Page 12 - NorthAmOil Week 03

NorthAmOil
NEWS IN BRIEF
NorthAmOil
Cryopeak LNG Solutions Corporation announces first ever Super-B train trailer availability for LNG transportation
Cryopeak LNG Solutions Corporation, based in Richmond BC, said today it has developed the first-ever “Super B-train” liquefied natural gas (LNG) hauling trailer to optimise small-scale LNG transportation in Canada. The trailer is designed to be interoperable across Canada and is in full compliance with Transport Canada rules and regulations for the transportation of liquefied natural gas.
Development of the trailer is in line with Cryopeak’s business objective of providing natural gas solutions to companies and municipalities which are seeking to transition to an environmentally sustainable and competitive fuel source.
The new Super B-train trailer is a break though technology designed to have 70% greater capacity than standard trailers operating in Canada today.
“Our customers are seeking lower costs associated with the transportation of LNG in Canada and we are pleased to have four new Super B-train trailers entering service in the Cryopeak fleet at the beginning of 2020. This new transportation solution will improve the competitiveness of LNG as transportation costs represent often the largest cost of LNG supplied to our customers,” said Calum McClure, CEO of Cryopeak.
CRYOPEAK LNG SOLUTIONS, January 20, 2020
Enbridge gas binding open
season for peak storage
service at Dawn Hub
Enbridge Gas is holding a binding open season for up to 1bn cubic feet (bcf) of peak storage service at the Dawn Hub storage
facility starting as early as April 1, 2020. Shippers seeking access to flexible,
customised storage to meet peaking service needs can submit bids of up to 1 BCF for a term of two years or longer.
Enbridge Gas’ Peak Storage Service offers shippers unparalleled flexibility to meet their requirements and reduce operational costs.
Benefits for shippers include the ability
to: Capture daily, monthly and seasonal price volatility/spreads; balance demand and supply needs – meet peaking requirements, diversify supply and protect downstream markets; hedge commodity purchases; improve
load factor on upstream and downstream pipelines; bundle storage with other services like C1/M12 transportation to satisfy market opportunities in Ontario, Quebec, the Midwest and the US Northeast.
The Enbridge Gas Dawn Hub is one of the largest integrated natural gas storage facilities in North America. Strategically located
in southwestern Ontario, Dawn provides shippers with direct access to North America’s major supply basins, including Appalachia and Western Canadian sedimentary basin. With multiple supply routes from western Canada, mid-continent, Appalachia and the Rockies, as well as the ability to serve markets in the mid-west, eastern Canada and the US Northeast, the Enbridge Gas Dawn Hub is a reliable, secure, and liquid natural gas trading hub.
The open season runs from January 14, 2020 through to 2 pm EST on January 21, 2020.
ENBRIDGE GAS, January 16, 2020
Magellan Midstream to sell select marine terminals, announcesunitrepurchase programme
Magellan Midstream Partners announced today an agreement to sell three marine terminals to Buckeye Partners for $250mn. The terminals are located in New Haven,
Connecticut, Wilmington, Delaware and Marrero, Louisiana.
“Magellan remains focused on capital discipline and managing our business for
the long term,” said Michael Mears, chief executive officer. “Optimisation of our asset portfolio, including divestiture of facilities outside our strategic footprint, is an important element to maximise unitholder value and our strong financial position.”
Mears continued, “I would also like to personally and on behalf of the organisation express our gratitude for the contributions from all employees supporting these facilities through the years and during this time of transition.”
The sale is expected to close by late first quarter or early second quarter 2020, subject to regulatory approvals.
The partnership intends to provide 2020 financial guidance as part of its fourth-quarter 2019 earnings release on Jan. 30 but does not expect the terminals sale to have a material impact on its future financial results.
Jefferies served as financial advisor and GableGotwals served as legal counsel to Magellan in connection with the transaction.
The partnership also announced that
its board of directors has authorised the repurchase of up to $750mn of common units through 2022. Magellan intends to purchase its common units from time-to-time through a variety of methods, including open market purchases and negotiated transactions, all in compliance with the rules of the Securities and Exchange Commission and other applicable legal requirements.
“Magellan remains committed to our long- standing disciplined approach to financing our business and pursuing attractive projects,” confirmed Mears. “In addition, we intend
to opportunistically utilise additional tools, including the unit repurchase programme announced today as well as potential special distributions, to accomplish our core goal of maximising value for our investors.”
The timing, price and actual number of common units repurchased will depend
on a number of factors including the partnership’s expected expansion capital spending needs, alternative investment opportunities, excess cash available, legal and regulatory requirements, market conditions andthetradingpriceofitscommonunits. The repurchase programme does not obligate the partnership to acquire any particular amount of common units, and the repurchase programme may be suspended or discontinued at any time at the partnership’s discretion.
MAGELLAN MIDSTREAM PARTNERS, January 21, 2020
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Week 03 22•January•2020