HOUSTON, Dec. 9, 2019 /PRNewswire/ - Enbridge Inc.
(TSX:ENB)(NYSE:ENB) (Enbridge) and Enterprise Products Partners
L.P. (NYSE: EPD) (Enterprise) announced today they have agreed to
jointly develop and market a deep-water offshore crude oil export
terminal capable of fully loading Very Large Crude Carriers
(VLCCs).
Under the terms of the Letter of Intent (LOI), Enbridge and
Enterprise will work to finalize an equity participation agreement
(Agreement). The Agreement would allow Enbridge an option to
purchase an ownership interest in Enterprise's Sea Port Oil
Terminal (SPOT), subject to SPOT receiving a deep-water port
license. The parties intend to initially focus commercial
development efforts on seeking customer support to fully utilize
SPOT. As the crude oil export market continues to grow,
Enbridge anticipates that its Texas COLT deep-water port will be
well positioned to proceed.
"We are pleased to be teaming up with Enterprise to bring large
scale, integrated export solutions to the market," said Enbridge
President and CEO Al Monaco. "This
collaboration leverages our jointly owned and highly competitive
Seaway system and capitalizes on each of our capabilities to drive
out highly capital efficient export infrastructure for our
customers. For Enbridge, it's also a key part of our priority
to provide our North American light and heavy crude customers with
highly efficient access to the Houston-area refining markets and growing
global demand."
Enbridge also announced that it will advance the development of
a new wholly-owned Jones Creek Crude Oil Storage Terminal.
The terminal will have ultimate capability of up to 15 million
barrels of storage; access to crude oil from all major North
American production basins and will be fully integrated with the
Seaway Pipeline system to allow for access to Houston-area refineries, existing export
facilities and other facilities in the future.
Seaway announced on November 25,
2019, a plan to proceed with an open season to secure
interest in a potential 200,000 barrels per day expansion of the
system. Seaway is well-positioned as a highly competitive
option to transport Cushing
volumes to a fully integrated network of pipelines, storage
facilities, and export terminals along the US Gulf Coast.
"The combination of the proposed Seaway expansion, the
development of our Jones Creek Storage Terminal and our expanded
offshore VLCC, positions us nicely and advances our strategy to
enhance and extend North America's
premiere crude oil value chain – one that stretches from western
Canada, to the Midwest and through
to the Midcontinent and US Gulf Coast. It also fits very well
with our broader goal to further build out our export
infrastructure position in both crude oil and natural gas," said
Monaco.
Forward-Looking Information
Forward-looking
information, or forward-looking statements, have been included in
this news release to provide information about the Company and its
subsidiaries and affiliates, including management's assessment of
Enbridge and its subsidiaries' future plans and operations. This
information may not be appropriate for other purposes.
Forward-looking statements are typically identified by words such
as ''anticipate'', ''expect'', ''project'', ''estimate'',
''forecast'', ''plan'', ''intend'', ''target'', ''believe'',
"likely" and similar words suggesting future outcomes or statements
regarding an outlook. Forward-looking information or
statements included or incorporated by reference in this document
include, but are not limited to, statements with respect to
proposed projects to develop a deep-water offshore export terminal
with Enterprise, SPOT, Texas COLT and the Jones Creek Terminal,
including the benefits, risks, costs and timing thereof, the
receipt of applicable permits and governmental, regulatory,
customer and other approvals, and other related matters.
Although Enbridge believes these forward-looking
statements are reasonable based on the information available on the
date such statements are made and processes used to prepare the
information, such statements are not guarantees of future
performance and readers are cautioned against placing undue
reliance on forward-looking statements. By their nature, these
statements involve a variety of assumptions, known and unknown
risks and uncertainties and other factors, which may cause actual
results, levels of activity and achievements to differ materially
from those expressed or implied by such statements. Assumptions
regarding the expected supply of and demand for crude oil, natural
gas, NGL and renewable energy, and the prices of these commodities,
are material to and underlie all forward-looking statements, as
they may impact current and future levels of demand for the
Company's services. Similarly, exchange rates, inflation and
interest rates impact the economies and business environments in
which the Company operates and may impact levels of demand for the
Company's services and cost of inputs, and are therefore inherent
in all forward-looking statements. Due to the interdependencies and
correlation of these macroeconomic factors, the impact of any one
assumption on a forward-looking statement cannot be determined with
certainty. The most relevant assumptions associated with
forward-looking statements on announced projects and projects under
construction, including estimated completion dates and expected
capital expenditures, include the following: the impact of
customer, government and regulatory approvals on construction and
in-service schedules and cost recovery regimes; the availability
and price of labour and construction materials; the effects of
inflation and foreign exchange rates on labour and material costs;
the effects of interest rates on borrowing costs; the impact of
weather; and the ability of our joint venture partners to complete
and finance proposed projects.
Enbridge's forward-looking statements are subject to risks
and uncertainties, including, but not limited to those risks and
uncertainties discussed in this news release and in the Company's
other filings with Canadian and United States securities
regulators. The impact of any one risk, uncertainty or factor on a
particular forward-looking statement is not determinable with
certainty as these are interdependent and Enbridge's future course
of action depends on management's assessment of all information
available at the relevant time. Except to the extent required by
applicable law, Enbridge assumes no obligation to publicly update
or revise any forward-looking statements made in this news release
or otherwise, whether as a result of new information, future events
or otherwise. All subsequent forward-looking statements, whether
written or oral, attributable to Enbridge or persons acting on the
Company's behalf, are expressly qualified in their entirety by
these cautionary statements.
About Enbridge Inc.
Enbridge Inc. is
a leading North American energy infrastructure company. We safely
and reliably deliver the energy people need and want to fuel
quality of life. Our core businesses include Liquids Pipelines,
which transports approximately 25 percent of the crude oil produced
in North America; Gas Transmission
and Midstream, which transports approximately 20 percent of the
natural gas consumed in the U.S.; and Utilities and Power
Operations, which serves approximately 3.7 million retail customers
in Ontario and Quebec, and generates approximately 1,750 MW
of net renewable power in North
America and Europe. The
Company's common shares trade on the Toronto and New
York stock exchanges under the symbol ENB. For more
information, visit www.enbridge.com
FOR FURTHER
INFORMATION PLEASE CONTACT:
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Toll Free: (888)
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Toll Free: (800)
481-2804
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Email:
media@enbridge.com
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Email:
investor.relations@enbridge.com
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SOURCE Enbridge Inc.