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McDougall Energy acquires MacDonnell Fuels

The Southwestern Ontario acquisition expands McDougall Energy’s regional footprint, bringing decades of family-owned fuel and propane distribution under its brand.
Michelle Warren smiles
McDougall logo on the back of a fuel truck
McDougall logo on the back of a fuel truck

SAULT STE. MARIE, Ont. — McDougall Energy Inc. is expanding its energy distribution footprint in Southwestern Ontario with the acquisition of Owen Sound-based MacDonnell Fuels.

MacDonnell Fuels has supplied residential, commercial and agricultural customers across Bruce and Grey counties for more than 60 years. The family-owned fuel and propane distributor delivers heating oil, gasoline, diesel, propane and lubricants, while also operating a cardlock station within the IPN network.

Under the transaction announced November 2, 2026, MacDonnell Fuels’ operations will transition to the McDougall Energy brand, however the plan outline in a release says it will maintain continuous operations from its existing Owen Sound location. The local operational team will remain in place to ensure seamless service continuity for regional customers.

“We are honoured to welcome MacDonnell Fuels customers and team members to McDougall Energy,” Darren McDougall, CEO of McDougall Energy, said in a statement. “The MacDonnell family has built a respected business rooted in trust, hard work, and genuine care for its customers and community. As a third-generation family-owned company, we understand the importance of local relationships and look forward to continuing the dependable service customers know and value.”

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Steve MacDonnell, president of MacDonnell Fuels, highlighted the alignment in business culture and values between the two family-run operations. “Choosing a company to continue serving our customers was an important decision for our family,” MacDonnell said. “McDougall Energy shares many of the values that have guided our business for generations, including a commitment to people, service, and community. We are confident our customers and employees will be well supported.”

Headquartered in Sault Ste. Marie, Ont., McDougall Energy was established in 1949 and distributes propane, fuels, lubricants and heating oil to residential, commercial, agricultural and wholesale customers across Ontario. The company also owns and operates a network of branded retail fuel stations and is a Platinum Club member of Canada’s Best Managed Companies.

READ: McDougall Energy continues to grow in Southwestern Ontario

Over the years, McDougall Energy has expanded to become a fuel distributor and branded reseller of Esso, Shell and Mobil fuels. In 2017, it acquired Burford, Ont.-based Davis Fuels and that company's residential, commercial, and industrial fuel supply, delivery, distribution and dispensing business. That business now operates as McDougall Energy. It also signed a Broker Sales Agreement with Alimentation Couche-Tard, thereby adding the well-known Circle K brand to the McDougall Energy's retail and convenience store offering. 

In 2020, McDougall Energy took on Edward Fuels, a multi-channel distributor and marketer of Shell-branded products, including fuels and lubricants. The acquisitions of Davis Fuels, Edward Fuels and Dowler-Karn allowed the company to expand its footprint into southern Ontario.

More recently, McDougall Energy expanded its presence in the provincial aviation sector by acquiring Gra Ham Energy's aviation business, including its customer list and key assets. The acquisition strengthens McDougall Energy's distribution capabilities and footprint across Ontario—with key facilities in St. Marys, Franktown and Sudbury transitioning over.

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