CALGARY, AB, Dec. 14, 2021 /CNW/ – Parkland Corporation (“Parkland”, “we”, the “Company”, or “our”) (TSX: PKI), announced today, that following the restart of the Trans Mountain Pipeline (“the Pipeline”) on December 5, 2021, it is ramping-up processing operations at the Burnaby Refinery (the “Refinery”). The Pipeline is the primary source of crude oil feedstock to the refinery.
“Having maintained the refinery in ready-mode and following delivery of sufficient, consistent quality crude oil feedstocks via the pipeline, we are ramping-up processing operations,” said Ryan Krogmeier, SVP Supply, Trading and Refining. “I am proud of the Parkland team. Throughout the pause in processing operations, we played a critical role importing essential fuels into our British Columbia terminals, from where they were stored and distributed to our customers across the lower mainland and Vancouver Island.”
“We are grateful to Parkland and the team at the Burnaby Refinery for ensuring British Columbians in the Lower Mainland and on Vancouver Island continued to enjoy reliable access to the fuels they depend on over the past several weeks,” said The Hon. Bruce Ralston, Minister of Energy, Mines and Low Carbon Innovation. “During times of crisis we are reminded of the value of partnership between our communities and the essential businesses that support them.”
Refinery Operational Status and Guidance
The shutdown of the Pipeline, on November 14, 2021, resulted in a lack of available crude oil feedstocks into the Burnaby Refinery. As a direct result, processing operations were significantly reduced from November 15, 2021, paused between November 22, 2021 and December 10, 2021, and began to ramp-up from December 11, 2021.
Primarily driven by the pipeline shutdown and pending the continued successful ramp-up of processing operations, we now expect 2021 Adjusted EBITDA (attributable to Parkland) will be close to the midpoint of our guidance of $1.25 billion.
Parkland remains confident in its 2022 guidance and reaffirms our previously disclosed Adjusted EBITDA (attributable to Parkland) of $1.45 billion +/- 5 percent. This is up approximately 16 percent from 2021 guidance, and approximately 50 percent from 2020.
About Parkland Corporation
Parkland is a leading convenience store operator and independent supplier and marketer of fuel and petroleum products. Parkland services customers across Canada, the United States, the Caribbean region, and the Americas through three channels: Retail, Commercial and Wholesale. Parkland optimizes its fuel supply across these three channels by operating and leveraging a growing portfolio of supply relationships and storage infrastructure. Parkland provides trusted and locally relevant fuel brands and convenience store offerings in the communities it serves.
Parkland creates value for shareholders by focusing on its proven strategy of growing organically, realizing a supply advantage, and acquiring prudently and integrating successfully. At the core of our strategy are our people, as well as our values of safety, integrity, community, and respect, which are embraced across our organization.