CALGARY, AB, Nov. 4, 2020
/PRNewswire/ -
Third Quarter 2020 Highlights
- Comparable EBITDA(1)(2) of $256 million increased by three per cent from
$249 million for the same period in
2019
- Free cash flow ("FCF")(1)(2) of $106 million or $0.39 per share compared to $114 million or $0.40 per share for the same period in 2019
- Adjusted availability was 90.7 per cent compared to 95.2 per
cent for the same period in 2019
Year-to-date 2020 Financial Highlights
- FCF(1)(2) of $306
million or $1.11 per share
compared to $258 million or
$0.91 per share, an increase of 22
per cent on a per share basis
- Returned $21 million of capital
to shareholders in the first nine months through the purchase and
cancellation of 2,849,400 common shares at an average price of
$7.51 per share through our normal
course issuer bid ("NCIB") program
Operating Highlights
- Adjusted the useful life of the Highvale Mine to align with the
gas conversion plans of the Company (as defined below) and decision
to end mining by Dec. 31, 2021
- Commenced conversion to gas at Sundance Unit 6 and on-track to
complete the project by mid-Nov.
2020
- Windrise Wind construction is 45 per cent complete, as of
Sept. 30, 2020, and began receiving
wind turbine generators on site in mid-Oct.
2020
Subsequent Events & Updates
- The Company announced that it will discontinue all mining
operations at the Highvale Mine by Dec. 31,
2021. Effective Jan. 1, 2022,
the Company will discontinue firing with coal in Canada
- Sundance Unit 5 repowering received approval of the Company's
Board of Directors ("Board") and is on-track to reach commercial
operation by fourth quarter 2023
- Announced that the Company's subsidiary, Southern Cross Energy,
replaced and extended its existing power purchase agreement with
BHP Billiton Nickel West Pty. Ltd. The replacement of this
agreement extends the term from Dec. 31,
2023 to Dec. 31, 2038
- Achieved commercial operation of WindCharger, Alberta's first utility-scale battery storage
project
- Announced the closing of AU$800 million of secured financing
from the South Hedland Power Station
- Announced the closing of the $400
million investment by an affiliate of Brookfield Asset
Management ("Brookfield") in preferred shares of the Company
pursuant to the investment agreement entered into between the
Company and Brookfield on
Mar. 22, 2019
- Together with our partner, Tidewater Midstream &
Infrastructure Ltd. ("Tidewater"), entered into a purchase and sale
agreement with ATCO Gas and Pipelines Ltd. ("ATCO") to sell the
Pioneer Pipeline for a purchase price of $255 million ("Pioneer Transaction"). This
agreement replaces the Company's previous agreement from second
quarter 2020 to sell its interest in the Pioneer Pipeline to NOVA
Gas Transmission Ltd. ("NGTL")
- The Board adopted a Diversity and Inclusion Pledge that commits
the Company to advance diversity and inclusion in the workplace. By
undertaking this pledge, the Company will seek to remove systemic
barriers that may prevent diverse employees from thriving,
including visible minorities, Indigenous people, members of the
LGBTQ+ community, persons with disabilities, and women
TransAlta Corporation ("TransAlta" or the "Company") (TSX: TA)
(NYSE: TAC) today reported its financial results for the quarter
ended Sept. 30, 2020.
"TransAlta's third quarter delivered excellent results from
strategic, operational and financial perspectives. We continued to
advance our climate leadership strategy and added Alberta's first utility-scale battery storage
project, WindCharger, to our sizable hydro and wind fleet," said
Dawn Farrell, President and Chief
Executive Officer. "TransAlta has been a leader in emissions
reductions in Alberta since 2005
and we will continue to use this expertise to serve customers with
low-cost, reliable, green electricity."
"In another major milestone, our Board approved closing the
Highvale Mine by Dec. 31, 2021, four
years ahead of our original off-coal schedule for this mine. This
decision demonstrates how we continue to lead our industry in
achieving ESG milestones on an accelerated basis. I would like to
express my sincere gratitude to the front-line employees of
SunHills Mining who have worked tirelessly to provide exceptional
service since the 1950s."
