CALGARY—Enbridge Inc. (NYSE: ENB) announced that the State of Minnesota March 1 provided Enbridge the permitting timeline for its agencies’ remaining environmental permits for the Line 3 Replacement Project.
The permitting timeline indicates that the certifications on all remaining state permits required for the construction of Line 3 will be provided by November. Enbridge anticipates that the remaining federal permits will be finalized approximately 30 to 60 days thereafter.
“We now have a firm schedule from the state on the timing of the remaining permits for our Line 3 Replacement project,” said Al Monaco, president and CEO of Enbridge. “We support a robust and transparent permitting process that includes opportunity for public input. We’ll continue to work closely with state officials during this process.”
This new permitting schedule updates the company’s prior expectation for the receipt of final state permits in second-quarter 2019, which underpinned an expected in-service date before the end of this year. In light of this permitting timeline, the company is developing a revised construction schedule for the Line 3 Replacement Project, but now expects an in-service date during second-half 2020. More specific timing on the in-service date, as well as any potential impacts on the 2020 financial outlook, will be provided once the revised construction schedule is finalized. The company’s 2019 distributable cash flow guidance range of $4.30 to $4.60/share remains unchanged as a result of this permitting schedule.
“We appreciate the state’s ongoing efforts in this regard and will continue to work with the state agencies and the administration to ensure that this critical safety-driven project is completed in a timely manner. We also want to thank all stakeholders, including resident tribes in Minnesota, various labor groups, local landowners and the many counties and municipalities along the right of way for their continued support.”
The $9 billion Line 3 Replacement Project is a critical integrity replacement project that will enhance the safety and reliability of the Enbridge Liquids Mainline System. The project has received overwhelming support from stakeholders in Minnesota.
Construction is about 80% complete but legal and regulatory challenges have held it up.
The approval is subject to 40 conditions to address issues including road conditions during construction, habitats of endangered species, land restoration, and detecting and reacting to ice conditions on turbine blades. .
New leader promises to help the energy sector.