Other Investments

In October 2015, the Company, through its wholly-owned subsidiary, RGC Midstream, LLC ("Midstream"), acquired a 1% equity interest in the Mountain Valley Pipeline, LLC (the “LLC”).

The LLC was established to construct and operate a natural gas pipeline originating in northern West Virginia and extending through south central Virginia. The proposed pipeline will have the capacity to transport approximately 2 million decatherms of natural gas per day. Subject to approval by the Federal Energy Regulatory Commission, the pipeline is targeted to be in service by late 2018.

The total project cost is estimated to be approximately $3.5 billion. The Company's 1% equity interest in the LLC will require a total estimated cash investment of approximately $35 million, by periodic capital contributions throughout the design and construction phases of the project. Midstream held an approximate $5.7 million equity method investment in the LLC at June 30, 2017. On a quarterly basis, the LLC issues a capital call notice, which specifies the capital contributions to be paid over the subsequent 3 months. As of June 30, 2017, the Company had $402,589 remaining to be paid under the most recent notice. The capital contribution payable has been reflected on the Company's balance sheet as of June 30, 2017, with a corresponding increase to Investment in Unconsolidated Affiliate. Related to capital contributions payable, there was a non-cash $114,795 increase in the Investment in Unconsolidated Affiliate in the nine months ended June 30, 2017. Initial funding for Midstream's investment in the LLC is provided through two unsecured promissory notes, each with a 5-year term.

The Company is participating in the earnings of the LLC in proportion to its level of investment. The Company is utilizing the equity method to account for the transactions and activity of the investment.

The financial statement locations of the investment in the LLC are as follows:



Balance Sheet Location of Other Investments:	June 30, 2017		September 30, 2016
Other Assets:
Investment in unconsolidated affiliate	$	5,704,091	$	3,496,404



Current Liabilities:
Capital contributions payable	$	402,589	$	287,794



	Three Months Ended				Nine Months Ended
Income Statement Location of Other Investments:	June 30, 2017		June 30, 2016		June 30, 2017		June 30, 2016
Equity in earnings of unconsolidated affiliate	$	111,626	$	40,562	$	289,791	$	95,945