UPDATE 2-Flows on Enbridge oil line seen cut until Tuesday

* Flow rates cut after power outage

* Illinois terminal and pump station affected

* Substation could be repaired on morning of Nov. 30
(Recasts with estimate of normal rates, company comments)

By Jeffrey Jones

CALGARY, Alberta, Nov 26 (BestGrowthStock) – Enbridge Inc’s
(ENB.TO: ) 670,000 barrel a day Line 6A oil pipeline in the U.S.
Midwest is expected to run at reduced rates until early next
week, creating another costly bottleneck for Canadian crude
exports, the company said on Friday.

An outage at a power utility’s substation in Illinois
forced Enbridge, which has been struggling with numerous
outages on its massive oil pipeline system, to reduce flows as
electricity to a pumping station got cut off.

The rates are expected to be cut until at least Tuesday,
the company said.

Market sources said flows on the pipeline to Griffith,
Indiana, from Superior, Wisconsin, have been chopped by about a
third from already-reduced volumes.

The power outage occurred on Thursday at Lockport,
Illinois, near Chicago.

“We are mitigating the impacts with standby power allowing
Lockport deliveries to continue,” Enbridge spokeswoman Jennifer
Varey wrote in an email. “Substation repairs are currently
estimated to be complete by the morning of November 30, at
which time Line 6A will be able to return to pre-incident

Word of another in a string of recent Enbridge pipeline
problems helped limit losses in U.S. crude oil prices on
Friday. [ID:nL3E6MQ07Z] January oil fell 10 cents to settle at
$83.76 a barrel, well above its $82.78 low.

Canada is the largest foreign oil supplier to the United
States and Enbridge’s pipelines move the lion’s share of that

The incident happened on the same day that Enbridge
restarted the 290,000 barrel a day Line 6B, which was shut for
about a week as the company investigated possible problem spots
it found during an in-line inspections.

Line 6B, which carries oil to Sarnia, Ontario, from
Griffith, was shut down for nine weeks following a rupture and
oil spill in Michigan last July.

Varey said the recent 6B shutdown, combined with high
requests for capacity among Enbridge’s shippers, have backed up
crude on its system, which originates in Alberta.

The company is working with its shippers to “manage” the

In September, with 6B down following the Michigan oil
spill, a leak near Romeoville, Illinois, forced Enbridge to
shut Line 6A for more than a week.

That led to a jump in U.S. oil futures, as refiners
scrambled for alternative supplies, and a major drop in
Canadian cash crude prices as domestic volumes were backed up.

6A was down for about a day in early November as the
company investigated high-pressure alarms.
(Reporting by Jeffrey Jones; Editing by Lisa Shumaker and Rob

UPDATE 2-Flows on Enbridge oil line seen cut until Tuesday