Slide 1: Colin Gruending, EVP & President Liquids Pipelines
Colin Gruending Executive Vice President & President Liquids Pipelines
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: Premier Liquids Pipeline Franchise
Premier Liquids Pipeline Franchise Connecting strongest markets to …Generating highly predictable key N.A. supply basins1 … long-term cash flows Transports WCSB 67% Cost of Incentive of Canadian Service/ Tolling5 crude exports2 Settlements Lakehead 0.3 MMbpd 24% Canadian Quebec Access to Mainline 0.
Slide 4: Mainline Tolling - Current Revenue Model
Mainline Tolling - Current Revenue Model International Joint Toll Framework $5.47 Interim Heavy Toll – Hardisty to Chicago Canadian Toll Subject to ~1/3rd under negotiation with shippers – Negotiation incentive tolling or cost of service L3R Surcharge (US & Cdn) 15-year contract ~2/3rd subject to ex
Slide 5: Mainline Tolling Alternatives
Mainline Tolling Alternatives Industry Value Drivers Two Attractive Paths Forward Maximizing Deliveries High system reliability Incentive Tolling Cost of Service Arrangement Model Throughput optimizations Potential for continuing Less incentive for low capital Incremental egress win-win alignment op
Slide 6: Illustrative Path Forward - Timeline
Illustrative Path Forward - Timeline Negotiated Settlement Path CER Review of Mid 2023 1 Consultation with Shippers & Negotiations with Industry File Negotiated Settlement Negotiated Settlement Settlement Framework in Place Assess status of Settlement Negotiations Contested Settlement Path (Cost of
Slide 7: Crude Oil Delivery Is Essential
Crude Oil Delivery Is Essential Critical to Meeting Petrochemical, Industrial Millions of Everyday Products and Transportation Energy Requirements Depend on Crude Oil Oil (liquids) demand1 (MMb/d) Electronics Pharmaceuticals Sporting equipment Appliances Hard to Petrochemicals1 Abate (MMb/d) Industr
Slide 8: Capitalizing on NA Energy Competitiveness
Capitalizing on NA Energy Competitiveness Key Enbridge Supply Basins1 Responsibly Developed Supply Competitive N.A. Refinery Demand3 (kbpd) Nelson Complexity3 Billion barrels ESG Scores2 Higher the Nelson complexity, the better positioned to compete 7,000 500 100 14 ENB Connected Refineries – U.S. G
Slide 9: US Gulf Coast Fundamentals Strong
US Gulf Coast Fundamentals Strong Substantial Light and Heavy Opportunity for Cdn Heavy Oil Growing USGC Exports1 Crude Oil Refining Markets Market Share Gains1 MMbpd MMbpd >4.5 Canadian Heavy Other Foreign Heavy 2,500 Texas Louisiana 2,000 Heavy 1,500 ~3 ~2.5 1,000 Light MMbpd1 ~6.0 500 MMbpd1 USGC
Slide 10: Growing the LP Business
Growing the LP Business Capitalize on Operating Efficiently Expanding Advancing Our Priorities in 2021 1 Leverage (Zero-Capital) 2 System ~94% Mainline utilization • Optimize crude flows across all • Low capital requirement projects systems and markets • Drag reducing agent, additional $5.6B placed
Slide 11: System Expansions: WCSB to PADD II
System Expansions: WCSB to PADD II WCSB Egress Expansions • Regional Oilsands +150 +350 350 kbpd available capacity kbpd kbpd Regional ML Expansion 150 kbpd capital efficient expansions (medium term) Expansion Potential Potential • Mainline Line 3 Replacement Southern Access Expansion (to 1.2 mmbpd)
Slide 12: System Expansions: PADD II to USGC
System Expansions: PADD II to USGC USGC Heavy Crude Market Access Up to • Flanagan South Expansions $1.5B • 90 kbpd DRA expansion (US $65 MM) New of near term organic growth • 160 kbpd pump stations potential • Terminals • Enbridge Houston Oil Terminal (EHOT) • Sea Port Oil Terminal (SPOT) Houston S
Slide 13: U.S. Gulf Coast Light Oil Strategy
U.S. Gulf Coast Light Oil Strategy EIEC Growth Initiatives New Targeting Seaway • Crude Storage & Loading ETCOP Net Zero EIEC Facility ‒ Contract 600 kbpd of existing loading capacity Emissions ‒ Up to 1 mmbls export expansion (Suezmax) Gray Oak ‒ Up to 5.5 mmbls of permitted crude storage ~$1B • So
Slide 14: Low-Carbon Strategy
Low-Carbon Strategy Well Positioned for Success N. American policy increasingly Solar self Solar power driving supporting CCUS investment Self Power CCUS Scope 2 Emissions United States In house development lower & execution • 45Q production tax credit – Proposed increase to $85 per tonne from $50 C
Slide 15: Advancing Low-Carbon Opportunities
Advancing Low-Carbon Opportunities Edmonton Industrial $2B+ Hub and Oilsands region of medium term Targeting organic growth • MoU with Capital Power New ~100 Mt/a of CO2 potential 3-10 MtCO2e to develop open access hub emmissions1 CCS potential – Near Wabamun AB with Capital Power • Discussions with
Slide 16: Summary
Summary Opportunities in Development Capitalize on Operating • Execute on continued Liquids Pipelines Leverage (Zero Capital) productivity improvements Up to $1.0B/year Capital Efficient • $2.5B+ of low cost mainline and Expansions market access expansions Grow US Gulf Coast • $2.5B+ of export infra