Colonial to purchase family-owned Foster Fuels

The highly anticipated autumn acquisition is expected to expand the group’s regional emergency response capabilities and energy distribution portfolio across Virginia.

Sept. 1, 2026

2 min read

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Key Highlights

The acquisition is expected to close on October 1, with no disclosed terms of the deal.
Foster Fuels will continue operating under its established brand and leadership, with all employees remaining on board.
The deal aims to expand Colonial's energy product portfolio and enhance service capabilities across various sectors.

Colonial Group is set to acquire Foster Fuels, a Virginia-based energy provider with over a century of service, in a deal that unites two family-owned companies and enhances Colonial’s portfolio and regional presence.

Colonial Group recently agreed to acquire Foster Fuels, a Virginia-based provider of fuel, lubricants, propane, and mission-critical energy services.

Terms of the transaction, expected to close Oct. 1, were not disclosed.

Foster offers guaranteed emergency fuel response in critical industries, as well as for natural disasters. The acquisition will expand Savannah-based Colonial’s presence and strengthen its ability to serve commercial, industrial, residential, agricultural, and transportation customers with an expanded portfolio of energy products and services, the company reported.

“From the beginning, we recognized that there was something incredibly unique about Foster Fuels,” Christian Demere, Colonial president and CEO, said in a news release. “We were impressed by the business and its capabilities, but we were even more impressed by the people we met and the culture they have built. It is rare to find two companies, each with more than a century of history, whose values, cultures, and commitment to their customers and communities align as closely as ours do.”

Founded in 1921 and headquartered in Brookneal, Virginia, Foster has grown from a local fuel provider into a diversified energy company known for dependable service, industry expertise, and strong community involvement, Colonial said. Over the course of more than a century, generations of the Foster family have built a legacy rooted in service, trust, and commitment. Under Colonial’s ownership, Foster will continue operating under its established brand and leadership, building upon the reputation and relationships that customers value. The companies share a commitment to preserving what makes Foster successful, while providing additional resources and long-term investment to support future growth.

Guaranteed emergency fuel response and mission-critical support during natural disasters are cornerstones of operations for Virginia-based Foster Fuels.

All Foster employees are expected to remain with the organization; and Colonial is committed to supporting employees throughout the integration process and building upon the expertise, relationships, and customer focus that have driven the success of both companies.

“Deciding to sell our century-old family business was hard,” said Watt Foster, president and CEO of Foster Fuels. “Deciding who to sell it to was easy. It was about culture, longevity, honor and values. Those qualities ensure that your employees and customers will be well taken care of.

“Foster has been doing business with Colonial for decades and I know the future of our great company is in good hands. Together we will be better.”