The proposed infrastructure, managed by the company’s subsidiary Peninsula Pipeline Company, is designed to deliver nearly 250,000 dekatherms of natural gas per day. The project has already secured firm commitments from several investment-grade shippers, with upstream capacity supported by Florida Gas Transmission’s Phase IX expansion.
Chesapeake Utilities Targets South Florida with $1.2 Billion Pipeline
A 24-inch natural gas pipeline stretching from Palm Beach to Miami-Dade is set to reshape the energy landscape of South Florida by 2030. Chesapeake Utilities Corporation announced the Florida Energy Pathway project this week, aiming to alleviate regional supply constraints amid the state's rapid population and economic expansion.
Chesapeake Utilities expects the total investment to reach approximately $1.2 billion. To manage the capital requirements, the company is actively evaluating financing strategies, including the potential sale of up to 49% of the project to third-party investors. CEO Jeff Householder noted that the initiative builds on the company's recent acquisition of Florida City Gas, positioning the firm to meet rising local demand while strengthening regional energy reliability. Further financial details regarding the project's long-term impact are expected during the company's second-quarter earnings call in August.
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