Natural Gas Growth Opportunities
Alliance Pipeline Inc. (50% owned by Enbridge) is jointly proposing a natural gas pipeline connecting the U.S. Rocky Mountain Region to the Chicago market hub. The proposed Rockies Alliance Pipeline — or RAP — is being developed in response to rapidly increasing supply from the U.S. Rockies region and will initially provide 1.3 billion cubic feet per day (Bcf/d) of transportation capacity, expandable to 1.7 Bcf/d. Pending commercial support, the pipeline is expected to be in service in 2013.
What we're doing today
Enbridge has major stakes in the Alliance and Vector natural gas pipeline systems. The Alliance System transports natural gas from the Western Canada Sedimentary Basin to the U.S. Midwest. Connecting with the Alliance System at Chicago, the Vector Pipeline provides natural gas supplies for local distribution and end-user customers in Illinois, Indiana, Michigan and Ontario.
Gulf of Mexico
Through Enbridge Offshore Pipelines, we today transport approximately 40% of all current deepwater natural gas production in the Gulf of Mexico, a prolific natural gas region. Enbridge Offshore Pipelines has interests in 11 transmission and gathering pipelines in five major pipeline corridors in Louisiana and Mississippi offshore waters.
Enbridge Energy Partners is a large natural gas gatherer and processor in the Anadarko Basin, Barnett Shale and Bossier Sands of Texas, which are three of the top four areas for natural gas development in the U.S. Enbridge Energy Partners transports approximately 15% of Texas natural gas production. In 2008, Enbridge Inc. increased its ownership stake in Enbridge Energy Partners to 27% from approximately 15%.
How we're building for tomorrow
The Alliance System is well positioned for opportunities arising from the development of natural gas in northeast British Columbia, the U.S. Rocky Mountain region, Alaska and Canada's Arctic.
The Vector Pipeline, which expanded capacity in 2007 to 1.2 billion cubic feet per day (bcf/d), is undertaking a 0.1-bcf/d expansion in 2009 with potential further expansion in 2010 to 2011.
Enbridge Offshore Pipelines is growing its natural gas gathering, processing and transmission infrastructure in the Gulf of Mexico.
Enbridge Energy Partners expects to see strong growth in demand for processing and gathering pipelines to serve Texas onshore natural gas production.