Enbridge Inc. has taken a strategic step by sanctioning the construction of a system of oil and gas pipelines in the Gulf of Mexico , intended to support the Kaskida development, a deepwater project of BP Exploration & Production Company . These subsea pipelines will reinforce the capacity of energy transport from key offshore areas to the U.S. market.
Enbridge expands pipelines in the Gulf of Mexico
The new pipeline system , called the Canyon Oil Pipeline, will have a capacity of 200,000 barrels of crude oil per day , connecting the Keathley Canyon area with the Green Canyon 19 platform, operated by Shell. This infrastructure will allow the transport of oil to Louisiana, ensuring a smooth delivery to the national market. In addition, Enbridge will develop a natural gas pipeline called the Canyon Gathering System, designed to handle 125 million cubic feet of natural gas per day, which will connect with the systems already operated by the company in the region.
The project, valued at approximately $700 million , strengthens Enbridge’s presence in the offshore sector and complements its already robust pipeline network. Cynthia Hansen, executive vice president of the company, highlighted that this collaboration expands its relationship with BP and improves its ability to respond to the strategic needs of customers in the Gulf Coast. In addition, long-term agreements ensure a constant and stable revenue stream for Enbridge, which supports its focus on maintaining a low-risk business model.
Design and procurement work is expected to begin in 2025, with the pipeline systems expected to be operational in 2029. These developments, in addition to meeting current oil and natural gas transportation demands, are designed for future connections to other nearby fields, ensuring sustained growth of Enbridge’s energy infrastructure in the Gulf of Mexico.
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Source: Enbridge
Photos: Shutterstock | Enbridge
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