Enbridge Reports Strong Results

Enbridge Inc.(TSX: ENB) reports strong results for third quarter.

Highlights

- Adjusted operating earnings increase 11% for the nine months ended September 30, 2005

- Adjusted operating earnings for the third quarter increase 17% to $73.9 million

- Continued progress on multiple liquids pipeline development projects

- Recent hurricanes cause temporary volume declines for offshore gas transmission assets

- Board of Directors approves an increase in common share dividends of 15%

"This has been another strong quarter for Enbridge, notwithstanding the effects of two severe hurricanes and the resulting stress on our employees," said Patrick D. Daniel, President & Chief Executive Officer of Enbridge Inc. "While our offshore assets will continue to be negatively affected in the fourth quarter, Enbridge's full year performance and longer term outlook remain very bright, due to the diversity and quality of our asset base. Enbridge continues to anticipate full year 2005 adjusted operating earnings will be within the previously noted $1.60 to $1.65 per share range."

"Enbridge continues to actively develop and advance an unprecedented number of organic growth projects totaling more than $8 billion. During a busy quarter, we achieved some key milestones, evidencing our progress. We announced founding shipper agreements underpinning our $400 million Waupisoo oil sands feeder pipeline to Edmonton and successfully completed our shipper open season processes for the $1.3 billion Southern Access pipeline expansion to the U.S. Midwest and the $1.7 billion Gateway import condensate pipeline from Kitimat, B.C. to Edmonton, Alberta".

Mr. Daniel concluded, "As a result of this tremendous portfolio of opportunities, we are very confident that we will achieve organic growth rates on average over the next five years of 6% or more. We will continue to pursue accretive acquisitions on an opportunistic basis, as a supplementary source of growth, acknowledging that the current M&A price environment is challenging."

Based on this positive outlook, and taking into consideration the increased attractiveness that many investors are assigning to dividend income, the Board of Directors has approved a revised dividend policy for Enbridge. Going forward, Enbridge will target to pay out approximately 60%-70% of earnings, an increase from the recent 50% to 60% target range. The Board also determined that it would be appropriate to adjust the quarterly dividend immediately to bring it into alignment with the new target range. Enbridge retains ample balance sheet capacity, together with internally generated funds and access to capital markets, to maintain our strong credit rating and fund our large portfolio of organic growth projects as they are put in place, plus opportunistic acquisitions. The resulting combination of strong long term growth and favourable near term cash payout will provide our investors with an attractive value proposition and one that is unparalleled in our industry."

On November 2, 2005, the Enbridge Board of Directors declared quarterly dividends of $0.2875 per common share reflecting a 15% increase and $0.34375 per Series A Preferred Share. Both dividends are payable on December 1, 2005 to shareholders of record on November 15, 2005.

Earnings applicable to common shareholders are $382.0 million for the nine months ended September 30, 2005, or $1.13 per share, compared with $540.5 million, or $1.62 per share, in 2004. The $158.5 million decrease in earnings is primarily the result of the prior year including an after tax $97.8 million gain on the sale of Altagas Trust Units as well as the resulting absence of earnings from this investment in 2005. In addition, the 2004 earnings were higher as a result of the previously announced change in the year-end of the gas distribution operations that creates a lack of comparability between periods. Positive factors in 2005 include the earnings contribution from the recently acquired Enbridge Offshore Pipelines and lower interest expense.

Earnings applicable to common shareholders are $67.8 million for the three months ended September 30, 2005, or $0.20 per share, compared with $179.7 million, or $0.54 per share, in 2004. The third quarter results reflect similar factors as the nine month results with the largest item being the $97.8 million gain on the sale of AltaGas in the prior year.

