Enbridge To Boost Canada Crude Flow by 500,000 Bpd to U.S.


   
Barani Krishnan
DTN Refined Fuels Market Reporter

   SECAUCUS, NJ (DTN) -- Enbridge announced Wednesday (11/19) that it was 
pursuing close to 500,000 bpd of new liquids pipeline capacity to support 
Western Canadian crude production growth by the end of the decade. The strategy 
is comprised of three key, brownfield initiatives designed to leverage existing 
infrastructure.

   The largest component is the US$1.4-billion Mainline Optimization Phase 1 
(MLO1), which reached a final investment decision on November 14. MLO1 will add 
a total of 250,000 bpd of capacity, comprised of 150,000 bpd on the Mainline 
system and 100,000 bpd on the Flanagan South Pipeline. This capacity is 
expected to be available in 2027 and will increase deliveries to U.S. Midwest 
and Gulf Coast refineries.

   This followed the November 7 sanctioning of the US$0.5-billion Southern 
Illinois Connector (SIC). This 56-mile pipeline and related optimizations act 
as the lynchpin for adding 100,000 bpd of long-haul, contracted service to the 
Gulf Coast, with expected service in 2028.

   Completing the near-term strategy is the planned Mainline Optimization Phase 
2 (MLO2). MLO2 is expected to provide another 250,000 bpd of incremental, 
full-path capacity by the end of the decade, primarily by utilizing existing 
infrastructure, including the Dakota Access Pipeline.




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