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TC Pipelines reports 1Q17 results

Published by
World Pipelines,


TC PipeLines, LP has reported 1Q17 net income attributable to controlling interests of US$75 million and distributable cash flow of US$92 million.

“The partnership's assets continued their solid performance during 1Q17," said Brandon Anderson, President of TC PipeLines, LP, Inc. "Our pipelines reliably served their markets with natural gas to heat homes and provide power during the recent winter period. This was reflected in our stable cash flow and earnings, providing ongoing value to our unitholders.”

TC PipeLines, LP has reached agreements to purchase a 49.35% interest in the Iroquois Gas Transmission System, LP from TransCanada, together with TransCanada's remaining 11.8% interest in Portland Natural Gas Transmission System (PNGTS) for a total price of US$765 million.

These transactions underscore TC Pipeline’s ability to assist TransCanada in financing its large capital programme on a cost competitive basis. Based on the anticipated increased cash flow following this acquisition, the company expects to recommend a 6% increase in distribution in July. This and future dropdowns will underpin our growth in the years to come and provide our unitholders with a continued source of long term, stable cash flow.

1Q17 highlights

Each of the following figures are unaudited:

  • Agreed to purchase a 49.3% interest in Iroquois Gas Transmission System and the remaining 11.8% interest in PNGTS from TransCanada for US$765 million.
  • Generated net income attributable to controlling interests of US$75 million.
  • Paid cash distributions of US$90 million including US$22 million paid to Class B units.
  • Declared cash distributions of US$0.94 per common unit.
  • Generated distributable cash flow of US$92 million.
  • Raised net proceeds of approximately US$71 million in common equity through the partnership's At-the-Market equity issuance programme and through a general partner contribution.

Read the article online at: https://www.worldpipelines.com/business-news/05052017/tc-pipelines-reports-1q17-results/


 

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