Cardinal Pipeline to invest $39MM in pipeline expansion to increase capacity

Cardinal Pipeline Company, LLC announced today that it has executed precedent agreements to increase the pipeline's firm transportation capacity by 199,000 dekatherms per day. The pipeline will transport additional natural gas supplies to serve growing markets served by Piedmont Natural Gas Company, Inc. (PNY) , and Public Service Company of North Carolina (SCG) from an interconnect with Williams Partners L.P.'s (WPZ) Transco pipeline. 

The $39 million Cardinal System Expansion project is scheduled to be placed into service in July 2012. The expansion has been designed to serve growth on Piedmont's and PSNC Energy's distribution systems, including an expansion on Piedmont's system to serve Progress Energy Carolinas' planned new state-of-the-art gas-fired power generation facility in Wayne County, N.C. 

"This Cardinal Pipeline expansion represents a key link in the transportation path providing clean-burning, abundant, domestic natural gas to growing energy markets in North Carolina," the project sponsors said in a statement. 

Cardinal Pipeline is a 105-mile, 24-inch diameter pipeline that extends from Rockingham County, N.C., to a point southeast of Raleigh, N.C., with a design capacity of approximately 279,000 dekatherms per day. The pipeline is a North Carolina limited liability company whose members are wholly owned subsidiaries of Williams Partners L.P., PSNC Energy and Piedmont.

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