Enbridge Inc. · TSX:ENB
Enbridge — Investor Presentation (June 2020)
78 slides from Enbridge's investor presentation, June 2020
Slide 1: Enbridge Inc. Investment Community Presentation
Enbridge Inc. (TSX: ENB; NYSE: ENB) Investment Community Presentation June 2020
Slide 2: Legal Notice
Legal Notice Forward-Looking Information This presentation includes certain forward-looking statements and information (FLI) to provide potential investors and shareholders of Enbridge Inc. (Enbridge or the Company) with information about Enbridge and its subsidiaries and affiliates, including manag
Slide 3: Contents
Contents • Strategic Overview Slide 4 • Near-term (2020) Outlook Slide 20 • Appendix: Business Details Slide 33 Liquids Pipelines Slide 34 Gas Transmission Slide 54 Gas Distribution & Storage Slide 69 3
Slide 4: Strategic Overview
Strategic Overview ENBRIDGE
Slide 5: North America's Premier Infrastructure Company
North America’s Premier Infrastructure Company Enterprise Value (North American Midstream Companies) (US$,B, Source: Factset, March 2020) $160 $140 $120 $100 $80 $60 $40 $20 $0 ENB TRP ET EPD KMI WMB PPL OKE Delivering North America’s Energy ~25% ~20% ~3.8M Liquids pipelines of North America’s of Na
Slide 6: ESG
ESG Environment Social Governance Safety is our number one priority Board Diversity 4 3.2 9.2 10 Barrels Released/ 36% 54% Total Inspection Miles/ Billion Barrel 8 Miles Women Men Total Miles of Pipe1 3 6 2 1.5 4 1 2 0.001 0 0 ENB Peer Average • Reduced emissions for Cdn ops 21% • Lifecycle approach
Slide 7: Leading the Industry on ESG Measures
Leading the Industry on ESG Measures Peer A Peer B Peer C Peer D Peer E Third Party ESG Ratings2 TCFD aligned disclosure report1 Best Possible Rating Publicly report GHG emissions (Scope 1 and 2) Enbridge Rating Board oversight of climate- related risks and opportunities Indigenous Peoples Policy Av
Slide 8: Resilient Energy Infrastructure
Resilient Energy Infrastructure Liquids Pipelines Gas Transmission Gas Distribution & Storage ~1 15 mmbd bcfd ~1 4 bcfd ONTARIO mmbd 0.3 14 bcfd OTTAWA mmbd 2+ 18 bcfd mmbpd DAWN HUB TORONTO 19 18 bcfd 8+ bcfd Existing refining capacity mmbd 3+ mmbpd of Current Demand 3 Bcfd of exports exports Serve
Slide 9: Low Risk Business Model Built for Resiliency
Low Risk Business Model Built for Resiliency Best-in-Class Commercial Underpinning Credit Worthy Counterparties 98% 95% COS/ Contracted/ Investment CTS Grade Cost of Service / Investment Contracted / CTS1 Grade2 Low Risk Low Risk Pipeline/Utility Business Business Model Diverse Assets & Geographies
Slide 10: Strong Balance Sheet & Credit Profile
Strong Balance Sheet & Credit Profile DEBT to EBITDA1 Best in Class Credit Profile Business Risk 6.0x Rating Agency Credit Metric Assessment Target Range: BBB+ 5.5x 4.5x to 5.0x Excellent stable 5.0x 4.5x BBB+ A stable 4.0x BBB High A 3.5x “Secured-only capital” scenario metrics stable (low) 3.0x 2
Slide 11: Secured Growth Capital
Secured Growth Capital Projects in Execution ($ Billions) Capital Expenditures through 1Q20 Commercial Project Expected ISD ($B) ($B) Framework High-quality portfolio of projects: Line 3R – U.S. Portion TBD1 2.9 USD 1.4 USD Toll Surcharge Southern Access to 1.2 mmbpd 2H20 0.5 USD 0.5 USD Toll Surcha
Slide 12: Strong Customer Base
Strong Customer Base Enterprise Counterparty Credit Profile1 Liquids Gas Gas Distribution • Resilient customer base Pipelines Transmission & Storage Renewables ̶ Refiners, utilities, integrated producers, etc. ~97% ~91% ~100% ~99% • Strong credit protections in place for below investment Investment
