August 9, 2011 / 9:05 PM / 8 years ago

Enbridge files for reversal of Line 9 segment

* Seeks flow reversal of Sarnia-Westover segment

* Part of overall Line 9 reversal plan

* Will allow access to Western Canadian crude

CALGARY, Alberta, Aug 9 (Reuters) - Enbridge Inc (ENB.TO) has asked regulators for permission to reverse the flow direction of an Eastern Canadian oil pipeline, giving some refineries in the East access to Western crude.

The C$17 million ($17.2 million) project will result in oil flowing to its Westover, Ontario, station from Sarnia, Ontario. From Westover, the crude can supply Imperial Oil Ltd’s (IMO.TO) 112,000 bpd Nanticoke, Ontario, refinery and a 65,000 bpd plant in Warren, Pennsylvania, run by United Refining Co [RAPPLU.UL].

The Line 9 Reversal Phase 1 Project is the first stage in Enbridge’s plan to reverse the flow direction of its 240,000 bpd Line 9 to Sarnia from Montreal.

The company is in talks with refiners and producers to ship light oil to Eastern Canadian refineries as a way to offer them lower crude costs. Those plants in Quebec and points East currently run higher-priced imported oil. [ID:nN1E765121]

In its filing with the National Energy Board, Enbridge said it would maintain its ability ship crude in both directions as a part of the reversal of the Line 9 segment between Sarnia and Westover.

The company aims to keep flow rates at 152,000 bpd, with a design capacity of 169,000 bpd, expandable to 250,000 bpd.

The proposed in-service date is the autumn of 2012.

$1=$0.99 Canadian Reporting by Jeffrey Jones

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