Alliance Pipeline Monetizing Gas & NGLs. Jason Feit Business Development Manager Platt's 6 th Annual Rockies Oil & Gas Conference

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1 Alliance Pipeline Monetizing Gas & NGLs Jason Feit Business Development Manager Platt's 6 th Annual Rockies Oil & Gas Conference

2 Forward looking statements and information Certain information contained in this [presentation], including use of the words anticipate, expects, and expected to, constitute forward looking statements and information. Although Alliance [Canada or US] believes that these statements are based on information and assumptions which are current, reasonable and complete, these statements are necessarily subject to a variety of risks and uncertainties including, but not limited to, future operating performance, regulation, economic conditions and fundamentals affecting the oil and gas producing and marketing industries. Should one or more of these risks or uncertainties materialize or fail to materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those expected.

3 Ownership structure Strong and stable ownership: 50% Enbridge Inc. TSX:ENB / NYSE:ENB 50% Veresen TSX:VSN Key Locations Alliance Pipeline Ltd. Calgary, Alberta Alliance Pipeline L.P. Eden Prairie, Minnesota North Dakota Area Office Valley City, ND Joliet, Illinois - market deliveries 3

4 Traversing the Prolific Montney and Bakken 2,400 miles of 36 pipe 11 years of safe operations Transport capacity of 1.6 Bcfd of which Bcfd contracted through 2015 Over 6 Tcf has been transported since start-up Receiving dense phase gas up to 1,500 btu/scf 4

Technology Pipelines are one of the safest methods of transporting hydrocarbon products Alliance is one of the newest and most modern pipeline systems in North America, built using the most advanced

5 Technology Pipelines are one of the safest methods of transporting hydrocarbon products Alliance is one of the newest and most modern pipeline systems in North America, built using the most advanced design and technology available at the time 20% to 50% thicker than most operating pipelines, which helps prevent damage from external forces, and reduces the possibility of failure caused by corrosion The pipeline can also be remotely operated and monitored from a central site and an advanced leak detection system will warn our control center of even the smallest leaks

Advanced Reliability Driven by industry-leading standards and a rigorous integrity management plan, Alliance consistently delivers exceptional reliability Alliance s fleet of GE jet turbines,

6 Advanced Reliability Driven by industry-leading standards and a rigorous integrity management plan, Alliance consistently delivers exceptional reliability Alliance s fleet of GE jet turbines, used for compression, leads the industry in providing consistent and reliable service 2011 reliability: 99.91% Alliance customers can be confident their product is on the move to market as planned

Cost Effective Solution for Gas & NGLs Alliance is optimized to ship liquids-rich natural gas with NGL processing facilities in place at the terminus of our line in Chicago Shipping NGLs within the

7 Cost Effective Solution for Gas & NGLs Alliance is optimized to ship liquids-rich natural gas with NGL processing facilities in place at the terminus of our line in Chicago Shipping NGLs within the gas stream: Eliminates requirement for customers to invest in costly upstream processing facilities Enables E&P customers to focus on their core business getting gas and liquids out of the ground Creates optionality for midstream and marketing companies Provides an economic advantage by processing NGLs at a world-scale plant with significant economies of scale

8 Typical Gas Processing Flow Avoided Capital Costs

Alliance Reduces a Producer s Capital Costs & Frees Up Constrained Resources Alliance allows shippers to

market in a commingled stream Reduces field processing costs Eliminates concerns related to gas flaring

redeploy human capital Offers a safer and more efficient option Less impacted by weather Reduces local

9 Alliance Reduces a Producer s Capital Costs & Frees Up Constrained Resources Alliance allows shippers to avoid the need for two pipelines or excessive trucking/railing as it can transport both liquids and gas to market in a commingled stream Reduces field processing costs Eliminates concerns related to gas flaring Allows producers to focus capital at the drill bit Frees up resources truck drivers, plant operators, redeploy human capital Offers a safer and more efficient option Less impacted by weather Reduces local vehicle traffic More environmentally friendly 9 Shallow Cut Deep Cut Inlet Separation Fractionation (Ethane, Propane, Butane & Pentanes +)

10 Barrels per Day (000 s) NGLs Transported on Alliance C5+ NC4 IC4 C3 C2 N.D. NGLs

Supply Story Within 25 Miles of APL Production within 25 Miles (40 Kms) of APL has grown 14% since 2001 to nearly 6 Bcf/d while overall WCSB production has declined 15% ~ 1/3 of WCSB production lies

