CALGARY,
AB, June 23, 2022 /CNW/ - Tidewater Midstream
and Infrastructure Ltd. ("Tidewater" or the
"Company") (TSX: TWM) along with its senior secured lenders
have agreed to extend its previously disclosed deadline to
refinance its unsecured notes payable and second lien term loan
from June 30, 2022 to July 31, 2022 (the "Refinancing
Transaction") in order to support its current refinancing
plans. Refinancing Transaction details will be disclosed upon
finalization of the terms.
Tidewater's business continues to outperform its initial
forecasts due to higher refining margins and increased midstream
volumes.
The Company is working with its senior secured lenders on a
potential increase to its credit facility to support this
Refinancing Transaction as well as the future growth of its
business. Potential increases to the credit facility are
subject to the approval of the senior secured lenders.
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, crude oil, refined product, and renewable
energy value chain. Its strategy is to profitably grow and create
shareholder value through the acquisition and development of
conventional and renewable energy infrastructure. To achieve its
business objective, Tidewater is focused on providing customers
with a full service, vertically integrated value chain through the
acquisition and development of energy infrastructure, including
downstream facilities, natural gas processing facilities, natural
gas liquids infrastructure, pipelines, railcars, export terminals,
storage, and various renewable initiatives. To complement its
infrastructure asset base, the Corporation also markets crude,
refined product, natural gas, NGLs and renewable products and
services to customers across North
America.
Tidewater is a majority shareholder in Tidewater Renewables Ltd.
("Tidewater Renewables"), a multi-faceted, energy transition
company focusing on the production of low carbon fuels. Tidewater
Renewables' common shares are publicly traded on the TSX under the
symbol "LCFS".
Advisory Regarding Forward-Looking Statements
Certain statements contained in this press release constitute
forward-looking statements and forward-looking information
(collectively referred to herein as, "forward-looking statements")
within the meaning of applicable Canadian securities laws. Such
forward-looking statements relate to future events, conditions or
future financial performance of Tidewater based on future economic
conditions and courses of action. All statements other than
statements of historical fact may be forward-looking statements.
Such forward-looking statements are often, but not always,
identified by the use of any words such as "seek", "anticipate",
"budget", "plan", "continue", "forecast", "estimate", "expect",
"may", "will", "project", "predict", "potential", "targeting",
"intend", "could", "might", "should", "believe", "will likely
result", "are expected to", "will continue", "is anticipated",
"believes", "estimated", "intends", "plans", "projection",
"outlook" and similar expressions. These statements involve known
and unknown risks, assumptions, uncertainties and other factors
that may cause actual results or events to differ materially from
those anticipated in such forward-looking statements. The Company
believes the expectations reflected in those forward-looking
statements are reasonable, but no assurance can be given that these
expectations will prove to be correct and such forward-looking
statements included in this press release should not be unduly
relied upon.
In particular, this press release contains forward-looking
statements pertaining to but not limited to the following:
- that Refinancing Transaction details will be disclosed upon
finalization of the terms;
- the Company's plans to refinance its senior unsecured notes
payable and second lien term loan;
- Tidewater's business continues to outperform its initial
forecasts due to higher refining margins and increased midstream
volumes; and
- the Company is working with its senior secured lenders on a
potential increase to its credit facility.
Although the forward-looking statements contained in this press
release are based upon assumptions which management of the Company
believes to be reasonable, the Company cannot assure investors that
actual results will be consistent with these forward-looking
statements. With respect to forward-looking statements
contained in this press release, the Company has assumptions
regarding, but not limited to:
- Tidewater's ability to execute on its business plan;
- general economic and industry trends including the duration and
effect of the COVID-19 pandemic;
- liabilities inherent in operations in the energy industry;
- impacts of commodity prices and demand on the Company's working
capital requirements; continuing government support for existing
policy initiatives;
- the Company's ability to obtain and retain qualified staff and
equipment in a timely and cost effective manner;
- the ability to obtain additional financing on satisfactory
terms;
- foreign currency, exchange and interest rates, and expectations
relating to inflation;
- the Company's future debt levels and the ability of the Company
to repay its debt when due;
- that PGR crack spreads remain strong and refined product demand
continues to increase;
- future commodity prices, including natural gas, crude oil, NGL
and renewable energy prices;
- processing and marketing margins;
- that there are no unforeseen events preventing the performance
of contracts;
- Cenovus volume demands from the PGR are consistent with
forecasts;
- assumptions regarding amount of operating costs to be
incurred;
- that there are no unforeseen material costs relating to the
facilities which are not recoverable from customers;
- distributable cash flow and net cash provided by operating
activities are consistent with expectations;
- the ability of Tidewater to successfully market its products;
and
- credit rating changes.
