CALGARY, ALBERTA--(CCNMatthews - May 31, 2007) - Enbridge Inc. (TSX:ENB) (NYSE:ENB) (Enbridge) announced today that it has filed an application with the National Energy Board for the construction and operation of the Canadian segment of the Alberta Clipper Project, a proposed 1,607 kilometre (1,000 mile) expansion project to provide greater access for Western Canadian crude oil to U.S. Midwest markets. Alberta Clipper will be integrated with, and form part of the existing Enbridge Mainline liquid pipeline system in Canada owned by Enbridge Pipelines Inc., and the Lakehead System in the United States owned by affiliated Enbridge Energy Partners, L.P.
Based on industry support, Enbridge is progressing with land access, engineering and initial procurement commitments to facilitate commencement of construction in 2008. Alberta Clipper is expected to be in service by mid-2010, subject to finalization of commercial terms with industry, and regulatory approvals.
Alberta Clipper involves the construction of a new 36-inch diameter crude oil pipeline from Hardisty, Alberta to Superior, Wisconsin, generally within or adjacent to Enbridge's existing right-of-way. In Canada, the project is comprised of approximately 1,074 kilometres of new pipeline and related pump station and terminalling facilities. Alberta Clipper will have an initial capacity of 450,000 barrels per day (bpd) and allows for future expansions to 800,000 bpd. Based on final scope and cost estimates, the total construction cost of Alberta Clipper is expected to be approximately CDN$2.0 billion for the Canadian segment, and approximately US$1.0 billion for the U.S. segment to be undertaken by Enbridge Energy Partners, L.P. (in both cases, in 2007 dollars, excluding allowance for funds used during construction).
"Alberta Clipper will ensure that timely new pipeline capacity is available to meet producers' needs to transport growing supplies of crude oil from Alberta's oil sands and the Northern United States to refinery markets in the U.S. Midwest," said Patrick D. Daniel, President and Chief Executive Officer, Enbridge Inc. "The combination of Alberta Clipper and Southern Access, which is currently under construction, can ultimately provide transportation capacity of up to 1.2 million bpd from Alberta to the U.S. Midwest."
For details on Alberta Clipper visit www.enbridge-expansion.com.
Enbridge Inc., a Canadian company, is a leader in energy transportation and distribution in North America and internationally. As a transporter of energy, Enbridge operates, in Canada and the United States, the world's longest crude oil and liquids pipeline system. The Company also has international operations and a growing involvement in the natural gas transmission and midstream businesses. 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. Enbridge employs approximately 5,000 people, primarily in Canada, the United States and South America. Enbridge's common shares trade on the Toronto Stock Exchange in Canada and on the New York Stock Exchange in the United States under the symbol ENB. Information about Enbridge is available on the Company's website at 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.