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PennEast plans to complete first phase of gas pipeline in 2022

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PennEast Pipeline said it still expected to complete the first phase of its $1.2 billion (€1 billion) natural gas pipe in Pennsylvania in 2022.

PennEast, which seeks to complete the pipeline's second phase from Pennsylvania into New Jersey in 2023, is just one of several long-delayed projects facing opposition from north-eastern states as the region transitions from fossil fuels to cleaner forms of power, Reuters reported.

"Given the uncertainty on timing to resolve the remaining legal and regulatory hurdles, PennEast believes it is not prudent to complete the acquisition of the rights of way in the pending actions in Pennsylvania, as it might not be necessary for some time," PennEast said in a statement.

In June, the US Supreme Court overturned a Third Circuit decision that blocked PennEast from using federal eminent domain rules to seize New Jersey state-owned or controlled land.

That victory cleared one hurdle, but more remain. In addition to completing the rights of way, PennEast still needs permits from environmental Pennsylvania and New Jersey regulators and others before it can start construction.

The 120-mile (193 kilometre) pipe is designed to deliver 1.1 billion cubic feet per day of gas from the Marcellus shale to customers in Pennsylvania and New Jersey.

PennEast partners include units of NJR, South Jersey Industries, Southern Co, Enbridge, and UGI Corp.