Enbridge (ENB.TO) entered a definitive agreement with KKR to form a new joint venture that will invest C$2.7 billion to fund the Aspen Point and Sunrise expansion programs, which are part of the Westcoast natural gas pipeline system in British Columbia.
Under the terms, KKR and Apollo will make the investments, including C$700 million to Enbridge for an indirect, cumulative 29% interest in the Westcoast system, Enbridge said Thursday.
Enbridge said the transaction will allow the company to recycle capital, strengthen balance sheet, and maintain financial flexibility while advancing growth opportunities.
The company expects the Aspen Point expansion program to enter service in 2026, followed by the Sunrise expansion program in late 2028.