The company will expand the gathering system 30 miles from its terminus in Wyoming County to Luzerne County, including a planned connection to Transcontinental Gas Pipeline.
Upon completion, this project will link Marcellus Shale production areas in Susquehanna and Wyoming Counties with multiple Pennsylvania and interstate markets.
The extension of the gas gathering system is expected to be completed in 2013.
UGI Corporation chairman and CEO Lon Greenberg said the expanded Auburn gathering system will enhance UGI’s ability to bring competitively priced, locally produced gas to consumers in Pennsylvania and throughout the US Northeast.
UGI Energy Services is the midstream and energy marketing subsidiary of UGI Corporation.