4. Equity Method Investment
Constitution Pipeline Company, LLC
In April 2012, the Company acquired a 25% equity interest in Constitution Pipeline Company, LLC (Constitution), which thereby became an unconsolidated investee. Constitution was formed to develop, construct and operate a 120 mile large diameter pipeline to transport natural gas from northeast Pennsylvania to both the New England and New York markets. Under the terms of the agreement, the Company agreed to invest its proportionate share of costs associated with the development and construction of the pipeline and related facilities, subject to a contribution cap of $250 million. The expected in-service date is late 2015 through 2016, which was extended from the initial in-service date of early 2015 due to a longer than expected regulatory and permitting process. Accordingly, the Company expects to contribute approximately $143.0 million over the next three years.
During 2013 and 2012, the Company made contributions of $18.9 million and $6.9 million, respectively, to fund costs associated with the project. The Company's net book value in this equity investment was $26.9 million and $6.9 million as of December 31, 2013 and 2012, respectively, and is included in other assets in the Consolidated Balance Sheet. There were no material earnings or losses associated with Constitution during 2013 or 2012.