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2h ago

Enbridge Greenlights $1.4 Billion Mainline Optimization to Add 250,000 Bpd by 2027

Long-term take-or-pay commitments for full-path service underpin the project.

Enbridge oil storage tanks located at the company's terminal in Superior, Wis, along its Mainline pipeline network.
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Overview

  • Enbridge reached a final investment decision on Mainline Optimization Phase 1 to expand capacity by 150,000 bpd on the Mainline and 100,000 bpd on Flanagan South.
  • The added throughput is designed to move more Canadian heavy crude to U.S. refining centers in the Midwest (PADD II) and Gulf Coast (PADD III).
  • Capacity gains will come from upstream optimizations and terminal enhancements on the Mainline, additional pump stations and terminal work on Flanagan South, and use of existing Seaway Pipeline capacity.
  • The Flanagan South expansion is supported by full-path contracts from Edmonton to Houston, with most existing shippers extending agreements during an earlier open season.
  • Enbridge targets 2027 in-service with an expected aggregate capital cost of US$1.4 billion, while noting outcomes depend on regulatory approvals and execution risks.