Consolidated Earnings

                               Three months ended  Nine months ended
(millions of Canadian dollars)       September 30,      September 30,
---------------------------------------------------------------------
                                    2005     2004      2005     2004
---------------------------------------------------------------------
Liquids Pipelines                   61.6     61.6     168.2    167.9
Gas Pipelines                        9.9     12.3      46.9     39.2
Sponsored Investments               11.4     19.5      44.3     49.5
Gas Distribution and Services(1)   (20.8)    86.1     109.9    296.5
International                       21.0     16.1      59.6     53.6
Corporate                          (15.3)   (15.9)    (46.9)   (66.2)
---------------------------------------------------------------------
                                    67.8    179.7     382.0    540.5
---------------------------------------------------------------------
---------------------------------------------------------------------

(1) Consolidated earnings for 2005 reflect earnings from Enbridge
    Gas Distribution (EGD), Noverco and Other Gas Distribution
    Operations on a calendar year basis for the three and nine months
    ended September 30, 2005; whereas, earnings for 2004 reflect
    earnings from EGD, Noverco and Other Gas Distribution Operations
    on a quarter-lag basis for the three and nine months ended
    June 30, 2004. Effective December 31, 2004, EGD changed its
    fiscal year-end for financial reporting purposes from September
    30 to December 31. Accordingly, the 2004 earnings from EGD,
    Noverco and Other Gas Distribution Operations are not comparable
    to earnings for 2005. Reconciliations are provided below.

Non-GAAP Measures

This news release contains references to adjusted operating earnings, which represent earnings applicable to common shareholders adjusted for non-operating factors. This is not a measure that has a standardized meaning prescribed by Canadian generally accepted accounting principles (GAAP) and is not considered a GAAP measure. Therefore, this measure may not be comparable to a similar measure presented by other issuers. Management believes that the presentation of adjusted operating earnings provides useful information to investors and shareholders as it provides clear earnings trends and increased predictive value.


---------------------------------------------------------------------
                               Three months ended  Nine months ended
(millions of Canadian dollars)       September 30,      September 30,
---------------------------------------------------------------------
                                    2005     2004      2005     2004
---------------------------------------------------------------------
Consolidated GAAP earnings          67.8    179.7     382.0    540.5
Non-operating factors and
 variances as per table below        6.1   (116.7)     (7.5)  (203.4)
---------------------------------------------------------------------
Adjusted Operating Earnings         73.9     63.0     374.5    337.1
---------------------------------------------------------------------
---------------------------------------------------------------------


Significant non-operating factors and variances (after tax) affecting
consolidated earnings are as follows:

---------------------------------------------------------------------
                               Three months ended  Nine months ended
(millions of Canadian dollars)       September 30,      September 30,
---------------------------------------------------------------------
                                    2005     2004      2005     2004
---------------------------------------------------------------------
Sponsored Investments
 Dilution gains on EEP
  unit issuance                        -      6.7       4.6      7.6
 EEP non-cash derivative
  fair value losses                 (5.9)       -      (5.9)       -

Gas Distribution and Services
 Quarter lag earnings of EGD,
  Noverco and other(1)                 -    (21.7)        -    157.7
 Calendar basis earnings
  of EGD, Noverco and other(1)         -     41.1         -    (89.6)
 Colder/(warmer) than normal
  weather at EGD                    (0.2)     1.1       1.5     21.3
 Elimination of seasonal
  distribution rates at EGD            -     (8.3)        -        -
 Dilution gain in Noverco
  (Gaz Metro unit issuance)            -        -       7.3        -
 Gain on sale of investment
  in AltaGas Income Trust              -     97.8         -     97.8
 Dilution gain
 (AltaGas Income Trust)                -        -         -      8.0
 Revalue future income taxes
  due to tax rate changes              -        -         -      0.6
---------------------------------------------------------------------

Total significant
 non-operating factors
 and variances increasing/
 (decreasing) earnings              (6.1)   116.7       7.5    203.4
---------------------------------------------------------------------
---------------------------------------------------------------------

(1) Effective December 31, 2004, EGD's fiscal year-end changed from
    September 30 to December 31 and EGD is no longer consolidated on
    a quarter-lag basis. In order to compare 2004 earnings to 2005,
    the 2004 earnings for EGD, Noverco and Other Gas Distribution
    Operations for the three and nine months ended June 30, 2004,
    have been eliminated and earnings, for the three and nine months
    ended September 30, 2004, have been added. Other non-operating
    factors and variances that affected these businesses in 2004 are
    for the three and nine months ended September 30, 2004, as was
    reported in the Company's fourth quarter results for 2004.

