Chesapeake Utilities Corporation Announces Sale of 49% Ownership Interest in Florida Energy Pathway Project

Rhea-AI Summary

Chesapeake Utilities (NYSE: CPK), through indirect subsidiary Peninsula Pipeline Holdings, announced the sale of a 49% minority ownership interest in the Florida Energy Pathway (FEP) natural gas transmission project to NextEra Energy Resources, with Peninsula retaining 51% ownership.

The joint venture has engaged Chesapeake Utilities’ subsidiary Peninsula Pipeline Company to construct, manage and operate the intrastate 24-inch pipeline from Palm Beach County to Miami-Dade County. The total project investment is estimated at approximately $1.2 billion, with construction targeted to begin in the first half of 2028 and anticipated in-service timing in 2030, subject to final commissioning.

Positive

• Peninsula retains 51% ownership of Florida Energy Pathway while bringing in a 49% partner
• Estimated total FEP project investment of approximately $1.2 billion
• Construction targeted to begin in H1 2028 with anticipated in-service in 2030

Negative

• Florida Energy Pathway not expected in service until 2030, indicating a long development timeline
• Large project size with estimated investment of approximately $1.2 billion requires substantial long-term capital commitment

News Explained

The release does not disclose the consideration Chesapeake Utilities received for selling the 49% FEP interest, leaving the transaction’s immediate cash economics for existing common holders unquantified.

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NextEra Energy Resources to acquire a minority interest in landmark South Florida natural gas infrastructure project.

DOVER, Del., Sept. 1, 2026 /PRNewswire/ -- Chesapeake Utilities Corporation (NYSE: CPK), through its indirect subsidiary Peninsula Pipeline Holdings, LLC ("Peninsula"), today announced it sold a minority interest in Florida Energy Pathway (FEP), a natural gas transmission infrastructure project designed to support South Florida's growing energy needs. Under the agreement, Peninsula will retain 51% ownership of the project and NextEra Energy Resources ("NEER") will acquire a 49% minority ownership interest. The joint venture engaged Chesapeake Utilities' subsidiary, Peninsula Pipeline Company, Inc., to construct, manage and operate the project.

FEP is anticipated to be a 24-inch intrastate natural gas infrastructure project constructed from Palm Beach County to Miami-Dade County. The project is designed to expand natural gas transportation capacity, address regional supply constraints, meet growing customer demand, and enhance energy reliability in one of the nation's fastest-growing regions. Total project investment is estimated to be approximately $1.2 billion, pending finalization of design and development activities.  

"Since announcing the project in July, we have received strong interest from potential partners, reinforcing the value of this regulated infrastructure opportunity," said Jeff Householder, chair of the board, president and chief executive officer of Chesapeake Utilities Corporation. "This partnership strengthens our ability to advance a transformational infrastructure project alongside our robust capital growth plan to drive long-term value creation for our customers, communities, and shareholders." 

Development activities related to FEP continue to advance, including engineering, environmental studies and stakeholder engagement. Construction is expected to begin during the first half of 2028, and the project is anticipated to be in service in 2030, subject to final commissioning.

About Chesapeake Utilities Corporation
Chesapeake Utilities Corporation is a diversified energy delivery company listed on the New York Stock Exchange. Chesapeake Utilities Corporation offers sustainable energy solutions through its natural gas transmission and distribution, electricity generation and distribution, propane gas distribution, mobile compressed natural gas utility services and solutions and other businesses.

Forward-Looking Statements 
Forward-Looking Statements Matters included in this release may include forward-looking statements that involve risks and uncertainties. Forward-Looking statements include, but are not limited to, statements regarding project investment, timeline, and financing. Actual results may differ materially from those in the forward-looking statements. Please refer to the Safe Harbor for Forward-Looking Statements in the Company's 2025 Annual Report on Form 10-K and Quarterly Report on Form 10-Q for the second quarter of 2026 for further information on the risks and uncertainties related to the Company's forward-looking statements.

Chesapeake Utilities Corporation Contacts: 

Media 
Victoria Price 
Director, External Affairs 
850.382.4153 
VPrice@chpk.com 

Investors 
Lucia Dempsey 
Head of Investor Relations 
347.804.9067 
LDempsey@chpk.com 

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SOURCE Chesapeake Utilities Corporation

FAQ

What did Chesapeake Utilities (NYSE: CPK) announce about the Florida Energy Pathway project on September 1, 2026?

Chesapeake Utilities announced that Peninsula Pipeline Holdings sold a 49% minority interest in the Florida Energy Pathway project to NextEra Energy Resources, retaining 51% ownership. According to Chesapeake Utilities, the venture will develop a major intrastate natural gas pipeline in South Florida.

Who owns the Florida Energy Pathway project after the Chesapeake Utilities (CPK) transaction?

After the transaction, Peninsula Pipeline Holdings retains a 51% ownership interest in Florida Energy Pathway, while NextEra Energy Resources holds a 49% minority interest. According to Chesapeake Utilities, the joint venture structure keeps Peninsula as majority owner of the project.

What is the estimated investment size of the Florida Energy Pathway project for Chesapeake Utilities (CPK)?

The total investment for the Florida Energy Pathway project is estimated at approximately $1.2 billion. According to Chesapeake Utilities, this estimate is subject to final design and development activities as the intrastate natural gas infrastructure project advances in South Florida.

When will construction of Chesapeake Utilities’ (CPK) Florida Energy Pathway project start and when is it expected in service?

Construction of Florida Energy Pathway is expected to begin in the first half of 2028, with anticipated in-service timing in 2030. According to Chesapeake Utilities, these dates remain subject to completion of development activities and final commissioning.

What is the route and purpose of the Florida Energy Pathway project involving Chesapeake Utilities (CPK)?

Florida Energy Pathway is anticipated to be a 24-inch intrastate natural gas project running from Palm Beach County to Miami-Dade County. According to Chesapeake Utilities, it is designed to expand transportation capacity, relieve supply constraints, meet growing demand, and enhance regional energy reliability.

Which Chesapeake Utilities subsidiary will construct and operate the Florida Energy Pathway project (CPK)?

The joint venture engaged Chesapeake Utilities’ subsidiary Peninsula Pipeline Company to construct, manage and operate Florida Energy Pathway. According to Chesapeake Utilities, this subsidiary will handle project execution and operations for the intrastate natural gas transmission infrastructure in South Florida.