Enbridge Inc. has announced the addition of $3 billion in new growth initiatives in the United States during the third quarter. Meanwhile, the company has no immediate intentions to present proposals to the new federal Major Projects Office in Canada.
The energy infrastructure corporation, headquartered in Calgary, approved the $500 million US Southern Illinois Connector project during the third quarter. This project, through expansions of existing pipelines, will facilitate the transportation of 100,000 barrels per day of oilsands crude to Texas.
Colin Gruending, President of liquids pipelines, likened the Southern Illinois Connector project to a leadoff hitter in baseball, emphasizing its significance. He highlighted the attractiveness of the U.S. market for Canadian crude, noting the preference of customers for southbound shipments.
Enbridge also greenlit expansions to its Canyon and Eiger pipelines, alongside enhancements to natural gas storage and transmission operations in the same period. The company’s Canadian Mainline Optimization project is progressing, with the first phase nearing final customer negotiations and expected to be operational by 2027. Plans for a second phase to add 250,000 barrels per day are underway, with customer interest evaluations scheduled for early next year.
CEO Greg Ebel emphasized the focus on expanding existing infrastructure rather than embarking on new projects, citing the efficiency and speed of increasing capacity through brownfield opportunities. Enbridge is supporting efforts related to the Major Projects Office in Canada but does not intend to submit its own proposals to the office.
Enbridge reported a decline in third-quarter profit and revenue compared to the previous year. The company’s profit attributable to common shareholders was $682 million, or 30 cents per share, for the quarter ending September 30. Adjusted earnings per share were 46 cents, down from 55 cents a year ago, with operating revenue totaling $14.64 billion.
Overall, Enbridge remains committed to strategic expansions in the U.S. market while carefully evaluating opportunities for growth and efficiency in its operations.