Canadian pipeline company Enbridge Inc. (ENB, ENB.T) said Tuesday it will invest US$500 million in a 250-megawatt wind power project in Colorado.
Calgary-based Enbridge will own and operate the Cedar Point Wind Energy Project located 80 miles east of Denver. Colorado-based Renewable Energy Systems Americas Inc. will build the 139-turbine project, which is expected to be complete in late 2011. Cedar Point will start adding to Enbridge's earnings per share beginning in 2012, its first year of operation, the company said.
Enbridge's primary business is operating oil and gas pipelines, but last year the company set a goal of generating a kilowatt of electricity from renewable energy sources for every kilowatt consumed by its operations.
Including the Cedar Point project, Enbridge has invested in renewable energy projects with a total capacity of 800 megawatts, or enough electricity to power about 260,000 homes.
"The investment in Cedar Point bolsters our already strong portfolio of green energy projects and establishes a beachhead for future investment into the growing U.S. green energy market," said Al Monaco, Enbridge's vice president for major projects and green energy.
Colorado has the second-highest renewable energy target in the U.S., after California. It aims to generate 30% of its electricity from renewable energy by 2020.
Enbridge shares closed down 3.7% Tuesday at $46.03.
