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Enbridge spending $7-billion to replace Alberta-to-Wisconsin oil pipeline

The Canadian Press

CALGARY - Enbridge says it's undertaking the biggest project in its history.

The Calgary-based pipeline giant (TSX:ENB) and its U.S. affiliate are together spending $7 billion to replace the Line 3 pipeline.

Line 3 is one of six pipes in Enbridge's mainline system, a key piece of infrastructure that moves Alberta crude eastward.

CEO Al Monaco says the project — to be completed in the second half of 2017 — will act as a "buffer" that ensures the system remains reliable for customers.

Line 3 crosses the Canada-U.S. border at Superior, Wisc., but Monaco says the project won't need a Presidential Permit to proceed, reducing the probability of regulatory delays.

Monaco says replacing the whole 46-year-old line is more economical than other maintenance options and that its customers have agreed to the additional cost.