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E Split Corp T.ENS

Alternate Symbol(s):  ENSPF | T.ENS.PR.A

The objective of the Class A shares is to provide holders with non-cumulative monthly cash distributions and the opportunity for capital appreciation through exposure to the portfolio. And The investment objectives for the preferred shares is to provide holders with fixed cumulative preferential quarterly cash distributions and return the original issue price of 10.00 Dollars to holders upon maturity. The Company has a portfolio comprised primarily of common shares of Enbridge Inc. Enbridge, a North American oil and gas pipeline, gas processing and natural gas distribution company the Enbridge Common Shares or the Portfolio and intends to purchase Enbridge Common Shares from time to time in the market or through participation in future public offerings by Enbridge. The Advisor believes that the Company offers investors an opportunity to gain exposure to Enbridge, one of the worlds largest energy infrastructure companies.


TSX:ENS - Post by User

Comment by Experiencedon Oct 06, 2024 7:38am
79 Views
Post# 36254932

RE:a little bragging and a little insight

RE:a little bragging and a little insightObscure - great post as usual.  Posts like this only confirm that I made a brilliant choice appointing you as one of my Deputies.

Now for some thoughts...

1....The fact that future Governments in Canada and the US will, if anything, make it even harder to build any pipelines makes the installed capacity of ENB even more valuable.

2...what a lot of people don't realize is that the purchase of the LNG port in Texas is not just about the exisitng port but also the fact that the purchase included a large block of vacant land upon which another LNG mega ship dock could be built and plenty of room for additional storage facilities etc.  So ENB can expand this facility without worrying about buying land and all the approvals required to this. Plus - the purchase was in a favourable political environment which would make any expansion on its land so much easier.  IMHO I don't think that The Street has factored this in.

3....analysts are focussed on the demise of oil and that will likely happen but I don't think that they fully appreciate that natural gas still has a very long runway and perhaps may well be relied on to a greater extent as people realize that renewables/storage are expensive and have their own environmental issues.  I see this math as becoming a problem for those that think that renewables are the answer.  In fact as a personal note, I rode the wave for renewables and sold them close the peak quite a while ago and don't own any of them right now.

4...the corollary to Point 3 is the push for a less carbon centric world is essentially all about oil - not NG.  So in a less carbon centric world, people will still NG to heat their homes and in the push for more decentralized electricity production (dispatchable energy production onsite where it is needed) to avoid grid failures due to climate change, most of that technology is centered around using NG as the primary fuel to produce the electricity.  Another thing that The Street IMO is missing.

When will The Street analysts wake up and smell the roses?

Dunno....but other than a complete market meltdown (which could happen and hence my current conservative portfolio asset allocation), there really isn't anything that presents a clear and present danger to ENB and with what I have said above there is more likely wind at the back of ENB.
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