Slide 13: Long-Term Energy Demand Trends Remain Intact
Long-Term Energy Demand Trends Remain Intact Global Energy Demand (2040,Mtoe) World Population Urbanization Global Middle Class +351% Renewables +27% +16% +67% Bioenergy 24% Hydro 9.7B 64% Increase in Nuclear 5B demand by 2040 +36% Gas 7.6B 3B 55% +9% Oil Coal 2018 Base Case 2017 2040 2017 2040 2017
Slide 14: Long-Term N.A. Energy Supply Fundamentals
Long-Term N.A. Energy Supply Fundamentals N.A. Liquids supply1 (MMb/d) N.A. Natural gas supply (Bcf/d) U.S. & Canada exports 29 133 By 6 15 2040 23 Demand 105 +3 (MMb/d) Demand +10 (MMbcf/d) 3 5 Today 2018 2040 2018 2040 Crude LNG Globally competitive N.A. crude oil and natural gas supplies support
Slide 15: Disciplined Capital Allocation
Disciplined Capital Allocation Self Funding Capacity $5 - 6 B Self-Funding (Post secured capital program): Capacity & Conservative Leverage Target: 4.5x to < 5x Financial Policy Long-Term Dividend Payout: ~65% DCF Returns: Exceed Project Level Hurdle Rate Organic Debt Share Dividend Asset Large-Scal
Slide 16: Post-2020 Growth Opportunities
Post-2020 Growth Opportunities Utilities $1B annual growth opportunities Westcoast LNG Exports Utility Franchise •Westcoast system expansions Expansion Offshore Wind •Connectivity to Westcoast LNG •Core rate base growth exports Development •Dawn Parkway •French projects •Community expansions •Expans
Slide 17: Long Term Growth Outlook
Long Term Growth Outlook DCF per share ~4-5% 5-7% DCF/share growth $4.50 - 4.80 ~1-2% • $10B of secured growth through 2022 • Revenue escalators • New in-franchise $4.57 • System optimizations growth opportunities • Cost efficiencies • Core rate base growth 2019 2020e Post 2020 Growth of 5-7% DCF pe
Slide 18: Shareholder Value Created
Shareholder Value Created Dividend Growth Total Shareholder Return (1995 to 2019) $3.50 $3.00 +9.8% 15.8% 2019-2020 $2.50 • Increased dividend for last 10.6% $2.00 25 years • +11% dividend growth $1.50 CAGR (1995-2020) 8.9% $1.00 $0.50 $0.00 1995 2020e S&P TSX S&P 500 ENB Long history of dividend gr
Slide 19: Enbridge's Value Proposition
Enbridge’s Value Proposition • Our business is resilient over the long-term High Quality Infrastructure • Our low risk business model provides stability • We will grow in a disciplined manner ENB Superior Strong Low Risk Organic Business • We are delivering on our commitments Growth Model Critical i
Slide 20: Near-Term (2020) Outlook
Near-Term (2020) Outlook ZENBRIDGE
Slide 21: COVID-19 Response & Business Continuity
COVID-19 Response & Business Continuity Our People Our Response Our Approach Financial Commodity Alberta $16,000 Crisis WTI Price Collapse Forest Fires $100 $14,000 $12,000 $75 $10,000 WCS $8,000 $50 $6,000 $4,000 $25 $2,000 Adjusted EBITDA $0 $0 2008 2010 2012 2014 2016 2018 2020e • Control centers
Slide 22: Gas Transmission Resiliency
Gas Transmission Resiliency 15 bcfd Q1 Performance Gas pipelines highly utilized $3.7B 4 bcfd 14 TETCO rate settlement implemented April 1 bcfd 2020e GTM EBITDA 18 bcfd Achieved >99% re-contracting on TETCO and Algonquin 27% 2020 Outlook of Consolidated EBITDA • Continued execution of system
Slide 23: Gas Distribution & Storage Resiliency
Gas Distribution & Storage Resiliency Q1 Performance ONTARIO Growth from new customers and community expansions $1.8B Capturing utility combination synergies 2020e GDS Warmer than normal weather in Q1 EBITDA OTTAWA 2020 Outlook • Regulatory framework protects cash flows DAWN • Limited COVID-19
