Line 3 Replacement Project Summary - Enbridge

1 Line 3 Replacement Project Summary Our role comeswith s why safetyand operationalreliability is ournumber 1 priority. Al Monaco, President and CEOT able of ContentsAbout 4 Line 3 pipeline 5 Line 3 Serves as a Vital Energy 6 Line 3 Replacement 8 Line 3 Maintenance and Integrity 12 Line 3 Preferred 14 Potential Environmental Impacts of Line 3 Preferred 16 Right-Of-Way Preparation and Construction 18 Line 3 22 Commitment to 24 Public 273 We transport energy; operating the world s longest, most sophisticated liquid petroleum transportation system. We have provided safe and reliable energy transportation in North America for more than 65 years.

2 We deliver more than 2 million barrels of crude oil daily. We continue to invest billions of dollars to enhance Enbridge s ability to transport supplies of crude oil to North American refineries, helping support North American energy independence. Our corporate headquarters are in Calgary, Alberta and Houston, Texas with offices in Superior, Wisconsin; Duluth and Edina, Minnesota; Griffith, Indiana; Minot, North Dakota; and Cushing, Oklahoma, along with regional offices along the system route. We employ 11,000 people, of which 6,500 are employed in the CANADAMEXICOUNITED STATES OF AMERICAB ruderheimBruderheimSarniaChicagoEdmonton ReginaFort McMurrayFort St JohnZamaBlaineGreat FallsPortlandLas VegasLethbridgeSalt Lake CityBoiseSeattleCasperDenverWoodRiverPat okaMinotKitimatNormanWellsRowattGretnaCl earbrookCromerFlanaganHardistyCalgaryMon trealOttawaBu aloToledoTulsaCushingHoustonCheechamNew OrleansOttawaSuperiorTorontoSarniaChicag oEdmontonReginaFort McMurrayFort St JohnZamaBlaineGreat FallsPortlandLas VegasLethbridgeSalt Lake

3 CityBoiseSeattleCasperDenverWoodRiverPat okaMinotKitimatNormanWellsRowattGretnaSu periorClearbrookCromerFlanaganHardistyCa lgaryTorontoMontrealOttawaBu aloToledoTulsaCushingHoustonNew OrleansCheecham321 Enbridge Inc. HeadquartersEnbridge Pipelines Inc. HeadquartersCalgary, Alberta, CanadaEnbridge Energy Partners, HeadquartersHouston, Texas, USAE nbridge Gas Distribution HeadquartersToronto, Ontario, CanadaEnbridge s AssetsEnbridge Inc. HeadquartersEnbridge Pipelines Inc. HeadquartersCalgary, Alberta, CanadaEnbridge Energy Partners, HeadquartersHouston, Texas, USAE nbridge Gas Distribution HeadquartersToronto, Ontario, CanadaLiquids Systems and Joint VenturesNatural Gas Systems and Joint VenturesPower TransmissionGas DistributionWind Assets Solar Assets Storage Waste Heat RecoveryGeothermal Fuel Cell123 About Enbridge4 EdmontonReginaGretnaClearbrookCromerHard istySuperiorEdmontonReginaGretnaSuperior ClearbrookCromerHardistyLine 3 pipeline HistoryLine 3 was constructed in the 1960s and put into service in 1968.

4 The existing Line 3 is a 34-inch diameter, 1,097 mile long pipeline , which extends from Alberta, Canada to Superior, Wisconsin. Line 3 has transported a variety of crude oil based on shipper demand. Minnesota relies on the extensive Enbridge Mainline System pipeline network to provide crude oil to its two large refineries located in and around Minneapolis and St. Paul. Since it began operating in the late 1960s, the annual average capacity of Line 3 has varied between a low of 390,000 barrels per day (bpd), which is the current operating capacity of the line, and a much higher capacity, in the range of 760,000 , Line 3 has played and continues to play an important and integral role in delivering crude oil to Minnesota, Wisconsin, and other North American Line 3 Enbridge Mainline pipeline construction from the 3 serves as a vital link from North American production regions to Minnesota, Wisconsin, and other North American refinery markets and on to North American consumers.

