Enbridge Pipelines Inc. Application Submitted to the NEB Line 3 Replacement Program Appendix 10-1

Major Announced Rail Uploading Terminals in Western Canada

Operator Location Expanded Scheduled Figure 4.4 Rail Loading Terminals in Western Canada / Proposed Startup Capacity** (thousand b/d)

ALBERTA

Proposed Keyera/ Cheecham 32 Operating Enbridge Major Expansion Athabasca Grizzly Conklin 18 Q2 2014 Deposit Existing Canexus Bruderheim (near 100 Operating; Fort Oil sands Deposits and Oil Plays McMurray Edmonton) +? Expansion Q3 2014

Reno Cheecham Gibson Edmonton 20 (expandable Q3 2015 Falher Peace River to 40) Deposit Sexsmith Keyera/Kinder Edmonton 40 (expandable Q3 2014 (currently Morgan to 120) in construction)

Cold Lake Pembina Edmonton 40 Operating Whitecourt Deposit Cardium Altex Falher 20 Operating; Strathcona County expansion Q4 2014 Edmonton Lloydminster Gibson/USDG Hardisty 120 (expandable Q2 2014 Wainwright Lashburn x2 Unity to 240) Rimbey Hardisty Kerrobert Torquay Altex Lynton 20 Operating; Lower Regina Cromer Expansion Q4 2015 Tilley Shaunavon Stoughton Estevan Bakken Woodnorth Altex Reno 24 unknown Wilmar Dollard Shaunavon NorthgateBakken-Three Forks Bromhead KinderMorgan Strathcona 100 (expandable Q4 2014 (currently /Imperial County to 250) in construction)

SASKATCHEWAN

Crude by Rail Movements Crescent Point Dollard 27 Operating; Expansion Q2 2014

Actual volumes of crude oil being moved by rail are TORQ Kerrobert 168 Q3 2014 generally lower than design capacity at loading facilities. Transloading Altex Lashburn 90 Operating; However, it is important to note that the definition of Expansion Q1 2015 capacity is not very standardized and there are a number TORQ Lloydminister 22 Operating of limiting factors on actual capacity that include: supply Transloading Ceres Global Northgate 35 (expandable Q2 2014 connections, system bottlenecks, operational inefficiencies, to 70) limited hours of operation, and ramp up time required to Crescent Point Stoughton 45 Operating achieve full utilization. Altex Unity 19 Operating

TORQ Unity 36 Operating CAPP forecasts crude oil volumes transported by rail will Transloading increase from about 200,000 b/d in late 2013 to around MANITOBA 700,000 b/d by 2016 (Figure 4.5). It is important to note Tundra Cromer 60 Operating; Expansion Q2 2014 that most of the large scale terminals are underpinned by TOTAL 1.0 million b/d; further expandable to 1.4 million b/d long term take or pay contracts which should encourage utilization. Constraints on capacity include unloading time Figure 4.5 Western Canada Uploading Capacity vs. and weather. The load factor utilization should improve Rail Movements over time, however, particularly as producers and operators become more experienced with this mode of transportation. thousand barrels per day 1,600 The schedule for future expansion phases of capacity is 1,400 flexible and dependent on a number of factors including the Capacity timing of securing supply contracts for the facilities which 1,200 may be influenced by the pace of pipeline expansion. 1,000 Rail Movements 800 600 400 200 0 Q1 2013 Q2 2103 Q3 2013 Q4 2013 Q1 2014 Q2 2014 Q3 2014 Q4 2014 Q1 2015 Q2 2015 Q3 2015 Q4 2015 Q1 2016 Q2 2016 Q3 2016 Q4 2016

