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Operations technicians Greg Bowman, left, and Marty
Gaunder, right, head out past Cushing's tanks to perform
a maintenance check on the pipelines.

Operations technicians Greg Bowman, left, and Marty Gaunder, right, head out past Cushing's tanks to perform a maintenance check on the pipelines.

Liquids Business

Mid-Continent System

Our Mid-Continent System consists of 480 miles of pipeline and includes the Ozark and West Tulsa Pipelines. The Ozark Pipeline transports crude oil from Cushing to Wood River, Ill., serving refineries in the U.S. Mid-Continent region. In addition, there are 96 storage tanks, ranging in size from 55,000 to 575,000 barrels, at our Cushing and El Dorado, Kan., terminals with a total capacity of 15.9 million barrels. In 2009, the Mid- Continent System recorded average deliveries of 238,000 Bpd. In early 2009, Enbridge Inc. completed a 68,300 Bpd expansion of its Spearhead Pipeline to a capacity of approximately 193,300 Bpd. The Spearhead Pipeline interconnects with our Lakehead System.

North Dakota System

The Partnership's North Dakota System continues to provide a vital transportation route for producers in eastern Montana, North Dakota and southern Saskatchewan seeking to transport growing, market-constrained supplies of crude oil sourced from the Bakken Play to refineries in the U.S. Midwest and beyond through deliveries into our Lakehead System and into a third-party pipeline at Clearbrook, Minn. The North Dakota System comprises approximately 240 miles of crude oil gathering and a 730-mile transmission pipeline. The Phase VI expansion of the North Dakota System was completed at the end of 2009 and placed into service on Jan. 1, 2010. This expansion— which included upgrades to pumping stations, additional tankage and extensive use of drag reducing agents—increased the North Dakota System's capacity from 110,000 Bpd to 161,000 Bpd.

looking forward

In 2010, we will be proposing increased storage capacity at our Cushing terminal, a critical hub in our infrastructure. We also will be focused on continued expansion of our North Dakota System as producers look to get oil sourced from the Bakken play to Midwestern refining markets. With the 2009 completion of our Southern Access Expansion and with the Alberta Clipper project slated to come online in April 2010, sufficient capacity exists on our mainline system to ensure our ability to deliver secure, reliable North American-sourced crude oil to U.S. and Canadian markets.