Australian Pipeline Trust’s bidding partner, Enbridge of Canada, has stepped out of the drawn out sale process just five days before the deadline, leaving APT to bid on its own.

Last week Prime Infrastructure also announced it was not going to bid, following its $1.6 billion investment on a controlling interest in New Zealand energy utility Powerco, which meant it would be unable to enter a firm bid by the August 27 bidding deadline.

Although the company’s interest had never progressed to a formal offer, the Prime bid backed by investment bank Babcock & Brown was widely reported as being prepared to pay $1.7 billion for the key WA asset.

Jim McDonald, APT’s managing director said this morning, “Since the entry of shippers into the bidding, the sales process as become increasingly complex and uncertain.” He was referring to Alinta and Alcoa’s announcement it would also be bidding.

“We can understand how a company preparing to invest in Australia for the first time could become frustrated by this process,“ said McDonald, explaining his partner’s withdrawal.

“APA has completed its due diligence process and remains well prepared to bid. APA continues to have the support of our major unitholders, AGL and Petronas, and despite the inconvenience caused by its partner withdrawing, is continuing to plan to submit a bid for the pipeline this Friday August 27, as requested by the receiver.”

Recently Alinta and Alcoa entered the bidding race with a reported $1.7 billion offer backed by Macquarie Bank and AMP with a plan to refinance the deal later by introducing the soon-to-list DUET. The end result would see Alinta holding a 10% stake, AMP/Macquarie 80% (through DUET) and Alcoa owning 10%.