The Globe and Mail reports in its Friday, Aug. 4, edition that regulatory delays and route
modifications will increase the
cost of Enbridge's Line 3
pipeline replacement project. A Canadian Press dispatch to The Globe reports that
Enbridge said the
project will cost $8.2-billion,
9 per cent more than its previous
forcecast.
The increased cost will be offset,
however, by lower operating
costs and a stronger U.S. dollar,
and the project remains on schedule
for service in the second half of
2019, Enbridge said.
Chief executive officer Al Monaco said
Line 3 had
obtained permits in Canada and
North Dakota and Wisconsin, but
still required regulatory approval
from Minnesota, which Enbridge
expects in the third quarter of
2017.
Asked whether Enbridge can
make up for capacity elsewhere if the
project gets delayed in Minnesota,
Mr. Monaco said, "The capacity
will be restored once the full line
gets replaced."
Enbridge is unlikely to be
affected by rival pipeline projects,
TransCanada's Keystone
XL and Kinder Morgan
Canada's Trans Mountain,
Mr. Monaco said.
"In terms of attracting spot
barrels, we would see us as being
extremely competitive," he said.
© 2024 Canjex Publishing Ltd. All rights reserved.