Duke Energy Grabs Atlantic Pipeline Shares
Published By : 03 Sep 2014 | Published By : QYRESEARCH
The pipeline business will witness a return of Duke Energy Corp., who will become the co-owner of a natural gas line that is to run between West Virginia and North Carolina. The pipeline will run till the southeast of North Carolina and is worth $5 billion.
Duke Energy established its natural gas section in 2007, calling it Spectra Energy Corp. It merged with Progress Energy Inc. and inherited its customers in the eastern side of North Carolina. Lynn Good, the chief executive officer at Duke Energy, said that the Charlotte-based company will have to provide for its increased customer base, and hopes to do so with the new pipeline.
Duke Energy declared that it will retire parts of its coal plants and will use the natural gas to help ease off their dependence on coal. Their spokesperson said that the 550-mile pipeline will allow the company to do just that, by dividing the energy sources into natural gas, nuclear, and coal.
Duke Energy reported that the pipeline will be constructed by Dominion Resources Inc., which is situated in Richmond, Va. It is the largest transporter of energy in the U.S. A Duke spokesperson said that the pipeline’s construction will begin by 2016 and will be functional by the winter of 2018.
Duke Energy will own 40% shares in the pipeline, while Dominion resources will own 45%. Other partners in the deal include Piedmont Natural Gas Co. and AGL Resources Inc., who will own 10% and 5% of the pipeline shares respectively.