UPDATE 2-Enbridge says Line 9 testing to wrap by year end; profit beats

(Adds details on Line 9, CEO comments from conference call,
updates shares)
By Julie Gordon
VANCOUVER, July 31 (Reuters) - Enbridge Inc ENB.TO ,
Canada's largest pipeline company, said additional testing on
its Sarnia, Ontario, to Montreal project should wrap up by the
end of the year, allowing the company to finally start up the
delayed Line 9 oil pipeline.
Canada's energy regulator, the National Energy Board (NEB),
in June imposed new conditions on the 300,000 barrel-per-day
project including hydrostatic tests at three locations, before
it will allow the newly reversed line to enter service.
Chief executive Al Monaco said the regulator had approved
its testing plan and that field work would proceed, with the
results to be submitted to the NEB for final approval.
"Our best estimate is that we can complete the tests by the
end of this year," Monaco said on a conference call. "Once we do
those tests and the results are reviewed by the NEB, we'll be in
a position to bring the line into service."
He added that the Calgary-based company will likely have
"full clarity" on when the line can be filled by the fourth
quarter.
The reversal of Line 9 is part of Enbridge's massive C$44
billion growth program, as the company looks to expand its
network of oil pipelines through 2018.
The company is also eyeing takeover opportunities to build
up its natural gas and power generation segments, and boost the
diversity of its asset base, Monaco said.
"We've got such a tremendous liquids pipeline franchise," he
said. "With that though we do feel very strongly about the
fundamentals of both natural gas and power generation,
renewables being one part of that. I think it's our desire to
expand the diversity of the asset base that we have."
"We're scouring every opportunity out there and we will
continue to do that," he added.
Enbridge said on Friday it had completed projects worth
about C$3 billion so far this year and expects to complete
projects worth another C$5 billion by the end of 2015.
The Calgary-based company's adjusted earnings rose 54
percent to C$505 million ($387 million), or 60 Canadian cents
per share in the quarter. ID:nCCN85F2BQ
That was much higher than analysts' average estimate of 47
Canadian cents, according to Thomson Reuters I/B/E/S.
However, net income attributable to shareholders dropped
nearly 24 percent to C$577 million, hurt by a C$440 million
goodwill impairment charge.
Enbridge shares were up 1.44 percent at C$57.10 Friday
afternoon on the Toronto Stock Exchange.
($1 = C$1.3036)