Enbridge Announces Two Gas Transmission Projects as it Continues to Capitalize on Growing Natural Gas Demand

Enbridge Inc. today announced it has reached a final investment decision (FID) on two significant Gas Transmission projects. The Company has signed commercial agreements for the Algonquin Reliable Affordable Resilient Enhancement (AGT Enhancement) project, which will expand capacity on the Algonquin Gas Transmission pipeline to serve existing Local Distribution Company (LDC) customers in the U.S. Northeast. Additionally, through its Matterhorn joint venture, Enbridge has reached FID on the Eiger Express Pipeline (Eiger), a new pipeline capable of transporting up to 2.5 billion cubic feet per day (Bcf/d) from the Permian Basin to the Katy area to supply the growing U.S. Gulf Coast LNG market.

“We continue to deliver on the $23 billion of Gas Transmission opportunities outlined at our Investor Day in March,” said Cynthia Hansen, Executive Vice President and President, Gas Transmission. “These projects demonstrate the strength of Enbridge’s scale and our ability to meet rising natural gas demand in the U.S. Northeast while supporting LNG export growth along the Gulf Coast. They enhance our long-term growth outlook through the end of the decade.”

The AGT Enhancement project will provide around 75 million cubic feet per day (Mmcf/d) of additional natural gas under long-term contracts with investment-grade counterparties in the U.S. Northeast. By boosting supply, it is expected to enhance reliability and help mitigate winter price volatility for consumers. Enbridge plans to invest approximately US$0.3 billion in system upgrades, largely within or adjacent to existing rights-of-way, and targets project completion in 2029, pending regulatory approvals.

Eiger will span roughly 450 miles with a 42-inch pipeline, carrying up to 2.5 Bcf/d of natural gas from West Texas’ Permian Basin to the Katy area. Once in service in 2028, Enbridge anticipates holding a significant equity interest in up to 10 Bcf/d of long-haul Permian Basin takeaway capacity, linked to key storage sites and LNG export terminals on the U.S. Gulf Coast. The project complements Whistler Parent JV assets and is underpinned by long-term contracts with primarily investment-grade shippers.