Below are additional highlights from the quarter regarding how
TransAlta is advancing its Clean Energy Investment Plan, how it is
working toward greater diversity and inclusion, how the Company is
managing COVID-19, as well as more details regarding the Company's
liquidity and financial position.
Clean Energy Investment Plan
Conversion to Gas
The Company will discontinue
all mining operations at Highvale Mine by Dec. 31, 2021. Effective Jan. 1, 2022, the Company will cease coal-fired
generation in Canada. TransAlta's
Keephills Unit 1 and Sundance Unit 4 will discontinue firing with
coal and will only operate on gas, resulting in the maximum
capability of these units being reduced to 70 MW and 113 MW,
respectively, effective Jan. 1, 2022.
The Company continues to evaluate these units as candidates for
boiler conversion or full repowering based on market
fundamentals.
TransAlta's conversion programs are underway. The Company
commenced the conversion outage of Sundance Unit 6 during the
quarter and is on-track to complete the project by mid-Nov. 2020. The Company continues to advance
the conversions of its Keephills Unit 2 and Unit 3 planned for 2021
and has issued Full Notice to Proceed for both units. During the
third quarter of 2020, the Sundance Unit 5 repowering project
received Board approval and is on-track to reach commercial
operation in the fourth quarter of 2023.
In furtherance of the Company's natural gas fuel supply needs
for the converted units, TransAlta has long-term natural gas
delivery transportation agreements with NGTL, bringing the
cumulative total of new and existing pipeline transportation
service to the Company's generating facilities up to 400 terajoules
("TJ") per day by 2023. TransAlta's current commitments, including
its 139 TJ/day supply arrangement with Tidewater, will remain in
place until the closing of the Pioneer Transaction. The Pioneer
Transaction is subject to customary regulatory approvals, which are
currently expected to be obtained in the second quarter of
2021.
WindCharger Battery Storage
TransAlta announced
that its 10 MW/20 MWh WindCharger Battery Storage project began
commercial operation on Oct. 15,
2020. This project has a total capital cost of approximately
$14 million, with approximately 50
per cent being funded through the support of Emissions Reduction
Alberta. TransAlta will pay TransAlta Renewables Inc. a fixed
monthly capacity charge for the right to operate and dispatch the
battery in the Alberta market.
Windrise Wind
Construction activities on the
Windrise Wind project continues to advance with all appropriate
procedures in place to protect the construction team during the
COVID-19 pandemic. This project is approximately 45 per cent
complete (as at Sept. 30, 2020) and
the construction schedule has been modified to reflect a
COVID-19-related delay in the delivery of the wind turbine
components. The Company plans to complete construction and
commissioning in the second half of 2021. This project began
receiving wind turbine generators on site in mid-Oct. 2020.
Kaybob Cogeneration
The Company has advanced
the Kaybob Cogeneration project, including the purchase of the
reciprocating engine generator, generator step-up transformers,
electrical building, and switchgear.
Diversity and Inclusion
The Board has adopted a
Diversity and Inclusion Pledge that commits the Company to
advancing diversity and inclusion in the workplace. By committing
to this pledge, the Company will seek to remove systemic barriers
that may prevent diverse employees from thriving, including visible
minorities, Indigenous people, members of the LGBTQ+ community,
persons with disabilities, and women. The persistent inequities
around the world underscore the urgent need to address and
alleviate racial, ethnic, and other tensions, to remove barriers
that perpetuate these inequalities and to promote an inclusive
working environment for all employees. TransAlta firmly believes
that true diversity is good for the economy, it improves corporate
performance, drives growth, and enhances employee engagement. The
Diversity and Inclusion Pledge acknowledges these challenges and
seeks to: (i) encourage conversations about diversity and inclusion
within the workplace; (ii) expand education regarding diversity,
equality and inclusion; (iii) create best practices that result in
the establishment of programs and initiatives relating to diversity
and inclusion within the workplace; and (iv) drive accountability
by regularly reporting and evaluating the success of the Company's
programs and initiatives.