Crude Oil Forecast, Markets & Transportation 32

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Economics of Crude by Rail the rail tank car and therefore limits the amount of the commodity that can be transported before meeting the tank In general, the opportunity to ship by rail is greatest when car’s weight limitation. In addition, more time is required for the price differential between the market at a point of loading and unloading heavy crude which thereby adds to origin and the market price at the destination exceeds the cycle times and, in turn increases cost. transportation cost by rail. Recently, this has meant that the economic driver for crude by rail has been between land A number of uncontrollable factors such as weather or locked production and coastal markets where higher world mechanical issues, may also impact cycle times and affect oil prices can be accessed. producers’ netbacks. The opportunity for diluent back haul can also be considered when evaluating the costs. The There are a number of factors which could impact the range is based on the movement of varying densities of the economics of shipping crude oil to market via rail. These crude oil and the distance from markets. The actual costs include prices available in various markets that can all be for each component can fluctuate beyond the ranges shown accessed by rail and cost. The type of crude being moved due to changes to cycle times. Rail tank car leasing costs is a key determinant of cost as the heavier the crude oil are negotiated and are subject to change depending on a slate, the more rail tank cars are required to transport a number of factors, including the length of the lease. given volume of crude. Heavy crude is typically transported in steam coiled and insulated cars in order to reduce the Figure 4.6 shows the approximate cycle times and viscosity of the crude oil to facilitate the unloading process. estimated cost to various key markets in Canada and the The steam line and insulation also adds to the weight of United States.

Figure 4.6 Rail Cycle Times and Estimated Cost* to Market

Kitimat Cycle days to Can. West 1,069 miles (8.5 - 10) $8.71 - $10.13Ft. McMurray Coast Lynton = 8.5 to 11 cycle days 3,266 miles (15.5 - 17 cycle days); Cost: $19.62-$22.60) Cost: $8.65 - $16.05/bbl 1,060 miles (9.5 to 11) Lloydminster 1,130$8.67 miles - $10.09 (12.5 to 13) Vancouver $9.29 - $16.03 2,401 miles (13.5 to 15 cycle days); Cost:$15.55-$17.98 Cycle days to E. Canada Anacortes 2,779 miles2,553 (14.5 miles to 16 (14.5 cycle to days) 16 cycle; Cost: days);$18.56-$21.47 Cost $16.32-$18.81= 14.5 to 17 cycle days 2,485 miles (13.5 to 15 cycle days); Cost:2,528 $15.29 - $17.67 miles (15.5 to 17 cycle days); Cost: $18.26-$21.05 Cost: $16.30 - $22.60/bbl

3,009 miles (15.5 to 17 cycle days); Cost $19.43 - $22.44

2,787 miles (16 to 17 cycle days); Cost:$19.71 -$21.55 Saint John

2,072 miles (11.5 to 13 cycle days)PADD IV Cost: $13.08 - $14.75 Benicia

2,282 miles (12.5 to 14 cycle days); Cost: $15.57 - $17.78 PADD II Bakersfield Reybold 2,449 miles (13.5 to 15 cycle days); Cost: $15.93 - $18.39 Amoco Los Angeles PADD V Cycle days to US East Coast Cycle days to California = 13.5 to 17 cycle days = 11.5 to 15 cycle days PADD I Cost: $15.60 - $21.50/bbl Cost:$ 13.10 - $18.40/bbl PADD III Natchez Port Arthur Cycle days to US Gulf Coast = 13.5 to 17 cycle days Cost: $15.30 to $22.45/bbl

*All rates are estimates only. Actual rates could vary depending on the density of the crude which limits the volume per carload; weather and logistical factors that could increase cycle times. Trucking costs vary depending on density of crude and distance from loading/unloading terminal. Data source: Keystone XL Final Supplemental Environmental Impact Statement

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4.9 Transportation Summary While pipelines will remain the dominant mode of transportation, this analysis shows that in the short to medium Access to new markets will be required to absorb the term, rail can provide the ability to access markets if there are forecasted growth in supply from Western Canada. Pipelines constraints in available pipeline capacity. The role of rail will are the preferred mode of transportation to move crude oil but continue to evolve over the longer term providing producers the protracted regulatory processes has been a challenge. with access to new markets and offering new transportation The Keystone XL Pipeline, which is intended to connect to options (e.g. RailBit). The full extent of the development of rail the heavy crude oil processing refineries in the Gulf Coast, transportation will hinge on the timing and size of additions to has seen significant delays. If approval can be obtained by the pipeline infrastructure. the end of this year, however, then the pipeline could start operating in 2017. The Northern Gateway project, which connects to the West Coast market, has also been delayed slightly to Q3 2018.

