8-K

Securities and Exchange Commission

Washington, D.C. 20549

_______________________________

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): January 20, 2006

Chesapeake Utilities Corporation

(Exact name of registrant as specified in its charter)

Delaware	001-11590	51-0064146
(State or other jurisdiction of	(Commission	(I.R.S. Employer
incorporation or organization)	File Number)	Identification No.)

909 Silver Lake Boulevard, Dover, Delaware 19904

(Address of principal executive offices, including Zip Code)

(302) 734-6799

(Registrant's Telephone Number, including Area Code)

_______________________________________________________________

(Former name, former address and former fiscal year, if changed since last report.)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

[ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 8.01. Other Events.

On January 23, 2006, the Company issued a press release announcing the filing of an application by its subsidiary, Eastern Shore Natural Gas Company, with the Federal Energy Regulatory Commission, for the construction of $33.6 million of new pipeline facilities to provide additional firm natural gas transportation service to meet customer requirements for 2006 through 2008. A copy of the press release is attached as Exhibit 99.1 hereto and is incorporated by reference herein.

Item 9.01. Financial Statements and Exhibits.

(d) Exhibit 99.1 — Press Release of Chesapeake Utilities Corporation, dated January 23, 2006.

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this Report to be signed on its behalf by the undersigned hereunto duly authorized.

Chesapeake Utilities Corporation

/s/ Michael P. McMasters

—————————————

Michael P. McMasters

Senior Vice President and Chief Financial Officer

Date: January 26, 2006

EX-99

Exhibit 99.1

[Chesapeake Utilities

Corporation Logo]

FOR IMMEDIATE RELEASE

JANUARY 23, 2006

NYSE: CPK

EASTERN SHORE NATURAL GAS COMPANY FILES

PIPELINE EXPANSION PROJECT

DOVER, DE - Eastern Shore Natural Gas Company (ESNG), a subsidiary of Chesapeake Utilities Corporation (NYSE: CPK), announced today that the Company filed an application with the Federal Energy Regulatory Commission (FERC) on Friday, January 20, 2006, requesting authority to construct new pipeline facilities to provide additional firm natural gas transportation service necessary to meet the requirements of its customers for 2006 through 2008.

The new facilities to be constructed are in response to customers’ requests during ESNG’s most recent open season, a process whereby current and/or new customers have an opportunity to request additional or new transportation service. The FERC application, if approved, will allow the Company to construct the necessary facilities to meet those needs. The project will provide the additional firm service that customers have requested beginning in the fourth quarter of 2006. In addition, the project will provide system-wide benefits for all customers, such as enhanced reliability of the system, improved system management, flexibility and resiliency.

The project provides additional firm peak day capacity of 47,350 dekatherms of natural gas per day, representing a 36 percent increase on ESNG’s system. The total investment for the Company is $33.6 million, with expected annualized revenue of $3.7 million the first year, and $6.8 million after the full build-out of facilities. The three-year project consists of approximately 55 miles of mainline extension and looping in the states of Pennsylvania and Delaware and the construction of two new delivery points. Approximately one-half of the investment, or $17 million, will be spent in 2006 with the remaining investment split evenly over 2007 and 2008.

According to Stephen C. Thompson, President of ESNG, “The growth on the Delmarva Peninsula, whether from a residential or commercial perspective, necessitates this expansion project. Furthermore, ESNG has expanded its pipeline capacity by 55 percent during the past five years to meet the needs of its customers, and we are committed to continue meeting those needs well into the future.”

Chesapeake Utilities Corporation is a diversified utility company engaged in natural gas distribution, marketing and transmission; propane gas distribution and wholesale marketing; advanced information services; and other related businesses. Information about Chesapeake's businesses is available at www.chpk.com.

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FOR MORE INFORMATION:

Michael P. McMasters, Senior Vice President and CFO

302.734.6799

Beth W. Cooper, Vice President, Secretary and Treasurer

302.734.6799