PennEast Pipeline Company, LLC, Announces Project To Supply Lower Cost Marcellus Natural Gas To Mid-Atlantic Region

    PennEast Pipeline Company, LLC, Announces Project To Supply Lower Cost
                 Marcellus Natural Gas To Mid-Atlantic Region

PennEast Pipeline Will Reduce Energy Costs for Homes and Businesses and
Enhance Reliability

PR Newswire

WYOMISSING, Pa., Aug. 12, 2014

WYOMISSING, Pa., Aug. 12, 2014 /PRNewswire/ --PennEast Pipeline Company, LLC,
today announced plans to construct a 100-mile pipeline intended to bring lower
cost natural gas produced in the Marcellus Shale region to homes and
businesses in Pennsylvania and New Jersey. PennEast is a joint project of AGL
Resources, NJR Pipeline Company, a subsidiary of New Jersey Resources, South
Jersey Industries and UGI Energy Services (UGIES), a subsidiary of UGI

The PennEast Pipeline is designed to provide natural gas service to the
equivalent of 4.7 million homes, up to 1 Bcf per day, offering consumer
savings in lower energy and gas transportation costs. The pipeline will begin
in Luzerne County in northeastern Pennsylvania and end at Transco's
Trenton-Woodbury interconnection in New Jersey. PennEast is investing nearly
$1 billion to build the pipeline with the costs split among the four entities.
UGIES is the project manager for the development of the project and will
operate the pipeline.

"In response to the abundant supplies and low price of natural gas, customer
demand has increased significantly," said John Walsh, President and CEO of UGI
Corporation. "This project serves to meet that growing demand in the
mid-Atlantic marketplace, while providing greater system resiliency and
reliability for local utilities."

Prior to the development of the Marcellus Shale play, natural gas lines were
constructed to bring gas primarily from the Gulf of Mexico region and Canada
into the Northeast. Pennsylvania is the fastest growing natural gas producing
state in the country, according to the U.S. Energy Information Administration,
and the PennEast sponsor companies recognized the opportunity to use locally
produced gas to serve growing markets in the mid-Atlantic.

This past winter, natural gas prices in New Jersey traded as high as $100 per
dekatherm. Natural gas in the area that PennEast will access traded in the
range of $3 to $4 per dekatherm. The proposed pipeline will help reduce this
price volatility to the benefit of New Jersey's nearly 3 million natural gas

Pipelines are also the safest, most environmentally-friendly and efficient
mode of transporting natural gas, according to the U.S. Department of
Transportation, Pipeline and Hazardous Materials Safety Administration
(PHMSA). In fact, data shows that while natural gas demand has increased by 55
percent over the last three decades, serious pipeline incidents have decreased
by 90 percent over the same period, primarily as a result of the significant
efforts by pipeline companies to upgrade and modernize their infrastructure.

Additionally, the new pipeline is expected to benefit the region's economy and
create jobs. During the seven-month construction phase, the PennEast project
is estimated to create in excess of 2,000 new jobs, as well as many other
ancillary jobs.

PennEast will begin preliminary engineering studies in the coming months,
along with a formal application before the Federal Energy Regulatory
Commission (FERC). If all local, state and federal approvals are timely
approved, construction of the pipeline could begin in 2017.

For more information, please go to Residents with
questions about the PennEast Pipeline project can email them to Additional information can be found at the FERC
website ( FERC evaluates interstate natural gas pipeline
applications for approval. Also, the U.S. Department of Transportation Office
of Pipeline Safety (, which enforces regulations of
the nation's pipeline transportation system, is another valuable source of

About PennEast sponsor companies:

AGL Resources

AGL Resources (NYSE: GAS) is an Atlanta-based energy services holding company
with operations in natural gas distribution, retail operations, wholesale
services, midstream operations and cargo shipping. AGL Resources serves
approximately 4.5 million utility customers through its regulated distribution
subsidiaries in seven states. The company also serves approximately 630,000
retail energy customers and approximately 1.2 million customer service
contracts through its SouthStar Energy Services joint venture and Pivotal Home
Solutions, which market natural gas and related home services. Other
non-utility businesses include asset management for natural gas wholesale
customers through Sequent Energy Management, ownership and operation of
natural gas storage facilities, and ownership of Tropical Shipping, one of the
largest containerized cargo carriers serving the Bahamas and Caribbean region.
AGL Resources is a member of the S&P 500 Index.

NJR Pipeline Company

NJR Pipeline Company is a subsidiary of New Jersey Resources (NYSE: NJR), a
Fortune 1000 company that provides safe and reliable natural gas and clean
energy services, including transportation, distribution and asset management.
NJR Pipeline is part of NJR's strong financial profile and ongoing commitment
to invest in and own midstream assets, including natural gas storage and
transportation pipelines. NJR's midstream assets are currently comprised of a
5.53 percent stake in Iroquois Pipeline and a 50 percent stake in Steckman
Ridge, a 12 Bcf storage field in south central Pennsylvania, and now equity
ownership in the PennEast Pipeline.

South Jersey Industries

South Jersey Industries (SJI), a member of the MSCI Global Climate Index,
offers solutions to climate change and helps customers control energy costs.
South Jersey Gas, one of the nation's fastest growing natural gas utilities,
delivers clean, efficient natural gas and promotes energy efficiency to
customers in southern New Jersey. SJI's non-regulated businesses, under South
Jersey Energy Solutions, promote efficiency, clean technology and renewable
energy by developing and operating on-site energy production facilities;
acquiring and marketing natural gas and electricity for retail customers;
providing wholesale commodity marketing and risk management services; and
offering HVAC and other energy-efficiency related services.

UGI Energy Services

UGI Energy Services is a subsidiary of UGI Corporation. UGI Energy Services
markets natural gas, electricity and liquid fuels to approximately 30,000
business, commercial, industrial, institutional and government customers in
nine states and Washington, DC. In addition, it stores and delivers natural
gas and generates electricity. The UGI name has been known in the region for
more than 130 years and is an integral part of the community. Its name is a
brand built on a solid reputation for safe and reliable distribution of
natural gas. UGI prides itself on being an active and responsible member of
the community.

SOURCE PennEast Pipeline Company, LLC

Contact: Patricia Kornick, (412) 780-4696,
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