Figure 4.7 shows the existing and proposed takeaway capacity exiting the WCSB versus forecasted supply movements. The forecasted supply movements were developed by coupling CAPP’s latest supply forecast of western Canadian production with U.S. Bakken volumes that would utilize a portion of the pipeline capacity that exits Western Canada.

Figure 4.7 WCSB Takeaway Capacity vs. Supply Forecast

million barrels per day 9.0

8.0

7.0 TransCanada Energy East Western Canadian supply + Northern Gateway U.S. Bakken movements* 6.0 Trans Mountain Expansion Keystone XL 5.0 Rail expansion Alberta Clipper Expansion 4.0 Rail - current capacity only Keystone 3.0 Enbridge Mainline 2.0 Rangeland & Milk River 1.0 Trans Mountain Express Western Canadian Refineries 0 2014 2016 2018 2020 2022 2024 2026 2028 2030 *Refers to the portion of U.S. Bakken production that is also transported on the Canadian pipeline network. Capacity shown can be reduced by temporary operating and physical constraints.

Crude Oil Forecast, Markets & Transportation 34

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GLOSSARY

API Gravity A specific gravity scale developed by the American Petroleum Institute (API) for measuring the relative density or viscosity of various petroleum liquids.

Barrel A standard oil barrel is approximately equal to 35 Imperial gallons (42 U.S. gallons) or approximately 159 litres.

Bitumen A heavy, viscous oil that must be processed extensively to convert it into a crude oil before it can be used by refineries to produce gasoline and other petroleum products.

Coker The processing unit in which bitumen is cracked into lighter fractions and withdrawn to start the conversion of bitumen into upgraded crude oil.

Condensate A mixture of mainly pentanes and heavier hydrocarbons. It may be gaseous in its reservoir state but is liquid at the conditions under which its volumes is measured or estimated.

Crude oil (Conventional) A mixture of pentanes and heavier hydrocarbons that is recovered or is recoverable at a well from an underground reservoir. It is liquid at the conditions under which its volumes is measured or estimated and includes all other hydrocarbon mixtures so recovered or recoverable except raw gas, condensate, or bitumen.

Crude oil (heavy) Crude oil is deemed, in this report, to be heavy crude oil if it has an API of 27º or less. No differentiation is made between sweet and sour crude oil that falls in the heavy category because heavy crude oil is generally sour.

Crude oil (medium) Crude oil is deemed, in this report, to be medium crude oil if it has an API greater than 27º but less than 30º. No differentiation is made between sweet and sour crude oil that falls in the medium category because medium crude oil is generally sour.

Crude oil (synthetic) A mixture of hydrocarbons, similar to crude oil, derived by upgrading bitumen from the oil sands.

Density The mass of matter per unit volume.

DilBit Bitumen that has been reduced in viscosity through addition of a diluent (or solvent) such as condensate or naphtha.

Diluent Lighter viscosity petroleum products that are used to dilute bitumen for transportation in pipelines.

Extraction A process unique to the oil sands industry, in which bitumen is separated from their source (oil sands).

Feedstock In this report, feedstock refers to the raw material supplied to a refinery or oil sands upgrader.

Integrated mining A combined mining and upgrading operation where oil sands are mined from open pits. project The bitumen is then separated from the sand and upgraded by a refining process.

