- Pembina Pipeline (PBA -0.6%) says it plans C$785M in capital spending next year, while it re-activates the next phase of the Peace Pipeline expansion project and restart the Empress Co-generation facility.
- The company also says it expects to generate C$3.2B-C$3.4B in adjusted EBITDA next year.
- Pembina lowers its capital cost estimate for the next phase of the Peace Pipeline expansion to C$775M from C$950M as it reduces the initial capacity to 160K bbl/day from 240K bbl/day, "reflecting a reimagining of the project to optimize the scope with customers' current development plans and transportation requirements.
- The Empress Co-generation Facility will use natural gas to generate up to 45 MW of electrical power, reducing overall operating costs by providing power and heat to the existing Empress NGL Extraction Facility; the expected capital cost of the project is C$120M.
- But Pembina and partner Kuwait Petrochemical in a joint venture to construct an integrated propane dehydration plant and polypropylene upgrading facility in Alberta are suspending the project indefinitely.
- PBA recently racked up its best closing price in nine months but remains 24% over the past year: