8-K

ENBRIDGE INC 8-K Report (May 5, 2010)

Filed May 5, 2010For Securities:ENBENBMFEBBGFEBRGFEBRZFENBGFENBRFENFFFEBGEFENBFFENBHFENBNFENBOFENBSFEBBNFENNPF

Summary

Enbridge Inc. (ENB) reported its first quarter 2010 results, showcasing strong operational performance and strategic growth initiatives. Adjusted earnings increased by 19% to $318 million, or $0.86 per common share, driven by robust performance in its liquids pipelines and Enbridge Energy Partners. The company successfully brought its largest-ever expansion project, the Alberta Clipper pipeline, into service on time and on budget on April 1, 2010. This is a significant development, as it expands Enbridge's capacity to meet growing oil sands transportation needs. Beyond pipeline operations, Enbridge continues to diversify its energy portfolio. The company announced two new projects to support oil sands expansions and is moving forward with the development of the 99-MW Greenwich wind energy project. Enbridge also highlighted its commitment to sustainability, being recognized as one of the Global 100 Most Sustainable Corporations. The company reaffirmed its full-year adjusted earnings guidance and expects accelerated cash flow growth, positioning it for continued strong performance and shareholder returns, including expected dividend growth.

Key Highlights

  • 1First quarter adjusted earnings rose 19% to $318 million ($0.86 per common share), on track to meet full-year guidance.
  • 2The Alberta Clipper pipeline project was completed on time and on budget, entering service on April 1, 2010, enhancing oil sands transportation capacity.
  • 3Enbridge announced new projects to support the Christina Lake and Leismer oil sands projects, further capitalizing on regional growth.
  • 4The company is developing the 99-megawatt Greenwich wind energy project, expanding its renewable energy portfolio.
  • 5Enbridge was recognized as one of the Global 100 Most Sustainable Corporations, ranking 16th globally.
  • 6The company declared a quarterly dividend of $0.425 per common share, a 15% increase reflecting strong 2009 performance.
  • 7Enbridge expects double-digit growth across its liquids pipelines, natural gas, and green energy businesses through the mid-decade.

Frequently Asked Questions

The Alberta Clipper is Enbridge's largest-ever pipeline expansion project. Its completion and entry into service on April 1, 2010, on time and on budget, significantly increases Enbridge's capacity to transport crude oil from the Alberta oil sands. This project is crucial for meeting growing demand and expanding the company's market reach, with an initial capacity of 450,000 barrels per day, expandable to 800,000 bpd.

Enbridge reported strong first quarter 2010 adjusted earnings of $318 million, a 19% increase compared to the prior year. On a per-share basis, this translates to $0.86 per common share. This performance indicates the company is on track to achieve its full-year adjusted earnings guidance of $2.50 to $2.70 per share.

Enbridge is actively diversifying its operations. In the first quarter, the company announced the development of the 99-megawatt Greenwich wind energy project in Ontario. This move into renewable energy aligns with its strategy to grow its energy infrastructure business profitably and complements its core liquids and natural gas transportation operations.

Enbridge anticipates double-digit growth across its liquids pipelines, natural gas, and green energy businesses through the middle of the decade. The company expects accelerated growth in cash flow, which will strengthen its balance sheet and support future growth. This positive outlook is expected to continue driving shareholder returns, with the company anticipating future dividend growth in tandem with anticipated growth in earnings per share.