The chief executive of pipeline builder Enbridge Inc. says he’s encouraged by how governments in both Canada and the United States are recognizing the need to build oil and gas projects more quickly.
“I’m completely enthused about it,” Greg Ebel told analysts on a conference call Friday to discuss the company’s latest financial results.
Energy infrastructure was a big theme during the Canadian federal election campaign, which delivered the Liberals a minority government on April 28.
Tariffs and annexation threats from U.S. President Donald Trump have brought the issue of Canadian economic sovereignty to the fore, spurring calls for pipelines enabling energy exports beyond the United States.
During the campaign, Liberal Leader Mark Carney promised to make Canada an “energy superpower” for both conventional and clean sources and to set up a federal major projects office that would ensure each project only has to undergo one review, with shorter timelines.
But big points of contention between Ottawa and the industry — the industrial carbon levy, emissions cap, West Coast tanker ban and environmental review legislation — linger.
The Conservatives promised to fulfil every item on the oil and gas industry’s wish list, set out in an open letter from 14 corporate leaders ahead of the campaign that urged the scrapping of contentious environmental policies.
“The fact that people are now talking about energy, energy infrastructure, getting stuff done — that’s just a marked change here in Canada,” said Ebel.
“I think the big question is, is that all campaign rhetoric or is that actually going to play out into actually permitting reform?,” he questioned, adding that he’s going to take Carney “at his word that he’s committed to building energy infrastructure in Canada.”
The Trump administration, meanwhile, has been pushing aggressively on oil and gas development, aiming to speed up permits for liquefied natural gas terminals and pipelines and opening up new areas for exploration.
Ebel said he and fellow industry leaders have not had the chance to sit down with the new prime minister yet, but when they do, the most urgent issues will be the legislative issues they’ve flagged, as well as efforts to include Indigenous communities in projects.
“Those things can be done very quickly with either a stroke of the pen or some legislation,” said Ebel.
1st quarter profits surge
Earlier Friday, Enbridge reported a first-quarter profit of $2.3 billion, up from $1.4 billion in the same quarter last year. That amounted to $1.04 per share for the quarter ended March 31 compared with a profit of 67 cents per share a year earlier.
On an adjusted basis, Enbridge says it earned $1.03 per share in its latest quarter, up from an adjusted profit of 92 cents per share in the first quarter of 2024.
Total operating revenue was $18.5 billion, up from $11.04 billion during the same period a year earlier.
Enbridge is continuing to grow its presence in the Permian basin in Texas. It said it recently inked a deal to buy a 10 per cent stake in the Matterhorn Express natural gas pipeline for $300 million US.
The recent weakness in commodity prices has been tougher on U.S. producers in the Permian than on companies operating north of the border, but Enbridge’s business is relatively insulated in that region.
“The Permian is a great basin and always will be. It’s a critical basin and we’ve got our ear to the ground,” said Colin Gruending, executive vice-president and president of liquids pipelines.
He said in recent weeks it’s been a “mixed bag from producers — some holding firm, some dropping a rig or two or three. So we’ll continue to follow that.
“The good news is, is that our business is built to be relatively insensitive to that price and to that indirect risk of volume risk. We have a contracted business in the Permian.”