Slide 24: Renewable Power Generation Resiliency
Renewable Power Generation Resiliency North America Europe Q1 Performance Wind and solar facilities ran well $0.5B New German offshore wind farm in service 2020e Power Saint-Nazaire France offshore wind farm EBITDA construction in progress 2020 Outlook • Expect to perform in line with expect
Slide 25: Liquids Pipelines Resiliency
Liquids Pipelines Resiliency ~1 Q1 Performance mmbd Record throughput on the Mainline system ~1 $7.5B mmbd Downstream market access pipelines highly utilized 2020e LP 0.3 Advanced permitting on Line 3 replacement project EBITDA mmbd 3+ mmbpd 2019 Liquids Pipelines EBITDA by Asset1 System-wide
Slide 26: COVID-19 Impact on Demand - Supply
COVID-19 Impact on Demand - Supply Unprecedented Reduction in N.A. 2020 Crude Oil Demand Outlook2 North America Energy Demand (kpbd, as of April 24, 2020) Jan’20 to April’201 Pre-Covid19 Demand Outlook 20,000 Gasoline demand Vehicle miles travelled down significantly -38% ~3.6 mmbpd 15,000 Post-Covi
Slide 27: Enbridge Core Markets Resiliency
Enbridge Core Markets Resiliency North America Refinery Utilization1 Core Markets in PADD II & Refining Margins vs. PADD I2 (April Avg) US Midwest PADD I Eastern Canada $8 $6 Western Canada • ~3 mmbpd of refinery demand; greater $4 than 2 mmbpd reliant on ENB system $2 66% • High refinery utilizatio
Slide 28: Mainline Outlook
Mainline Outlook WCSB Blended Supply Outlook & Disposition of April Reduced Supply Mainline Throughput Outlook (Ex-Gretna throughput, kbpd) (kbpd) 1,200 ~1.1 mmbpd 3000 Avg. 2020 Planned Throughput : 2.85mbpd1 5,000 First 400-600 200-400 100-300 ~1-1.5 1,000 Rail Volumes 2500 kbpd kbpd kbpd 4,000 MM
Slide 29: 3-Year Plan Priorities Supplemented by Bolstering Actions
3-Year Plan Priorities Supplemented by Bolstering Actions 3 Year Plan Priorities 2020 Bolstering Actions • Safety & operational reliability COVID-19 business continuity plans • Balance sheet strength and flexibility Increased available liquidity to $14 billion • Optimize the base business Redu
Slide 30: Strong Financial Position
Strong Financial Position Available Liquidity ($B) 2020 Funding Plan ($B) 15 12 ~$14B ~$1.5B 9 Debt funding remaining ~$4B Debt Maturities 6 ~$4B2 Debt funding completed ~$4.5B1 3 Secured Growth ~$4B Capital Spend Cash Flow net of common dividends ~$1B Maintenance 0 April 2020 Uses Sources • Secured
Slide 31: 2020 Financial Outlook Sensitivities
2020 Financial Outlook Sensitivities LP Mainline Sensitivities 2020 Bolstering Actions Volume Sensitivity(1) (Impact on Q2-Q4 DCF(1)/share) (Impact on Q2-Q4 DCF(1)/share) EBITDA IMPACT Q2-Q4 (net of power) Avg. volume Target O&A Mainline volumes 500 400 300 200 100 estimated Reductions Volume Remain
Slide 32: Re-affirming 2020 Financial Outlook
Re-affirming 2020 Financial Outlook 2020 Distributable Cash Flow/share1 TAILWINDS $4.50 – 4.80 • Strong Q1 performance $4.57 • Stronger USD • Low interest rates • Cost reductions HEADWINDS • Mainline volumes • Energy services • DCP distribution cut • Aux Sable margins 2019 2020e Full-year DCF/share
Slide 33: Appendix: Business Details
Appendix Business Details ENBRIDGE
Slide 34: Liquids Pipelines
Liquids Pipelines
Slide 35: Premier Liquids Pipeline Franchise
Premier Liquids Pipeline Franchise Best in Class Assets Transports Transports • Integrated North American system ~2/3rds ~25% • Demand pull pipelines connect premium markets of all crude oil of Canadian produced in crude exports • Access to all major supply basins N.A. North American Crude Oil Suppl
