Chesapeake Utilities Corp. has agreed to pay $923 million in cash to acquire NextEra Energy Inc. subsidiary Florida City Gas (FCG), which, once complete, is expected to more than double Chesapeake’s natural gas business in the state. 

FCG, a subsidiary of NextEra’s Florida Power & Light Co., owns and operates about 3,800 miles of distribution and 80 miles of transmission pipelines serving about 120,000 residential and commercial natural gas customers in eight Florida counties. FCG also recently completed a liquefied natural gas facility in Homestead, FL with 270,000 gallons of storage capacity and 10,000 Dth/d of delivery capability.  

Chesapeake Utilities, which also owns Florida Public Utilities Co. (FPU), is expected to expand its operations in the state to more than...