COVID-19 Response Update
The Company continued to
implement its business continuity plan which ensured that: (i)
employees who could work remotely did so; and (ii) employees who
operate and maintain our facilities, and who were not able to work
remotely, were able to work safely and in a manner that ensured
they remained healthy. During the third quarter of 2020, the
Company successfully brought employees who were working remotely
back to the office without sacrificing health and safety standards.
The Company's facilities also remain fully operational and capable
of meeting its customers' needs. All of the Company's offices and
sites follow strict health screening and physical distancing
protocols with personal protective equipment readily available.
TransAlta maintains travel restrictions aligned to local
jurisdictional guidance, enhanced cleaning procedures, revised work
schedules, and other measures to protect staff and contractors. The
Company continues to work and serve all of its customers and
counterparties under the terms of the relevant contracts. TransAlta
has not experienced interruptions to service requirements.
Electricity and steam supply continue to remain a critical service
requirement to all of the Company's customers and have been deemed
an essential service in all of the jurisdictions in which TransAlta
operates.
Liquidity and Financial Position
The Company continues
to maintain a strong financial position in part due to our
long-term contracts and hedged positions. At the end of the third
quarter 2020, TransAlta had access to $1.6
billion in liquidity, including $270
million of cash and cash equivalents. Subsequent to the
quarter, the Company raised approximately $1.1 billion in additional liquidity to support
its gas conversions and renewables construction. The Company is
currently positioned with approximately $2.7
billion in liquidity.
In October, TransAlta completed an AU$800 million senior secured
note offering, which is secured among other things, a first ranking
charge over all assets of its South Hedland Power Station. The
Company also received $400 million
from the second tranche of financing from the Brookfield investment. In addition, TransAlta
has access to additional capital through potential project
financing of existing assets that are currently unencumbered. The
Company expects to utilize existing cash and credit facilities for
the debt maturing in 2020 and expects to refinance the debt
maturing in 2022.
The Company also has approximately 90 per cent of its
Alberta thermal baseload merchant
generation hedged at approximately $53 per MWh for the remainder of 2020.
Financial Results
The Company reported its third
quarter 2020 financial results with comparable EBITDA(2)
of $256 million compared to
$249 million in the same period of
2019. Comparable EBITDA for the nine months ended Sept. 30, 2020 was $693
million, an increase of one per cent compared to 2019. Funds
from operations ("FFO")(2,3) for the three and nine
months ended Sept. 30, 2020 were
$193 million for the quarter compared
to $188 million in 2019 and
$524 million year-to-date as compared
to $512 million in 2019. All 2019
figures quoted exclude the impact of the one-time payment of
$56 million received in the third
quarter of 2019 for the early termination of the Sundance B and C
power purchase arrangements (the "PPA Termination Payments").
FCF(2), one of the Company's key financial metrics,
totaled $106 million and $306 million for the three and nine months ended
Sept. 30, 2020, respectively. FCF for
the three and nine months ended Sept. 30,
2020 decreased by $8 million
and increased by $48 million for the
same periods, respectively, after adjusting for the PPA Termination
Payments.
Comparable EBITDA, excluding the PPA Termination Payments, for
the three and nine months ended Sept. 30,
2020 increased by $7 and
$8 million, respectively, compared
with the same periods in 2019 largely due to strong performance by
TransAlta's Energy Marketing, Centralia, and Wind and Solar segments,
partially offset by lower performance at the Alberta Thermal and
Hydro segments as well as higher corporate costs due to the impact
of a total return swap that hedges share-based compensation.
