Union Gas is donating $500,000 to Lakeshore’s Multi-Use Recreational Facility fund in order to be able to replace a high-pressure underground pipeline on the property.

The 16″ pipeline was installed in 1951 and is deteriorating. Union Gas wants to replace it with a new 20″ pipeline from west of West Puce Rd. to east of East Ruscom River Rd., which is municipally owned MURF land.

“There will be nothing on top of it other than the bank of a storm water pond, there are no fields or facilities, but there is some question that the town is certainly entitled to compensation for use of our land and disruption to our project. There will have to be some care and caution taken,” says Lakeshore’s Director of Community and Development Services Steve Salmons. “It means the potential builder may see this as a risk factor. They might see it as a slight delay to their construction and build in a premium for that.”

Union Gas initially wanted to replace the pipeline on Hydro One lands, but Hydro One refused. Lakeshore Council says Union Gas may be looking at MURF naming rights as a result of the donation.

The construction is slated to being this spring.