More Marcellus Gas for Delmarva: ESNG Seeks OK for $75M Expansion

There's a new pipeline project to tell you about, and it starts in Pennsylvania. Eastern Shore Natural Gas (ESNG) is the only interstate pipeline serving the Delmarva Peninsula and a subsidiary of Chesapeake Utilities Corporation (CPK). On Sept. 24, ESNG asked FERC to approve its $75 million Delmar Regional Enhancement Project. The project begins with a 2.55-mile, 24-inch pipeline loop in Chester County, PA, near where ESNG picks up gas from Transco and Columbia Gas Transmission. Every bit of the new capacity is already sold under 20-year contracts. We found the project mentioned in CPK's latest 10-Q (it wasn't brought up on the earnings call), then tracked down the application. The application has some eye-opening numbers on what new pipeline capacity costs these days.

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