Enbridge Stock Price, News & Analysis

Enbridge Inc. announced the retirement of President and CEO Al Monaco, effective January 1, 2023, after 27 years with the company. The Board appointed Greg Ebel, current Board Chair, as the new President and CEO. Ebel will continue as a Board member, while Monaco will serve as an advisor until March 1, 2023. Monaco highlighted significant achievements during his tenure, including a $37 billion merger and expansion into renewable energy. Ebel expressed enthusiasm for leading Enbridge into its next growth phase, focusing on energy transition and enhancing shareholder value.

Tri Global Energy (TGE), a top renewable energy developer in the U.S., has been acquired by Enbridge (TSX: ENB, NYSE: ENB), Canada’s largest energy company. For Q2 2022, TGE ranked 10th nationally for renewable energy development, 3rd for onshore wind, and 1st in Texas. Established in 2009, TGE has developed 8.7 GW across 37 projects in seven states, including Texas, Illinois, and Indiana. This acquisition is seen as a strategic move to enhance growth in the transition to a low-carbon economy.

Enbridge Inc. has acquired Tri Global Energy (TGE) for US$270 million in cash and assumed debt, with additional contingent payments of US$50 million. TGE, the third largest onshore wind developer in the US, boasts a renewable generation portfolio exceeding 7 GW. This acquisition is expected to accelerate Enbridge's growth strategy in North America, enhancing its renewable platform and development pipeline, which includes projects that could generate significant cash flow starting in the first year post-acquisition.

Enbridge Inc. has announced a landmark agreement with 23 First Nation and Métis communities to acquire an 11.57% non-operating interest in seven pipelines in Alberta for $1.12 billion. This investment, facilitated by Athabasca Indigenous Investments (Aii), represents the largest Indigenous energy partnership in North America. The transaction aims to promote economic sovereignty and environmental stewardship among Indigenous communities. The closing is expected within a month, with long-term contracts supporting predictable cash flows from the pipeline assets.

On August 17, 2022, Enbridge announced that none of its outstanding Cumulative Redeemable Preference Shares, Series L will convert into Series M Shares on September 1, 2022. The company received less than 1,000,000 Series L Shares needed for the conversion before the August 17 deadline. Enbridge, headquartered in Calgary, focuses on connecting people to energy while investing in sustainable infrastructure and advancing renewable technologies to achieve net-zero emissions by 2050.

Enbridge Inc. has completed a joint venture merger with Phillips 66, enhancing its indirect ownership in Gray Oak Pipeline to 58.5% and transferring operational control. The merger is set to boost Enbridge's distributable cash flow per share and will result in a $400 million cash inflow, improving financial flexibility. This strategic move aligns with Enbridge's goal to optimize assets and capitalize on the anticipated growth of Permian oil supply, expected to increase by 2 million barrels per day by 2030, supporting enhanced Gulf Coast oil exports.

Enbridge announced that it will not redeem its Cumulative Redeemable Preference Shares, Series L on September 1, 2022. Holders have the option to convert to Series M Shares on a one-for-one basis. The annual dividend for Series L Shares will be reset to 5.85790%, while Series M Shares will feature a floating quarterly dividend rate starting at 1.41611%. The conversion period runs from August 2 to August 17, 2022. An estimated 16,000,000 Series L Shares are currently outstanding.

Enbridge reported Q2 2022 financial results with GAAP earnings of $0.5 billion ($0.22 per share), down from $1.4 billion ($0.69 per share) in 2021. Adjusted earnings remained steady at $1.4 billion ($0.67 per share). The company secured $3.6 billion in growth projects, reaffirming its EBITDA guidance of $15.0-$15.6 billion for 2022. Cash flow from operations was consistent at $2.5 billion, though increased debt and higher taxes posed challenges. The company continues to focus on low-risk investments and strategic expansions in natural gas and LNG to meet rising energy demands.

Pacific Energy and Enbridge have formed a partnership to invest in the Woodfibre LNG project, a 2.1 million-tonne-per-year liquefied natural gas export facility in Squamish, B.C., with a projected cost of $5.1 billion. Enbridge will hold a 30% ownership stake, with Pacific Energy owning the remaining 70%. This project is backed by two long-term offtake agreements with BP Gas Marketing for 70% of its capacity and is expected to commence operations in 2027. The facility aims to be one of the lowest-emission LNG export sites globally, utilizing renewable hydroelectric power.