Enbridge Files Commercial Terms for Alberta Clipper Mainline Expansion Project

Enbridge Inc. (Toronto:ENB.TO - News) (NYSE:ENB - News) (Enbridge) announced today that its wholly owned subsidiary, Enbridge Pipelines Inc. (EPI), has filed a commercial supplement to its application to the National Energy Board (NEB) to construct the CDN $2.0 billion Canadian section of the Alberta Clipper Mainline Expansion Project (2007 dollars, excluding allowance for funds used during construction (AFUDC)).

The supplement sets out the tolling principles and risk and return parameters agreed to with shippers and is accompanied by a letter of support from the Canadian Association of Petroleum Producers. Enbridge's affiliate, Enbridge Energy Partners, L.P. (NYSE:EEP - News) plans to file a similar set of toll principles with the Federal Energy Regulatory Commission (FERC) for the US $1.0 billion U.S. section of the project in 2008 (2007 dollars, excluding AFUDC). The project remains subject to regulatory approvals and receipt of various permits in Canada and the United States.

The key terms of the Canadian tolling principles include a 45 per cent equity, 55 per cent debt capital structure with a floating return on equity equal to the NEB's multi-pipeline rate plus 2.25 per cent. EPI will share in the risk of capital cost overruns and share the benefits of capital cost savings by having a portion of any such variances excluded or included as applicable from the deemed rate base of the project. Further details of the tolling principles can be found in the supplement filed with the NEB and available on the NEB's website at www.neb-one.gc.ca.

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The U.S. tolling principles include a 55 per cent equity and 45 per cent debt capital structure, but are otherwise similar to the Canadian tolling principles. Specifically, the U.S. tolls will include an allowance for income tax as permitted under FERC regulation over the term of the commercial agreement.

Alberta Clipper involves the construction of a new 36-inch diameter 1,607 kilometre (1,000 mile) crude oil pipeline from Hardisty, Alberta, to Superior, Wisconsin, generally within or adjacent to Enbridge's existing right-of-way. Alberta Clipper will have an initial capacity of 450,000 barrels per day (bpd) and allows for expansions to increase capacity up to 800,000 bpd. Pending regulatory approval, Enbridge anticipates bringing Alberta Clipper into service in mid-2010. Alberta Clipper will be integrated with, and form part of, the existing Enbridge system in Canada and the EEP Lakehead system in the U.S.

ABOUT ENBRIDGE INC.

Enbridge Inc., a Canadian company, is a leader in energy transportation and distribution in North America and internationally. As a transporter of energy, Enbridge operates, in Canada and the United States, the world's longest crude oil and liquids pipeline system. The Company also has international operations and a growing involvement in the natural gas transmission and midstream businesses. As a distributor of energy, Enbridge owns and operates Canada's largest natural gas distribution company, and provides distribution services in Ontario, Quebec, New Brunswick and New York State. Enbridge employs approximately 5,000 people, primarily in Canada, the United States and South America. Enbridge's common shares trade on the Toronto Stock Exchange in Canada and on the New York Stock Exchange in the United States under the symbol ENB. Information about Enbridge is available on the Company's website at www.enbridge.com.

ABOUT ENBRIDGE ENERGY PARTNERS

Enbridge Energy Partners, L.P. (NYSE:EEP - News) (www.enbridgepartners.com) owns and operates a diversified portfolio of crude oil and natural gas transportation systems in the U.S. Its principal crude oil system is the largest transporter of growing oil production from western Canada. The system's deliveries to refining centers in the U.S. Midwest account for approximately 11 per cent of total U.S. oil imports; while deliveries to Ontario, Canada satisfy approximately 60 per cent of refinery demand in that region. The Partnership's natural gas gathering, treating, processing and transmission assets, which are principally located onshore in the active U.S. Mid-Continent and Gulf Coast area, deliver more than 2 billion cubic feet of natural gas daily. Enbridge Energy Management, L.L.C. (NYSE:EEQ - News) (www.enbridgemanagement.com) manages the business and affairs of the Partnership and its principal asset is an approximate 14 per cent interest in the Partnership. Enbridge Energy Company, Inc., an indirect wholly owned subsidiary of Enbridge Inc. is the general partner and holds an approximate 15 per cent effective interest in the Partnership.

LEGAL NOTICE

When used in this news release, words such as "anticipates", "expects", "plans", "will" and similar expressions are intended to identify forward-looking statements. Such statements are subject to certain risks, uncertainties and assumptions pertaining to factors such as: (1) changes in the demand for, or the supply of, and price trends related to crude oil and natural gas liquids; including the rate of development of the Western Canada Oil Sands; (2) changes in or challenges to Enbridge's tariff rates; (3) the effects of competition, including by other pipeline systems; (4) regulatory approvals; and (5) performance of other parties. For a discussion of those risks and uncertainties, reference should also be made to Enbridge Inc.'s Canadian securities filings and U.S. Securities and Exchange Commission filings as well as Enbridge Energy Partners' filings with the U.S. Securities and Exchange Commission, including its Annual Report on Form 10-K for the most recently completed fiscal year, for additional factors that may affect results. These filings are available to the public over the Internet at www.sedar.com for Canadian securities filings, the SEC's web site (www.sec.gov) for U.S. filings and via Enbridge Inc.'s and Enbridge Energy Partners' respective web sites. While Enbridge makes these forward-looking statements in good faith, should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary significantly from those expected. Except as may be required by applicable securities laws, Enbridge assumes no obligation to publicly update or revise any forward-looking statements made herein or otherwise, whether as a result of new information, future events or otherwise.


Contact:

Contacts:
Enbridge Inc.
Bob Rahn
Investor Relations
(403) 231-7398
Email: bob.rahn@enbridge.com

Enbridge Inc.
Jennifer Varey
Media
(403) 508-6563
Email: jennifer.varey@enbridge.com
Website: http://www.enbridge.com

Enbridge Energy Partners
Tracy Barker
Investor Relations
Toll Free: 1-866-EEP-INFO or 1-866-337-4636
Email: eep@enbridge.com

Enbridge Energy Partners
Denise Hamsher
Media
(713) 823-3489
Email: usmedia@enbridge.com
Website: http://www.enbridgepartners.com


Source: Enbridge Inc.