HARRISBURG – As a way to further develop a market for natural gas drilled in the Marcellus Shale along the Northern Tier, Rep. Tina Pickett (R-Bradford/Sullivan/Susquehanna) today announced a state grant worth $850,000 has been awarded to Valley Energy Inc. to extend a pipeline to the East Athens area of Athens Township.
The grant was awarded to by the Commonwealth Financing Agency (CFA) on Tuesday.
“The Northern Tier still contains a vast amount of natural gas from the Marcellus Shale, but in order to better market the commodity, our area needs to have a means to transport the natural gas to the places that need it,” Pickett said. “I am pleased to see this type of major investment come back to our area to enhance our natural gas infrastructure and create jobs.”
The project will install 18,000 feet of natural gas pipeline under the Susquehanna River to connect existing Valley Energy-owned natural gas facilities to residential and commercial customers.
In addition, the project will provide direct access to low-cost energy for 66 residential customers along the extension route and seven commercial customers that employ a total of 39 people. The gas line could also provide service to 60 acres of land available to be developed for additional residential and commercial uses.
The total project cost is $1,834,969, and Valley Energy Inc. will provide matching funds of $984,968.
The grant was made possible by the CFA’s Pipeline Investment Program. That initiative helps entities construct the last few miles of natural gas distribution lines to business parks, existing manufacturing and industrial enterprises, which will result in the creation of new economic base jobs in the Commonwealth while providing access to natural gas for residents. Funds can be used for acquisition, construction, and site preparation costs associated with extending natural gas pipelines to serve eligible applicants.
Representative Tina Pickett
Pennsylvania House of Representatives
Media Contact: Jennifer Keaton