RE:Can somebody shed some light on thisMarner16 wrote:
Question 1: How can ENB increase Line 3 capacity by 200,000 barrels per day by optimizing its Mainline, which I assume is in addition to completing their Line 3 construction project?
I expect the 'optimizing' involves a number of small but non-trivial engineering upgrades to correct local flow anomalies (excessive head losses) that were not anticipated during original design.
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Marner16 wrote:
Queston 2: Given that KXL has been officially shut down, it seems like ENB should have very little difficulty in filling its Mainline going forward (at least that is what Canadian producers say who oppose ENB's request). If that is the case, why would ENB need the fixed contracts in order to invest in optimizing egress of 200,000 additional barrels out of Alberta?
Might be that ENB sees further into a future that we can only guess at, one where egress demand becomes volatile.