The Company's operations, maintenance and administration
("OM&A") expenses for the three months ended Sept. 30, 2020 were consistent with the same
period in 2019. OM&A for the nine months ended Sept. 30, 2020 increased by $6 million
compared to the same period in 2019 as variability caused by the
total return swap resulted in an increase of expense of
$16 million for the period. In
addition, OM&A costs increased by $6
million due to the addition of Ada cogeneration facility,
Big Level and Antrim Wind projects
and the renegotiation of the Fort
Saskatchewan maintenance agreement. Excluding the impact of
the total return swap and additional facilities, OM&A decreased
by $16 million due to tighter cost
controls, units remaining on reserve shutdown during the second
quarter of 2020 at Centralia,
lower labour costs across multiple segments and lower legal
fees.
FCF for the nine months ended Sept. 30,
2020, excluding PPA Termination Payments that were received
in third quarter of 2019, was driven primarily by higher segmented
cash flows, lower sustaining and productivity capital expenditures
and lower distributions paid to subsidiaries' non-controlling
interests. Segmented cash flows(1) for the three months
ended Sept. 30, 2020 were
$4 million lower compared to the same
period in 2019 due to lower performance in the Alberta Thermal
segment, mostly offset by higher performance in the Company's
Centralia, Australian Gas, Wind
and Solar and Energy Marketing segments. Segmented cash flows for
the nine months ended Sept. 30, 2020,
were $43 million higher compared to
the same period in 2019. This increase was primarily due to higher
performance in the Company's Centralia, North American Gas, Wind and Solar,
and Energy Marketing segments, which was partially offset by lower
performance in the Company's Alberta Thermal and Hydro segments and
impacts of the total return swap in the Corporate segment.
Third Quarter 2020
Segmented Review
Comparable EBITDA (in CAD$ millions)
|
3 Months
Ended
|
9 Months
Ended
|
Sept. 30,
2020
|
Sept. 30,
2019
|
Sept. 30,
2020
|
Sept. 30,
2019
|
Alberta
Thermal
|
47
|
135
|
121
|
264
|
Centralia
|
49
|
35
|
109
|
44
|
North American
Gas
|
29
|
30
|
85
|
91
|
Australian
Gas
|
34
|
29
|
93
|
90
|
Wind and
Solar
|
36
|
35
|
171
|
151
|
Hydro
|
28
|
28
|
83
|
92
|
Energy
Marketing
|
49
|
31
|
90
|
63
|
Corporate
|
(16)
|
(18)
|
(59)
|
(54)
|
Total Comparable
EBITDA(2)
|
256
|
305
|
693
|
741
|
Comparable EBITDA
(1) (2) - excluding the
PPA Termination Payments
|
256
|
249
|
693
|
685
|
- Alberta Thermal: Comparable EBITDA, excluding the PPA
Termination Payments, for the three and nine months ended
Sept. 30, 2020, decreased
$32 million and $87 million, respectively, compared to the same
periods in 2019. This largely reflects the weaker power demand
conditions driving lower Alberta
wholesale power prices resulting in lower merchant production and
lower margins.
- Centralia: Comparable EBITDA
returned to normalized levels for the nine months ended
Sept. 30, 2020. For the three months
ended Sept. 30, 2020, increased by
$14 million compared to the same
period in 2019, primarily due to purchased power at a lower cost.
For the nine months ended Sept. 30,
2020, comparable EBITDA increased by $65 million compared to the same period in 2019,
primarily due to the impacts of an isolated and extreme pricing
event in Mar. 2019 during which
Centralia was unable to commit one
of its units to physical production for day-ahead supply due to an
unplanned forced outage repair. In addition, comparable EBITDA in
2020 benefited from dispatch optimization and the strengthening of
the US dollar relative to the Canadian dollar.
- North American Gas: Comparable EBITDA for the three months
ended Sept. 30, 2020 remained
consistent compared to the same period in 2019 and for the nine
months ended Sept. 30, 2020 decreased
by $6 million compared with the same
periods in 2019, primarily due to higher OM&A resulting from a
change in passthrough provisions of a customer contract.
- Australian Gas: Comparable EBITDA for the three and nine months
ended Sept. 30, 2020 increased by
$5 million and $3 million, respectively, compared with the same
periods in 2019 mainly due to timing of legal fees and the
strengthening of the Australian dollar against the Canadian
dollar.
