EDMONTON, AB, Sept. 28,
2022 /PRNewswire/ - Enbridge Inc. (Enbridge or
the Company) (TSX: ENB) (NYSE: ENB) and 23 First Nation and Métis
communities today announced an agreement whereby the communities
will acquire, collectively, an 11.57% non-operating interest in
seven Enbridge-operated pipelines in the Athabasca region of northern Alberta for $1.12
billion.
A newly created entity, Athabasca Indigenous Investments (Aii),
will steward this investment, which represents the largest
energy-related Indigenous economic partnership transaction in
North America to date.
"We are very pleased to be joining our Indigenous partners in
this landmark collaboration," said Al
Monaco, President and Chief Executive Officer of Enbridge.
"We believe this partnership exemplifies how Enbridge and
Indigenous communities can work together, not only in stewarding
the environment, but also in owning and operating critical energy
infrastructure. We are looking forward to working with the Aii and
deepening our relationship well into the future. This also fully
aligns with our priority to recycle capital at attractive
valuations, which can be used to fund numerous growth opportunities
within our conventional and low carbon platforms."
This investment by Aii also fits well with commitments Enbridge
made in its recently released Indigenous Reconciliation Action Plan
(IRAP), building on a growing track record of engagement with
Indigenous communities and employees. The IRAP incorporates advice
into facility siting, environmental and cultural monitoring,
employment, training and procurement opportunities and, most
recently, financial partnerships such as the proposed Wabamun
Carbon Hub.
Pipelines included in the transaction are the Athabasca, Wood Buffalo/Athabasca Twin and
associated tanks; Norlite Diluent; Waupisoo; Wood Buffalo;
Woodland; and the Woodland extension. These assets are underpinned
by long-life resources and long-term contracts, which provide
highly predictable cash flows.
"On behalf of the Indigenous partners, we are proud to become
equity owners in these high-quality assets which contribute to
North American energy supply and security," said Justin Bourque, President of Athabasca
Indigenous Investments. "Our partner logo theme – Seven
Pipelines, Seven Generations – speaks to the long-term value
potential of these assets, which will help enhance quality of life
in our communities for many years to come."
"This is a truly historic day for our communities in the
Athabasca region," added Chief
Greg Desjarlais of Frog Lake First
Nation. "In addition to an opportunity to generate wealth for our
people, this investment supports economic sovereignty for our
communities. We look forward to working with a leading energy
company like Enbridge, which shares Indigenous values of water,
land and environmental stewardship."
"To be involved in an Indigenous partnership that will bring
ongoing benefits to our communities is very important to the Métis
people of Alberta," says
Stan Delorme, Chairperson, Buffalo
Lake Métis Settlement. "Today's announcement marks a next step in
our relationship with Enbridge and our neighbors in the
Athabasca region."
Closing of the transaction is expected to occur within the next
month. BMO Capital Markets acted as financial advisor to Enbridge
and Torys LLP as legal counsel. RBC Capital Markets acted as
financial advisor to Athabasca Indigenous Investments and
Boughton Law as legal counsel.
JOINT VENTURE ASSETS
About Athabasca Indigenous Investments
Athabasca Indigenous Investments is a newly created
limited partnership of 23 diverse Treaty 6 and Treaty 8 First
Nations and Métis communities located in northern Alberta, that will steward the communities'
investment in seven Enbridge-operated pipelines. Participating
communities include:
Athabasca Chipewyan
First Nation
|
Fishing Lake Métis
Settlement
|
Kikino Métis
Settlement
|
Beaver Lake Cree
Nation
|
Frog Lake First
Nation
|
McMurray Métis Local
1935
|
Buffalo Lake Métis
Settlement
|
Fort Chipewyan Métis
Local 125
|
Mikisew Cree First
Nation
|
Chard Métis
Nation
|
Fort McKay First
Nation
|
Onion Lake Cree
Nation
|
Chipewyan Prairie First
Nation
|
Fort McKay Métis
Nation
|
Saddle Lake Cree
Nation
|
Conklin Métis Local
193
|
Fort McMurray 468 First
Nation
|
Willow Lake Métis
Nation
|
Cold Lake First
Nations
|
Heart Lake First
Nation
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Whitefish Lake First
Nation (Goodfish)
|
Elizabeth Métis
Settlement
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Kehewin Cree Nation
|
|
About Enbridge
At Enbridge, we safely
connect millions of people to the energy they rely on every day,
fueling quality of life through our North American natural gas, oil
or renewable power networks and our growing European offshore wind
portfolio. We're investing in modern energy delivery infrastructure
to sustain access to secure, affordable energy and building on two
decades of experience in renewable energy to advance new
technologies including wind and solar power, hydrogen, renewable
natural gas and carbon capture and storage. We're committed to
reducing the carbon footprint of the energy we deliver, and to
achieving net zero greenhouse gas emissions by 2050.
