Profile: Enbridge Inc (ENB.N)
25 May 2017
Enbridge Inc., incorporated on December 15, 1987, is an energy transportation and distribution company. The Company is engaged in delivering energy. It operates through five segments: Liquids Pipelines, Gas Distribution, Gas Pipelines and Processing, Green Power and Transmission, and Energy Services. Liquids Pipelines consists of common carrier and contract crude oil, natural gas liquids (NGL), and refined products pipelines and terminals, in Canada and the United States, including Canadian Mainline, Lakehead Pipeline System (Lakehead System), Regional Oil Sands System, Mid-Continent and Gulf Coast, Southern Lights Pipeline, Bakken System, and Feeder Pipelines and Other. Gas Distribution consists of its natural gas utility operations, the core of which is Enbridge Gas Distribution Inc. (EGD). Green Power and Transmission consists of its investments in renewable energy assets and transmission facilities. Renewable energy assets consist of wind, solar, geothermal and waste heat recovery facilities and are located in Canada primarily in the provinces of Alberta, Ontario and Quebec, and in the United States primarily in Colorado, Texas, Indiana and West Virginia. Energy Services undertake physical commodity marketing activity and logistical services, and oversee refinery supply services.
The Company's mainline system comprises the Canadian Mainline and the Lakehead System. The Canadian Mainline is a carrier pipeline system which transports various grades of oil and other liquid hydrocarbons within western Canada and from western Canada to the Canada/United States border near Gretna, Manitoba and Neche, North Dakota and from the United States/Canada border near Port Huron, Michigan and Sarnia, Ontario to eastern Canada and the northeastern United States. The Canadian Mainline included six adjacent pipelines, with a combined design operating capacity of approximately 2.85 million Barrels per day (bpd) that connected with the Lakehead System at the Canada/United States border, as well as four crude oil pipelines and one refined products pipeline that delivered into eastern Canada and the northeastern United States, as of December 31, 2016. The Lakehead System is the portion of the mainline system in the United States that continues to be managed by Enbridge, through its subsidiaries.
The Regional Oil Sands System includes three intra-Alberta long haul pipelines: the Athabasca Pipeline, Waupisoo Pipeline and Woodland Pipeline, as well as two terminals: the Athabasca Terminal and the Cheecham Terminal, located north and south of Fort McMurray, respectively. The Athabasca Pipeline was a 540-kilometer (335-mile) synthetic and heavy oil pipeline, which had a capacity of 570,000 bpd, as of December 31, 2016. The Waupisoo Pipeline was a 380-kilometer (236-mile) synthetic and heavy oil pipeline, which has a capacity of 550,000 bpd, as of December 31, 2016. The Woodland Pipeline was 385-kilometer (239-mile) 36-inch diameter pipeline, as of December 31, 2016. The Regional Oil Sands System also includes the Wood Buffalo Pipeline and Norealis Pipeline, each of which provides access for oil sands production from north of Fort McMurray to the Cheecham Terminal. Regional Oil Sands System served nine producing oil sands projects, as of December 31, 2016.
Mid-Continent and Gulf Coast includes Seaway and Flanagan South Pipelines, Spearhead Pipeline, as well as the Mid-Continent System. As of December 31, 2016, the Seaway Crude Pipeline System (Seaway Pipeline) was 1,078-kilometer (670-mile) long. Seaway Pipeline also included 7.4 million barrels of crude oil tankage on the Texas Gulf Coast, as of December 31, 2016. Flanagan South was a 950-kilometer (590-mile), 36-inch diameter interstate crude oil pipeline that originated at the Company's terminal at Flanagan, Illinois and terminates in Cushing, Oklahoma, as of December 31, 2016. Spearhead Pipeline is a long-haul pipeline that delivers crude oil from Flanagan, Illinois, a delivery point on the Lakehead System to Cushing, Oklahoma. Spearhead Pipeline had a capacity of 193,300 bpd, as of December 31, 2016. Its Ozark pipeline transports crude oil from Cushing, Oklahoma to Wood River, Illinois. Its storage terminals consisted of 100 individual storage tanks ranging in size from 78,000 to 570,000 barrels, as of December 31, 2016. Of the approximately 23.6 million barrels of storage shell capacity on its Mid-Continent system, the Cushing terminal accounted for approximately 20.1 million barrels, as of December 31, 2016.
Southern Lights Pipeline is a single stream pipeline that ships diluent from the Manhattan Terminal near Chicago, Illinois to western Canadian delivery facilities, located at the Edmonton and Hardisty terminals in Alberta and the Kerrobert terminal in Saskatchewan.
Feeder Pipelines and Other primarily included the Olympic Pipe Line Company (Olympic) with a capacity to transport approximately 290,000 bpd of gasoline, diesel and jet fuel, as of December 31, 2016. It also includes the NW System, which transports crude oil from Norman Wells in the Northwest Territories to Zama, Alberta.
EGD is a natural gas distribution company. It served over two million customers in central and eastern Ontario and areas of northern New York State, as of December 31, 2016. EGD serves residential, commercial and industrial customers, primarily in central and eastern Ontario, as well as northern New York State. The Gas Distribution segment also includes natural gas distribution activities in Quebec and New Brunswick. Gas Pipelines and Processing consists of investments in natural gas pipelines and gathering and processing facilities. Gas Distribution includes natural gas distribution utility operations in Quebec and New Brunswick, through Enbridge Gas New Brunswick (EGNB), which is wholly owned and operated by the Company.
Gas Pipelines and Processing
The Company owns interests in Aux Sable US, Aux Sable Midstream US and Aux Sable Canada, together known as Aux Sable. Aux Sable US owns and operates an NGL extraction and fractionation plant at Channahon, Illinois, outside Chicago, near the terminus of Alliance Pipeline. Aux Sable also owns facilities upstream of Alliance Pipeline that facilitate deliveries of gas volumes into the pipeline for further processing at the Aux Sable plant. These facilities include the Palermo Conditioning Plant and the Prairie Rose Pipeline in the Bakken area of North Dakota. The Alliance Pipeline, which included both Alliance Pipeline Canada and Alliance Pipeline US, consisted of approximately 3,000 kilometers (1,864 miles) of integrated, high-pressure natural gas transmission pipeline and approximately 860 kilometers (534 miles) of lateral pipelines and related infrastructure, as of December 31, 2016. The Vector Pipeline included both the Canadian and United States portions of the pipeline system, which consisted of 560 kilometers (348 miles) of mainline natural gas transmission pipeline between the Chicago, Illinois hub and a storage complex at Dawn, Ontario, as of December 31, 2016.
Green Power and Transmission
Green Power and Transmission included approximately 1,900 Megawatts (MW) of net operating renewable and alternative energy sources, as of December 31, 2016. The Company also had three solar facilities located in Ontario and a solar facility located in Nevada, with 100 MW and 50 MW, respectively, of net power generating capacity as of December 31, 2016. Also included in Green Power and Transmission is the Montana-Alberta Tie-Line, which is a transmission line from Great Falls, Montana to Lethbridge, Alberta.
Energy Services manages its volume commitments on various pipeline systems. Energy Services provides its services to North American refiners, producers and other customers.
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Company Web Links
- Canada's Enbridge eyes acquisitions and profit rise on Spectra deal
- UPDATE 3-Canada's Enbridge eyes acquisitions and profit rise on Spectra deal
- Enbridge profit falls on weak liquids pipeline business
- BRIEF-Enbridge Q1 adjusted earnings per share C$0.57
- BRIEF-Enbridge announces additional quarterly dividend increase