Duke Energy sees Atlantic Coast Pipeline cost rising to $7.8B

|About: Duke Energy Corporation (DUK)|By:, SA News Editor

Duke Energy (NYSE:DUK) raises the cost estimate for the planned 600-mile Atlantic Coast Pipeline to $7.8B from $7B previously amid concerns over litigation and permit delays for the project.

"We have work to do around court challenges," CEO Lynn Good said on today's earnings conference call, but DUK hopes it can resume construction of the line in the fall when it will pursue a phased schedule, with the first phase in service by late 2020 and the second in 2021.

Good also noted that DUK spent ~$1B addressing two named hurricanes and a winter storm in 2018 and was able to finance the response costs because of the company's "strong balance sheet."

CFO Steven Young said the company would spend $11.1B in 2019 on projects in the Carolinas, Florida, Indiana and Ohio.

Good also said DUK was continuing to look for a minority owner in its commercial renewables unit and could have an announcement in the spring.

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