Slide 36: Strong Fundamentals For Growth
Strong Fundamentals For Growth USGC Refining Capacity Current USGC Export Facility Capacity & Outlook (MMbpd) Seaway ETCO ETCO 0.1 Current 2025+ 0.7 Seaway Houston/ Beaumont/ St. James Freeport/ East of Texas City 1.1 Port Arthur >8 St. James Lake Gray Oak 1.5 Aframax Charles St. James ~5 >6 Capacit
Slide 37: USGC Heavy Oil Supply & Demand
USGC Heavy Oil Supply & Demand Global Heavy Crude Supply Changes Canadian Heavy Market Share of USGC 3500 3000 2500 Traditional Suppliers ~5% ~30% 50+% 2000 1500 1000 500 2013 2018 2030e 0 Canada Mexico Venezuela Canadian Heavy Other 2016 2019 2030 Falling Mexican/Venezuelan production presents oppo
Slide 38: Focused on Community & Indigenous Engagement
Focused on Community & Indigenous Engagement Engagement Model L3R Success in Canada L3R Success in Minnesota • Community engagement focused on “Enbridge addressed our concerns Fond du Lac Band of Ojibwe: Extension alignment with local stakeholders and supported our aspirations by of easement to 2039
Slide 39: Liquids Pipelines – Strategic Growth Prospects
Liquids Pipelines – Strategic Growth Prospects • Critical link from WCSB to premium Midwest and USGC refining markets • Leverage existing footprint to extend value chain through to USGC export Optimize the Base Business ~2% • Mainline toll framework per year • Throughput optimization base business g
Slide 40: Significant Revenue and Cost Efficiencies
Optimize Base Business Significant Revenue and Cost Efficiencies Optimizing the Base Revenue Growth Cost Management • Toll escalators and contact ramps • Supply chain efficiencies ~2% DCF per year • System optimizations • Power cost management • Streamline operations Low cost Mainline optimizations
Slide 41: Mainline Contracting
Optimize Base Business Mainline Contracting Shipper & Public Interest Benefits 1. Competitive & stable tolls to the best markets Premium 2. Open access for all shippers Light Oil Markets 3. Secures long-term demand for WCSB ~1 4. Establishes framework for future growth mmbd Premium Heavy Oil 2+ mmbp
Slide 42: Mainline Contracting – Benefits for all Shippers
Optimize Base Business Mainline Contracting – Benefits for all Shippers Striking a Balance Refiner / Benefit Producer Integrated Producer Secures Supply/Demand for • Mainline contract offering balances the WCSB production diverse interests of our customers – Producers: Stable and Competitive Tolls F
Slide 43: Mainline Contracting – Competitive and Stable Tolls
Optimize Base Business Mainline Contracting – Competitive and Stable Tolls Hardisty to Chicago Heavy (US$/bbl) $5.70 Up to 35 cents Discounts for Additional contracted $5.25 discounts for capacity & term/volume $5.11 throughput Base Contract Toll Low Volume Contract Toll High Volume Contract Toll To
Slide 44: Mainline Contracting – Next Steps
Optimization Base Business Mainline Contracting – Next Steps Estimated Process Timeline: Dec 19, 2019 2021 CER process updates Filed Application • May 19: CER established Mainline Regulatory: with CER contracting regulatory process ˗ Review process will commence Public Hearing and be appropriately e
Slide 45: WCSB Egress Additions
Optimize Base Business WCSB Egress Additions • Much needed WCSB egress ahead of full Line 3 Replacement project Edmonton 100 • Aligned commercial interests with shippers kbpd Hardisty in 2019 • Capital efficient projects 50 AB kbpd • Attractive risk-adjusted returns on investment in 2020 SK 50 2019
Slide 46: Line 3 Replacement
