NEW YORK (TheStreet) -- Shares of Enbridge Inc. (ENB) opened slightly higher today after a federal judge ruled that the company's pipeline to carry tar sands oil between Oklahoma and Illinois can proceed, as companies expand their capacity to move petroleum in the U.S., Bloomberg reports.
"Because a private company is constructing the 589-mile pipeline on mostly privately owned land that is entirely within the territorial borders of the U.S., no federal statute authorizes the federal government to oversee or regulate the construction project," U.S. District Judge Ketanji Brown Jackson in Washington said in a written ruling.
The judge rejected arguments by the Sierra Club and the National Wildlife Federation that the failure to conduct an environmental impact review of the pipeline violated the National Environmental Protection Act, Bloomberg said.
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TheStreet Ratings team rates ENBRIDGE INC as a Buy with a ratings score of B-. TheStreet Ratings Team has this to say about their recommendation:
"We rate ENBRIDGE INC (ENB) a BUY. This is driven by several positive factors, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its robust revenue growth, compelling growth in net income, solid stock price performance, impressive record of earnings per share growth and notable return on equity. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated."