Message-ID: <31124201.1075858846220.JavaMail.evans@thyme> Date: Thu, 11 Oct 2001 11:58:30 -0700 (PDT) From: shelley.corman@enron.com To: bob.burleson@enron.com Subject: FW: Thiis sale is curious in relation to Williams purchasing MOPS Mime-Version: 1.0 Content-Type: text/plain; charset=us-ascii Content-Transfer-Encoding: quoted-printable X-From: Corman, Shelley X-To: Burleson, Bob X-cc: X-bcc: X-Folder: \SCORMAN (Non-Privileged)\Sent Items X-Origin: Corman-S X-FileName: SCORMAN (Non-Privileged).pst FYI -----Original Message----- From: =09Holmes, Bradley =20 Sent:=09Thursday, October 11, 2001 1:58 PM To:=09Corman, Shelley; Blair, Lynn; Bryant, Mike; Nacey, Sheila Subject:=09Thiis sale is curious in relation to Williams purchasing MOPS Enbridge to Acquire Williams' South Texas Natural Gas Gathering, Treating a= nd Transmission Assets CALGARY, Alberta--(BUSINESS WIRE)--Oct. 11, 2001--Enbridge Inc. (NASDAQ:ENB= R - news ; TSE:= ENB. - news ) today announced that it is purchasing natural gas gathering, treating an= d transmission assets in south Texas from a unit of Williams (NYSE:WMB - news ).=20 Enbridge will acquire 792 kilometres (492 miles) of gas mainlines regulated= by the Federal Energy Regulatory Commission and 480 kilometres (298 miles)= of non-FERC regulated assets including gathering systems and pipeline late= rals. Closing of the acquisition is subject to regulatory approvals includi= ng approval by FERC to remove the mainlines from jurisdiction under the Nat= ural Gas Act.=20 The acquisition, for US$50 million, is the first to be completed by Enbridg= e's recently created Transportation Group South, which is based in Houston = and has overall responsibility for Enbridge's U.S. business activities. The= assets will be owned and operated by Enbridge's wholly owned subsidiary, E= nbridge Midcoast Energy Inc.=20 ``Acquisition of these assets enables Enbridge to further expand its geogra= phic footprint and scale of operations,'' said Dan C. Tutcher, Enbridge Gro= up Vice President, Transportation Group South. ``It levers off the expertis= e that Enbridge Midcoast Energy has developed in gas gathering, processing = and transportation, and enhances our position in the active Gulf Coast regi= on. In addition to its strategic value, we expect the acquisition to be imm= ediately accretive to Enbridge earnings, and to have potential for future e= xpansion.''=20 The mainline assets include two pipelines that run from close to the Texas-= Mexico border near Laredo and McAllen to Transco Station 30 where they conn= ect with the Williams Transco mainline, which has connections at the Katy h= ub and continues on to the U.S. Southeast and Northeast.=20 The non-FERC regulated assets include a 210-kilometre (130-mile) gathering = system with a 90 million cubic feet per day capacity sour gas treatment pla= nt and 78 ton per day sulphur recovery facilitity; 210 kilometres (130 mile= s) of other gathering laterals; a currently inactive processing plant in Be= e County with capacity of 60 million cubic feet per day; and a 61-kilometre= (38-mile) lateral connecting the two FERC-regulated mainlines.=20 Enbridge Inc. is a leader in energy transportation, distribution and servic= es in North America and internationally. As a transporter of energy, Enbrid= ge operates, in Canada and the U.S., the world's longest crude oil and liqu= ids pipeline system. The Company also is involved in international energy p= rojects, and has a growing involvement in natural gas transmission and mids= tream businesses. As a distributor of energy, Enbridge owns and operates Ca= nada's largest natural gas distribution company, which provides gas and ret= ail services in Ontario, Quebec and New York State. The Company is developi= ng a gas distribution network for the province of New Brunswick; is involve= d in the distribution of electricity; and provides retail energy products a= nd services to a growing number of Canadian and U.S. markets. Enbridge empl= oys approximately 6,000 people, primarily in Canada, the U.S. and South Ame= rica. Enbridge common shares trade on The Toronto Stock Exchange in Canada = under the symbol ``ENB'' and on the NASDAQ National Market in the U.S. unde= r the symbol ``ENBR''. Information about Enbridge is available on the Compa= ny's web site at www.enbridge.com .