Execute Secured Capital Program Line 3 Replacement Canada Edmonton ~$5B Canadian • Placed into service Dec. 1 Hardisty Capital Cost Kerrobert – Immediately enhances safety and reliability of the system Canadian construction Regina complete Minnesota regulatory/ – Interim surcharge of US$0.20 per bar
Slide 47: Line 3 Replacement: Minnesota Update
Line 3 Replacement: Minnesota Update Regulatory and Permitting Milestones MPUC process updates • EIS, Certificate of Need and Route Regulatory: Permit reinstated EIS • MPUC orders issued May 1; delayed Public EIS / CN / Orders Petitions for Authorization MPUC Spill Modelling Consultation RP Decision
Slide 48: Extend Integrated Value Chain
Grow Organically Extend Integrated Value Chain OIL SANDS (WCSB) 1 1 Expansions of incumbent position in growing upstream production basins 2 BAKKEN 2 Additional Mainline optimization capability to core markets Expansions of downstream market Port Arthur 3 access pipelines to increase capacity into U
Slide 49: Regional Pipelines
Grow Organically 1 Regional Pipelines Regional Oil Sands Bakken Pipeline System BAKKEN $1.0B in opportunities DAPL Patoka ETCOP • Oil sands development will drive need for regional infrastructure • Growing Bakken production will require pipeline solutions • Trunkline expansion potential: Athabasca,
Slide 50: Potential WCSB Export Capacity Additions
Grow Organically 2 Potential WCSB Export Capacity Additions Further Mainline Enhancements Southern Lights Reversal Edmonton Edmonton Hardisty $1.5B Hardisty $1.5B ~200 in opportunities Current Flow in opportunities kbpd Direction Superior 150 ND kbpd ND MN WI MN WI Proposed Flow Direction Manhattan
Slide 51: Market Access Expansions
Grow Organically 3 Market Access Expansions Hardisty • Mainline optimizations and Southern +300 Access Expansion will enable volume growth into Chicago market $1-2B kbpd Southern Access in opportunities Expansion • Drives need to increase market access pipelines Guernsey Chicago Patoka – Flanagan So
Slide 52: USGC Growth Strategy
Grow Organically 4 5 USGC Growth Strategy Fully develop the value chain of service offerings into the USGC $3+B • Pipeline solution for growing production in opportunities • Terminals – store and stage crude • Last mile connectivity to refineries • Export opportunities including VLCC loading Heavy c
Slide 53: Advancing the USGC Strategy
Grow Organically Advancing the USGC Strategy • Seaway expansions – 200kbpd light crude open season $3+B – Further expandability for heavy growth in opportunities • Enbridge Houston Oil Terminal – Up to 15 MMBbl terminal connected to Seaway with full distribution and export access – 100% own/operate;
Slide 54: Gas Transmission
Gas Transmission
Slide 55: Premier Gas Transmission Footprint
Premier Gas Transmission Footprint Strategic Asset Positioning Canadian Gas Transmission • Last mile connectivity into key North American demand centers • Access to all major supply basins • Well-positioned to support LNG growth N.A. gas consumption Transports LNG Exports +15 ~20% Haynesville Mexico
Slide 56: Regional N.A. Demand Growth Forecast (2040)
Regional N.A. Demand Growth Forecast (2040) Western Canada Eastern Canada Central Canada +6 +0.6 +0.5 Northeast Mid-West West Coast Rockies +2 +3 +1 +1 Breakdown of 2040 demand by : (Bcf/d) LNG Mexico South Power Gulf Coast +4 Residential/Commercial +19 Industrial Other Significant gas demand growth
Slide 57: LNG Fundamentals & Opportunity
