Historical Stock Chart
5 Years : From Jun 2012 to Jun 2017
Enbridge Inc. (ENB) Chief Executive Pat Daniel said Wednesday the Canadian pipeline company would be interested in participating in a reversal of the Capline oil pipeline connecting the Gulf Coast with Midwest refineries.
Last week, Marathon Petroleum Corp. (MPC) said it's exploring the possibility of reversing the Capline, which sends imported crude oil north from Louisiana ports to Midwest refineries. Marathon is part owner of the Capline along with Plains All American Pipeline (PAA) and Royal Dutch Shell (RDSA).
The 1.2-million barrel a day Capline is underused as rising oil production from Canada and the U.S. is pushing out more expensive exports. A bottleneck in the Midwest caused by crude trying to get south has caused the price of U.S. oil to drop some $15 a barrel below seaborne crude oil.
Enbridge is already reversing and expanding the Seaway pipeline between Cushing, Okla., and refineries in Texas along with its partner Enterprise Products Partners (EPD).
Daniel said Enbridge is "watching and monitoring" plans for a potential Capline reversal closely and would be interested in buying into the project, adding that it would expand access to refineries on the eastern Gulf of Mexico.
"Allowing access of Canadian crude to the eastern Gulf is something we have looked at on a number of occasions," Daniel said.
-By Edward Welsch, Dow Jones Newswires; 403-229-9095; email@example.com