TransCanada produced another strong quarter in 2015 as its asset base performed well and the company achieved important advancements on several of its growth projects.
In their Q3 update to shareholders released this morning, TransCanada executives reported that over the past nine months, the company saw comparable earnings and funds generated from operations rise eight and nine per cent respectively compared to the same period last year.
This solid performance was combined with positive developments in TransCanada’s capital growth program, including:
- Reaching an agreement to purchase the 778-megawatt Ironwood power plant in Pennsylvania from Talen Energy. This relatively new and highly efficient gas-fired power plant provides a solid platform to continue to grow our already substantial wholesale, commercial and industrial customer base in the U.S. northeast.
- Reaching an agreement with local gas distribution companies Gaz Metro, Enbridge Gas Distribution, and Union Gas that resolved their issues with Energy East and the Eastern Mainline Project. The agreement ensures that Energy East and the Eastern Mainline Project will provide gas consumers in Eastern Canada with sufficient natural gas transmission capacity and reduced transmission costs.
- Receiving the final permits from the B.C. Oil and Gas Commission to begin construction of the Prince Rupert Gas Transmission Pipeline. We now have the full complement of 11 pipeline and facility permits required from the BCOGC and remain on target to begin construction following confirmation of a final investment decision from Pacific Northwest LNG.
“The resiliency of our base business through various market conditions, combined with $12 billion of visible near-term growth projects, gives us the ability to continue growing the dividend at an annual rate of eight to 10 per cent through 2017,” said TransCanada President & CEO Russ Girling.
Over the longer term, TransCanada’s portfolio of low-risk energy infrastructure assets and our financial strength leaves the company well positioned to advance a number of other growth initiatives.
They include $35 billion of commercially secured projects which would extend and augment future growth in earnings, cash flow and dividends.
To see TransCanada’s full Q3 financial results and project updates, view the news release.