New Study Projects Major Economic Benefits from Mountain Valley Pipeline for Southwest and Southside Virginia

Thursday, December 11, 2014 3:14 pm EST


"the proposed MVP project would provide a number of economic and employment benefits to Virginia and the counties along the proposed route."

PITTSBURGH--(BUSINESS WIRE)--According to an economic benefit report released today, the Mountain Valley Pipeline project (MVP) is projected to generate 4,300 jobs, $396 million in construction spending and $35 million in tax revenue in Virginia between 2015 and 2018. The economic impact study was prepared by FTI Consulting and is available on the MVP website at:

Each of the five Virginia counties along the proposed MVP route - Pittsylvania, Franklin, Roanoke, Montgomery and Giles - would receive an estimated property tax increase of $900,000 per year to $1.9 million per year. The Commonwealth and each of the five Virginia counties will continue to receive this annual tax benefit during the full lifespan of the project, which could be more than 50 years.

The study identified two specific areas of potential economic benefit for the Commonwealth of Virginia and the five Virginia counties along the proposed MVP route:

Jobs & Capital Spending:
From 2015 to 2018, the MVP project will directly spend $396 million on equipment, materials, labor and services in the Commonwealth, which will create nearly 4,300 jobs at the peak of construction in 2018. Of those jobs, 2,555 will be directly associated with the project; 765 indirect jobs will be created along the supply-chain; and 975 induced jobs will be created in the general economy.

Tax Benefits:
From 2015 to 2018, the MVP project will generate $35 million in total tax revenues for the Commonwealth of Virginia and the five impacted counties in the Commonwealth. Once operational, the MVP will continue to generate approximately $7.7 million annually in state and local tax revenue.

Blue Jenkins, Executive Vice President, Commercial, EQT Corporation said, "This study clearly demonstrates that the Mountain Valley Pipeline project will be enormously beneficial to the economic future of Southwest and Southside Virginia." Jenkins continued, "Over the long-term, this project will not only generate significant tax revenues for counties to fund local schools, roads and other important priorities of county government, but it will also serve as a magnet for manufacturers and other economic development across the entire region. In addition to the thousands of jobs the project will create during the construction phase, the expansion of manufacturing will translate into higher wages and increased job opportunities for residents in communities throughout Southwest and Southside Virginia."

Once operational, the study projected potential economic benefits in the form of annual property tax revenues for each of the five impacted counties in Virginia, including up to $900,000 in annual property taxes for Giles County; up to $1.9 million in Franklin County; up to $1.8 million in Pittsylvania County; up to $1.5 million in Montgomery County; and up to $1.6 million in Roanoke County.

FTI Consulting concluded that “the proposed MVP project would provide a number of economic and employment benefits to Virginia and the counties along the proposed route.” The study further found “the pipeline would provide sizable opportunities for direct gas-use in areas with and without gas access. These opportunities include additional supply reliability, fuel-switching savings, and new energy-intensive and advanced technology businesses started in Virginia.”

Mountain Valley Pipeline, LLC Cautionary Statements
Disclosures in this news release contain certain forward-looking statements that do not relate strictly to historical or current facts and are forward-looking. Without limiting the generality of the foregoing, forward-looking statements contained in this news release specifically include the expectations of plans, strategies, objectives and growth, and anticipated financial and operational performance of Mountain Valley Pipeline, LLC, including guidance regarding the proposed Mountain Valley Pipeline (MVP) and joint venture, such as the projected length of the MVP; the expected in-service date for the MVP; and the expected economic benefits associated with the MVP, including, but not limited to, expected construction spending, direct and indirect job creation, tax revenues, and job opportunities for fuel switching. The forward-looking statements included in this news release are subject to risks and uncertainties that could cause actual results to differ materially from projected results. Accordingly, investors should not place undue reliance on forward-looking statements as a prediction of actual results. Mountain Valley Pipeline, LLC has based these forward-looking statements on current expectations and assumptions about future events. While Mountain Valley Pipeline, LLC considers these expectations and assumptions to be reasonable, they are inherently subject to significant business, economic, competitive, regulatory, and other risks and uncertainties, most of which are difficult to predict and are beyond its control. The risks and uncertainties that may affect the operations, performance, and results of MVP and forward-looking statements include, but are not limited to:

The business, financial condition, results of operations and prospects could suffer if Mountain Valley Pipeline, LLC does not proceed with projects under development or is unable to complete the construction of, or capital improvements to its facilities on schedule or within budget.

The ability to complete construction of, and capital improvement projects and other facilities on schedule and within budget may be adversely affected by escalating costs for materials and labor and regulatory compliance, inability to obtain or renew necessary licenses, rights-of-way, permits or other approvals on acceptable terms or on schedule, disputes involving contractors, labor organizations, land owners, governmental entities, environmental groups, Native American and aboriginal groups, and other third parties, negative publicity, transmission interconnection issues, and other factors. If any development project or construction or capital improvement project is not completed, is delayed or is subject to cost overruns, certain associated costs may not be approved for recovery or recoverable through regulatory mechanisms that may otherwise be available, and Mountain Valley Pipeline, LLC could become obligated to make delay or termination payments or become obligated for other damages under contracts, could experience the loss of tax credits or tax incentives, or delayed or diminished returns, and could be required to write-off all or a portion of its investment in the project. Any of these events could have a material adverse effect on Mountain Valley Pipeline, LLC’s business, financial condition, results of operations and prospects.

