Canadians buy rest of the Alliance gas line

Pipeline giant Enbridge Inc and Fort Chicago Energy Partners, both based in Calgary, have announced that they will each pay about half in order equally to share US-based Duke’s 23.6% ownership in the pipeline, that stretches from Fort St John, BC, to Chicago. The deal, expected to close shortly, marks the end of a period of rapid ownership consolidation in the 30-month history of the pipeline.
Last year, US energy giants El Paso Corp and Williams sold their stakes in Alliance as part of plans to shed non-core assets and reduce heavy debts. Duke gained its quarter-stake in the company through its US$12.1-billion takeover of Vancouver-based Westcoast Energy in 2001. The new sale now leaves Enbridge and Fort Chicago each owning 50% of the pipeline.

Leave a Reply

Your email address will not be published. Required fields are marked *

Send this to a friend