The Company's actual results could differ materially from those
anticipated in the forward-looking statements, as a result of
numerous known and unknown risks and uncertainties and other
factors including but not limited to:
- changes in demand for refined and renewable products;
- general economic, political, market and business conditions,
including fluctuations in interest rates, foreign exchange rates,
stock market volatility, supply/demand trends and inflationary
pressures;
- risks of health epidemics, pandemics, public health
emergencies, quarantines, and similar outbreaks, including
COVID-19, which may have sustained material adverse effects on the
Company's business financial position results of operations and/or
cash flows;
- competition for business capital,
- changes in the creditworthiness of counterparties;
- changes in the credit rating of the Company, and the impacts of
this on the Company's access to private and public credit markets
in the future and increase the costs of borrowing;
- adverse claims made in respect of the Company's properties or
assets;
- risks and liabilities associated with the transportation of
dangerous goods and derailments;
- reliance on key personnel;
- technology and security risks, including cybersecurity;
- potential losses which would stem from any disruptions in
production, including work stoppages or other labour difficulties,
or disruptions in the transportation network on which the Company
is reliant;
- activities of producers and customers and overall industry
activity levels;
- failure to negotiate and conclude any required commercial
agreements;
- non-performance of agreements in accordance with their
terms;
- failure to execute formal agreements with counterparties in
circumstances where letters of intent or similar agreements have
been executed and announced by Tidewater;
- failure to close transactions as contemplated and in accordance
with negotiated terms;
- that the resolution of any particular legal proceedings could
have an adverse effect on the Company's operating results or
financial performance;
- operational matters, including potential hazards inherent in
the Company's operations and the effectiveness of health, safety,
environmental and integrity programs;
- actions by governmental authorities, including changes in
government regulation, tariffs and taxation;
- changes in operating and capital costs, including fluctuations
in input costs;
- effects of weather conditions;
- legal risks and environmental risks and hazards, including
risks inherent in the transportation of NGLs and refining of light
crude oils which may create liabilities to the Company in excess of
the Company's insurance coverage, if any;
- actions by joint venture partners or other partners which hold
interests in certain of the Company's assets;
- reliance on key relationships and agreements;
- potential losses which would stem from any disruptions in
production, including work stoppages or other labour difficulties,
or disruptions in the transportation network on which the
- Company is reliant;
- technical and processing problems, including the availability
of equipment and access to properties; and
- changes in gas composition.
The foregoing lists are not exhaustive. Additional information
on these and other factors which could affect the Company's
operations or financial results are included in the Company's most
recent AIF and in other documents on file with the Canadian
Securities regulatory authorities.
Management of the Company has included the above summary of
assumptions and risks related to forward-looking statements
provided in this press release in order to provide holders of
common shares in the capital of the Company with a more complete
perspective on the Company's current and future operations and such
information may not be appropriate for other purposes. The
Company's actual results or achievement could differ materially
from those expressed in, or implied by, these forward-looking
statements and, accordingly, no assurance can be given that any of
the events anticipated by the forward-looking statements will
transpire or occur, or if any off them do so, what benefits the
Company will derive therefrom. Readers are therefore cautioned that
the foregoing list of important factors is not exhaustive, and they
should not unduly rely on the forward-looking statements included
in this press release. 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, other than as required by applicable securities law.
All forward-looking statements contained in this press release are
expressly qualified by this cautionary statement. Further
information about factors affecting forward-looking statements and
management's assumptions and analysis thereof is available in
filings made by the Company with Canadian provincial securities
commissions available on the System for Electronic Document
Analysis and Retrieval ("SEDAR") at www.sedar.com.
SOURCE Tidewater Midstream and Infrastructure Ltd.