5 In 2014, Enbridge s pipelines transported over 53 percent of total Canadian crude oil. Enbridge meets nearly 80 percent of refining demand in 2014, Enbridge transported over 74 percent of the crude oil imported from Canada and consumed in the Midwest, in states including North Dakota, South Dakota, Nebraska, Missouri, Minnesota, Iowa, Oklahoma, Kansas, Illinois, Tennessee, Wisconsin, Michigan, Ohio, Indiana, and Kentucky. NDMNWIMISDIAMOILINOHKYTNKSOKNELine 3 Serves as a Vital Energy LinkOur goal is to invest wisely in infrastructure to support the needs of shipping and refining customers so they can in turn meet North Americans needs for fuels, asphalt and the raw materials used to make fertilizers, solvents, plastic materials, and other products we all use every demand for Canadian crude oil transported on the Enbridge Mainline System has increased significantly in recent decades.

6 As a result, demand for capacity to ship crude oil on the Enbridge Mainline System continues to exceed available pipeline capacity, even after Enbridge s recent projects have improved efficiency and added capacity to transport additional oil. For example, in the first few months of 2015, Minnesota refineries demand exceeded supply by percent for light Canadian crude and 35 percent for heavy Canadian crude. A viable, reliable pipeline network must exist to satisfy the refiners demand for Western Canadian refineries including Flint Hills and Northern Tier St. Paul rely on Canadian crude oil. The Enbridge Mainline System has been serving the needs of Minnesota refineries for decades.

7 Line 3 is a vital component of this System. The Line 3 Replacement Project will help ensure that Enbridge continues to meet the needs of our shippers, regional refineries, and Minnesota Petroleum Consumption by Customer Sector*Electric Power 0%200 barrels per dayTransportation 74%235,500 barrels per dayIndustrial 19%60,500 barrels per dayResidential 5%14,500 barrels per dayCommercial 2%6,400 barrels per day* Energy Information Administration7 EdmontonReginaClearbrookCromerHardistySu periorEdmontonReginaSuperiorClearbrookCr omerHardistyLine 3 Replacement ProgramEnbridge Energy, Limited Partnership s ( Enbridge ) maintenance driven Line 3 Replacement will reduce future repair activities and resulting disruptions to landowners and the environment, as well as restore the historical operating capabilities of Line 3, and promote energy efficiency of Enbridge s Mainline System.

8 A new 36-inch diameter pipeline will replace the existing 34-inch diameter pipeline along most of the Line 3 Program s Background: Line 3 is a 1,097-mile crude oil pipeline extending from Edmonton, Alberta to Superior, Wisconsin, and is an integral part of Enbridge s Mainline System. Line 3 was installed in the 1960s. Line 3 Replacement Program consists of 1,031 miles of 36-inch diameter pipeline that begins in Hardisty, Alberta and ends in Superior, Wisconsin. The portion includes about 13 miles in North Dakota, 337 miles in Minnesota, and 14 miles in Wisconsin. The Program is an approximate $ billion private investment ($ billion for the portion), making it one of North America s largest infrastructure programs, which supports North American energy Line 3 Replacement completeReplacement completeGretnaThis is an integrity and maintenance driven Program.

9 Enbridge Line 3 Replacement 8 The portion of the Program Enbridge is proposing, is referred to as the Line 3 Replacement Project . Project Description in Minnesota 337 miles of 36-inch diameter pipeline in Minnesota to replace existing 282 miles of 34-inch diameter pipeline . Construction of eight pump stations. Includes 27 strategically placed valves. Restore historical operating capabilities and move 760,000 barrels per day (bpd). Enable Enbridge to better respond to variable refinery needs, now and in the future, as well as unplanned disturbances to North American crude oil network. Reduce power requirements on a per barrel basis.

10 Minimize the impact of planned maintenance on the Enbridge Mainline System to shippers and refiners. $ billion investment for the Minnesota portion of the design, permit and construction of Line 3. In Minnesota, the Replacement pipeline will follow existing utility corridors for more than 98 percent of the route west of Clearbrook and 75 percent east of Clearbrook. Project applications are being reviewed by the Minnesota Public Utilities Commission (MPUC), and upon receipt of all applicable regulatory approvals, construction can Project Timeline in Minnesota (pending regulatory approval)2016 Construction beginsLate 2017 The Replacement pipeline is placed into service in late fall or winter2018 The existing pipeline is taken out of service and restoration of land disturbed during construction continuesCarltonCrow WingWadenaAitkinHubbardCassItascaRed LakeClearwaterPenningtonPolkBeltramiMars hallSaint LouisKittsonPembinaDouglasLine 3 Replacement Preferred RouteExisting Line 3 ( Enbridge Mainline Corridor)Line 3 Proposed Pump StationsExisting Enbridge TerminalsExisting pipeline Right-of-WayExisting Electric Transmission Right-of-WayClearbrook TerminalSuperior TerminalLine 3 Replacement Project 9 Project BenefitsJobs.