CALGARY, Dec. 17, 2018 /CNW/ –
TransAlta Pioneer pipeline option exercise
Tidewater Midstream and Infrastructure Ltd. (“Tidewater” or the “Corporation“) is pleased to announce that TransAlta has exercised its option to acquire a 50 percent ownership interest in the Pioneer pipeline connecting the Tidewater owned Brazeau River Complex to TransAlta’s generating units in the Keephills and Sundance area. Tidewater will construct and operate the 120 km natural gas pipeline, with an 11km lateral connecting to Sundance, which will have an initial throughput of 130 MMcf/d with the potential to expand to approximately 440 MMcf/d. The project is supported by a 15 year take or pay commitment from TransAlta. TransAlta’s investment will be approximately $90 million. Construction of the 120km pipeline commenced last month and is expected to be fully operational by the second half of 2019. TransAlta’s investment is subject to final regulatory approval of the lateral and licence transfers from Tidewater to the partnership.
Fourth Quarter dividend
Tidewater is pleased to announce that its Board has declared a dividend for the fourth quarter of 2018 of $0.01 per common share payable on or about January 31st, 2019 to shareholders of record on December 31, 2018. The ex-dividend date is December 28, 2018. This dividend is an eligible dividend for the purpose of the Income Tax Act (Canada).
The Corporation’s Business
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 and natural gas liquids (“NGL”) 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.