LNG Fundamentals & Opportunity North American LNG will grow to one third of global exports N. A.’s LNG Export LNG Exports by Region (Bcf/d) Competitiveness 90 80 Canada 70 U.S. Resource life 60 Atlantic Basin 50 Russia Cost to produce 40 Australia Proximity to market 30 Pacific Basin 20 Access to ca
Slide 58: Strong ESG Track Record to Support Growth
Strong ESG Track Record to Support Growth Operations Incorporating Renewables Construction • Industry commitment to reduce • Employ adjacent solar installations • Valley Crossing: 42-mile segment is methane emissions to self-power compressor stations one of largest uninterrupted pollinator pathways
Slide 59: Gas Transmission – Strategic Growth Prospects
Gas Transmission– Strategic Growth Prospects • Premier demand-pull driven asset base serving key regional markets • Positioned for significant growth in 4 key regions Optimize the Base Business 1-2% • Re-contracting rates per year • Rate proceedings base business growth • Ongoing system modernizatio
Slide 60: Maintain Stable Revenue Base
Optimize Base Business Maintain Stable Revenue Base GTM Reservation Revenue (Based on revenues for 12 months ended 12/31/18) 98% 98% 97% 100% 98% 98% 95% 95% 92% 91% 86% 69% Achieved Peak 64% Delivery Days in N/A N/A N/A N/A 2018 Average 8 8 8 8 23 11 4 9 9 24 3 Life of 14 Contract Terms years years
Slide 61: Gas Transmission – System Modernization
Optimize Base Business Gas Transmission – System Modernization Penn-Jersey Opportunities across footprint System • Ongoing investment to upgrade existing infrastructure • Maintain long-term resiliency of asset base as demand for natural gas grows • Recovered through periodic rate proceedings US$0.7B
Slide 62: More Frequent Rate Proceedings
Optimize Base Business More Frequent Rate Proceedings Texas Eastern Algonquin • 2019 Rate Base1: $6.0B • 2019 Rate Base1: $2.2B • Rate settlement implemented • Filed rate settlement agreement April 1, 2020 with FERC on May 15, 2020; expect to finalize 2H’20 • System rate increase provides US$50-70MM
Slide 63: Continued Progress on Secured Project Inventory
Execute Secured Capital Program Continued Progress on Secured Project Inventory Spruce Ridge Completed in 2019 Capital ISD Atlantic Bridge - Phase1 US$0.1 In-service Stratton Ridge US$0.2 In-service T-South Generation Pipeline US$0.1 In-service Expansion TOTAL 2019: $0.5B In Execution 2020+ Atlantic
Slide 64: Focus on Footprint Extensions and Expansions
Grow Organically Focus on Footprint Extensions and Expansions Western Canada U.S. Northeast & Southeast U.S. Gulf Coast Markets Systems competitively positioned to secure growth from evolving supply/demand patterns 64
Slide 65: Gulf Coast Market - LNG Opportunities
Grow Organically Gulf Coast Market - LNG Opportunities U.S. Gulf Coast LA • Texas Eastern and Valley Crossing well-positioned Texas Cameron Venice along the U.S. Gulf Coast ~$3B Eastern Extension Extension • Connected to 3 LNG facilities and 4 projects at of opportunitiesTX various stages of constru
Slide 66: USGC Strategy – LNG Pipeline Opportunities
Grow Organically USGC Strategy – LNG Pipeline Opportunities Rio Bravo Pipeline Valley Crossing Expansion Agua Dulce Agua Dulce Hub Hub Valley Crossing Valley Crossing Proposed Rio Bravo Pipeline VCP Expansion Rio Grande LNG terminal Annova LNG Terminal New pipeline to supply the Rio Grande LNG proje
Slide 67: Western Canada Opportunities
Grow Organically Western Canada Opportunities Westcoast System Expansions T-North • T-North & T-South: Expansions to accommodate Gathering System domestic and LNG export demand, as well as system Growth reinforcements to ensure deliverability LNG Pipelines NGL Infrastructure BC NGL Infrastructure AB
