CALGARY, ALBERTA--(CCNMatthews - Jan. 3, 2005) - Enbridge Inc. (TSX:ENB) (NYSE:ENB) today announced that its wholly-owned U.S. subsidiary, Enbridge (U.S.) Inc., has completed the purchase, effective January 1, 2005, of Shell Gas Transmission, LLC (SGT) from Shell US Gas & Power LLC for US$613 million plus associated working capital.
The newly acquired Gulf of Mexico offshore natural gas pipeline assets include ownership interests in 11 transmission and gathering pipelines in five major pipeline corridors that transport approximately 3 billion
cubic feet per day. The 1,482 miles (2380 kilometres) of pipeline transport approximately half of all deepwater natural gas production in the Gulf of Mexico.
"The successful acquisition of these strategic offshore Gulf assets underlines our commitment to organic growth and to being one of the nation's leading energy transporters," said Dan C. Tutcher, Enbridge Group Vice President, Transportation South. "We are now well positioned to move much of the developing deepwater gas supply and to accommodate the potential transport needs of several proposed LNG re-gasification projects.
"I am also extremely pleased that most of the SGT employees and management team have chosen to join our Houston-based business unit, which will enable us to quickly integrate these assets into our natural gas business and will further add to the industry knowledge and savvy of our excellent natural gas operations and business teams."
Enbridge Inc. is a leader in energy transportation and distribution in North America and internationally. 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 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 4,000 people, primarily in Canada, the U.S. and South America. Enbridge's common shares trade on the Toronto Stock Exchange in Canada and on the New York Stock Exchange in the U.S. under the symbol ENB. Information about Enbridge is available on the Company's web site 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. 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.
For more information please contact:
Enbridge Inc.
Jim Rennie
Media
(403) 231-3931
Email: jim.rennie@enbridge.com
or
Enbridge Inc.
Colin Gruending
Investment Community
(403) 231-5919
Email: colin.gruending@enbridge.com
Website: www.enbridge.com