Significant operating factors affecting consolidated earnings in 2005 include the following:

- Enbridge Offshore Pipelines, acquired December 31, 2004, contributes positive earnings.

- There are no earnings from AltaGas in 2005 as the investment was sold in 2004.

- Corporate costs are lower primarily as a result of lower interest expense.

The Company has foreign currency denominated earnings, primarily from U.S. based operations and investments, as well as its Euro investment in CLH. The Company uses long-term derivative contracts to economically hedge a significant portion of the cash distributions related to these long-term investments. However, this does not eliminate the earnings volatility caused by exchange rate differences. During the nine months ended September 30, 2005, the Company received foreign currency denominated cash distributions and settled associated hedge transactions resulting in $9.9 million (2004 - $5.1 million) of incremental cash flows, which is not included in reported earnings.

Liquids Pipelines

                               Three months ended  Nine months ended
(millions of Canadian dollars)       September 30,      September 30,
---------------------------------------------------------------------
                                    2005     2004      2005     2004
---------------------------------------------------------------------
Enbridge System                     45.4     47.9     123.8    130.6
Athabasca System                    13.1     11.6      36.8     32.6
NW System                            2.0      1.8       5.7      5.7
Feeder Pipelines and Other           1.1      0.3       1.9     (1.0)
---------------------------------------------------------------------
                                    61.6     61.6     168.2    167.9
---------------------------------------------------------------------
---------------------------------------------------------------------

- Enbridge System earnings include a lower earnings base from the Incentive Tolling Settlement (ITS) component of the Enbridge System reflecting the terms of the ITS memorandum of understanding, recently negotiated with the Canadian Association of Petroleum Producers and filed with the National Energy Board. Also contributing to the earnings variance in the Enbridge System are increased oil losses, predominantly in the first quarter, and higher taxes relating to Terrace.

- Increased earnings from the Athabasca System are consistent with the overall return underpinning the long-term take or pay contract with its major shipper as well as lower operating costs due to leak remediation in the prior year.

- The year to date earnings variance in Feeder Pipelines and Other is the result of Federal Energy Regulatory Commission ordered reparations on the Frontier Pipeline recorded in the first quarter of 2004.

Gas Pipelines

                               Three months ended  Nine months ended
(millions of Canadian dollars)       September 30,      September 30,
---------------------------------------------------------------------
                                    2005     2004      2005     2004
---------------------------------------------------------------------
Alliance Pipeline (US)               8.0      8.8      24.4     27.5
Enbridge Offshore Pipelines         (1.7)       -      10.9        -
Vector Pipeline                      3.6      3.5      11.6     11.7
---------------------------------------------------------------------
                                     9.9     12.3      46.9     39.2
---------------------------------------------------------------------
---------------------------------------------------------------------

- Alliance Pipeline (US) earnings variance primarily reflects the impact of the stronger Canadian dollar in 2005.

- Enbridge Offshore Pipelines was acquired on December 31, 2004. Hurricanes Katrina and Rita have negatively affected transmission volumes and the results of this business. The quarterly result includes property insurance deductibles as well as lost revenue on various systems prior to the commencement of contingent business interruption insurance coverage. The combined effect of the property damage deductibles and the estimated lost revenue reduced expected third quarter earnings by approximately $10 million.

- Vector Pipeline earnings reflect the positive effect of continued growth in short haul firm transportation volumes offset by the negative impact of the stronger Canadian dollar in 2005.