Slide 68: Power Generation & Industrial Demand
Grow Organically Power Generation & Industrial Demand Power Generation Market • Further coal retirements planned through 2025 • Low-cost natural gas positioned to replace aging coal facilities ~$2B • Growth in renewables requires stable base load gas fired generation of opportunities Industrial Dema
Slide 69: Gas Distribution & Storage
Gas Distribution & Storage ENBRIDGE
Slide 70: Premier Gas Utility Franchise
Premier Gas Utility Franchise World Class Asset Base • Largest volume and fastest growing N.A. franchise • 280 Bcf of Dawn hub storage with growth potential • Critical Dawn-Parkway transmission corridor ONTARIO Ontario Population Growth Comparable Residential Annual Forecast (millions) Heating Bills
Slide 71: Gas Distribution & Storage – Strategic Growth Prospects
Gas Distribution & Storage – Strategic Growth Prospects • Largest and fastest growing gas utility franchise in North America • Steady annual growth opportunities through in-franchise expansions Optimize the Base Business 1-2% • Amalgamation synergies per year base business • Cost management growth p
Slide 72: Synergy Capture Drives Strong Returns
Optimize Base Business Synergy Capture Drives Strong Returns Incentive Rate Structure 10% • Sustainable integration savings Achieved ROE Expected range of supports ability to realize returns in Achieved ROE excess of the Allowed ROE 8% • Regulatory framework allows Enbridge 6% to earn 100% of the fi
Slide 73: Advancing Secured Growth Project Inventory
Execute Secured Capital Program Advancing Secured Growth Project Inventory Secured Projects ISD Capital ($B) Dawn Parkway 10km pipeline expansion from Kirkwall to Hamilton 2022 $ 0.2 Expansion Windsor Line 61km pipeline integrity replacement project 2020 $ 0.1 Replacement Owen Sound 34km new pipelin
Slide 74: Regulated Growth Opportunities
Grow Organically Regulated Growth Opportunities New Connections New Community Expansions System Reinforcements • Strong outlook for population • Supportive policies to expand • New capacity required to serve growth in Greater Toronto Area natural gas distribution service growing demand within the to
Slide 75: Regulated Return on Capital Framework
Grow Organically Regulated Return on Capital Framework Total Annual Capital Expenditures: $1+B/ year • Additional growth projects above Incremental Capital Module (ICM) threshold Incremental Growth • Individual projects to be approved by OEB ICM Threshold • Rate surcharge based on cost of service fr
Slide 76: Storage & Transmission Expansion
Grow Organically Storage & Transmission Expansion Well-positioned for future growth MONTREAL • Dawn-Parkway is critical transmission path for ON VT incremental gas supply into Toronto area and NH markets further east Leader in de-regulated storage TORONTO NY services DAWN HUB • Dawn hub has reliable
Slide 77: Greening the Grid
Grow Organically Greening the Grid • RNG: Renewable natural gas supply from landfill • CNG: Compressed natural gas for transport fleet conversion or for remote industrial usage • Power to gas conversion using hydrogen Utility growth opportunities that also support environmental and social goals 77
Slide 78: Contact Information
Contact Information Jonathan Morgan Nafeesa Kassam Vice-President, Investor Relations Director, Investor Relations 403-266-7927 403-266-8325 Jonathan.Morgan@enbridge.com Nafeesa.Kassam@enbridge.com