In Situ recovery The process of recovering crude bitumen from oil sands by drilling.

Merchant upgrader Processing facilities that are not linked to any specific extraction project but is designed to accept raw bitumen on a contract basis from producers.

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Oil Condensate, crude oil, or a constituent of raw gas, condensate, or crude oil that is recovered in processing and is liquid at the conditions under which its volume is measured or estimated.

Oil sands Refers to a mixture of sand and other rock materials containing crude bitumen or the crude bitumen contained in those sands.

Oil Sands Deposit A natural reservoir containing or appearing to contain an accumulation of oil sands separated or appearing to be separated from any other such accumulation. The AER has designated three areas in Alberta as oil sands areas.

Oil Sands Heavy In this report, Oil Sands Heavy includes upgraded heavy sour crude oil, and bitumen to which light oil fractions (i.e. diluent or upgraded crude oil) have been added in order to reduce its viscosity and density to meet pipeline specifications.

Open Season A period of time designated by a pipeline company to determine shipper interest on a proposed project. Potential customers can indicate their interest/support by signing a transportation services agreement for capacity on the pipeline.

Pentanes Plus A mixture mainly of pentanes and heavier hydrocarbons that ordinarily may contain some butanes and is obtained from the processing of raw gas, condensate or crude oil.

PADD Petroleum Administration for Defense District that defines a market area for crude oil in the U.S.

Refined Petroleum End products in the refining process (e.g. gasoline). Products

Specification Defined properties of a crude oil or refined petroleum product.

SynBit A blend of bitumen and synthetic crude oil that has similar properties to medium sour crude oil.

Train (Manifest) Manifest trains carry multiple cargoes and make multiple stops. These are small group or single car load.

Train (Unit) Unit trains carry a single cargo and deliver a single shipment to one destination, lowering the cost and shortening the trip.

Upgrading The process that converts bitumen or heavy crude oil into a product with a lower density and viscosity.

West Texas Intermediate WTI is a light sweet crude oil, produced in the United States, which is the benchmark grade of crude oil for North American price quotations.

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Acronyms

API American Petroleum Institute AER Alberta Energy Regulator CAPP Canadian Association of Petroleum Producers EIA Energy Information Administration FERC Federal Energy Regulatory Commission IEA International Energy Agency NEB National Energy Board PADD Petroleum Administration for Defense District U.S. United States WCSB Western Canada Sedimentary Basin WTI West Texas Intermediate

Canadian Provincial Abbreviations

AB Alberta BC British Columbia MB Manitoba NWT Northwest Territories ON Ontario QC Québec SK Saskatchewan

Units

b/d barrels per day

Conversion Factor

1 cubic metre = 6.293 barrels (oil)

37 CANADIAN ASSOCIATION OF PETROLEUM PRODUCERS Page 46 of 52 Enbridge Pipelines Inc. Application Submitted to the NEB Line 3 Replacement Program Appendix 10-1

U.S. State Abbreviations NM New Mexico NY New York AL Alabama NC North Carolina AK Alaska ND North Dakota AZ Arizona OH Ohio AR Arkansas OK Oklahoma CA California OR Oregon CO Colorado PA Pennsylvania CT Connecticut SC South Carolina DE Delaware SD South Dakota FL Florida TN Tennessee GA Georgia TX Texas ID Idaho UT Utah IL Illinois VT Vermont IN Indiana VA Virginia IA Iowa VI Virgin Islands KS Kansas WA Washington KY Kentucky WV West Virginia LA Louisiana WI Wisconsin ME Maine WY Wyoming MD Maryland MA Massachusetts MI Michigan MN Minnesota MS Mississippi MO Missouri MT Montana NE Nebraska NV Nevada NH New Hampshire NJ New Jersey

