Enbridge Adds Part of Dakota Access Pipeline to Their System

Using $1.5 Billion Bridge Loan for Acquisition

DULUTH, Minn.-Enbridge has announced it’s acquiring 27.6 percent of the Bakken Pipeline System.

That pipeline is part of the very controversial Dakota Access Pipeline, which runs through some ancient Native American sites in North Dakota.  It’s has also caused concern for the environment in that region as well. Both of those issues have caused large protests at the site.

Enbridge will funding the acquisition with a $1.5 billion bridge loan.

“We’re pleased with the opportunity to add this investment to the [Enbridge] liquids pipeline portfolio,” said Mark Maki, president for Enbridge in a prepared statement. “The project is expected to provide attractive risk-adjusted returns and is underpinned by a significant level of take-or-pay contracts with high credit quality counter-parties. In addition, the investment offers the potential for future low-cost expansions.”

Recently President Donald Trump signed multiple executive orders to revive multiple pipelines, including the Dakota Access one.