Enbridge Anticipates Growth in Oilsands Activity Amidst Strategic Developments

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Enbridge is preparing to capitalize on a resurgence in oilsands activity in northeastern Alberta, signaling significant developments in pipeline infrastructure and carbon emissions management.

CALGARY, ALTA. – Enbridge is strategically positioned to seize emerging opportunities in northeastern Alberta as oilsands activity shows signs of resurgence, not limited to crude pipelines but also extending to diluent transport and carbon emissions initiatives, executives reported on a recent conference call discussing their third-quarter results, which revealed a near-doubling in profits. Colin Gruending, president of liquids pipelines, expressed optimism about the future, stating, "It’s been quiet up there for a number of years. But I think we’re on the cusp of a huge cyclical, and hopefully sustaining, growth wave up there." Enbridge holds a dominant role in the oilsands sector as a crude oil shipper, managing a network of large-scale trunk lines and smaller laterals that connect to various operations. Notably, the company has initiated a $200-million project to enhance pipeline and storage infrastructure for the Long Lake project, which is operated by China National Offshore Oil Corp. Furthermore, discussions are ongoing among the top five oilsands producers and the federal and Alberta governments to establish a solid agreement for advancing the Pathways carbon storage initiative, which is crucial for facilitating future oilsands growth. Although a target date of November 15 was set for finalizing a binding agreement, oilsands CEOs have indicated a willingness to extend negotiations to ensure a favorable outcome. Gruending noted, "A number of the bigger customers are in the midst of a big negotiation. They are likely positioning some projects to grow their supply as well." The Pathways project is integral to a new crude export pipeline slated for southern British Columbia, a project in which Enbridge is not directly involved, yet it is interdependent with the anticipated increase in oilsands production. Gruending expressed Enbridge's interest in participating in the construction of the carbon pipeline, contingent upon a favorable risk arrangement, asserting, "We have a lot of capabilities to bring to bear." Additionally, Enbridge CEO Greg Ebel highlighted the company's capability to transport diluent, a light petroleum product essential for thinning out heavy oilsands crude to facilitate pipeline transport. This diluent can be sourced from domestic producers as well as imported to Edmonton from Illinois via the Southern Lights pipeline. Ebel remarked, "We’re in a great spot and the team’s working really hard," while noting that all parties appear aligned for finalizing a three-way agreement concerning Pathways and oilsands expansion. As Ebel prepares for retirement in January, Michele Harradence, currently president of Enbridge’s gas distribution and storage business, will step into the role. Harradence shared her vision for the company, emphasizing a commitment to its historical strengths and the appreciation of long-term shareholders. "Our footprint, the quality of our assets, the quality of our people really gives us advantages others just can’t have," she stated. Enbridge reported a profit attributable to common shareholders of $1.29 billion or 59 cents per share for the quarter ending September 30, compared to a profit of $682 million or 30 cents per share during the same period the previous year. The company also noted an adjusted profit of 49 cents per share in its latest quarter, up from 46 cents per share in Q3 2025. In a strategic move, Enbridge announced in September its intention to acquire the crude oil business of Tallgrass Energy LP in the United States and has recently concluded a purchase of Salt Creek Midstream’s crude oil gathering operations in Texas. The company is also expanding its natural gas business, recently entering a $485 million agreement to acquire Laramie Energy assets, with potential contingent payments amounting to an additional $65 million, which will secure a stable supply for its operations in Utah. Furthermore, Enbridge is enhancing its infrastructure in British Columbia to meet the growing demand for liquefied natural gas.

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