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UGI Energy Services kicks off Sunbury pipeline project

Work has begun on a 35-mile-long north-central Pennsylvania pipeline that will fuel a new natural gas power station under construction in Snyder County.

UGI Energy Services LLC today marked the start of construction on the 20-inch Sunbury Pipeline with a groundbreaking ceremony near the Panda Power Funds Hummel Station generating plant in Shamokin Dam.

The pipeline, which is expected to be complete by year’s end, will carry natural gas from the Transco interstate pipeline in eastern Lycoming County through parts of Montour, Northumberland, Union and Snyder counties.

Among its customers will be the 1,124-megawatt power plant, which will generate enough electricity for a million homes once it opens in 2018. Hummel Station will succeed a former coal-fired plant, which closed in 2014.

UGI Energy Services is a subsidiary of UGI Corp. Panda Power Funds is a private equity firm headquartered in Dallas, Texas.

“The Sunbury Pipeline Project represents an incremental step forward for Pennsylvania natural gas infrastructure, and a major step forward for Pennsylvania’s energy future,” UGI Energy Services President Brad Hall told today’s gathering of more than 100 guests and dignitaries.

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