8 th ANNUAL PLATTS PIPELINE EXPANSION & DEVELOPMENT CONFERENCE HOUSTON, TX SEPTEMBER 17, 2013 Spectra Energy: Greg Crisp Director, Business Development
Safe Harbor Statement Some of the statements in this document concerning future company performance will be forward-looking within the meanings of the securities laws. Actual results may materially differ from those discussed in these forward-looking statements, and you should refer to the additional information contained in Spectra Energy s Form 10-K and other filings made with the SEC concerning factors that could cause those results to be different than contemplated in today's discussion. Reg G Disclosure In addition, today s discussion includes certain non-gaap financial measures as defined under SEC Regulation G. A reconciliation of those measures to the most directly comparable GAAP measures is available on our website. September 17, 2013 2
Our Strong Portfolio of Assets Connecting the largest diverse markets with growing supply 2012 Natural Gas Pipeline Throughput: 4.2 Tcf Natural Gas Transmission Pipe: 19,000 mi Natural Gas Storage Capacity: 300+ Bcf Natural Gas Gathering Pipe: 68,000 mi Crude Transmission Pipe: 1,700 mi SE Gas Processing Capacity: 3.7 Bcf/d 2Q13 DCP Processing Volume: 6.3 Tbtu/d 2Q13 DCP NGLs Produced: 412 MBbl/d Distribution Pipe: 39,000 mi Union Gas Retail Customers: 1.4 million Gas storage facility Gas processing plant Propane terminal NGL storage Shale gas formations Crude storage Major oil pipeline terminal September 17, 2013 3
U.S. Transmission Macro Environment Abundant Shale Supply Expansion Opportunities Growth Markets Marcellus production up to 10-11 Bcf/d; 2.5 Bcf/d on TETLP Delivering solutions for our customers by connecting abundant supply to our diverse and growing markets Supply Appalachian production continues to grow dramatically and requires transportation to diverse markets Demand Florida building 3 rd interstate pipeline to meet gas-fired electric generation needs Gulf Coast developing industrial, petrochemical and LNG export markets Power generation and oil-to-gas conversions bring incremental demand in Midwest and Northeast September 17, 2013 4
U.S. Transmission & Storage Projects in Execution Bobcat Storage UTICA OPEN MARCELLUS AIM TEAM 2014 Kingsport Sabal Trail NJ-NY Expansion Expansion Project In-Service New Jersey - New York Expansion 4Q13 TEAM 2014 2H14 Bobcat Storage 2013-2015 Kingsport 2013-2015 OPEN 2H15 AIM 2H16 Sabal Trail 1H17 September 17, 2013 5
New Jersey New York Expansion Project Purpose: Extends Texas Eastern reach farther into New Jersey and into New York City for the first time Project Scope: 800 MMcf/d expansion connecting Northeastern PA Marcellus supplies with a new delivery point in Manhattan CapEx: $1.2 B Customers: Chesapeake Energy Consolidated Edison Statoil Natural Gas Project Status: Filed FERC application Dec 2010 Received FERC Certificate May 2012 Construction started Jul 2012 In-Service: 4Q13 (currently ~95% complete) Facilities: 15.9 miles of new 30 pipe extending from Staten Island to Manhattan, NY Replacement of approximately 5 miles of pipe with 42 pipe on Texas Eastern 3 compressor station reversals on Algonquin and Texas Eastern Meter and regulator upgrades September 17, 2013 6
U.S. Transmission New Jersey New York Expansion Project September 17, 2013 7
U.S. Transmission New Jersey New York Expansion Project September 17, 2013 8
U.S. Transmission New Jersey New York Expansion Project September 17, 2013 9
Texas Eastern Appalachian Market TEAM 2014 Purpose: Provides Producer Customers with diverse firm path options from Marcellus region to Northeast, Midwest and Henry Hub market areas Project Scope: 600 MMcf/d expansion from southwestern PA Capex ~ $500 MM Customers: Chevron EQT Project Status: Filed FERC Certificate Application Feb 2013 Receive FERC Certificate Dec 2013 Commence Construction 1Q14 In-service 4Q14 TEAM 2014 Preliminary Facilities: 33.5 miles of 36 loop extension (7 locations) 4 new compressor units, various up-rates and retirements (net 77,100 Hp addition) Piping and valve modifications for mainline reversals at various compressor station yards September 17, 2013 10
Kingsport Projects Purpose: Provides additional firm transportation capacity to support supply diversity for Eastman Chemical Company s power generation facility in Kingsport, Tennessee Project Scope: 25 MMcf/d of firm capacity in-service: 4Q13 61 MMcf/d of firm capacity in-service: 1Q15 CapEx: $120 MM Customers: Eastman Chemical Company Project Status: Executed precedent agreement Jan 2013 FERC filing Aug 2013 Facilities: Replacing 5.8 miles of 8 pipe with 24 pipe on East Tennessee 5.4 miles of new pipeline loop and 4.1 miles of new 16 pipeline expansion Various Glade Spring station modifications September 17, 2013 11
Ohio Pipeline Energy Network OPEN Purpose: Attach emerging Ohio Marcellus and Utica natural gas supplies to new markets Project Scope: 550 MMcf/d expansion of Texas Eastern CapEx: $500MM Customers: 2 anchor shippers, including Chesapeake Energy Marketing Project Status: FERC pre-filing commenced Jun 2013 File FERC application Q1 2014 Receive FERC certificate Q1 2015 Commence construction Q2 2015 In-service 2H15 Facilities: 73 miles of 30-inch pipe from Texas Easter s Clarington Station north to Kensington Processing Plant New 18,800 horsepower compressor station Reversing 5 existing stations along the system, 139,450 horsepower of mainline compression reversals September 17, 2013 12
Algonquin Incremental Market AIM Expansion Purpose: Provide growing New England demand with access to abundant regional natural gas supplies Project Scope: Providing more than 300 MMcf/d of additional capacity to move Marcellus production to Algonquin City Gates CapEx: ~$850MM Customers: UIL Holdings Northeast Utilities National Grid NiSource Project Status: FERC pre-filing commenced June 2013 File FERC application 1Q14 Receive FERC certificate 1Q15 Commence construction 2Q15 In-service 2H16 Regional Supply Facilities: Take up and relay portions of existing 26 with 42 Additional horsepower at almost every compressor station Expansion of constrained parts of the pipeline system Upgrades of meter stations to accommodate incremental flow September 17, 2013 13
Sabal Trail Transmission, LLC Sabal Trail Transmission, LLC is a joint venture between affiliates of Spectra Energy Corp and NextEra Energy, Inc. Purpose: New interstate pipeline into Florida providing access to reliable onshore natural gas supply Project Scope: 1+ Bcf/d of capacity connecting Transco Station 85 supply to Florida power generation market CapEx: ~$3B (100%) Customers: Florida Power & Light Additional customers expected Project Status: Open Season 3Q13 FERC pre-file 4Q13 File FERC application 4Q14 Receive FERC certificate 4Q15 Commence construction 2Q16 In-service 1H17 Facilities: ~480 miles of 36-inch diameter greenfield pipeline 5 new compressor stations totaling up to 210,000 horsepower; new meter and regulator stations Structured Transco lease extending from Transco Station 85 to greenfield pipeline September 17, 2013 14
U.S. Transmission Future Growth Opportunities NEXUS U2GC Eastern Canada & New England Supply diversity Oil-to-gas conversions Power generation LNG export potential Northeast & Mid-Atlantic Power generation Industrial markets LNG export potential Gulf Markets Expansion SOLA Renaissance Midwest & Ontario LDC supply diversity Power generation Industrial markets Southeast ~1.8 Bcf/d of coal conversions and incremental growth Gulf Coast Industrial, petrochemical & power generation LNG export markets September 17, 2013 15
U.S. Transmission Projects in Development Project Uniontown to Gas City (U2GC) Description Capacity MDth/d Expected In-Service Appalachian supply to Midwest markets 425 2H15 South Louisiana Expansion (SOLA) Gulf Markets Expansion Expansion of Texas Eastern to serve industrial markets in South Louisiana Supplying the Gulf Coast with diverse gas supplies from both ends of Texas Eastern 600 1H16 650 2H16/2H17 Renaissance Appalachian supply to Northern Georgia & Atlanta markets 1,300 1H17 NEXUS Providing Appalachian producers access to Eastern Canada LDC & power markets 1,000 2H17 September 17, 2013 16
Company of Choice Connected to Abundant Supplies Connected to High-Demand Markets Proven Execution Ability September 17, 2013 17
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