Crude Oil Forecast, Markets & Transportation 38

Page 47 of 52 Enbridge Pipelines Inc. Application Submitted to the NEB Line 3 Replacement Program Appendix 10-1 5 1 8 91 36 88 91 90 313 294 381 160 639 2030 2030 1,597 5,062 1,542 3,212 1,000 4,810 6,351 6,442 1,812 3,250 5 1 8 98 36 92 98 97 308 296 984 388 163 627 2029 2029 1,553 4,897 1,535 3,092 4,645 6,180 6,278 1,768 3,129 5 1 8 37 97 305 296 116 970 393 165 615 116 115 2028 2028 1,551 4,773 1,528 2,971 4,522 6,050 6,166 1,766 3,007 1 5 9 38 302 293 139 956 395 102 169 602 139 138 2027 2027 1,558 4,617 1,519 2,821 4,379 5,898 6,038 1,761 2,856 1 6 9 39 296 291 149 938 398 108 172 589 149 148 2026 2026 1,564 4,477 1,508 2,688 4,252 5,760 5,909 1,754 2,723 1 6 39 10 292 291 175 921 404 113 172 575 175 174 2025 2025 1,520 4,294 1,497 2,550 4,070 5,567 5,742 1,710 2,584 1 6 40 10 289 291 200 907 410 119 171 561 200 199 2024 2024 1,507 4,132 1,487 2,403 3,910 5,398 5,598 1,696 2,437 1 6 41 11 285 289 209 893 414 125 171 550 209 208 2023 2023 1,455 3,927 1,479 2,253 3,708 5,186 5,395 1,642 2,285 1 7 42 11 279 285 230 877 417 132 171 538 230 229 2022 2022 1,412 3,754 1,465 2,138 3,550 5,016 5,245 1,587 2,168 1 7 43 12 274 285 239 862 424 139 171 527 239 238 2021 2021 3,588 1,457 1,993 1,404 3,397 4,854 5,093 1,566 2,022 1 7 43 13 271 285 263 849 432 146 170 514 263 262 2020 2020 3,386 1,451 1,867 1,329 3,197 4,647 4,910 1,490 1,896 1 8 44 13 269 284 307 835 439 154 170 500 307 306 2019 2019 3,174 1,443 1,772 1,214 2,986 4,429 4,736 1,374 1,800 1 8 45 14 265 283 297 824 440 157 169 491 297 296 2018 2018 2,995 1,433 1,659 1,150 2,809 4,243 4,539 1,309 1,687 1 9 46 15 263 280 238 820 440 160 169 487 238 237 2017 2017 2,841 1,428 1,546 1,114 2,659 4,088 4,326 1,269 1,572 1 9 48 16 262 277 248 821 438 160 162 486 248 247 2016 2016 2,690 1,420 1,419 1,093 2,512 3,932 4,181 1,242 1,448 1 51 10 16 261 275 227 818 436 160 156 480 227 226 2015 2015 2,448 1,409 1,269 1,003 2,272 3,681 3,908 1,149 1,299 1 51 10 17 242 265 222 779 420 953 155 150 459 222 221 2014 2014 2,281 1,350 1,153 2,106 3,456 3,678 1,098 1,183 Forecast 1 51 11 20 229 257 232 741 410 849 153 144 430 232 977 231 2013 2013 2,087 1,295 1,096 1,945 3,241 3,473 1,111 Actual 2, 1 1,2 In situ EASTERN CANADA WESTERN CANADA (incl. condensates) OIL SANDS TOTAL E. Canada Conventional W. Canada Light & Medium W. Oil Sands Manitoba Canada Heavy W. OIL SANDS (BITUMEN & UPGRADED CRUDE OIL) Oil Sands Mining OIL SANDS TOTAL Ontario Conventional Heavy Heavy Alberta Conv. N.W.T. PENTANES/CONDENSATE W. Canada Oil Production W. Conventional Light & Medium Alberta Atlantic Provinces Saskatchewan Conv. Heavy Saskatchewan Conv. W. Canada Conventional W. E. Canada Oil Production B.C. TOTAL CANADIAN OIL PRODUCTION TOTAL Saskatchewan OIL SANDS RAW BITUMEN** OIL SANDS RAW Oil Sands Mining Oil Sands In Situ CAPP Canadian Crude Oil Production Forecast 2014 – 2030 Forecast CAPP Canadian Crude Oil Production thousand barrels per day APPENDIX B.1

