Enbridge Inc (USA) (ENB), TransCanada Corporation (USA) (TRP): Betting on Keystone

Page 2 of 2


In conclusion, I think betting on Keystone to be approved is pretty sound. In all likelihood the pipeline will get approved sometime going forward. In fact, it’s already completed in some locations, so it’s just a matter of pressing forward and finishing the job. In the end, which companies will benefit the most? I think a safe play in this area is any number of the major integrated oil and natural gas companies. I think pipeline corporations will get a quick pop and then quickly settle down back to Earth, but I could be wrong. That being said, investors may have to wait for considerable time before Keystone XL is fully approved and 100% operational, but for long-term investors I think that makes for an acceptable amount or risk. In the meantime, sit back and enjoy healthy regular payouts (if the company is solid), and as far as sustainable, long-term, quality dividends go the energy sector is hard to beat.

The article Betting on Keystone originally appeared on Fool.com and is written by David Mercer.

David Mercer has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. David is a member of The Motley Fool Blog Network — entries represent the personal opinion of the blogger and are not formally edited.

Copyright © 1995 – 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Page 2 of 2