11 Supply Story Within 25 Miles of APL Production within 25 Miles (40 Kms) of APL has grown 14% since 2001 to nearly 6 Bcf/d while overall WCSB production has declined 15% ~ 1/3 of WCSB production lies within the 25 mile radius of Alliance APL forecasts that by 2020 production within this radius will grow another 35% over 2010 levels Alliance s close proximity to the growth allows connection for relatively low cost 11

12 North Dakota Gas Production 12 Source: North Dakota Pipeline Authority

13 13 New Natural Gas Pipeline Infrastructure will Reduce Flaring in North Dakota

14 14 North Dakota Forecast Comparison

15 Alliance Pipeline Operations in North Dakota 324 miles of pipelines in North Dakota 3 compressor stations Towner Wimbledon Fairmount 15 Current Receipt Location Bantry ND Planned Receipt Location Tioga ND Delivery Interconnections: Hankinson, ND Rosholt, SD

16 Alliance Assets in North Dakota

17 Tioga Lateral Project Moving Gas and NGLs to the Chicago Market 17 Designed to transport gas and NGLs Shipping NGLs within the gas stream lowers cost of transport Reduces expensive upstream processing facilities Allows producers to focus capital at the drill bit

Tioga Lateral Project Benefits: Reduced flaring of Bakken Natural Gas Increased potential economic value for: Mineral Owners Energy Companies State of North Dakota Reduced green-house

18 Tioga Lateral Project Benefits: Reduced flaring of Bakken Natural Gas Increased potential economic value for: Mineral Owners Energy Companies State of North Dakota Reduced green-house gas emissions in ND Increased domestic energy to Midwest markets Local economic benefits: Incremental tax revenue Construction jobs Local service jobs (restaurants / hotels / etc.) 18

Tioga Lateral Project Application & Timeline: Application filed with the Federal Energy Regulatory Commission (FERC) Detailed Environmental, Cultural, Historical and Routing Survey requirements

19 Tioga Lateral Project Application & Timeline: Application filed with the Federal Energy Regulatory Commission (FERC) Detailed Environmental, Cultural, Historical and Routing Survey requirements Proactive system design focused on safety Diligent Public Consultation opportunities Pipeline 80 miles: 12 inch Max Pressure: 2160 psi Pending FERC approval: Construction: Oct 2012 May 2013 In Service: July

20 20 Reaching Beyond Tioga Next Steps

ACE Hub Alliance Chicago Exchange ACE Hub Services: Enhanced Title Transfers An administrative, no-charge service that enables gas

nomination of the gas under a Park and Loan transaction Wheeling Interruptible Wheeling (IW) service provides transportation between

the pipelines system s operationally available line pack capacity Alliance ACE Connection Points NICOR NGPL Midwest gas Transmission

21 ACE Hub Alliance Chicago Exchange ACE Hub Services: Enhanced Title Transfers An administrative, no-charge service that enables gas transported by FT-1 shippers to the ACE Hub to transfer title to others for: delivery, title transfer to another shipper; and or nomination of the gas under a Park and Loan transaction Wheeling Interruptible Wheeling (IW) service provides transportation between points in the ACE Hub via displacement Park and Loan (PAL) This service provides the ability to park gas or obtain a loan of gas utilizing the pipelines system s operationally available line pack capacity Alliance ACE Connection Points NICOR NGPL Midwest gas Transmission Guardian Pipeline Vector Pipeline ANR Pipeline Peoples Gas Light AuxSable 21 Questions? Contact Alliance Customer Service Price Desk Hotline (403) option 4

22 Closing Comments Alliance is optimized to ship liquids-rich natural gas with NGL processing facilities in place at the terminus of our line in Chicago Shipping NGLs within the gas stream Eliminates requirement for customers to invest in costly upstream processing facilities Enables E&P customers to focus assets on their core business getting gas and liquids out of the ground Tioga Lateral - anticipated in-service date of July 2013 Alliance looking for opportunities to grow 22

23 Contacts Jason Feit Business Development Manager Direct: (403) Bob Blattler Manager, Supply Development Direct: (403)

Alliance Pipeline. BMO Western Canadian Tour

Alliance Pipeline. BMO Western Canadian Tour Alliance Pipeline BMO Western Canadian Tour September 16, 2014 Forward-Looking Information Certain information contained in this presentation constitutes forwardlooking statements. The words anticipate,