Canadian midstream operator Enbridge has approved final investment decisions on two new gas transmission projects, marking a strategic expansion to meet rising demand across North America. The company is moving ahead with the Algonquin Reliable Affordable Resilient Enhancement project, known as the AGT Enhancement, and the Eiger Express Pipeline, a large-scale development tied to its Matterhorn joint venture.
Expanding Capacity in the Northeast
The AGT Enhancement project is designed to strengthen Enbridge’s existing Algonquin gas transmission system, which plays a critical role in supplying natural gas to the northeastern United States. The project will deliver an additional 75 million cubic feet per day of natural gas to local distribution companies in the region.
Estimated at a cost of $300 million, the AGT Enhancement involves upgrades within or adjacent to existing rights-of-way. This approach reduces environmental and permitting hurdles while ensuring affordability and reliability for customers. The initiative is also aimed at dampening winter price volatility, which has long been a challenge for the Northeast due to high heating demand and constrained pipeline infrastructure.
Enbridge has secured long-term contracts with investment-grade counterparties to anchor the project, providing commercial certainty and a clear path for regulatory approvals. Pending the completion of those approvals, construction is scheduled to finish by 2029.
Cynthia Hansen, executive vice president and president of Enbridge Gas Transmission, emphasized the strategic importance of the development. “These announcements highlight the benefits of our scale and demonstrate our ability to support both regional demand in the Northeast and growing LNG exports from the Gulf Coast,” Hansen said.
Linking the Permian to Gulf Coast Markets
In parallel, Enbridge and its partners in the Matterhorn joint venture are moving ahead with the Eiger Express Pipeline, a project that will move significant volumes of natural gas from the Permian Basin to Gulf Coast markets.
The pipeline is designed to transport up to 2.5 billion cubic feet per day over approximately 450 miles, terminating in the Katy, Texas area. Its completion, targeted for 2028, will expand takeaway options for Permian producers and feed gas into Gulf Coast LNG export terminals.
The Eiger Express will be supported by long-term transportation agreements with primarily investment-grade counterparties, adding stability to the commercial structure. It also builds on the existing assets of the Whistler Parent joint venture, further reinforcing Enbridge’s growing footprint in the U.S. gas transportation network.
By holding a significant equity stake in 10 billion cubic feet per day of long-haul Permian Basin capacity, Enbridge is positioning itself as a central player in linking upstream production with global LNG markets. The Gulf Coast has become the epicenter of U.S. LNG growth, and pipelines like Eiger Express will be vital in ensuring reliable feedstock supply for liquefaction plants under construction and expansion.
Strengthening Long-Term Growth
Enbridge continues to advance a suite of projects that extend its growth profile through the end of the decade. At its March 2025 Investor Day, the company announced a C$2 billion ($1.3 billion) upgrade program for its mainline network through 2028, underscoring its commitment to building out essential energy infrastructure.
The new FIDs on the AGT Enhancement and Eiger Express projects are part of that larger vision. Together, they demonstrate how Enbridge is balancing regional reliability with the global demand pull from LNG exports. While the Northeast requires incremental gas to support residential and commercial customers, the Permian-to-Gulf connection strengthens the role of U.S. natural gas in global energy trade.
For Enbridge, these developments highlight both the scale of its asset base and its ability to align new infrastructure with long-term demand signals. The projects reinforce the company’s view that natural gas will remain central to North American energy security and international market growth well into the 2030s.
