DOVER, Del., May 22, 2019 /PRNewswire/ -- Chesapeake
Utilities Corporation (NYSE: CPK) announced today that its
Florida subsidiary, Peninsula
Pipeline Company, Inc., has entered into an agreement with SeaCoast
Gas Transmission, an affiliate of Tampa-based TECO Peoples Gas (PGS) to jointly
develop the Callahan Intrastate Pipeline, bringing additional
natural gas capacity to Nassau and
Duval Counties. The new supply
source will enable both Florida Public Utilities Company (FPU),
another Chesapeake Utilities subsidiary, and PGS to expand natural
gas distribution service in this growing area of Florida. FPU
and PGS previously worked together in 2012 to introduce natural gas
service to Nassau County.
"We are delighted to work with TECO Peoples Gas to jointly
increase the availability of natural gas in Nassau and Duval Counties. Expanding access to safe,
reliable and clean natural gas plays an important role in the
continuing economic development of the northeast Florida region," said Jeff Householder, President and Chief Executive
Officer of Chesapeake Utilities Corporation. "Working together we
avoid the cost of duplicative pipeline facilities," he added.
"The Callahan pipeline is an
exciting development and continues to demonstrate Peoples Gas'
commitment to the Jacksonville
region," said T.J. Szelistowski, president of Peoples Gas. "This
pipeline will increase the delivery of affordable, reliable,
efficient and domestic natural gas to the area. We are proud to be
a part of this partnership to deliver the most cost-effective
energy solution to Jacksonville-area customers."
The Callahan Intrastate Pipeline facilities include a
26.5-mile-long joint natural gas pipeline that will initiate from a
gate station to be constructed on the Southern Natural Gas Cypress
Interstate Pipeline near Crawford Road in Callahan, Florida to Radio Avenue and Highway
17 in Yulee,
Florida. Peninsula Pipeline will construct, partially own and
fully maintain the pipeline.
"The project will increase Chesapeake's footprint in underserved
communities in Northeast Florida
while providing additional capacity to serve industrial and
commercial growth in Nassau
County," said Kevin Webber,
President of the Company's Florida
business unit, which includes FPU. Chesapeake Utilities Corporation
has a long-standing history in Florida, beginning with the acquisition of
Central Florida Gas Company in 1985, followed by the acquisition of
FPU in 2009.
The estimated cost of the pipeline is $65
million, to be split between both companies. Construction is
set to begin next month with a target in-service date of
September 2020.
FPU and PGS will be seeking the necessary Florida Public Service
Commission regulatory approvals associated with access to the
additional pipeline capacity and increased distribution
capabilities.
About Chesapeake Utilities Corporation
Chesapeake
Utilities Corporation is a diversified energy company engaged in
natural gas transmission and distribution; electricity generation
and distribution; propane gas distribution; and other businesses.
Information about Chesapeake Utilities Corporation's businesses is
available at www.chpk.com or through the Company's Investor
Relations App.
About Florida Public Utilities Company
Florida Public
Utilities Company is a wholly-owned subsidiary of Chesapeake
Utilities Corporation. Headquartered in Fernandina Beach, Florida, FPU distributes
natural gas and propane and provides electric services to
approximately 100,000 customers in markets throughout Florida. For more information, visit
www.fpuc.com.
About TECO Peoples Gas
Peoples Gas System,
Florida's largest natural gas
distribution utility, serves about 390,000 customers across
Florida. Peoples Gas is a
subsidiary of Emera Inc., a geographically diverse energy and
services company headquartered in Halifax, Nova Scotia, Canada. For more
information, visit www.peoplesgas.com.
Please note that Chesapeake Utilities Corporation is not
affiliated with Chesapeake Energy, an oil and natural gas
exploration company headquartered in Oklahoma City, Oklahoma.
Cautionary Note Regarding Forward-Looking Statements:
Statements in this release that are not historical are
forward-looking statements made pursuant to the safe harbor
provisions of the Private Securities Litigation Reform Act of 1995.
Words such as "expect," "likely," "outlook," "forecast," "would,"
"could," "should," "can," "will," "project," "intend," "plan,"
"goal," "target," "continue," "sustain," "believe," "seek,"
"estimate," "anticipate," "may," "possible," "assume," variations
of such words and similar expressions are intended to identify such
forward-looking statements. These forward-looking statements are
not guarantees of future performance and are subject to risks,
uncertainties and assumptions that could cause actual results to
vary materially from those indicated, including the factors
described in Item 1A (Risk Factors) of our most recent Annual
Report on Form 10-K and Quarterly Report on Form 10-Q, each of
which is incorporated herein by reference, and in other documents
that we file or furnish with the Securities and Exchange
Commission. Should one or more of these risks or uncertainties
materialize, or should underlying assumptions prove incorrect,
actual results may vary materially from those indicated or
anticipated by such forward-looking statements. Accordingly, you
are cautioned not to place undue reliance on these forward-looking
statements, which speak only as of the date they are made. Except
to the extent required by law, the Company does not undertake, and
expressly disclaims, any duty or obligation to update publicly any
forward-looking statement after the date of this release, whether
as a result of new information, future events, changes in
assumptions or otherwise.
For more information,
contact:
Justin Mulcahy
Public Relations Manager
302.217.7050
jmulcahy@chpk.com
View original
content:http://www.prnewswire.com/news-releases/chesapeake-utilities-corporation-and-teco-peoples-gas-partner-on-callahan-pipeline-in-northeast-florida-300855461.html
SOURCE Chesapeake Utilities Corporation