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TIDEWATER MIDSTREAM AND INFRASTRUCTURE LTD. EXTENDS CREDIT FACILITY REFINANCING TERMS

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CALGARY, AB, June 23, 2022 /CNW/ - Tidewater Midstream and Infrastructure Ltd. ("Tidewater" or the "Company") (TSX: TWM) along with its senior secured lenders have agreed to extend its previously disclosed deadline to refinance its unsecured notes payable and second lien term loan from June 30, 2022 to July 31, 2022 (the "Refinancing Transaction") in order to support its current refinancing plans. Refinancing Transaction details will be disclosed upon finalization of the terms.

Tidewater's business continues to outperform its initial forecasts due to higher refining margins and increased midstream volumes.

The Company is working with its senior secured lenders on a potential increase to its credit facility to support this Refinancing Transaction as well as the future growth of its business.  Potential increases to the credit facility are subject to the approval of the senior secured lenders.

About Tidewater

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, natural gas liquids, crude oil, refined product, and renewable energy value chain. Its strategy is to profitably grow and create shareholder value through the acquisition and development of conventional and renewable energy infrastructure. To achieve its business objective, Tidewater is focused on providing customers with a full service, vertically integrated value chain through the acquisition and development of energy infrastructure, including downstream facilities, natural gas processing facilities, natural gas liquids infrastructure, pipelines, railcars, export terminals, storage, and various renewable initiatives. To complement its infrastructure asset base, the Corporation also markets crude, refined product, natural gas, NGLs and renewable products and services to customers across North America.

Tidewater is a majority shareholder in Tidewater Renewables Ltd. ("Tidewater Renewables"), a multi-faceted, energy transition company focusing on the production of low carbon fuels. Tidewater Renewables' common shares are publicly traded on the TSX under the symbol "LCFS".

Advisory Regarding Forward-Looking Statements

Certain statements contained in this press release constitute forward-looking statements and forward-looking information (collectively referred to herein as, "forward-looking statements") within the meaning of applicable Canadian securities laws. Such forward-looking statements relate to future events, conditions or future financial performance of Tidewater based on future economic conditions and courses of action. All statements other than statements of historical fact may be forward-looking statements. Such forward-looking statements are often, but not always, identified by the use of any words such as "seek", "anticipate", "budget", "plan", "continue", "forecast", "estimate", "expect", "may", "will", "project", "predict", "potential", "targeting", "intend", "could", "might", "should", "believe", "will likely result", "are expected to", "will continue", "is anticipated", "believes", "estimated", "intends", "plans", "projection", "outlook" and similar expressions. These statements involve known and unknown risks, assumptions, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. The Company believes the expectations reflected in those forward-looking statements are reasonable, but no assurance can be given that these expectations will prove to be correct and such forward-looking statements included in this press release should not be unduly relied upon.

In particular, this press release contains forward-looking statements pertaining to but not limited to the following:

  • that Refinancing Transaction details will be disclosed upon finalization of the terms;

  • the Company's plans to refinance its senior unsecured notes payable and second lien term loan;

  • Tidewater's business continues to outperform its initial forecasts due to higher refining margins and increased midstream volumes; and

  • the Company is working with its senior secured lenders on a potential increase to its credit facility.

Although the forward-looking statements contained in this press release are based upon assumptions which management of the Company believes to be reasonable, the Company cannot assure investors that actual results will be consistent with these forward-looking statements.  With respect to forward-looking statements contained in this press release, the Company has assumptions regarding, but not limited to:

  • Tidewater's ability to execute on its business plan;

  • general economic and industry trends including the duration and effect of the COVID-19 pandemic;

  • liabilities inherent in operations in the energy industry;

  • impacts of commodity prices and demand on the Company's working capital requirements; continuing government support for existing policy initiatives;

  • the Company's ability to obtain and retain qualified staff and equipment in a timely and cost effective manner;

  • the ability to obtain additional financing on satisfactory terms;

  • foreign currency, exchange and interest rates, and expectations relating to inflation;

  • the Company's future debt levels and the ability of the Company to repay its debt when due;

  • that PGR crack spreads remain strong and refined product demand continues to increase;

  • future commodity prices, including natural gas, crude oil, NGL and renewable energy prices;

  • processing and marketing margins;

  • that there are no unforeseen events preventing the performance of contracts;

  • Cenovus volume demands from the PGR are consistent with forecasts;

  • assumptions regarding amount of operating costs to be incurred;

  • that there are no unforeseen material costs relating to the facilities which are not recoverable from customers;

  • distributable cash flow and net cash provided by operating activities are consistent with expectations;

  • the ability of Tidewater to successfully market its products; and

  • credit rating changes.

