PennEast pipeline announces new Marcellus shale pipeline

PennEast Pipeline Company, LLC, has announced plans to construct a 100 mile pipeline intended to bring lower cost natural gas produced in the Marcellus Shale region to homes and businesses in Pennsylvania and New Jersey, USA.

PennEast is a joint project of AGL Resources, NJR Pipeline Company, a subsidiary of New Jersey Resources, South Jersey Industries and UGI Energy Services (UGIES), a subsidiary of UGI Corporation.

The PennEast Pipeline is designed to provide natural gas service to the equivalent of 4.7 million homes, up to 1 billion ft³/d, offering consumer savings in lower energy and gas transportation costs.

The pipeline will begin in Luzerne County in northeastern Pennsylvania and end at Transco's Trenton-Woodbury interconnection in New Jersey. PennEast is investing nearly US$ 1 billion to build the pipeline with the costs split among the four entities. UGIES is the project manager for the development of the project and will operate the pipeline.

Additionally, the new pipeline is expected to benefit the region's economy and create jobs. During the seven month construction phase, the PennEast project is estimated to create in excess of 2000 new jobs, as well as many other ancillary jobs.

"In response to the abundant supplies and low price of natural gas, customer demand has increased significantly," said John Walsh, President and CEO of UGI Corporation. "This project serves to meet that growing demand in the mid-Atlantic marketplace, while providing greater system resiliency and reliability for local utilities."

Edited from various sources by Elizabeth Corner

Sources: MarketWatch, LeHigh Valley News

Read the article online at: https://www.worldpipelines.com/business-news/13082014/penneast-pipeline-announces-new-marcellus-shale-pipeline/