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Altadis U.S.A., INC. and UGI Utilities Announce Ground Breaking for Natural Gas Project in McAdoo

23 Aug 2011

Natural Gas Will Reduce Cost and Plant Emissions

McAdoo, PA,  (August 22, 2011)– Altadis U.S.A., Inc. (Altadis) and UGI Utilities, Inc., the natural gas utility subsidiary of UGI Corporation (NYSE:UGI) announced plans to extend UGI’s natural gas distribution facilities to serve Altadis’ manufacturing plant located in McAdoo, Schuylkill County.  The construction of over five miles of 12-inch and 8-inch pipeline will begin in August 2011 and is expected to be completed by December 2011.  The distribution line can accommodate future connections by residents and businesses along the path of the pipeline.  The overall project will cost nearly $3.8 million.

Natural gas provides Altadis the opportunity to reduce its operating costs and emissions by displacing the need for approximately 1.5 million gallons of fuel oil per year as the primary combustion fuel for its boilers.  The conversion helps the company to remain competitive in the worldwide market.

Leon “Skip” Calviero, Vice President and General Manager, said, “This investment in plant operations demonstrates our commitment to the greater Hazleton Area as a major manufacturer, employer and partner in the local community.  It also serves as an example of our continuing efforts to promote a green environment by converting to a cleaner-burning fuel.”

UGI’s Vice President of Marketing, Rates and Supply Robert Beard, added, “We are very pleased to have the opportunity to partner with Altadis on this project.  We believe that natural gas gives our customers significant competitive advantages over other fuels, and projects such as this demonstrate UGI’s commitment to the business communities that we serve.”


Altadis USA, Inc., formerly “Consolidated Cigar Corporation”, is headquartered in Ft. Lauderdale, Florida and is a wholly owned subsidiary of Imperial Tobacco Group headquartered in Bristol, England.  The plant, located in McAdoo, PA., has been in continuous operation since the mid 1960’s.

UGI Utilities, Inc. has headquarters in Reading, Pa and serves more than 625,000 customers in 45 Pennsylvania counties and one county in Maryland.