Project to Begin RNG Transportation in Fourth Quarter 2021
DOVER, Del. – Chesapeake Utilities Corporation (NYSE: CPK) today announced that construction of its Noble Road Landfill Renewable Natural Gas (RNG) pipeline project has been completed. The Company’s subsidiary, Aspire Energy of Ohio, constructed the 33.1-mile pipeline, which will transport RNG generated from the Noble Road Landfill in Shiloh, Ohio, to Aspire Energy’s pipeline system, displacing conventionally produced natural gas. In conjunction with this expansion, Aspire Energy also upgraded an existing compressor station and installed two new metering and regulation sites.
Chesapeake Utilities invested $7.3 million in the project, which was constructed in just over a six-month period. Throughput of the RNG is expected to begin in the fourth quarter of 2021. The Company expects to generate gross margin of $0.1 million in 2021; $0.75 million annually in 2022 through 2025; and $1 million in 2026 and thereafter.