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Michigan releases draft report on Enbridge Line 5 pipeline

Published 06/29/2017, 05:34 PM
© Reuters.  Michigan releases draft report on Enbridge Line 5 pipeline
ENB
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  • The state of Michigan releases a report looking at how to deal with the spill risk of Enbridge's (NYSE:ENB) Line 5 pipeline that runs exposed underwater in the Straits of Mackinac between Lake Huron and Lake Michigan.
  • The report says replacing the exposed 1953 pipeline with a $30M underwater trench or a $150M tunnel would minimize or make negligible the risks to the line.
  • Shutting down the pipeline would lead to disruptions for ENB and the refineries it supplies, with the report estimating that Michigan residents would pay $121M annually more for gasoline and other refined products, while ENB would be stuck with $212M in abandonment charges.
  • As the report was issued, Michigan Attorney General Schuette called for the development of a “specific and definite timetable” to close Line 5.
  • Now read: Retirees: Should You Buy Enbridge Or Enbridge Income Fund Holdings?


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