39 CANADIAN ASSOCIATION OF PETROLEUM PRODUCERS Page 48 of 52 Enbridge Pipelines Inc. Application Submitted to the NEB Line 3 Replacement Program Appendix 10-1 305 996 778 2030 1,301 7,455 5,681 1,774 5,376 6,154 312 980 779 2029 1,292 7,234 5,475 1,759 5,163 5,941 318 966 782 2028 1,284 7,058 5,310 1,748 4,992 5,774 320 952 787 2027 1,272 6,854 5,115 1,739 4,795 5,582 324 934 789 2026 1,258 6,662 4,938 1,724 4,614 5,403 330 917 793 2025 1,247 6,408 4,697 1,711 4,367 5,160 337 903 795 2024 1,239 6,187 4,489 1,698 4,152 4,948 342 889 791 2023 1,231 5,917 4,237 4,686 1,680 3,895 345 873 758 2022 1,218 5,707 4,076 4,489 1,631 3,731 352 858 728 2021 1,211 5,485 3,899 4,275 1,586 3,547 361 845 722 2020 1,206 5,203 3,636 3,997 1,567 3,274 . 3 369 831 686 2019 1,199 4,900 3,384 3,701 1,517 3,015 370 820 691 2018 1,190 4,660 3,148 3,469 1,511 2,778 370 816 681 2017 1,186 4,452 2,955 3,266 1,497 2,585 368 817 688 2016 1,184 4,254 2,750 3,070 1,504 2,382 365 814 729 thousand barrels per day 2015 1,179 3,935 2,393 2,756 1,542 2,027 CAPP Western Canadian Crude Oil Supply Forecast 2014-2030 CAPP Western Canadian Crude Oil Supply Forecast 348 775 727 2014 1,124 3,662 2,160 2,538 1,502 1,811 Forecast 362 737 719 2013 1,099 3,472 2,017 2,373 1,456 1,655 Actual 1 2 Includes: a) imported condensate b) manufactured diluent from upgraders and c) upgraded heavy volumes coming upgraders. Raw bitumen numbers are highlighted. The oil sands production (as historically published) a combination of upgraded crude and therefore incorporate yield losses from integrated upgrader projects. Production from off-site upgrading projects are included in the production numbers as bitumen. OIL SANDS Upgraded Light (Synthetic) TOTAL CONVENTIONAL TOTAL WESTERN CANADA OIL SUPPLY Net Conventional Heavy to Market Total Heavy Supply Total Total Light and Medium Total TOTAL OIL SANDS AND TOTAL UPGRADERS Oil Sands Heavy Total Light Supply Total CONVENTIONAL Blended Supply to Trunk Pipelines and Markets Blended Supply to Trunk APPENDIX B.2 Notes: 1. Includes upgraded conventional. 2.  Notes: 1. Atlantic Canada production includes Newfoundland & Labrador and negligible volumes from New Brunswick. Condensat es/pentanes Nova Scotia Brunswick are also added. 2. CAPP allocates Saskatchewan Area III Medium crude as heavy crude. Also 17% of IV is > 900 kg/m **  may not add up due to rounding. Totals

Crude Oil Forecast, Markets & Transportation 40 Page 49 of 52 Enbridge Pipelines Inc. Application Submitted to the NEB Line 3 Replacement Program Appendix 10-1 APPENDIX C Crude Oil Pipelines and Refineries

ENBRIDGE NW

Upgraders Syncrude (Fort McMurray) ...... 465 Suncor (Fort McMurray)...... 438 RAINBOW Shell (Scotford)...... 240 CNRL Horizon...... 135 OPTI/Nexen Long Lake...... 72 Vancouver to: Prince George 2013 Canadian Crude Oil Production Japan - 4,300 miles Husky...... 12 000 m3/d 000 b/d Taiwan - 5,600 miles S.Korea - 4,600 miles British Columbia 6 40 China - 5,100 miles Alberta 421 2,651 Edmonton Saskatchewan 77 487 For Information Contact: (403) 267-1141 / www.capp.ca San Francisco - 800 miles Imperial...... 187 Manitoba 8 51 Los Angeles - 1,100 miles Suncor ...... 142 Shell...... 100 Northwest Territories 2 11 Lloydminster Newfoundland Husky...... 29 & Labrador HUSKY Western Canada 515 3,241 North Atlantic...... 115 Vancouver Husky Upgrader...... 82 Eastern Canada 37 232 Chevron ...... 55 Total Canada 552 3,473 Regina Co-op Re—nery/ Upgrader...... 135 KEYSTONE Come by Chance Moose Jaw Puget Sound Moose Jaw...... 19 BP (Cherry Pt)...... 234 Hibernia White Rose Phillips 66 (Ferndale) 100 Hebron Shell (Anacortes)...... 150 WA Terra Nova Tesoro (Anacortes) ...120 US Oil (Tacoma)...... 39 Pipeline Tolls for Light Oil (US$ per barrel) Great Falls Edmonton to Calumet MT Rfg...... 10 Saint John Burnaby (Trans Mountain) 2.55 Irving...... 320 Anacortes (Trans Mountain/Puget) 2.80 Billings OR CHS (Laurel)...... 57 MT Montréal/Québec Saint John Sarnia (Enbridge) 4.00 Phillips 66...... 58 Suncor ...... 137 KEYSTONE Superior Chicago (Enbridge) 3.60 Valero...... 265 ExxonMobil...... 60 Calumet...... 45 Sarnia Wood River (Enbridge/Mustang/Capwood) 5.00 ID ND Imperial...... 121 Montréal ME USGC (Enbridge/Spearhead/Seaway) 7.65* Nova...... 80 MONTREAL MN Shell...... 77 TTREAEAL Hardisty to Mandan Suncor...... 85 Tesoro...... 71 Guernsey (Express/Platte ) 1.60* San Francisco Wyoming Nanticoke VT Chevron ...... 257 Little America (Casper) ...... 20 SD Imperial...... 112 Wood River (Express/Platte) 1.95* Phillips 66...... 120 Sinclair Oil (Sinclair)...... 80 St. Paul Wood River (Keystone) 4.70** Shell...... 160 NH Wyoming (Newcastle)...... 14 WY Flint Hills ...... 339 Chicago ENBRIDGE LINE 9 USGC (Keystone/TC Gulf Coast) 7.00** Tesoro...... 166 HollyFrontier (Cheyenne) ...... 52 Northern Tier...... 82 BP ...... 413 Westover Valero...... 170 WI ExxonMobil...... 250 NY MA PDV ...... 180 USEC to Montréal (Portland/Montréal) 1.50 CA NV Salt Lake City CT RI Big West ...... 35 NE Kansas MI St. James to Wood River (Capline/Capwood) 1.25 Chevron ...... 45 Pennsylvania SHELL NCRA (McPherson)...... 85 PA HollyFrontier.....31 IA Monroe Energy...... 185 HollyFrontier (El Dorado)..135 IL Detroit Warren CHEVRON Tesoro...... 58 Phil. Energy Solutions...... 330 Pipeline Tolls for Heavy Oil (US$ per barrel) CO Co¢eyville Res(Co¢eyville) 115 Marathon...... 120 United ...... 70 Flanagan Hardisty to: Denver/Commerce City KOCH (Wood River) IN Philadelphia NJ Chicago (Enbridge) 4.05 UT Suncor...... 