WHY Did Dominion Energy SELL The 3 Gas Utilities To ENB?
- basically, two reasons:
1- HIGH-INTEREST rates caused by the FED rate hikes to SUPPRESS INFLATION while Senile Joe is running a MAD MAX DEFICIT-SPENDING NIGHTMARE {hence the NEED to hire 87,000 HEAVILY-ARMED IRS agents}
2- a USD 350 million REGULATED RATE REDUCTION imposed in the gas utility STATE JURISDICTION meaning USD 350 million LESS IN REVENUES
- these TWO NEGATIVE FORCES will still be ABSORBED by ENB
- DO NOT FORGET that Enbridge is EXPECTED to LOSE between 300,000 and 500,000 bbls/d of NOMINATED TRANSPORT CAPACITY on the Canada Mainline pipelines to the US as a result of TMX becoming OPERATIONAL in 2024
* sure, the WCSB crude oil producers will INCREASE COP and BOP but this is EXPECTED to take 4 to 6 YEARS to ELIMINATE the EXCESS EXPORT EGRESS CAPACITY depending on the WTI and WCS prices in the near future
- I do NOT own any ENB securities
z173