Enbridge, Energy Partners outline plan for shipping more crude to Gulf Coast | iNFOnews | Thompson-Okanagan's News Source
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Enbridge, Energy Partners outline plan for shipping more crude to Gulf Coast

The corporate logo of Enbridge Inc. (TSX:ENB) is shown. THE CANADIAN PRESS/HO

CALGARY - Enbridge Inc. (TSX:ENB) and a partner are planning to convert some of their natural gas capacity to ship crude oil from a pipeline hub in Illinois to refineries in the eastern Gulf Coast refinery market.

The Calgary-based pipeline company and Energy Transfer Partners would each own 50 per cent of the joint venture, which they expect will be in service by 2015.

The plan requires U.S. regulatory approvals and Enbridge says its participation will depend on getting a minimum commitment from customers.

The companies say the system would be able to carry between 420,00 and 660,000 barrels per day of crude.

The proposal is one of several initiatives being considered to move more crude from the U.S. Midwest and Canadian Prairies to refineries along the coast of the Gulf of Mexico.

Canadian crude is currently being sold at a bigger discount than usual because of a lack of pipeline capacity and growing supplies from North Dakota and other states that are expanding their output using advanced drilling methods.

News from © The Canadian Press, 2013
The Canadian Press

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