Spectra Energy Buys PSE&G’s Stake in PennEast Pipeline

That was fast. Last Friday MDN reported that New Jersey’s largest utility, Public Service Enterprise Group (PSE&G), is shopping its ownership stake in the $1 billion PennEast Pipeline project (see PennEast Pipeline Investor Looks to Sell its 10% Ownership Share). PSE&G owns a 10% stake in the project primarily because it will be one of the biggest customers for the pipeline when (not if) it gets built. PSE&G wants to sell its share not because it has lost confidence in the project, but because of a change in corporate strategy. The bigwigs running PSE&G want to put their money into more power generating plants, rather than the pipelines that feed those plants. Fair enough. Yesterday Spectra Energy (now a part of Enbridge), another investor/partner in PennEast, said it will buy out PSE&G’s share. Spectra currently owns a 10% stake in the project, as does PSE&G, so it will double its ownership share…

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