WINTER HAVEN, Fla., April 11, 2012 /PRNewswire/ -- Chesapeake Utilities Corporation (NYSE: CPK) today announced that its natural gas marketing subsidiary, Peninsula Energy Services Company, Inc. (PESCO), has entered into an agreement with Wise Gas, Inc., to develop compressed natural gas (CNG) fueling stations for municipal and private fleets. Jeff Greene, Business Development Consultant to Wise Gas, Inc., will be the project leader for Wise Gas, Inc. Under the terms of the agreement, the parties will work together on sourcing opportunities to build CNG fueling stations.
Mr. Greene has consulted for Wise Gas, Inc. since its founding in 2008. Since that time, Wise Gas has developed five CNG fueling stations throughout the state of Florida. He was instrumental in the EPA's decision to approve Wise Gas as a small volume manufacturer of bi-fuel conversion kits for vehicles 2-years of age and older, and has done extensive consulting work - both domestically and internationally - with fleet managers considering conversion to natural gas. Mr. Greene has also consulted for the Florida Gold Coast and North Florida chapters of the Clean Cities Coalition, and he is the Florida State Leader of the Pickens Plan.
"There has never been a better time for the United States to break its dependence on foreign oil," said Bill Hancock, General Manager of PESCO. "And Jeff's experience in station design and construction, his knowledge of vehicle conversions, and his network of professional contacts will be valuable to Chesapeake Utilities as PESCO and Wise Gas work together to execute upon our common goal of developing fueling station infrastructure."
"The CNG business is gaining traction throughout the country. It has evolved rapidly over the last four years. As each day passes, CNG is achieving more widespread adoption and becoming the alternative fuel of choice. I am excited to have an opportunity to partner with PESCO to help consult with fleet owners and build fueling stations for public and private fleets," stated Greene.
According to the US Department of Energy, the nation uses 14 million barrels of oil per day in the form of vehicle fuel. Natural gas provides an alternative to replace some of this demand. Natural gas is already used throughout the world as an alternative to both unleaded gasoline and diesel fuel. It is a safe and proven alternative that is both much cleaner and significantly cheaper than these liquid fuels. Additionally, because 99% of the natural gas consumed in the United States is produced in North America, the price of natural gas is much less volatile than that of standard motor fuels, and it is also less impacted by geopolitical events.
"For all of these reasons, both Chesapeake Utilities and Wise Gas believe that natural gas is capable of supplanting conventional fuels in many fleet applications," added Mr. Hancock.
PESCO's natural gas marketing operations serve approximately 3,500 commercial and industrial customers. PESCO currently provides natural gas supply services in Florida, Delaware, Maryland and Pennsylvania.
Chesapeake Utilities Corporation is a diversified utility company engaged in natural gas distribution, transmission and marketing, electric distribution, propane gas distribution and wholesale marketing, advanced information services and other related services. Information about Chesapeake's businesses is available at www.chpk.com.
For more information, contact:
Bill Hancock, General Manager
Peninsula Energy Services Company (PESCO)
SOURCE Chesapeake Utilities Corporation