By Kevin Orland
- Enbridge’s update on Line 3, a project that has been delayed for over a year by regulatory hurdles, may provide some grounds for optimism for Canadian oil producers. They’ve been counting on the conduit to help clear a glut of crude and allow Alberta to end its mandatory output cuts.
- North America’s largest pipeline company also offered hope for producers with the guidance that it’s adding about 100,000 barrels of daily oil-shipping capacity by optimizing its current system. That’s up from a previous forecast of about 85,000 barrels.
- The company also showed investors it’s on track from an earnings perspective. Third-quarter profit, excluding some items, was 56 Canadian cents a share, topping analysts’ 51-cent average estimate. Enbridge also said it expects its distributable cash flow for the year to exceed the midpoint of its guidance range.
- Enbridge shares were 0.3% lower at C$48.50 at 9:24 a.m. in early trading in Toronto. The shares had gained 14% this year through Thursday, compared with a 10% gain for the S&P/TSX energy index.