Sightful Invest
  • Business
  • Investing
  • Politics
  • Stock
Top Posts
Former FBI Director Robert Mueller has Parkinson’s disease:...
Earthwise Advertising & Investor Awareness Campaign
Commencement of Henbury Field Program
RCM to Acquire Webbs Consol Silver Project from...
Basin Energy
Epstein estate to hand over ‘birthday book’ to...
Dyan Cannon denied White House entry after lying...
Israel eliminates Houthi prime minister in Yemen airstrike...
Sen. Bernie Sanders calls on RFK Jr. to...
Trump appointee exits US foreign aid agency after...
  • Business
  • Investing
  • Politics
  • Stock

Sightful Invest

Investing

Enbridge to Expand Gulf of Mexico Presence with US$700 Million Pipeline Project

by admin October 6, 2024
October 6, 2024
Enbridge to Expand Gulf of Mexico Presence with US$700 Million Pipeline Project

Enbridge (TSX:ENB,NYSE:ENB) has announced plans to construct and operate new crude oil and natural gas pipelines in the US Gulf of Mexico to support BP’s (LSE:BP) recently sanctioned Kaskida deepwater development.

The crude oil pipeline, referred to as the Canyon Oil Pipeline System, will consist of 24-inch and 26-inch diameter pipes with a capacity of 200,000 barrels per day. It will originate from the Keathley Canyon area and transport crude oil to Shell Pipeline Company LP’s Green Canyon 19 platform.

From there, the oil will be further delivered to the Louisiana market, positioning Enbridge as a key player in transporting crude from deepwater fields to the US mainland.

In addition to the oil pipeline, Enbridge will also construct a natural gas pipeline called the Canyon Gathering System. This 12-inch pipeline will have the capacity to handle 125 million cubic feet of gas per day.

The Canyon Gathering System will connect subsea to Enbridge’s existing Magnolia Gas Gathering Pipeline, which will then transport the gas to Enbridge’s downstream Garden Banks Gas Pipeline, a Federal Energy Regulatory Commission (FERC)-regulated pipeline system.

This pipeline will help ensure the efficient delivery of natural gas from the deepwater field to markets onshore.

The Kaskida project, BP’s sixth operated hub in the US Gulf of Mexico, has a production capacity of 80,000 barrels of oil per day from its initial phase of six wells.

Located 250 miles southwest of New Orleans in the Keathley Canyon area, Kaskida taps into approximately 275 million barrels of recoverable oil equivalent, with potential for additional development phases based on further evaluations.

Furthermore, the project also plays a critical role in unlocking the potential of up to 10 billion barrels of discovered resources within the broader Kaskida and Tiber catchment areas. The hub will utilize advanced 20K drilling technology to develop high-pressure reservoirs in furtherance of deepwater oil extraction efforts.

Enbridge’s agreements with BP are supported by long-term contracts and include provisions that would allow BP to potentially connect future discoveries in its Paleogene portfolio to the new pipeline systems.

The new pipelines will be designed to accommodate additional connections from other nearby oil and gas fields, allowing for potential future expansion.

Enbridge plans to begin detailed design work and procurement activities in early 2025, with the pipelines expected to become operational by 2029. The total cost of the project is estimated at around US$700 million.

The company sees this expansion as part of Enbridge’s broader strategy to diversify its offshore business.

“The Canyon Oil and Gas pipelines offer an attractive opportunity for Enbridge to serve customers in the Gulf of Mexico and further expand our US Gulf Coast footprint,” said Cynthia Hansen, Enbridge’s executive vice president and president of gas transmission and midstream.

“The agreements generate stable and predictable cash flow and provide future growth opportunities,” she added.

Securities Disclosure: I, Giann Liguid, hold no direct investment interest in any company mentioned in this article.

This post appeared first on investingnews.com

previous post
Top 5 Canadian Mining Stocks This Week: Adyton Shines with 61 Percent Gain
next post
Speaker Johnson rips ‘lack of leadership’ in Biden admin’s Helene response: ‘alarmed and disappointed’

You may also like

Crypto Market Recap: Swiss Central Bank Dismisses Bitcoin...

April 26, 2025

Approval of Inland Rail Facility by Government of...

February 4, 2025

5 Experts Share Highest-Conviction Sectors for 2025

January 4, 2025

Rio Silver Receives Conditional Approval for Acquisition of...

May 17, 2025

Capital Raise Presentation

August 28, 2025

How to Invest in Antimony Stocks (Updated 2025)

January 3, 2025

AC Drilling Commences on Priority Targets at Ferke...

March 12, 2025

Randy Smallwood: Gold Price Strong, Now it’s Time...

March 25, 2025

Barrick CEO Bristow Expects Strong H2 After Delivering...

August 14, 2024

Resignation of Managing Director/CEO

July 21, 2025

Recent Posts

  • Former FBI Director Robert Mueller has Parkinson’s disease: report
  • Earthwise Advertising & Investor Awareness Campaign
  • Commencement of Henbury Field Program
  • RCM to Acquire Webbs Consol Silver Project from Lode Res.
  • Basin Energy

    Become a VIP member by signing up for our newsletter. Enjoy exclusive content, early access to sales, and special offers just for you! As a VIP, you'll receive personalized updates, loyalty rewards, and invitations to private events. Elevate your experience and join our exclusive community today!


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Categories

    • Business (902)
    • Investing (2,872)
    • Politics (3,525)
    • Stock (4)
    • About us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: sightfulinvest.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2024 Sightful Invest. All Rights Reserved.