EEP 15.00  0.20%
EEQ 14.15  0.14%
ENB 39.79  0.03%

Quarterly Earnings

November 2, 2017

Enbridge Energy Partners, L.P. (NYSE: EEP) (EEP or the Partnership) today reported third quarter 2017 adjusted EBITDA and DCF of $426.2 million and $193.6 million, respectively..


  • Third quarter net income was $93.1 million and cash provided by operating activities for the nine month period was $388.8 million
  • Third quarter adjusted earnings before interest, taxes and depreciation (EBITDA) and distributable cash flow (DCF) were $426.2 million and $193.6 million, respectively
  • Line 3 Replacement Program progressing well; regulatory hearings in the State of Minnesota are under way
  • Enbridge Energy Partners, L.P. received an amended Presidential Permit for the expansion of the Alberta Clipper liquids pipeline
Mark Maki - Senior VP & President, EEP

Third quarter results were in-line with the Partnership's expectations demonstrating the reliability of the restructured business model. The Lakehead system, which is the most significant contributor to results, provided stable and predictable earnings resulting from the regulated cost of service nature of the business that has limited financial exposure to throughput volatility.

In the Bakken region, demand for transportation on the legacy North Dakota system into Clearbrook, Minnesota remained strong, averaging over 219 kbpd for the third quarter. Results also benefited from a full quarter of contributions from EEP's interest in the Bakken Pipeline System that was placed into service on June 1, 2017.

"Our results for the quarter are right in-line with our expectations," said Mark Maki, President for the Partnership. "This quarter represents the first full quarter following our restructuring to a new lower risk, pure-play business model. With the sale of the natural gas business now closed, the Partnership has returned to its core business of stable liquids pipeline and storage assets. As a result, we are on track to deliver on our previously disclosed guidance," concluded Mr. Maki.

The Line 3 Replacement is a critical energy infrastructure program that will support the economy and assure a reliable and cost-effective supply of energy. It will comprise the newest and most advanced pipeline technology and will enhance safety, reliability, and throughput capacity on the Mainline system.

Regulatory permitting is in place in North Dakota and in Wisconsin where construction is well under way. The most significant remaining permitting process for the Line 3 Replacement Program is in Minnesota. The Final Environmental Impact Statement was issued in August and its adequacy determination is expected from the Minnesota Public Utilities Commission ("MPUC") in December. In the parallel Certificate of Need and Route Permit dockets, progress continues according to schedule with public hearings currently under way. The MPUC is expected to issue a decision on the Certificate of Need and Route Permit in the second quarter of 2018. Based on this regulatory process and timeline, Management continues to anticipate an in-service date for the project in the second half of 2019.

In addition, subsequent to quarter-end, EEP received an amended Presidential Permit for the Alberta Clipper (Line 67) expansion project.

Mark Maki

President, EEP