subsidiary.

Avista Utilities currently provides electric service to 366,000 customers and natural gas to 326,000 customers in Eastern Washington, North Idaho, and Eastern Oregon.