Enbridge posts profit on lower derivatives losses

Wed Nov 7, 2012 1:21pm EST
 
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(Reuters) - Enbridge Inc ENB.TO, Canada's second-largest pipeline company, reported a third-quarter profit as losses on financial derivatives fell and it carried more oil and natural gas on some of its pipelines.

Enbridge, which seeks to expand its massive oil export network to both the Pacific and Atlantic Coasts, earned C$189 million ($189.98 million), or 24 Canadian cents per share, compared with a loss of C$5 million, or 1 Canadian cent per share, a year earlier.

On an adjusted basis the company earned C$269 million, or 34 Canadian cents per share. Analysts expected earnings of 35 Canadian cents per share, according to Thomson Reuters I/B/E/S.

Revenue fell 8 percent to C$5.78 billion.

The company said its Canadian Mainline, the main pipeline network for Canadian oil exports to the United States, transported 1,617 million barrels of liquid per day, up 3 percent from the previous year.

Enbridge said strong volumes at its liquids pipelines boosted results.

The company said last month it was planning a number of expansions and new pipelines aimed at getting crude east of Ohio and into Quebec and Atlantic Canada.

These are in addition to its contentious C$6 billion Northern Gateway pipeline, which would move oil sands-derived crude from Edmonton, Alberta to Kitimat, British Columbia, where it would be loaded on to tankers and shipped to Asia.

The project is the topic of public hearings before a federal panel.

Shares of Enbridge, which has a market value of about C$32 billion, closed at C$40.09 on the Toronto Stock Exchange on Tuesday. ($1 = 0.9949 Canadian dollars)

(Reporting by Maneesha Tiwari in Bangalore and Jeffrey Jones in Calgary; Editing by Sreejiraj Eluvangal)