Sponsored Investments

                               Three months ended  Nine months ended
(millions of Canadian dollars)       September 30,      September 30,
---------------------------------------------------------------------
                                    2005     2004      2005     2004
---------------------------------------------------------------------
Enbridge Income Fund (EIF)           9.1      6.9      25.8     21.9
Enbridge Energy Partners (EEP)       2.3      5.9      13.9     20.0
Dilution Gains (EEP)                   -      6.7       4.6      7.6
---------------------------------------------------------------------
                                    11.4     19.5      44.3     49.5
---------------------------------------------------------------------
---------------------------------------------------------------------

- The 2005 results from EIF include higher preferred unit distributions as well as higher incentive income consistent with EIF's cash distribution increases in 2004. EIF's operating results benefited from enhanced performance at both Alliance Canada and the Saskatchewan System.

- EEP's 2005 results reflect a number of factors including positive contributions from natural gas systems offset by lower Lakehead System volumes, a stronger Canadian dollar, a lower ownership interest and $5.9 million (net to Enbridge) of unrealized mark-to-market losses on derivative financial instruments which do not qualify for hedge accounting treatment. While Enbridge believes the hedging strategies are sound economic hedging techniques, they do not qualify for hedge accounting and must be accounted for on a mark-to-market basis through earnings.

- EEP issued partnership units in 2005 and 2004 and because Enbridge did not fully participate in these offerings, dilution gains resulted.

Gas Distribution and Services

                               Three months ended  Nine months ended
(millions of Canadian dollars)       September 30,      September 30,
---------------------------------------------------------------------
                                    2005     2004      2005     2004
---------------------------------------------------------------------

Enbridge Gas Distribution(1)       (32.9)   (22.7)     55.4    121.2
Noverco(1)                           1.9     (0.1)     21.7     28.5
CustomerWorks/ECS                    6.6      3.4      18.9     12.6
Other Gas Distribution
 Operations(1)                      (1.0)     1.1       4.9      8.0
Enbridge Gas New Brunswick           1.8      1.1       3.8      2.8
Gas Services                        (0.8)     0.8      (0.9)    (0.2)
Aux Sable                            2.4      3.9       6.2      3.4
AltaGas Income Trust
 (investment sold in 2004)             -      0.8         -     21.1
Gain on sale of AltaGas
 Income Trust Units                    -     97.8         -     97.8
Other                                1.2        -      (0.1)     1.3
---------------------------------------------------------------------
                                   (20.8)    86.1     109.9    296.5
---------------------------------------------------------------------
---------------------------------------------------------------------

(1) Earnings for 2005 are on a calendar year basis for the three and
    nine months ended September 30, 2005; whereas earnings for 2004
    reflect earnings on a quarter-lag basis for the three and nine
    months ended June 30, 2004.  Effective December 31, 2004, EGD
    changed its fiscal year-end for financial reporting purposes from
    September 30 to December 31.  Accordingly, the 2004 earnings from
    EGD, Noverco and Other Gas Distribution Operations are not
    comparable to earnings for 2005.  Reconciliations are
    provided below.


                               Three months ended  Nine months ended
(millions of Canadian dollars)       September 30,      September 30,
---------------------------------------------------------------------
                                    2005     2004      2005     2004
---------------------------------------------------------------------

Enbridge Gas Distribution
 - as reported                     (32.9)   (22.7)     55.4    121.2
Significant non-operating
 factors and variances:
 quarter lag earnings(1)               -     22.7         -   (121.2)
 calendar basis earnings(2)            -    (36.1)        -     73.6
 warmer/(colder) than
  normal weather                     0.2     (1.1)     (1.5)   (21.3)
 elimination of seasonal
  distribution rates                   -      8.3         -        -
---------------------------------------------------------------------
                                   (32.7)   (28.9)     53.9     52.3
---------------------------------------------------------------------
---------------------------------------------------------------------

(1) These earnings are for the three and nine months ended June 30,
    2004 and were included in Enbridge's consolidated earnings for
    the period ended September 30, 2004.
(2) These earnings are for the three and nine months ended September
    30, 2004 and were included in Enbridge's consolidated earnings
    for the year ended December 31, 2004.