The Company's actual results could differ materially from those anticipated in the forward-looking statements, as a result of numerous known and unknown risks and uncertainties and other factors including but not limited to:

  • changes in demand for refined and renewable products;

  • general economic, political, market and business conditions, including fluctuations in interest rates, foreign exchange rates, stock market volatility, supply/demand trends and inflationary pressures;

  • risks of health epidemics, pandemics, public health emergencies, quarantines, and similar outbreaks, including COVID-19, which may have sustained material adverse effects on the Company's business financial position results of operations and/or cash flows;

  • competition for business capital,

  • changes in the creditworthiness of counterparties;

  • changes in the credit rating of the Company, and the impacts of this on the Company's access to private and public credit markets in the future and increase the costs of borrowing;

  • adverse claims made in respect of the Company's properties or assets;

  • risks and liabilities associated with the transportation of dangerous goods and derailments;

  • reliance on key personnel;

  • technology and security risks, including cybersecurity;

  • potential losses which would stem from any disruptions in production, including work stoppages or other labour difficulties, or disruptions in the transportation network on which the Company is reliant;

  • activities of producers and customers and overall industry activity levels;

  • failure to negotiate and conclude any required commercial agreements;

  • non-performance of agreements in accordance with their terms;

  • failure to execute formal agreements with counterparties in circumstances where letters of intent or similar agreements have been executed and announced by Tidewater;

  • failure to close transactions as contemplated and in accordance with negotiated terms;

  • that the resolution of any particular legal proceedings could have an adverse effect on the Company's operating results or financial performance;

  • operational matters, including potential hazards inherent in the Company's operations and the effectiveness of health, safety, environmental and integrity programs;

  • actions by governmental authorities, including changes in government regulation, tariffs and taxation;

  • changes in operating and capital costs, including fluctuations in input costs;

  • effects of weather conditions;

  • legal risks and environmental risks and hazards, including risks inherent in the transportation of NGLs and refining of light crude oils which may create liabilities to the Company in excess of the Company's insurance coverage, if any;

  • actions by joint venture partners or other partners which hold interests in certain of the Company's assets;

  • reliance on key relationships and agreements;

  • potential losses which would stem from any disruptions in production, including work stoppages or other labour difficulties, or disruptions in the transportation network on which the

  • Company is reliant;

  • technical and processing problems, including the availability of equipment and access to properties; and

  • changes in gas composition.

The foregoing lists are not exhaustive. Additional information on these and other factors which could affect the Company's operations or financial results are included in the Company's most recent AIF and in other documents on file with the Canadian Securities regulatory authorities.

Management of the Company has included the above summary of assumptions and risks related to forward-looking statements provided in this press release in order to provide holders of common shares in the capital of the Company with a more complete perspective on the Company's current and future operations and such information may not be appropriate for other purposes. The Company's actual results or achievement could differ materially from those expressed in, or implied by, these forward-looking statements and, accordingly, no assurance can be given that any of the events anticipated by the forward-looking statements will transpire or occur, or if any off them do so, what benefits the Company will derive therefrom. Readers are therefore cautioned that the foregoing list of important factors is not exhaustive, and they should not unduly rely on the forward-looking statements included in this press release. Tidewater does not undertake any obligation to update publicly or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise, other than as required by applicable securities law. All forward-looking statements contained in this press release are expressly qualified by this cautionary statement. Further information about factors affecting forward-looking statements and management's assumptions and analysis thereof is available in filings made by the Company with Canadian provincial securities commissions available on the System for Electronic Document Analysis and Retrieval ("SEDAR") at www.sedar.com.

SOURCE Tidewater Midstream and Infrastructure Ltd.

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View original content: http://www.newswire.ca/en/releases/archive/June2022/23/c4373.html