Using Renewable Energy to Support
Growing Markets
DOVER,
Del., July 16, 2024 /PRNewswire/ -- Chesapeake
Utilities Corporation (NYSE: CPK) today announced that its
subsidiary, Peninsula Pipeline Company (PPC), received approval
from the Florida Public Service Commission for three projects that
expand natural gas infrastructure to benefit customers of Florida
City Gas (FCG), also a subsidiary of Chesapeake Utilities.
The projects, located in Florida's Brevard, Indian
River and Miami-Dade
counties, will bring renewable natural gas produced from local
landfills into FCG's natural gas distribution system. Benefits of
these PPC projects include increased gas supply to serve expected
FCG growth, strengthened system reliability and additional system
flexibility. The projects represent a combined capital investment
of $46 million and are estimated to
be completed in the first half of 2025.
"These renewable natural gas infrastructure projects further
demonstrate Chesapeake Utilities' commitment to both growth and
sustainability. These projects use methane that would otherwise
escape into the environment and allow this renewable, locally
sourced gas to be transported into our system for the beneficial
use of our customers," said Kevin
Webber, senior vice president and chief development officer.
"They highlight our ability to meet customer demand by leveraging
our transmission and distribution systems to safely and reliably
deliver renewable natural gas into growing markets."
In Brevard County, once
completed, the project will reinforce FCG's system with a new
alternative gas source, bringing additional supply of 3,200 Dth/day
into the FCG distribution system. Additionally, it will create flow
design enhancements that position FCG's system to meet expected new
demand growth in the county. The Brevard County project will
consist of approximately five miles of new transmission
infrastructure with a total capital spend of approximately
$6 million.
The Indian River County project
will see equivalent results with the project resulting in the
interconnection of three existing transmission systems once
completed. The new facilities will result in 3,200 Dth/day of
additional supply into the FCG distribution system, providing
resiliency to customers and consist of approximately 14 miles of
new transmission infrastructure, a district regulator station, a
tie-in with FCG's distribution system and an interconnect with
existing PPC facilities. The total capital spend of the
Indian River County project will
be approximately $18 million.
The third project, in Miami-Dade
County, will bring an additional 6,700 Dth/day of capacity
to the area via approximately eight miles of new transmission
infrastructure and a new district regulator station that is tied in
with FCG's distribution system. The project will support the need
for additional supply in this area of South Florida, while
also reinforcing FCG's system with locally-sourced renewable
natural gas. The total capital spend of the project will be
approximately $22 million.
In addition, the Florida Public Service Commission approved the
transfer of the Pioneer Supply Pipeline asset from FCG to PPC,
which allows Chesapeake Utilities to better align its assets and
services within its relevant subsidiaries. Pioneer Supply will
continue to provide service to FCG and FPU through two existing
contracts and will now add two new delivery offtakes to serve
additional gas supply needs for FPU.
About Chesapeake Utilities Corporation
Chesapeake
Utilities Corporation is a diversified energy delivery company,
listed on the New York Stock Exchange. Chesapeake Utilities
Corporation offers sustainable energy solutions through its natural
gas transmission and distribution, electricity generation and
distribution, propane gas distribution, mobile compressed
natural gas utility services and solutions, and other
businesses.
Please note that Chesapeake Utilities Corporation is not
affiliated with Chesapeake Energy, an oil and natural gas
exploration company headquartered in Oklahoma City, Oklahoma.
Media Contact:
Susan Cellura
Manager, External Communications
904.654.5087
SCellura@chpk.com
Investor Relations Contact:
Lucia M. Dempsey
Head of Investor Relations
347.804.9067
LDempsey@chpk.com
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SOURCE Chesapeake Utilities Corporation
