8-KOther Events

DOMINION ENERGY, INC 8-K Report, Corporate Update (Sep 2, 2014)

Filed September 2, 2014For Securities:D

Summary

Dominion Energy, Inc. (D), along with Duke Energy, Piedmont Natural Gas, and AGL Resources, announced on September 2, 2014, the formation of a significant joint venture to construct the Atlantic Coast Pipeline. This new 550-mile natural gas pipeline project, with an estimated cost of $4.5 billion to $5.0 billion, represents a substantial strategic investment for Dominion, which will hold a 45% ownership stake and be responsible for building and operating the pipeline. The pipeline aims to transport natural gas from West Virginia through Virginia and into North Carolina, serving a critical infrastructure need.

Key Highlights

  • 1Formation of Atlantic Coast Pipeline, LLC, a joint venture involving Dominion Energy, Duke Energy, Piedmont Natural Gas, and AGL Resources.
  • 2Dominion Energy to hold a 45% ownership stake in the joint venture, with Duke Energy (40%), Piedmont (10%), and AGL Resources (5%).
  • 3Dominion Energy selected to build and operate the proposed 550-mile natural gas pipeline.
  • 4Estimated project cost between $4.5 billion and $5.0 billion.
  • 5Pipeline route planned from West Virginia through Virginia to North Carolina.
  • 6Joint venture partners' subsidiaries and affiliates intend to be customers under 20-year contracts, pending regulatory approvals.
  • 7Project is subject to approvals from the Federal Energy Regulatory Commission (FERC) and other state and federal agencies.

Frequently Asked Questions

The Atlantic Coast Pipeline is a proposed 550-mile natural gas pipeline project designed to transport natural gas from West Virginia southeast through Virginia, with an extension to Chesapeake, Virginia, and then south through central North Carolina to Robeson County.

Dominion Energy will be a 45% owner of the Atlantic Coast Pipeline joint venture and will be responsible for building and operating the pipeline on behalf of the venture. This indicates a significant commitment and operational involvement.

The estimated cost for the construction of the Atlantic Coast Pipeline is between $4.5 billion and $5.0 billion.

The project is subject to obtaining approvals from the Federal Energy Regulatory Commission (FERC) as well as other necessary state and federal regulatory bodies before construction can proceed.