NextEra Energy Resources agreed on Sept. 1 to acquire a 49% stake in Chesapeake Utilities’ estimated $1.2 billion Florida Energy Pathway, a gas pipeline from Palm Beach County to Miami-Dade County. Chesapeake’s Peninsula Pipeline will retain 51% and operate it.
Construction is not expected to begin until the first half of 2028, with commissioning targeted for 2030; the $1.2 billion cost estimate is preliminary pending final design and development. Chesapeake raised its 2026 capital-spending guidance by $100 million to $550 million-$600 million and its 2024-through-2028 investment outlook to more than $2.2 billion, from a previous range of $1.5 billion to $1.8 billion.
Chesapeake reaffirmed 2028 earnings guidance of $7.75-$8.00 per share and expanded its revolving credit facility to $650 million. The Florida Public Service Commission approved $16.2 million in annual interim rate increases effective in July as the full rate case proceeds. Second-quarter net income was $25.4 million, or $1.05 per share, with transaction and transition expenses weighing on unadjusted results. Funding the larger plan will increase debt obligations, while Florida City Gas integration continues to consume cash and operational focus.
