Enbridge Tops Q1 Profit Estimates on Record Mainline Crude Volumes

Canada’s pipeline giant Enbridge Inc. reported on Friday record quarterly earnings for the first quarter of the year as it moved a record-high volume of liquids on its huge Mainline pipeline system in North America.

The company booked adjusted earnings of US$1.58 billion (C$2.2 billion), or US$0.74 (C$1.03) per common share, for the first quarter, up from US$1.44 billion (C$2 billion) for the same period of 2024.

The EPS beat the analyst consensus estimate of US$0.69 (C$0.96) for the first quarter of 2025.

Enbridge operates the Mainline system, moving more than 3 million barrels a day of crude oil and liquids from Western Canada to the demand markets in the United States. In total, Enbridge moves 40% of all North American crude.

Last year, Enbridge struck a deal to buy three natural gas utilities in the United States from Dominion Energy for a total consideration of $14 billion.

The expansion of Enbridge’s gas business also paid off in the first quarter of the year.

“Strong utilization across our asset base underpinned record financial results and sets us up to meet or exceed our financial guidance for the 20th consecutive year,” Enbridge President and CEO Greg Ebel said in a statement.

The liquids business saw the Mainline system deliver a first-quarter record of 3.2 million barrels per day, illustrating its critical role in the transportation of oil to key demand centers, the company said.

Enbridge is also very optimistic about the future of the Mainline systems.

“The growth outlook in the economically advantaged Western Canadian Sedimentary Basin (WCSB) remains strong with approximately 1 million incremental barrels per day expected to come onstream by 2035,” Ebel said.

In the natural gas transmission business, Enbridge sanctioned the 1.75 bcf/d Traverse Pipeline which will connect Agua Dulce to Katy, Texas, providing market optionality for customers. Enbridge also signed in the quarter an agreement to buy a 10% equity interest in Matterhorn Express Pipeline, a 2.5 bcf/d natural gas pipeline connecting Permian supply to Katy.

By Tsvetana Paraskova for Oilprice.com

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