* New pipeline added to plan in Illinois
* Total expansion would add 400,000 bpd
* Booming light crude output driving plans
CALGARY, Alberta, Dec 6 Enbridge Inc on
Thursday proposed a C$6.2 billion ($6.3 billion) expansion of
its oil pipeline system, aimed at moving surging volumes of
light crude from Western Canada and the North Dakota Bakken to
refineries in the eastern part of the continent and U.S.
The series of projects, which would add a total of 400,000
barrels a day of overall capacity to the huge Canada-to-United
States network, is larger than Enbridge had proposed previously
as it sought to address the need for new transport capacity.
The company's U.S. affiliate, Enbridge Energy Partners
, will foot slightly more than half of the total bill, or
"These market access initiatives reflect changing North
American supply and demand fundamentals and will create
significant value for our customers," Enbridge Chief Executive
Al Monaco said in a statement on Thursday.
In October, the company said its "light oil market access
program" would cost C$5.5 billion.
Booming production of oil sands-derived crude from Alberta
and shale oil in Western Canada and the northern United States
-- and limited capacity to move the supplies to market -- are
behind the complex series of projects across the system, which
currently moves more than two million barrels a day.
The various expansions will be put into place between 2014
and 2016, the company said.
Besides projects in Canada, North Dakota, the U.S. Midwest,
and between Sarnia, Ontario and Montreal, which it previously
has detailed, Enbridge has added a 265 km (165-mile) pipeline
between Flanagan and Patoka, in Illinois, at a cost of C$800
million, the company said.
The initial 300,000 bpd of capacity has already been
contracted by Marathon Petroleum Corp, which would take
the light crude for its Midwest refineries.
Enbridge also said it increased its quarterly dividend by 12
percent to 31.5 Canadian cents a share.