NextEra takes $800 mln charge for WV-VA Mountain Valley natgas pipe

RGC Resources

19/02/2022 11:51

Feb 19 (Reuters) - NextEra Energy Inc  NEE.N  said one of
its units recorded an $800 million impairment charge in the
first quarter as the U.S. renewable energy company re-evaluates
its investment in the long-delayed Mountain Valley natural gas
pipeline from West Virginia to Virginia.
    NextEra said in a U.S. Securities and Exchange Commission
filing on Friday that its NextEra Energy Resources unit and
other Mountain Valley joint venture partners continue to
evaluate options and next steps for the project.  urn:newsml:reuters.com:*:nFWN2UT0D8
    The U.S. Court of Appeals for the Fourth Circuit over the
last month has invalidated key permits for the project issued by
the U.S. Fish and Wildlife Service and the U.S. Forest Service.
 urn:newsml:reuters.com:*:nL1N2U528H
    The court rulings were the latest setback for the pipeline,
which is years behind schedule and billions of dollars over
budget.
    Several analysts have said the court decisions would likely
delay the project startup until 2023 or 2024.
    Before the latest setbacks, Equitrans Midstream Corp
 ETRN.N , the project's lead partner, said it expected the
pipeline to cost about $6.2 billion and enter service in the
summer of 2022.  urn:newsml:reuters.com:*:nL1N2RT0U4
    Equitrans said in January it was "evaluating the project’s
next steps and timing considerations," noting total work on the
pipeline was "nearly 94% complete."  urn:newsml:reuters.com:*:nL1N2U528H
    Mountain Valley is one of several U.S. pipeline projects
delayed by regulatory and legal fights with environmental and
local groups which found problems with federal permits issued
during President Donald Trump's administration.  urn:newsml:reuters.com:*:nL1N2QU1HK
    When Mountain Valley construction started in February 2018,
Equitrans estimated the 303-mile (488-km),
2-billion-cubic-feet-per-day (bcfd) project would cost about
$3.5 billion and enter service by late 2018.  urn:newsml:reuters.com:*:nL1N2RS10S
    Equitrans has a 47.8% ownership interest in Mountain Valley
and will operate the pipeline.
    The Mountain Valley venture is owned by units of Equitrans,
NextEra, Consolidated Edison Inc  ED.N , AltaGas Ltd  ALA.TO 
and RGC Resources Inc  RGCO.O .

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RGC sees Mountain Valley gas pipeline completion by end 2021
-CEO     urn:newsml:reuters.com:*:nL1N2KI1OJ
MVP Southgate natgas pipe startup seen in 2021 despite
N.Carolina permit denial     urn:newsml:reuters.com:*:nL1N2FE1FI
UPDATE 1-Panel favors Equitrans in EQT PA-WV Hammerhead natgas
pipe dispute     urn:newsml:reuters.com:*:nL1N2RM25G
FACTBOX-U.S. new natural gas pipeline projects     urn:newsml:reuters.com:*:nL1N2RS10S
EXPLAINER-U.S. Appalachian gas pipeline projects go by the
wayside     urn:newsml:reuters.com:*:nL1N2QU1HK
UPDATE 2-Mountain Valley natgas pipeline start delayed to summer
2022     urn:newsml:reuters.com:*:nL1N2MR17P
Equitrans sees Mountain Valley natgas pipeline entering service
next summer     urn:newsml:reuters.com:*:nL1N2RT0U4
UPDATE 1-U.S. court vacates federal permit for WV-VA Mountain
Valley natgas pipe     urn:newsml:reuters.com:*:nL1N2U528H
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 (Reporting by Scott DiSavino; Editing by Mike Harrison)
 ((scott.disavino@thomsonreuters.com; +1 332 219 1922; Reuters
Messaging: scott.disavino.thomsonreuters.com@reuters.net))