CALGARY, June 21, 2019 /CNW/ - Tidewater Midstream and
Infrastructure Ltd. ("Tidewater" or the
"Corporation") (TSX:TWM) is pleased to announce: that the
Pioneer Pipeline, connecting Tidewater's Brazeau River gas plant to TransAlta's
generating units at Keephills and
Sundance, transported first gas
four months ahead of schedule; that Tidewater expanded its gas
storage facility at Pipestone and
completed its natural gas pipeline connecting the facility to both
Alliance and TCPL; and that its Board of Directors has declared a
dividend for the second quarter 2019 of $0.01 per common share.
Pioneer Pipeline Commissioning
Tidewater is pleased to announce that the Tidewater operated
Pioneer Pipeline, connecting Tidewater's Brazeau River Complex
("BRC") gas plant to TransAlta's generating units at
Keephills and Sundance, transported first gas in late
May 2019, approximately four months
ahead of schedule. The Pioneer Pipeline is currently flowing
approximately 50 MMcf/day of natural gas during this start-up phase
where initial flows may fluctuate depending on market conditions.
Throughput of approximately 130 MMcf/day of natural gas will
commence flowing through the Pioneer Pipeline November 1, 2019. Tidewater and TransAlta
each own a 50% interest in the Pioneer Pipeline which is
backstopped by a 15-year take-or-pay agreement from TransAlta at
market rate tolls.
Pipestone Gas Storage Facility
During the first quarter of 2019, Tidewater expanded its gas
storage operations at Pipestone
(the "Pipestone Gas Storage Facility") and completed a 24km,
30-inch natural gas pipeline ("Pipestone Pipeline")
connecting the facility to both mainline gas systems, Alliance and
TCPL. The Pipestone Pipeline allows for significant future
optionality and egress at the Pipestone Gas Storage Facility and
Pipestone Gas Plant. The Pipestone Gas Storage Facility is fully
contracted on a take-or-pay basis with investment-grade
counterparties over an average six-year contract term. Continued
capital improvements to the facility during 2019, along with the
completed 30-inch pipeline, will significantly increase future
contracting capacity at the storage facility. The Pipestone Gas
Storage Facility also achieved record injection rates in the second
quarter of 2019, exceeding expectations, and further enhancing
future contracting capability at the facility.
Q2 dividend announcement
Tidewater is pleased to announce that its Board of Directors has
declared a dividend for the second quarter 2019 of $0.01 per common share payable on or about
July 31, 2019 to shareholders of
record on June 28, 2019. The
ex-dividend date is June 27, 2019.
This dividend is an eligible dividend for the purpose of the
Income Tax Act (Canada).
About Tidewater
Tidewater is traded on the TSX under the symbol "TWM".
Tidewater's business objective is to build a diversified midstream
and infrastructure company in the North American natural gas,
natural gas liquids ("NGL") and crude oil space. Its
strategy is to profitably grow and create shareholder value through
the acquisition and development of oil and gas infrastructure.
Tidewater plans to achieve its business objective by providing
customers with a full service, vertically integrated value chain
through the acquisition and development of oil and gas
infrastructure including: gas plants, pipelines, railcars, trucks,
export terminals and storage facilities.
Advisory Regarding Forward-Looking Statements
In the interest of providing Tidewater's shareholders and
potential investors with information regarding Tidewater, including
management's assessment of Tidewater's future plans and operations,
certain statements in this press release are "forward-looking
information" within the meaning of applicable Canadian securities
legislation ("forward-looking statements"). In some cases,
forward-looking statements can be identified by terminology such as
"anticipate", "believe", "continue", "could", "estimate", "expect",
"forecast", "intend", "may", "objective", "ongoing", "outlook",
"potential", "project", "plan", "should", "target", "would", "will"
or similar words suggesting future outcomes, events or performance.
The forward-looking statements contained in this press release
speak only as of the date thereof and are expressly qualified by
this cautionary statement.
Specifically, this news release contains forward-looking
statements relating to but not limited to: anticipated throughput
of the Pioneer pipeline; projections of future optionality and
egress at the Pipestone Gas Storage Facility and Pipestone Gas
Plant; and projections of increased future contracting capacity at
the Pipestone Gas Storage Facility.
Such forward-looking statements of information are based on a
number of assumptions which may prove to be incorrect. In
addition to other assumptions identified in this document,
assumptions have been made regarding, among other things: general
economic and industry trends; the Corporation's ability to secure
natural gas supplies; that counterparties will comply with
contracts in a timely manner; that there are no unforeseen material
costs relating to the facilities which are not recoverable from
customers; future capital expenditures to be made by the
Corporation; the ability to obtain additional financing on
satisfactory terms; and, that any third-party projects relating to
the Corporation's growth projects will be sanctioned and completed
as expected.
Actual results achieved will vary from the information provided
herein as a result of numerous known and unknown risks and
uncertainties and other factors including but not limited to:
general economic, political, market and business conditions,
including fluctuations in interest rates, foreign exchange rates
and stock market volatility; activities of producers and customers,
procurement of natural gas supplies; operational matters, including
potential hazards inherent in the Corporation's operations and the
effectiveness of health, safety, environmental and integrity
programs; fluctuations in commodity prices, inventory levels and
supply/demand trends; actions by governmental authorities,
including changes in government regulation including environmental,
tariffs and taxation; changes in operating and capital costs,
including fluctuations in input costs; competition for, among other
things, business, capital, acquisition opportunities, requests for
proposals, materials, equipment, labour and skilled personnel;
environmental risks and hazards, including risks inherent in the
transportation of NGLs which may create liabilities to the
Corporation in excess of the Corporation's insurance coverage, if
any; non-performance or default by counterparties to agreements
which the Corporation has entered into in respect of its business;
construction and engineering variables associated with capital
projects, including the availability of contractors, engineering
and construction services, accuracy of estimates and schedules, and
the performance of contractors; the availability of capital on
acceptable terms; effects of weather conditions; and technology and
security risks.
The foregoing lists are not exhaustive. Additional
information on these and other factors which could affect the
Corporation's operations or financial results are included in the
Corporation's most recent Annual Information Form and in other
documents on file with the Canadian Securities regulatory
authorities.
The above summary of assumptions and risks related to
forward-looking statements in this news release is intended to
provide shareholders and potential investors with a more complete
perspective on Tidewater's current and future operations and such
information may not be appropriate for other purposes. There is no
representation by Tidewater that actual results achieved will be
the same in whole or in part as those referenced in the
forward-looking statements and Tidewater does not undertake any
obligation to update publicly or to revise any of the included
forward-looking statements, whether as a result of new information,
future events or otherwise, except as may be required by applicable
securities law.
SOURCE Tidewater Midstream and Infrastructure Ltd.