Enbridge plans CCS project

Article Excerpt

ENBRIDGE INC. $49 is a buy. The company (Toronto symbol ENB; Conservative Growth and Income Portfolios, Utilities sector; Shares outstanding: 2.0 billion; Market cap: $98.0 billion; Price-to-sales ratio: 2.2; Dividend yield: 7.0%; TSINetwork Rating: Above Average; www.enbridge.com) is teaming up with Capital Power Corp. (Toronto symbol CPX) to develop a carbon capture and storage (CCS) system in Alberta. Under the proposal, Capital Power would capture carbon dioxide (CO2) from its Genesee Generating Station in Warburg, Alberta. Enbridge would then transport the gas through its pipeline to a storage hub. It hopes to eventually utilize that CO2 for other uses and products, such as additives for concrete, plastics, and fertilizers. The partners have not yet said how much this CCS project would cost. If Alberta’s regulators approve, the new system could begin operating in 2026. Enbridge is a buy. buy…