- EGD's 2005 regulatory decision eliminated seasonal distribution rates, which were higher in the winter months and lower in the summer months, and replaced them with a uniform annual rate. Commencing in 2005, this shifts a portion of earnings from the winter months to the summer months. The seasonal distribution rate variance, noted in the above table, is the effect of applying the uniform rate to 2004 results and volumes.

- EGD earnings are consistent with the prior year. The third quarter variance at EGD reflects the timing of various expenses as compared to the forecast cost of service that is included in revenues, and is a reversal of the trend identified in the prior quarter.

                               Three months ended  Nine months ended
(millions of Canadian dollars)       September 30,      September 30,
---------------------------------------------------------------------
                                    2005     2004      2005     2004
---------------------------------------------------------------------

Noverco - as reported                1.9     (0.1)     21.7     28.5
Significant non-operating
 factors and variances:
 quarter lag earnings(1)               -      0.1         -    (28.5)
 calendar basis earnings(2)            -     (3.7)        -     11.2
 dilution gain in Noverco
  (Gaz Metro unit issuance)            -        -      (7.3)       -
---------------------------------------------------------------------
                                     1.9     (3.7)     14.4     11.2
---------------------------------------------------------------------
---------------------------------------------------------------------

(1) These earnings are for the three and nine months ended June 30,
    2004 and were included in Enbridge's consolidated earnings for
    the period ended September 30, 2004.
(2) These earnings are for the three and nine months ended September
    30, 2004 and were included in Enbridge's consolidated earnings
    for the year ended December 31, 2004.

- During the year, the Company received a $70 million cash dividend from Noverco and recorded a $50 million adjustment for reciprocal dividends, both of which affect the accounting base of the investment and create a net future income tax recovery. Half of the dividend, and the related future income tax recovery, was recorded in the third quarter, resulting in increased earnings compared to the prior year. The net income tax recovery in the nine month period includes the future income tax expense recorded in respect of these items in the second quarter.

                               Three months ended  Nine months ended
(millions of Canadian dollars)       September 30,      September 30,
---------------------------------------------------------------------
                                    2005     2004      2005     2004
---------------------------------------------------------------------

Other Gas Distribution
 Operations - as reported           (1.0)     1.1       4.9      8.0
Significant non-operating
 factors and variances:
 quarter lag earnings (1)              -     (1.1)        -     (8.0)
 calendar basis earnings (2)           -     (1.3)        -      4.8
---------------------------------------------------------------------
                                    (1.0)    (1.3)      4.9      4.8
---------------------------------------------------------------------
---------------------------------------------------------------------

(1) These earnings are for the three and nine months ended June 30,
    2004 and were included in Enbridge's consolidated earnings for
    the period ended September 30, 2004.
(2) These earnings are for the three and nine months ended
    September 30, 2004 and were included in Enbridge's consolidated
    earnings for the year ended December 31, 2004.


International
                               Three months ended  Nine months ended
(millions of Canadian dollars)       September 30,      September 30,
---------------------------------------------------------------------
                                    2005     2004      2005     2004
---------------------------------------------------------------------

CLH                                 14.2     10.9      39.8     35.4
OCENSA/CITCol                        8.2      7.9      24.4     23.8
Other                               (1.4)    (2.7)     (4.6)    (5.6)
---------------------------------------------------------------------
                                    21.0     16.1      59.6     53.6
---------------------------------------------------------------------
---------------------------------------------------------------------

- The Company's international investments continue to show strong performance. Earnings from CLH during the third quarter are higher due to an increase in average tariffs and lower operating costs.

Corporate

                               Three months ended  Nine months ended
(millions of Canadian dollars)       September 30,      September 30,
---------------------------------------------------------------------
                                    2005     2004      2005     2004
---------------------------------------------------------------------
Corporate                          (15.3)   (15.9)    (46.9)   (66.2)
---------------------------------------------------------------------
---------------------------------------------------------------------

- The decrease in corporate costs is primarily the result of lower interest expense in 2005 and higher business development activity in 2004. The lower interest expense is a function of lower interest rates and lower average debt balances, including the December 2004 redemption of preferred securities with the proceeds from the AltaGas disposition.

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