Enbridge Sells E. Canadian Gas Utility

Canadian mid-stream company Enbridge said December 4 it had reached agreement to sell its Enbridge Gas New Brunswick utility to Liberty Utilities (Canada), a subsidiary of Algonquin Power and Utilities, for C$331mn (US$250mn).

Closing of the transaction remains subject to regulatory approvals and other customary closing conditions, and is expected in 2019.

Enbridge Gas New Brunswick operates and maintains more than 1,200 km of natural gas distribution pipeline in 12 communities in the southern part of the eastern Canadian province of New Brunswick, serving 12,000 customers. Algonquin Power, headquartered in Oakville, Ontario, a suburb of Toronto, is a growing renewable energy and regulated utility company with assets across North America.

Last week Algonquin closed the US$345mn acquisition of a stake in a power generation business from Spanish group Abengoa.