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.