Enbridge


Enbridge Inc. is a multinational pipeline and energy company headquartered in Calgary, Alberta, Canada. Enbridge owns and operates pipelines throughout Canada and the United States, transporting crude oil, natural gas, and natural gas liquids, and also generates renewable energy. Enbridge's pipeline system is the longest in North America and the largest oil export pipeline network in the world. Its crude oil system consists of 28,661 kilometres of pipelines. Its 38,300 kilometre natural gas pipeline system connects multiple Canadian provinces, several US states, and the Gulf of Mexico. The company was formed by Imperial Oil in 1949 as the Interprovincial Pipe Line Company Limited to transport Alberta oil to refineries. Over time, it has grown through acquisition of other existing pipeline companies and the expansion of their projects.

History

The company was initially incorporated by Imperial Oil as Interprovincial Pipe Line Company on April 30, 1949, after Canada's first major oil discovery, in 1947, at Leduc, Alberta. In the same year, the company built its first oil pipeline from Leduc to Regina, Saskatchewan. In 1950, it was expanded through Gretna, Manitoba, to Superior, Wisconsin, in the United States. To operate the United States portion of the pipeline, the Lakehead Pipe Line Company was created. In 1953, the pipeline was expanded to Sarnia, Ontario, and in 1956 to Toronto and Buffalo, New York.
In 1953, IPL was listed on the Toronto and Montreal stock exchanges. In 1983, IPL built the Norman Wells pipeline and joined Frontier Pipeline Company. In 1986, through a series of stakes exchanges, IPL gained control of Home Oil and in 1988, it changed its name to Interhome Energy Inc. In 1991, it changed its name to Interprovincial Pipe Line Inc.
In 1992, Interprovincial Pipe Line Inc. was acquired by Interprovincial Pipe Line System Inc., which changed its name to IPL Energy Inc. in 1994, after the acquisition of Consumers' Gas and diversification into the gas distribution business. In addition, it acquired stakes in AltaGas Services and the electric utility of Cornwall, Ontario. Through the 1990s, the company expanded its gas pipeline network and acquired a stake in the Chicap oil pipeline. It also built the Athabasca Pipeline from northeastern Alberta to the main pipeline system. In 1995, the company expanded its activities outside of North America by taking a stake in the Ocensa pipeline. This stake was sold in 2009. IPL Energy became Enbridge Inc in 1998. The Enbridge name is a portmanteau from "energy" and "bridge".
In the 2000s, Enbridge introduced several large projects. Enbridge made their first investment into renewable energy in 2002 with the purchase of a wind farm. In 2006, it announced the Enbridge Northern Gateway Pipelines Project from Athabasca to Kitimat, British Columbia. The same year, it announced the Alberta Clipper pipeline project from Hardisty, Alberta, to Superior, Wisconsin, to connect oil sands production area with the existing network. This pipeline became operational in 2010.
In 2009, Enbridge bought the Sarnia Photovoltaic Power Plant and expanded it up to 80 MW, which was the world's largest photovoltaic power station at that time.
In January 2017, Enbridge acquired Midcoast Energy Partners for $170 million in cash, and later in 2018, ArcLight acquired Midcoast Operating, L.P. from Enbridge for $1.1 billion.
Enbridge released its first annual sustainability report in 2001, and in November 2020, Enbridge expanded its environmental, social and governance goals and targets. The company aims to achieve net-zero greenhouse gas emissions by 2050, with an interim target to reduce emissions intensity by 35% by 2030. That same year, President and CEO Al Monaco said that renewable power is now "the fourth Enbridge platform." Enbridge's ESG goals also aim to diversify its workforce with 28% representation from racial and ethnic groups and 40% from women by 2025.  
In 2021, Enbridge was recognized as one of Canada's top 100 employers for the 18th time, and as one of Canada's best diversity employers for the seventh time.
In September 2023, it was announced  Enbridge had agreed to acquire East Ohio Gas, Questar Gas, and Public Service Co. of North Carolina, from Dominion Energy for a total enterprise value worth $14 billion. The acquisition will result in Enbridge being the largest natural gas utility franchise in North America.

Merger with Spectra Energy

On September 6, 2016, Enbridge agreed to buy Spectra Energy in an all-stock deal valued at about $28 billion.
Spectra, headquartered in Houston, Texas, operated in three key areas of the natural gas industry: transmission and storage, distribution, and gathering and processing. Spectra was formed in late 2006 as a spin-off from Duke Energy. Spectra owned the Texas Eastern Pipeline, a major natural gas pipeline transporting gas from the Gulf of Mexico coast in Texas to the New York City area; TETCo was one of the largest pipeline systems in the United States. Spectra also operated three oil pipelines, numerous other gas pipelines and was proposing to build still 3 more gas pipelines in the U.S. The merger was completed on February 27, 2017.