Mountain Valley Pipeline, LLC may face risks related to project siting, financing, construction, permitting, governmental approvals and the negotiation of project development agreements that may impede its development and operating activities.

Mountain Valley Pipeline, LLC must periodically apply for licenses and permits from various local, state, federal and other regulatory authorities and abide by their respective conditions. Should Mountain Valley Pipeline, LLC be unsuccessful in obtaining necessary licenses or permits on acceptable terms, should there be a delay in obtaining or renewing necessary licenses or permits or should regulatory authorities initiate any associated investigations or enforcement actions or impose related penalties or disallowances on Mountain Valley Pipeline, LLC, Mountain Valley Pipeline, LLC’s business, financial condition, results of operations and prospects could be materially adversely affected. Any failure to negotiate successful project development agreements for new facilities with third parties could have similar results.

Mountain Valley Pipeline, LLC’s gas infrastructure facilities and other facilities are subject to many operational risks. Operational risks could result in, among other things, lost revenues due to prolonged outages, increased expenses due to monetary penalties or fines for compliance failures, liability to third parties for property and personal injury damage, a failure to perform under applicable sales agreements and associated loss of revenues from terminated agreements or liability for liquidated damages under continuing agreements. The consequences of these risks which could have a material adverse effect on Mountain Valley Pipeline, LLC’s business, financial condition, results of operations and prospects.

Uncertainties and risks inherent in operating and maintaining Mountain Valley Pipeline, LLC's facilities include, but are not limited to risks associated with facility start-up operations, such as whether the facility will achieve projected operating performance on schedule and otherwise as planned:

Mountain Valley Pipeline, LLC’s business, financial condition, results of operations and prospects can be materially adversely affected by weather conditions, including, but not limited to, the impact of severe weather.

Threats of terrorism and catastrophic events that could result from terrorism, cyber-attacks, or individuals and/or groups attempting to disrupt Mountain Valley Pipeline, LLC’s business, or the businesses of third parties, may materially adversely affect Mountain Valley Pipeline, LLC’s business, financial condition, results of operations and prospects.

Any forward-looking statement speaks only as of the date on which such statement is made and Mountain Valley Pipeline, LLC does not intend to correct or update any forward-looking statement, whether as a result of new information, future events or otherwise.

About EQT Corporation:
EQT Corporation is an integrated energy company with emphasis on Appalachian area natural gas production, gathering, and transmission. EQT is the general partner and significant equity owner of EQT Midstream Partners, LP. With more than 125 years of experience, EQT continues to be a leader in the use of advanced horizontal drilling technology – designed to minimize the potential impact of drilling-related activities and reduce the overall environmental footprint. Through safe and responsible operations, the Company is committed to meeting the country’s growing demand for clean-burning energy, while continuing to provide a rewarding workplace and enrich the communities where its employees live and work. Company shares are traded on the New York Stock Exchange as EQT.

Visit EQT Corporation at

About EQT Midstream Partners:
EQT Midstream Partners, LP is a growth-oriented limited partnership formed by EQT Corporation to own, operate, acquire, and develop midstream assets in the Appalachian Basin. The Partnership provides midstream services to EQT Corporation and third-party companies through its strategically located transmission, storage, and gathering systems that service the Marcellus and Utica regions. The Partnership owns 700 miles and operates an additional 200 miles of FERC-regulated interstate pipelines; and also owns more than 1,600 miles of high- and low-pressure gathering lines.

Visit EQT Midstream Partners, LP at

About NextEra Energy, Inc.
NextEra Energy, Inc. (NYSE: NEE) is a leading clean energy company with consolidated revenues of approximately $15.1 billion, approximately 42,500 megawatts of generating capacity, and approximately 13,900 employees in 26 states and Canada as of year-end 2013. Headquartered in Juno Beach, Fla., NextEra Energy’s principal subsidiaries are Florida Power & Light Company, which serves approximately 4.7 million customer accounts in Florida and is one of the largest rate-regulated electric utilities in the United States, and NextEra Energy Resources, LLC, which together with its affiliated entities is the largest generator in North America of renewable energy from the wind and sun. Through its subsidiaries, NextEra Energy generates clean, emissions-free electricity from eight commercial nuclear power units in Florida, New Hampshire, Iowa and Wisconsin. NextEra Energy has been recognized often by third parties for its efforts in sustainability, corporate responsibility, ethics and compliance, and diversity, and has been named No. 1 overall among electric and gas utilities on Fortune’s list of “World’s Most Admired Companies” for eight consecutive years, which is an unprecedented achievement in its industry.

Visit NextEra Energy, Inc. at

About FTI Consulting, Inc.:
FTI Consulting, Inc. is a global business advisory firm dedicated to helping organizations protect and enhance enterprise value in an increasingly complex legal, regulatory and economic environment. FTI Consulting professionals, who are located in all major business centers throughout the world, work closely with clients to anticipate, illuminate and overcome complex business challenges in areas such as investigations, litigation, mergers and acquisitions, regulatory issues, reputation management and restructuring.

Visit FTI Consulting, Inc. at


Mountain Valley Pipeline media inquiries:
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Media Relations

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