- Wind and Solar: Comparable EBITDA for the three months ended
Sept. 30, 2020 was consistent with
the same period in 2019. Comparable EBITDA for the nine months
ended Sept. 30, 2020 increased by
$20 million compared with the same
period in 2019 primarily due to the addition of the Big Level and
Antrim wind facilities and higher production, partially offset by
insurance proceeds received in 2019, lower Alberta pricing and the planned expiry of
certain Wind power production incentives in 2019.
- Hydro: Comparable EBITDA for the three months ended
Sept. 30, 2020 was consistent with
the same period in 2019. Comparable EBITDA for the nine months
ended Sept. 30, 2020 decreased by
$9 million, compared with the same
period in 2019, as lower energy and ancillary services revenues
resulted from lower Alberta
pricing and prior year's true-up to Alberta Electric System
Operator ("AESO") transmission line losses, which were partially
offset by higher production.
- Energy Marketing: Comparable EBITDA for the three and nine
months ended Sept. 30, 2020 increased
by $18 million and $27 million, respectively, compared to the same
periods in 2019. Results were primarily attained from market
volatility arising from extreme weather events in California during the quarter as well as
continued strong performance from short-term strategies across
various geographic regions in both the power and natural gas
markets.
- Corporate: Corporate overhead costs for the three months ended
Sept. 30, 2020 were consistent with
the same period in 2019. Corporate overhead costs for the nine
months ended Sept. 30, 2020 increased
by $5 million compared to the same
period in 2019. These changes were primarily due to realized gains
and losses from the total return swap. A portion of the settlement
cost of our employee share-based payment plans is fixed by entering
into total return swaps, which are cash settled every quarter.
Consolidated Financial Highlights
Net loss attributable to common shareholders for the three
months ended Sept. 30, 2020 was
$136 million compared to earnings of
$51 million in the same period in
2019. The decrease is largely due to lower revenues, coal inventory
write-down, higher depreciation, increase in asset impairments and
the PPA Termination Payments, which were partially offset by
foreign exchange gains and income tax recoveries. Net loss
attributable to common shareholders for the nine months ended
Sept. 30, 2020 was $169 million compared to $14 million in the same period in 2019. The
decrease is largely due to lower revenues, coal inventory
write-down, higher depreciation, increase in asset impairments and
the final PPA termination payment, which were partially offset by
lower fuel, carbon compliance, purchased power costs, and foreign
exchange gains.
Total sustaining capital expenditures(3) of
$99 million were $12 million lower compared to 2019 primarily due
to higher planned major maintenance in our Alberta Thermal segment
in 2019.
Third Quarter 2020 Highlights
In $CAD
millions, unless otherwise stated
|
3 Months
Ended
|
9 Months
Ended
|
Sept. 30,
2020
|
Sept. 30,
2019
|
Sept. 30,
2020
|
Sept. 30,
2019
|
Adjusted availability
(%)(4)
|
90.7%
|
95.2%
|
91.4%
|
89.5%
|
Production
(GWh)(4)
|
6,184
|
7,558
|
17,276
|
20,918
|
Revenues
|
$
|
514
|
$
|
593
|
$
|
1,557
|
$
|
1,738
|
Fuel, carbon
compliance and purchased power
|
$
|
252
|
$
|
257
|
$
|
641
|
$
|
800
|
Operations,
maintenance and administration
|
$
|
114
|
$
|
114
|
$
|
354
|
$
|
348
|
Net loss attributable
to common shareholders
|
$
|
(136)
|
$
|
51
|
$
|
(169)
|
$
|
(14)
|
Cash flow from
operating activities
|
$
|
257
|
$
|
328
|
$
|
592
|
$
|
668
|
Comparable
EBITDA(2)
|
$
|
256
|
$
|
305
|
$
|
693
|
$
|
741
|
Funds from
operations(2)
|
$
|
193
|
$
|
244
|
$
|
524
|
$
|
568
|
Free cash
flow(2)
|
$
|
106
|
$
|
170
|
$
|
306
|
$
|
314
|
Net loss per share
attributable to common shareholders, basic and diluted