98 New Jersey MD Cushing (Enbridge/Spearhead) 5.20 DE Phillips 66 (Bayway).....285 Oklahoma OH WV PBF (Paulsboro)...... 180 Cushing (Keystone) 6.15** PACIFIC Phillips 66 (Ponca City)...... 187 VA Axeon SP (Paulsboro).... 70 Bakers eld Cushing (Keystone) 6.50* HollyFrontier (Tulsa) ...... 125 Delaware Kern Oil...... 26 Co¢eyville Res. (Wynnewood)...... 70 KS PBF (Delaware City) .....190 Wood River (Enbridge/Mustang/Capwood) 5.85 EXXONMOBIL San Joaquin...... 15 Ohio Valero (Ardmore) ...... 90 Wood River (Keystone) 5.35** SPEARHEAD BP-Husky (Toledo)...... 160 NM SOUTH KY Wood River PBF (Toledo) ...... 170 Wood River (Express/Platte) 2.40* MO WRB ...... 314 Marathon (Canton) ...... 80 USGC (Enbridge/Spearhead/Seaway) 8.65* Los Angeles AZ Borger/McKee Robinson Husky (Lima)...... 160 Alon USA ...... 94 USGC (Keystone/TC Gulf Coast) 7.95** WRB ...... 146 OK Marathon...... 206 Marathon (Catlettsburg)...... 240 Tesoro (Carson) ...... 266 Valero...... 170 TN Mt Vernon Chevron ...... 290 Countrymark...... 27 Notes 1) Assumed exchange rate = 0.92 US$ / 1C$ (May 2014 average) PEGASUS 2) Tolls rounded to nearest 5 cents ExxonMobil...... 155 CENTURION NC Phillips 66...... 139 Memphis 3) Tolls in eœect July 1, 2014 Tesoro (Wilmington)...... 97 Valero...... 195 * 10-year committed toll Valero ...... 135 AR El Dorado Delek...... 80 **20-year committed toll Artesia Slaughter MS Big Spring SC AL GA New Mexico/W. Texas Mississippi Savannah EXXONMOBIL EXXONMOBIL Western Re—ning (El Paso)...... 128 Chevron (Pascagoula)...... 330 HollyFrontier (Artesia) ...... 100 Tyler Alabama Alon (Big Spring)...... 70 Delek...... 60 LA Hunt (Tuscaloosa) ...... 72 Area Re neries - Capacities as at Jun 1 , 2014 Shell (Saraland) ...... 85 Mississippi River (in ‘000s barrels per day) KOCH ExxonMobil (Baton Rouge)..... 503 Lake Charles TX Chalmette...... 192 Port Arthur/ Marathon (Garyville) ...... 522 Petroleum Administration for Motiva (Convent)...... 235 Houston/Texas City Beaumont FL Defense District PRSI (Pasadena) ...... 117 Motiva (Norco)...... 220 Three Rivers Valero (Norco)...... 270 Valero...... 100 Marathon (Galveston)451 Port Arthur/Beaumont Lake Charles Valero (Meraux)...... 135 Corpus Christi Shell (Deer Park)...... 340 ExxonMobil...... 365 CITGO...... 425 Phillips 66 (Belle Chasse) ...... 247 Major Existing Crude Oil Pipelines carrying CITGO...... 165 Sweeny ExxonMobil...... 584 Motiva...... 600 Phillips 66...... 239 Alon (Krotz Springs)...... 83 Flint...... 300 Phillips 66...... 247 Houston Re—ning ...... 268 Canadian crude oil Valero...... 310 Calcasieu...... 75 Shell (St. Rose) *idled* ...... 55 Valero...... 325 Marathon ...... 80 Valero (2)...... 160+245 Total...... 174 Placid (Port Allen)...... 60 Selected Other Crude Oil Pipelines

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