Two new Marcellus pipelines for Pa.

UGI Energy Services L.L.C., Valley Forge, on Tuesday announced two Marcellus Shale pipeline projects costing $80 million that will transport natural gas produced by Cabot Oil & Gas Corp. in northeast Pennsylvania.

The UGI Corp. subsidiary said it will expand its Auburn Gathering System with a new nine-mile 24-inch diameter pipeline from Susquehanna County to the Manning Compressor Station in Wyoming County. The new pipeline will parallel the existing 12-inch Auburn I pipeline.

The company also announced the construction of a separate six-mile 12-inch pipeline to move natural gas to UGI Penn Natural Gas, Inc., one of UGI's utilities in northeast Pennsylvania. After completion, Marcellus Shale gas will be the predominant source of supply for UGI PNG customers.

- Andrew Maykuth

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