Thursday, March 8, 2012

Enbridge launches Open Season for Sanish Pipeline, Bakken expansion


HOUSTON, Texas, and CALGARY, Alta. - Enbridge Energy Partners L.P. (NYSE: EEP) and Enbridge Income Fund Holdings Inc. (CA: ENF), affiliates of Enbridge Inc. (NYSE: ENB) on Feb. 28 announced a second Open Season for its Bakken Expansion Program in conjunction with an Open Season for EEP's proposed Sanish Pipeline.

The Sanish Pipeline will transport crude oil production from Johnson's Corner to Beaver Lodge, N.D.

The Bakken Expansion Program Open Season will offer pipeline capacity on Enbridge's system from Beaver Lodge into Enbridge's terminal at Cromer, Manitoba, where it connects with the Enbridge Mainline System, which offers access to refineries throughout the Upper Midwest, eastern Canada, Mid-Continent and as far as the U.S. Gulf Coast.

The two open seasons are being conducted jointly to provide shippers with the option of contracting for capacity from Johnson's Corner to Enbridge's Beaver Lodge and Berthold Stations as well as to Cromer.

EEP's proposed Sanish Pipeline is a new 36-mile, 12-inch crude oil line capable of transporting a minimum 67,000 barrels per day (b/d) from Johnson's Corner into EEP's existing facilities at Beaver Lodge. The Bakken Expansion Program, currently under construction by EEP in the U.S. and by Enbridge Income Fund in Canada, will provide a total of 145,000 b/d of incremental pipeline capacity from Beaver Lodge to Cromer when it comes into service in Q1 2013. At Berthold, EEP is constructing a new 80,000 b/d rail export facility which is planned to be in-service at the same time.

"The Bakken and Three Forks formations have catapulted North Dakota into the position of being one of the leading oil producing states in the U.S. Along with this proposed Sanish Pipeline, we have increased the export capacity of our North Dakota system by almost 350 percent since 2008," said Stephen J. Wuori, president, Liquids Pipelines, Enbridge. "Sanish provides customers located south of the river with an entrance to Enbridge's expanded systems to access a total of 475,000 b/d of capacity out of North Dakota in 2013. Enbridge is developing other projects that will continue our significant capital investment in this prolific region to provide reliable, economical and secure access to a wide variety of refinery markets, including the U.S. Gulf Coast."

Through the open seasons, shippers will have the opportunity to secure space on the Sanish Pipeline, including 15,000 b/d of service from Johnson's Corner to Cromer.

The binding Open Seasons began on Feb. 28, and closes on April 11.

No comments:

Post a Comment