After finding a leak on September in one of their pipelines and ultimately having to shut it down, Enbridge Energy Partners (NYSE:ENB) announced today it has now been reopened, again transporting crude oil from Canada to Illinois refineries.
The pipeline, which at full capacity can move up to 670,000 barrels of oil daily, reportedly provides close to 70 percent of the capacity for Chicago-area refineries.
Gas prices soared by as much as 15 cents a gallon in response to the shutting down of the pipeline.
The leak happened in the Chicago suburb of Romeoville, releasing about 6,100 barrels into the area before shutting it down.
Showing posts with label Enbridge Pipeline. Show all posts
Showing posts with label Enbridge Pipeline. Show all posts
Friday, September 17, 2010
Exxon (NYSE:XOM) Affected by Enbridge (NYSE:ENB) Pipeline Stoppage
Exxon Mobil Corp. (NYSE:XOM) said through a spokesman that the shut down of the oil pipeline of Enbridge (NYSE:ENB) has affected their operations.
Specifically impacted by the oil leak was Exxon's Joliet, Illinois refinery, which produces 238,600 barrels a day.
While there are challenges to solve the problem, Exxon spokesman Kevin Allexon said the refinery "continues to operate and we've made alternative crude supply arrangements. We expect to meet our contractual commitments for transportation fuels."
Exxon closed Thursday at $60.97, dropping $0.03, or 0.05 percent.
Specifically impacted by the oil leak was Exxon's Joliet, Illinois refinery, which produces 238,600 barrels a day.
While there are challenges to solve the problem, Exxon spokesman Kevin Allexon said the refinery "continues to operate and we've made alternative crude supply arrangements. We expect to meet our contractual commitments for transportation fuels."
Exxon closed Thursday at $60.97, dropping $0.03, or 0.05 percent.
Wednesday, September 15, 2010
Enbridge (NYSE:EEP) Given Go Ahead to Reopen Pipeline
The price of crude oil dropped today on the news Enbridge Energy Partners LP (NYSE:EEP) has been given permission to restart their pipeline which transports oil from Canada to the midwestern states of the U.S.
Sometime near the end of the week the pipeline should be operational again.
In what appears to be an overreaction concerning supply issues, prices are falling as reassurance the oil will flow has emerged.
After investigation, the government said there are no "systemic problems" with the pipeline, leading to the decision to reopen it.
Approximately 6,500 barrels of oil leaked from the pipe, which has been shut since September 9.
Sometime near the end of the week the pipeline should be operational again.
In what appears to be an overreaction concerning supply issues, prices are falling as reassurance the oil will flow has emerged.
After investigation, the government said there are no "systemic problems" with the pipeline, leading to the decision to reopen it.
Approximately 6,500 barrels of oil leaked from the pipe, which has been shut since September 9.
Monday, September 13, 2010
JP Morgan (NYSE:JPM): Enbridge (NYSE:EEP) Halt Could Reduce Oil by 300,000 Barrels a Day
JP Morgan (NYSE:JPM) oil analysts said the continued suspension by Enbridge (NYSE:EEP) of its damaged pipeline could result in close to 300,000 barrels of oil a day less than normal being delivered.
It could also extend longer than normal. JP Morgan said, "Such leaks are not unusual, and in normal circumstances we would expect the line to be up and running in a matter of days, but a rapid restart of the most recently shuttered pipeline is unlikely because of a 'lengthy' environmental review process."
The estimate by JP Morgan includes the provision of alternative routes to transport some of the oil.
Dubbed Line 6A, the pipeline transports crude oil from Canada to refineries in the U.S.
Early in the day Enbridge said they're searching for a variety of ways to deliver the oil until the pipeline is fixed.
The company said, "Enbridge's schedulers are working with shippers to divert crude oil volumes to other available pipelines and storage facilities."
It could also extend longer than normal. JP Morgan said, "Such leaks are not unusual, and in normal circumstances we would expect the line to be up and running in a matter of days, but a rapid restart of the most recently shuttered pipeline is unlikely because of a 'lengthy' environmental review process."
The estimate by JP Morgan includes the provision of alternative routes to transport some of the oil.
Dubbed Line 6A, the pipeline transports crude oil from Canada to refineries in the U.S.
Early in the day Enbridge said they're searching for a variety of ways to deliver the oil until the pipeline is fixed.
The company said, "Enbridge's schedulers are working with shippers to divert crude oil volumes to other available pipelines and storage facilities."
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