Enbridge Inc. · TSX:ENB
Enbridge — Barclays Investor Conference 2019
16 slides from Enbridge's conference presentation, Sep 4, 2019
Slide 1: Barclays Investor Conference
Barclays Investor Conference John Whelen, Chief Development Officer September 4, 2019
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: Enbridge's Value Proposition
Enbridge’s Value Proposition • Leading energy infrastructure position • Low-risk pipeline/utility business model • Strong investment grade credit profile • Long history of consistent dividend growth • Attractive outlook for continued cash flow growth Long-life attractive assets with growing yield an
Slide 4: Enbridge's Strategic Footprint
Enbridge’s Strategic Footprint 2016 2019 Enterprise Value ~$95B ~$160B EBITDA $6.9B ~$13.0B1 EBITDA by Business 20% 45% Natural Gas Natural Gas Total Assets by Geography ~50% ~60% U.S. U.S. Delivering North America’s Energy ~25% ~20% ~2 Bcf/d of North America’s of natural gas of natural gas distribu
Slide 5: Three Core Businesses
Three Core Businesses ~50% 2019e EBITDA ~30% 2019e EBITDA ~15% 2019e EBITDA Liquids Pipelines Gas Transmission Gas Utilities • World’s largest liquids system • Connects key North American supply • Largest gas utility in N.A. by send-out basins to largest demand centers • Delivers over 2.7Mbpd • >3.7
Slide 6: Enbridge's Low Risk Business Model
Enbridge’s Low Risk Business Model Contractual Profile Counterparty of 2019e EBITDA Credit Exposure2 Resiliency in All Market Conditions $14,000 $100 WTI $12,000 $75 98% 93% $10,000 2% $8,000 $50 TOP / COS / Fixed Fee/CTS Investment Grade $6,000 $4,000 7% $25 $2,000 Adjusted EBITDA Take-or-Pay / Cos
Slide 7: Enterprise-wide Secured Growth Project Inventory
Enterprise-wide Secured Growth Project Inventory Project Expected ISD Capital ($B) AOC Lateral Acquisition In-service 0.3 CAD Stratton Ridge In-service 0.2 USD Generation Pipeline Acquisition 2H19 0.1 USD 2019 Hohe See Wind & Expansion – Germany 2H19 1.1 CAD Gray Oak Pipeline 4Q19 0.7 USD Line 3 Rep
Slide 8: Line 3 Replacement Project ~$9B
Line 3 Replacement Project • Critical energy infrastructure replacement • Canadian construction complete and interim Edmonton agreement reached with shippers to bring into Hardisty service in Q4 2019 Kerrobert • Wisconsin segment complete and in-service Regina In service • North Dakota regulatory an
Slide 9: Future Growth Opportunities – Liquids Pipelines
Future Growth Opportunities – Liquids Pipelines +300kbpd 1. Western Canadian Egress W.Canada Hardisty egress • Mainline and Express optimizations and enhancements 2. Bakken Egress • Optimization of Bakken Pipeline System +500kbpd (DAPL/ETCOP) Bakken egress 3. Market Access Pipelines Chicago Patoka ~
Slide 10: Mainline Contract Offering
Mainline Contract Offering Mainline Contracting Timeline Key Offering Features • Open Season launched on Aug 2 • Priority access for contracted volume • Offering open for 60 days • Contract terms 8 to 20 years • Toll discounts for longer terms and • File with NEB by end of 2019 high volume shippers
Slide 11: Future Growth Opportunities – Gas Transmission
Future Growth Opportunities – Gas Transmission 1. Gulf Coast • Pipeline connections to support LNG growth • Expansions/extensions to support growing petchem demand ~$2-3B per year future 2. Southeast development • Expansions/extensions to support growing power generation demand Cameron Venice 3. Nor
Slide 12: Future Growth Opportunities – Utilities
Future Growth Opportunities – Utilities Ontario population Community expansions & growth forecast in-franchise modernization Incentive Rate Structure 10% 18.5 Expected range of million 14 9% Actual ROE million ~9% Allowed 8% ROE Dawn Hub ~$1B Source: Ontario Ministry of Finance per year future devel
Slide 13: Capital Allocation & Growth Outlook
Capital Allocation & Growth Outlook Annual Long Term self-funding capacity 1 Growth Outlook of $5-6B 5-7% DCF per share Strong energy fundamentals and a strategic footprint position ENB for attractive long-term self-funded growth (1) Post-Line 3 Replacement ISD 13
Slide 14: Financial Strength & Flexibility
Financial Strength & Flexibility Consolidated DEBT to EBITDA1 Enbridge Inc. Sr. Unsecured Debt Ratings2 6.0x 5.5x Standard & Poors BBB+ Target Range: stable 4.5x to “comfortably below” 5.0x 5.0x Fitch BBB+ stable 4.5x 4.0x DBRS BBB High stable 3.5x Moody’s Baa2 positive Upgraded 3.0x Jan. ‘19 2016 2
Slide 15: Key Priorities for 2019
Key Priorities for 2019 1 Achieve 2019 DCF guidance range of $4.30 - 4.60/share 2 Focus on Line 3 Replacement milestones 3 Advance priority access on Mainline 4 Extend secured growth 5 Maintain balance sheet strength & flexibility Line 3 Construction Line 3 Replacement 15
Slide 16: Q&A
Q&A ZENBRIDGE