Headquartered in Calgary, Alta., Enbridge's common
shares trade under the symbol ENB on the Toronto (TSX)
and New York (NYSE) stock exchanges. To learn more, visit
us at Enbridge.com
Press Conference
The press conference will include
remarks from key stakeholders followed by a Q&A. Media can join
in-person or via teleconference. The event will be livestreamed at
alberta.ca/news.
When:
|
Wednesday, September
28, 11 a.m.to 12:15 p.m. MT
|
Where:
|
Enbridge Centre
- 10175 101 St NW Suite 1800, Edmonton, AB
|
Who:
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Al Monaco, President
and Chief Executive Officer, Enbridge
|
|
Colin Gruending,
Executive Vice President & President, Liquids Pipelines,
Enbridge
Justin Bourque,
President, Athabasca Indigenous Investments
|
|
Chief Greg Desjarlais,
Frog Lake First Nation
Stan Delorme,
Chairperson, Buffalo Lake Métis Settlement
|
|
Jason Kenney, Premier
of Alberta
|
|
Chana Martineau, Chief
Executive Officer, Alberta Indigenous Opportunity
Corporation
|
Teleconference information:
Calgary media
dial-in:
|
1-587-333-0001
|
Edmonton media
dial-in:
|
1-825-500-5007
|
Toll-free media
dial-in:
|
1-800-578-9520
|
Passcode:
|
850474
|
- Reporters must provide their conference ID, name, affiliation,
and telephone number to the conference operator
- Reporters are encouraged to dial in 15 minutes early to ensure
participation
- Participants will be able to hear all questions and
responses
-
- To ask a question: Press *1
- To exit question queue: Press *2
Forward-Looking Information
Forward-looking
information, or forward-looking statements, have been included in
this news release to provide information about Enbridge and its
subsidiaries and affiliates, including management's assessment of
Enbridge and its subsidiaries' and affiliates' 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 the sale by Enbridge
of an equity interest in certain pipelines and the establishment of
a partnership with Athabasca Indigenous Investments (the
"Transaction"); capital to fund future growth opportunities;
resources and contracts underpinning the pipeline assets;
predictability of cash flows; and expected timing of closing. In
addition, completion of the Transaction is subject to customary
closing conditions.
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. Material assumptions
include assumptions about the following: energy transition,
including the drivers and pace thereof; the COVID-19 pandemic and
the duration and impact thereof; global economic growth and trade;
the expected supply of and demand for crude oil, natural gas,
natural gas liquids ("NGL"), liquified natural gas ("LNG") and
renewable energy; prices of crude oil, natural gas, NGL, LNG and
renewable energy; anticipated utilization of our assets;
anticipated cost savings; exchange rates; inflation; interest
rates; availability and price of labour and construction materials;
the stability of our supply chain; operational reliability and
performance; customer, regulatory and stakeholder support and
approvals; anticipated construction and in-service dates; weather;
announced and potential acquisition, disposition and other
corporate transactions and projects and the timing and impact
thereof, including the Transaction; expectations about our
partners' ability to complete and finance proposed transactions and
projects; governmental legislation; litigation; credit ratings;
hedging program; expected EBITDA and expected adjusted EBITDA;
expected earnings/(loss) and adjusted earnings/(loss); expected
earnings/(loss) or adjusted earnings/(loss) per share; expected
future cash flows and expected future distributable cash flow
("DCF") and DCF per share; estimated future dividends; financial
strength and flexibility; debt and equity market conditions; and
general economic and competitive conditions. Assumptions regarding
the expected supply of and demand for crude oil, natural gas, NGL,
LNG 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, interest rates and
the COVID-19 pandemic 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, particularly with respect to
expected DCF and DCF per share amounts.
Enbridge's forward-looking statements are subject to risks
and uncertainties pertaining to the realization of anticipated
benefits and synergies of projects and transactions, including the
Transaction, successful execution of our strategic priorities,
operating performance, the Company's dividend policy, regulatory
parameters, changes in regulations applicable to the Company's
business, litigation, acquisitions and dispositions and other
transactions, project approval and support, renewals of
rights-of-way, weather, economic and competitive conditions, public
opinion, changes in tax laws and tax rates, changes in trade
agreements, political decisions, exchange rates, interest rates,
commodity prices, supply of and demand for commodities and the
COVID-19 pandemic, including but not limited to those risks and
uncertainties discussed in this and in the Company's other filings
with Canadian and U.S. 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 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.
Athabasca Indigenous
Investments
|
Enbridge
|
|
|
Media
|
Media
|
Peter
Pilarski
|
Toll Free: (888)
992-0997
|
President, CIPR
Communications Inc.
|
Email:media@enbridge.com
|
Phone: (403)
462-1160
|
|
Email:
peter@ciprcommunications.com
|
Investment
Community
|
|
Jonathan
Morgan
|
|
Toll Free: (800)
481-2804
|
|
Email:
investor.relations@enbridge.com
|
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SOURCE Enbridge Inc.