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Tidewater Midstream and Infrastructure Ltd. Announces Definitive Agreement to Sell the Pioneer Pipeline and Second Quarter Dividend
Tidewater Midstream and Infrastructure Ltd. Announces Definitive Agreement to Sell the Pio...
About this update from Tidewater Midstream & Infrastructure Ltd.
[{"type":"text","content":"\n\n\n\nTidewater Midstream and Infrastructure Ltd. Announces Definitive Agreement to Sell the Pioneer Pipeline and Second Quarter Dividend\n\n/* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n\n\n\n\n\n\n\nCanada NewsWire\nCALGARY, AB, June 18, 2020\n\n\n\n CALGARY, AB, June 18, 2020 /CNW/ -\n\n \n \n \n \n \n \n\n \nPioneer Pipeline Disposition – Definitive Agreement\nTidewater Midstream and Infrastructure Ltd. (\"Tidewater\" or the \"Corporation\") (TSX: TWM) is pleased to announce that, with its partner TransAlta Corporation (\"TransAlta\"), it has entered into a definitive Purchase and Sale Agreement with respect to the previously announced sale of the Pioneer Pipeline to NOVA Gas Transmission Ltd., a wholly-owned subsidiary of TC Energy, for total cash consideration of $255.0 million (the \"Pioneer Transaction\"). The Pioneer Pipeline is a 20 inch, 120km pipeline connecting Tidewater's Brazeau River Complex to TransAlta's generating units at Keephills along with an 11km lateral to Sundance.  Throughput from the Pioneer Pipeline is approximately 130MMcf/d of natural gas.  Proceeds of the transaction will be split equally between Tidewater and TransAlta pursuant to their existing Pioneer Pipeline partnership.\nIn addition, Tidewater and TransAlta have agreed to terms whereby, upon closing of the Pioneer Transaction, TransAlta will pay Tidewater $10.5 million for certain ancillary assets  not included in the Pioneer Transaction, and for completion of some budgeted restoration work along the Pioneer Pipeline route that was delayed until 2020 due to weather. \nClosing of the Pioneer Transaction is subject to certain customary conditions for a transaction of this nature including regulatory approval. \nTidewater will use the proceeds from the disposition to accelerate its deleveraging plan and repay debt under its credit facilities.\nSecond Quarter 2020 Dividend \nTidewater is pleased to announce that its Board of Directors has declared a dividend for the second quarter 2020 of $0.01 per common share payable on or about July 31, 2020 to shareholders of record on Jun...