Enbridge Launches Open Season for Southern Access Extension
CALGARY, ALBERTA--(Marketwire - Dec 12, 2012) - Enbridge Inc. (ENB.TO) (ENB) today announced a binding open season ("Open Season") to solicit commitments from shippers for capacity on the proposed Southern Access Extension pipeline, to be constructed, owned, and operated by U.S. subsidiary Enbridge Pipelines (Illinois) L.L.C. (the "Carrier"). The new pipeline will transport crude oil from Pontiac, Illinois, at Enbridge''s Flanagan Terminal, where it will receive crude oil from Enbridge Energy Partners, L.P.''s ("the Partnership") Lakehead System, to Patoka, Illinois.
The 165-mile (265-kilometer), 24-inch diameter pipeline will be constructed as a stand-alone project with an anticipated in service date of early 2015. The diameter of the pipeline could be increased, depending on the results of the Open Season. Committed shippers will be asked to commit to capacity only on the Southern Access Extension proposed pipeline and will not be required to make long-term commitments to ship on the Partnership''s Lakehead System.
Enbridge has received sufficient capacity commitments from an anchor shipper to support the 24-inch pipeline as proposed. This Open Season provides an opportunity for additional shippers to support the Southern Access Extension by making volume commitments for the required term.
Shippers will have the option of selecting a ten or fifteen-year term as well as one of three available commencement dates for service. Subject to regulatory approval by the Federal Energy Regulatory Commission (FERC), committed volumes will not be subject to pro-rationing to accommodate uncommitted volumes under ordinary operating conditions. The Carrier will share in construction cost overruns with committed shippers, which will provide an incentive to the Carrier to minimize capital costs, thereby lowering the tariff rates.
Open Season Process
The binding open commitment period will begin at 3 p.m. MT on December 12, 2012, and will end at 3 p.m. MT on January 18, 2013.
Bona fide potential shippers that wish to receive access to the Open Season documents, including the Transportation Services Agreement, are required to execute a Confidentiality Agreement. No edits or amendments to the Confidentiality Agreement will be accepted.
More information about the Southern Access Extension project and the binding open season is available at http://southernaccessextension.enbridgeus.com or by contacting:
Morgan Keith | Sheldon Bueckert |
Enbridge Inc. | Enbridge Inc. |
(403) 508-3198 | (403) 231-5904 |
Please note: There will be limited availability of Enbridge shipper contacts during the period of December 22 to 29, 2012.
About Enbridge Inc.
Enbridge Inc. is a North American leader in delivering energy and one of the Global 100 Most Sustainable Corporations. As a transporter of energy, Enbridge operates, in Canada and the U.S., the world''s longest crude oil and liquids transportation system. The Company also has a significant and growing involvement in natural gas gathering, transmission and midstream businesses, and an increasing involvement in power transmission. As a distributor of energy, Enbridge owns and operates Canada''s largest natural gas distribution company, and provides distribution services in Ontario, Quebec, New Brunswick and New York State. As a generator of energy, Enbridge has interests in close to 1,000 megawatts of renewable and alternative energy generating capacity and is expanding its interests in wind and solar energy, geothermal and hybrid fuel cells. Enbridge employs more than 10,000 people, primarily in Canada and the U.S. and is ranked as one of Canada''s Greenest Employers and one of Canada''s Top 100 Employers for 2013. Enbridge is included on the 2012/2013 Dow Jones Sustainability World Index and the Dow Jones Sustainability North America Index and is also a constituent of the 2012/2013 FTSE4Good Index Series. Enbridge''s common shares trade on the Toronto and New York stock exchanges under the symbol ENB. For more information, visit www.enbridge.com.
Certain information provided in this news release constitutes forward-looking statements. The words "anticipate", "expect", "project", "estimate", "forecast" and similar expressions are intended to identify such forward-looking statements. Although Enbridge believes that these statements are based on information and assumptions which are current, reasonable and complete, these statements are necessarily subject to a variety of risks and uncertainties pertaining to operating performance, regulatory parameters, weather, economic conditions and commodity prices. You can find a discussion of those risks and uncertainties in our Canadian securities filings and American SEC filings. While Enbridge makes these forward-looking statements in good faith, should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary significantly from those expected. Except as may be required by applicable securities laws, Enbridge assumes no obligation to publicly update or revise any forward-looking statements made herein or otherwise, whether as a result of new information, future events or otherwise.
