12:57:28 EDT Thu 25 Apr 2024
Enter Symbol
or Name
USA
CA



Enbridge Inc
Symbol ENB
Shares Issued 929,227,712
Close 2016-07-11 C$ 54.57
Market Cap C$ 50,707,956,244
Recent Sedar Documents

Globe/wire say Enbridge, rival have limited pipe space

2016-07-12 06:30 ET - In the News

Also In the News (C-TRP) TransCanada Corp

The Globe and Mail reports in its Tuesday edition that discounted prices for heavy crude from Alberta's oil sands look set to sink further, thanks to hundreds of thousands of barrels of new supply. A Reuters dispatch to The Globe reports that current in situ bitumen supply is estimated at between 1.3 million to 1.4 million barrels a day. Non-upgraded bitumen supply is expected to rise by 200,000 b/d in 2016 and by another 110,000 b/d in 2017, RBC said earlier this year. Canadian producers have some of the highest cost structures among those in North America, so limited pipeline space to deliver that crude will hurt profits. The main pipelines carrying heavy oil into the United States Midwest, including the Line 4 and 67 part of Enbridge's Mainline system, as well as TransCanada's Keystone pipeline, have little to no space for additional barrels. The impending squeeze is reminiscent of 2013, when Alberta's government was forced to borrow billions to cover a drop in revenue due to the so-called "bitumen bubble," a term coined as a result of the province's inability to move oil-sands-derived bitumen to export, although WCS prices hovered closer to $40 (U.S.) a barrel discount then.

© 2024 Canjex Publishing Ltd. All rights reserved.