Pipeline and Compression Project - Corning Natural Gas Corporation

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CORNING NATURAL GAS CORPORATION

Pipeline and Compression Project Update 4-29-2010

CNGC

Corning Natural Gas Corporation (CNGC) Statistics Number of Customers Number of Intermediate & Large Volume Transporters Number of Utilities Served

14,519 41 2

Number of Interstate Pipelines Connected

2

Number of Marcellus Shale Wells Connected

4

Number of Trenton Black River Wells Connected

4

Number of Interstate Pipelines CNGC has Capacity on

4

Number of Storage Assets

3

Annual Throughput in Bcf

9

Miles of High Pressure Distribution Lines

106

Miles of Distribution Lines

307

Normal Operating Pressure Psig. Franchise Area in Square Miles Municipalities Served Total Assets Total Operating Revenue

0.25 to 295 1,200 24 $36,639,098.00 $24,105,080.20

CNGC

CNGC System with Interstate Pipelines and Wells

Potential Benefits to the Customer • Increased tax revenue for Municipality

• Reduced energy cost via Gas Supply sharing mechanism of 2% to 9 % annually

• Reduced energy cost via Capacity release revenue potential 1 % annual • Avoided pipeline charges and fuel cost 6%

•Potential total reduction in gas cost to customer of 9% to 16% •Improvement or replacement of existing facilities

CNGC

Additional Project Facts • Potential Sound - 40DBa or less

• Impact on Rural Appearance of Community – Structure will look like Barn • Impact on Adjacent Property Values – Should be minimal and increase Town tax revenue • Impact on Air Quality – Minimal air permit not required

CNGC

3.95 miles 6” installed 2007 Ryers Line

2.63 miles 10” installed 1954 Line 7

CNGC Compressor and Pipeline Project Town of Caton, Steuben County

1.63 miles 16” installed 1969 Line 4

N 1.77 miles 10” installed 2009 Line 13

2

CNGC 10” Line

CNGC 3

1

5 4

DTI Woodhull Compressor Multiple compressor and support buildings Fenced Facility site 4.35 Acres With minimal sound mitigating landscape Older compression units Nearest receptor – 868

CNGC Caton Compressor Building - sound suppression design .23 Acres in size Fenced Facility site 1.77 Acres With sound mitigating landscape Potential for 5 ultra lean burn compressor units Nearest receptor – 833’

CNGC

Receptor Data

CNGC

Noise Contour Data

CNGC

Compressor Station Aerial View looking north

View 1

Compressor Station Aerial View looking north

View 1b

Compressor Station looking south west at sunset from Thurber Rd.

View 2

Compressor Station Looking North from Harris Rd.

View 3

Compressor Station Looking south from County Route 120 Rd. (during the day)

View 4

Compressor Station Looking south from County Route 120 Rd. (In the evening)

View 5

Engine & Compressor Specifications Compressors: 5 Caterpillar – G3516 AFRC 1340hp @ 1,500RPM w/ an Ariel JGT-4 Ultra Lean Burn Compressors Suction Pressure: 150-250psig Discharge Pressure: 1150psig Design Flow Rate: 12MMCf/day @ 200psig

LEGEND

G3500 Ultra Lean Burn Summary • Greater Power • Enhanced Performance at Altitude • Consistently Produces to Lower Emissions Level • Operational Flexibility • Increased Fuel Savings CNGC

CORNING NATURAL GAS CORPORATION

Thank You

CNGC