|
$
|
(0.50)
|
$
|
0.18
|
$
|
(0.61)
|
$
|
(0.05)
|
Funds from operations
per share(2)
|
$
|
0.70
|
$
|
0.87
|
$
|
1.90
|
$
|
2.00
|
Free cash flow per
share(2)
|
$
|
0.39
|
$
|
0.60
|
$
|
1.11
|
$
|
1.11
|
Dividends declared
per common share
|
$
|
0.0425
|
$
|
0.0400
|
$
|
0.1275
|
$
|
0.0800
|
Dividends declared
per preferred share(5)
|
$
|
0.26
|
$
|
0.26
|
$
|
0.76
|
$
|
0.52
|
TransAlta is in the process of filing its unaudited interim
Consolidated Financial Statements and accompanying notes, as well
as the associated Management's Discussion & Analysis
("MD&A"). These documents will be available Nov. 4, 2020 on the Investor Centre section of
TransAlta's website at www.transalta.com or through SEDAR at
www.sedar.com and EDGAR at www.sec.gov/edgar.shtml.
Notes
(1) Excluding PPA Termination Payments
received in third quarter 2019 of $56
million.
(2) These items are not defined under
IFRS. Presenting these items from period to period provides
management and investors with the ability to evaluate earnings
trends more readily in comparison with prior periods' results.
Refer to the Comparable EBITDA, Funds from Operations and Free Cash
Flow and Earnings and Discussion of Consolidated Financial Results
sections of the MD&A for further discussion of these items,
including, where applicable, reconciliations to measures calculated
in accordance with IFRS.
(3) Excludes payments associated
with finance leases.
(4) Availability and production
includes all generating assets under generation operations that the
Company operates and finance leases and excludes hydro assets and
equity investments. Production includes all generating assets,
irrespective of investment vehicle and fuel type.
(5)
Weighted average of the Series A, B, C, E, and G preferred share
dividends declared. Dividends declared vary year over year due to
timing of dividend declarations.
Conference call
TransAlta will hold a conference call
and webcast at 8:00 a.m. MT
(10:00 a.m. ET) today, Nov. 4, 2020, to discuss our third quarter 2020
results. The call will begin with a short address by Dawn Farrell, President and Chief Executive
Officer, and Todd Stack, Chief
Financial Officer, followed by a question and answer
period for investment analysts and investors. A question and answer
period for the media will immediately follow.
Third Quarter 2020 Conference
Call:
Toll-free North American participants call:
1-888-231-8191
Webcast link:
https://produceredition.webcasts.com/starthere.jsp?ei=1380694&tp_key=51fba21d14
Related materials will be available on the Investor Centre
section of TransAlta's website at
http://www.transalta.com/investors/events-and-presentations. If you
are unable to participate in the call, the instant replay is
accessible at 1-855-859-2056 (Canada and USA toll free) with TransAlta pass code
5779326 followed by the # sign. A transcript of the broadcast will
be posted on TransAlta's website once it becomes available.
About TransAlta Corporation:
TransAlta owns, operates and develops a diverse fleet of
electrical power generation assets in Canada, the United
States and Australia with a
focus on long-term shareholder value. TransAlta provides
municipalities, medium and large industries, businesses and utility
customers with clean, affordable, energy efficient and reliable
power. Today, TransAlta is one of Canada's largest producers of wind power and
Alberta's largest producer of
hydro-electric power. For over 100 years, TransAlta has been a
responsible operator and a proud community-member where its
employees work and live. TransAlta aligns its corporate goals with
the UN Sustainable Development Goals and has been recognized by CDP
(formerly Climate Disclosure Project) as an industry leader on
Climate Change Management. TransAlta is proud to have achieved the
Silver level PAR (Progressive Aboriginal Relations) designation by
the Canadian Council for Aboriginal Business.