Operations

Crude oil and liquids pipelines

The company is the largest transporter of crude oil in Canada with 3 million barrels per day of oil and liquids. The Enbridge Pipeline System is the world's longest crude oil and liquids pipeline system, with 27,564 km of active crude pipeline in both Canada and the United States. This pipeline network delivers 3 million barrels of oil per day.
Enbridge delivered more than 3.77 billion barrels of crude oil in 2020, and more than 29.5 billion barrels over the past decade, from 2011 through 2020 inclusive.
Enbridge has several new capacities and expansion projects, including the expansion of the Alberta Clipper, replacing of Line 6B, reversal of Line 9 and others. Its Light Oil Market Access initiative is a project to deliver light crude oil from North Dakota and Western Canada to refineries in Ontario, Quebec, and the U.S. Midwest. Eastern Access, including a reversal of Line 9, is a project to deliver oil to Western Canada and Bakken to refineries in Eastern Canada and the midwest and eastern U.S. Western Gulf Coast Access, including reversal and expansion of the Seaway Pipeline and the Flanagan South Pipeline, is a plan to connect Canadian heavy oil supply to refineries along the Gulf Coast of the United States.
Enbridge's oil pipelines cross North America, with 13,833 km of active pipe in the United States and 13,681 km of active pipe in Canada. The list below outlines eight of those lines.
  • Line 1 is a 1,767 km pipeline that starts in Enbridge's Edmonton Terminal in Alberta, and runs to its Superior Terminal in Wisconsin. On average, this pipeline delivers 237,000 barrels of light crude, natural gas liquids, and refined products daily.
  • Line 2A is a 966 km pipeline that runs from an Enbridge terminal in Edmonton, Alberta, to its Cromer Terminal in Manitoba. On average, per day this pipeline carries 442,000 barrels of condensates, light crude, and heavy crude. Line 2B is an 808 km pipeline that runs from the same Cromer Terminal to the Superior Terminal in Wisconsin. That pipeline delivers on average 442,000 barrels of light crude oil per day.
  • Line 3 is a 1,769 km pipeline that runs from the Edmonton terminal to the Superior Terminal. Over half of the pipeline is located in Canada, between Alberta and Manitoba. Per day, the pipeline transports an average of 390,000 barrels of light, medium and heavy crude oil.
  • Line 4 is a 1,722 km crude oil pipeline starting at the Edmonton terminal to the Superior terminal. This pipeline carries, on average, 390,000 barrels of light, medium and heavy crude oil per day.
  • Line 5 is a 1,038 km crude oil pipeline running from the Superior terminal in Wisconsin to Sarnia, Ontario. On average, this pipeline moves 540,000 barrels of natural gas liquids and light crude oil per day.
  • Alberta clipper Pipeline is a 1,790 km pipeline that runs from Hardisty, Alberta to Superior, Wisconsin. An average of 800,000 barrels of heavy crude oil is moved through this pipeline per day.
  • Southern Lights Pipeline is a 2,560 km pipeline that runs from Manhattan, Illinois to the Edmonton terminal. This pipeline carries on average, 180,000 barrels of diluent per day.

    Natural gas pipelines

Enbridge's pipelines transport 20% of the natural gas consumed in the United States. It owns and operates Canada's largest natural gas distribution network, providing distribution services in Ontario and Quebec. Union Gas in Ontario now fully operates under Enbridge Gas Inc. In Quebec, Enbridge has interest ownership in Gazifère.
Enbridge builds, owns and operates a network of natural gas transmission pipelines across North America, connecting the continent's prolific natural gas supply to major markets in Canada, the United States, Mexico, and further abroad.
Enbridge's natural gas network currently covers 38,375 km across five Canadian provinces, 30 U.S. states, and offshore in the Gulf of Mexico, transporting roughly 16.2 Bcf of natural gas.

Canadian gas transmission: major assets

  • B.C. Pipeline : this pipeline system runs from Fort Nelson in northeastern British Columbia to the U.S. border at Huntington-Sumas stretching 2,858 km. It transports 60 percent of all natural gas produced in B.C., and provides natural gas service to the province as well as US states including Oregon, Idaho, and Washington.
  • Alliance Pipeline : running 3,848 km from northern British Columbia across the U.S.-Canada border to Aux Sable gas processing plant in Channahon, Illinois. Enbridge owns 50 percent of the Alliance Pipeline and 42% of the Aux Sable processing facility.

    U.S. gas transmission: major assets

  • Algonquin Gas Transmission : this pipeline is 1,129 miles long, and transports natural gas to markets in New York, New Jersey, and New England.
  • East Tennessee : a natural gas pipeline 1,526 miles long, extending from Tennessee to the Southeast and Mid-Atlantic states, ending in Virginia.
  • Maritimes & Northeast Pipeline: this pipeline was constructed to bring natural gas produced in Atlantic Canada through to other Canadian provinces, and into U.S. states.
  • NEXUS Gas Transmission: measuring 257 miles long, this pipeline supplies natural gas markets in the U.S. Midwest and the Dawn Hub in Ontario. This is a 50/50 joint partnership between Enbridge and DTE Energy.
  • Sabal Trail: carries natural gas via a 287-mile pipeline to the U.S. Southeast. This is a joint partnership between Enbridge, NextEra Energy and Duke Energy.
  • Southeast Supply Header : a natural gas pipeline 287 miles in length, connecting gas supply in Texas and Louisiana to other natural gas markets in the Southeast US.
  • Texas Eastern : delivers natural gas from Texas and the Gulf Coast through 8.83 miles of pipeline to markets in the Northeastern UW including New York, Boston, and Pittsburgh.
  • Valley Crossing Pipeline : placed into service in November 2018, this pipeline moves Texas sourced natural gas to a Mexico State-owned power utility, the Comision Federal de Electricidad.
  • Vector Pipeline: this pipeline acts as a connector for other pipelines including the Alliance pipeline and NEXUS Gas Transmission to the Union Gas Dawn Hub.