Enbridge Gas Distribution Inc.
TSX : ENB
NYSE : ENB

August 19, 2013 09:00 ET

Enbridge Gas Distribution Responds to TransCanada Claim - Parkway to Albion Segment of GTA Project

TORONTO, ONTARIO--(Marketwired - Aug. 19, 2013) - On August 16, 2013, TransCanada Pipelines Limited (TransCanada) filed a statement of claim against Enbridge Gas Distribution Inc. (TSX:ENB) (NYSE:ENB) (Enbridge Gas) in the Ontario Superior Court of Justice. The statement of claim outlines TransCanada's position that Enbridge Gas' earlier termination of a Memorandum of Understanding (MOU) between the two companies is a breach of the MOU.

The Ontario Energy Board (OEB) has encouraged natural gas industry participants to cooperate in order to optimize natural gas infrastructure in Ontario. The MOU was entered into in part to optimize a 23km segment of pipeline in Ontario. The MOU between the two companies was terminated by Enbridge Gas because TransCanada failed to take the necessary actions to allow Enbridge Gas to comply with Provincial law set out by the Storage and Transportation Access Rule of the Ontario Energy Board. That rule requires that all capacity offered by a pipeline company be offered and allocated in an open access and non-discriminatory manner.

"Enbridge Gas takes exception to the suggestion that it should be compelled to perform on the MOU under conditions that would not comply with what the law requires of it in the Province of Ontario," said Guy Jarvis, President, Enbridge Gas. "Enbridge Gas disputes that TransCanada has suffered any damages whatsoever. Further, it has offered TransCanada the ability to access transportation capacity previously offered under the MOU in a manner that complies with Ontario law and is in the best interest of customers."

"TransCanada's actions made it impossible for Enbridge Gas to demonstrate that the capacity it was offering to TransCanada on an exclusive basis complies with Ontario Law," Mr. Jarvis said. "We will vigorously defend against this claim and will continue to champion the interests of our 2 million Ontario customers in this matter."

Enbridge Gas Distribution and its affiliates distribute natural gas to 2 million customers in Ontario, Quebec, New York State and New Brunswick. Enbridge Gas Distribution Inc. has a more than 160-year history, is Canada's largest natural gas distribution company and owns 105 Bcf of underground gas storage facilities. It is owned by Enbridge Inc., a Canadian-based leader in energy transportation and distribution and one of the 2012 Global 100 Most Sustainable Corporations. Enbridge Inc. has been selected as one of Canada's Greenest Employers for 2012 and is one of Canada's Top 100 Employers. For more information, visit www.enbridgegas.com.

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