For more information about TransAlta, visit our web site at
transalta.com.
Cautionary Statement Regarding Forward-Looking
Information
This news release contains forward-looking statements,
including statements regarding the business and anticipated
financial performance of the Company that are based on the
Company's current expectations, estimates, projections and
assumptions in light of its experience and its perception of
historical trends. In some cases, forward-looking statements can be
identified by terminology such as "plans", "expects", "proposed",
"will", "anticipates", "develop", "continue", and similar
expressions suggesting future events or future performance. In
particular, this news release contains forward-looking statements,
pertaining to, without limitation, the following: the conversion of
Sundance Unit 6 in Nov. 2020; the
ceasing of active mining at the Highvale Mine in Alberta by the end of 2021; Keephills Unit 1
and Sundance Unit 4 discontinuing to fire with coal and only
operating on gas effective Jan. 1,
2022; the Pioneer Transaction, including the terms and
timing thereof; the repowering of Sundance Unit 5 into a combined
cycle unit, with commercial operation by the fourth quarter of
2023; the receipt of funds from Emissions Reduction Alberta to
support the WindCharger project; the completion of the construction
and commissioning of the Windrise project in the second half of
2021; the conversion of Keephills Unit 2 and Unit 3, and the timing
thereof; the potential impact of COVID-19 on the Company and the
actions to be undertaken by the Company in response to the COVID-19
pandemic; and utilizing existing cash and credit facilities for the
debt maturing in 2020 and refinancing the debt maturing in
2022.
The forward-looking statements contained in this news release
are based on many assumptions and are subject to a number of
significant risks and uncertainties that could cause actual plans,
performance, results or outcomes to differ materially from current
expectations. Factors that may adversely impact what is expressed
or implied by the forward-looking statements contained in this news
release include risks relating to the impact of COVID-19 and the
associated general economic downturn, the impact of which will
largely depend on the overall severity and duration of COVID-19 and
the general economic downturn, which cannot currently be predicted,
and which present risks including, but not limited to: more
restrictive directives of government and public health authorities;
reduced labour availability impacting our ability to continue to
staff the Company's operations and facilities; impacts on the
Company's ability to realize its growth goals; decreased short-term
and/or long-term electricity demand and lower power pricing;
increased costs resulting from the Company's efforts to mitigate
the impact of COVID-19; deterioration of worldwide credit and
financial markets; a higher rate of losses on accounts receivables
due to credit defaults; further disruptions to the Company's supply
chain; impairments and/or write-downs of assets; and adverse
impacts on the Company's information technology systems and the
Company's internal control systems, including increased
cybersecurity threats. Other factors that may adversely impact the
Company's forward-looking statements include, but are not limited
to, risks relating to: operational risks involving the Company's
facilities, including unplanned outages at such facilities;
disruptions in the transmission and distribution of electricity;
the effects of weather and other climate-related risks; disruptions
in the source of water, wind, solar or gas resources required to
operate our facilities; ability to secure regulatory approvals for
projects under development and construction, including the receipt
of the regulatory approvals from the Kaybob Cogeneration project;
natural disasters; equipment failure and our ability to carry out
repairs in a cost-effective or timely manner; and industry risks
and competition. The foregoing risk factors, among others, are
described in further detail in the MD&A and the Company's
Annual Information Form for the year ended Dec. 31, 2019, which are available on SEDAR at
www.sedar.com. Readers are cautioned not to place undue reliance on
these forward-looking statements, which reflect the Company's
expectations only as of the date of this news release. The Company
disclaims any intention or obligation to update or revise these
forward-looking statements, whether as a result of new information,
future events or otherwise, except as required by law.
Note: All financial figures are in Canadian dollars unless
otherwise indicated.
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content:http://www.prnewswire.com/news-releases/transalta-reports-solid-third-quarter-2020-results-fast-tracks-off-coal-and-discontinues-all-mining-in-canada-by-end-of-2021-301166201.html
SOURCE TransAlta Corporation