TransCanada Acquires Crossfield Gas Storage Facility and CrossAlta
CALGARY, ALBERTA -- (Marketwire) -- 11/20/12 -- TransCanada
Corporation (TSX:TRP) (NYSE:TRP) (TransCanada) announced today that
it has entered into an agreement to acquire BP's 40 per cent interest
in the assets of the Crossfield Gas Storage facility. In addition,
TransCanada will acquire BP's interest in CrossAlta Gas Storage &
Services Ltd., an affiliated marketing joint venture between the two
This $210 million transaction will give TransCanada 100 per cent
ownership in the facility located in Crossfield, Alberta, about 50
kilometres north of the City of Calgary. This acquisition adds an
additional 27 billion cubic feet of natural gas storage capacity to
TransCanada's existing portfolio in Alberta. TransCanada has operated
the Crossfield Gas Storage facility since 2011.
"The addition of the Crossfield Gas Storage facility into our
existing portfolio will increase our ability to offer unique services
to our customers in Alberta, and provide another organic growth
platform for our storage business," said Russ Girling, president and
chief executive officer, TransCanada. "This latest energy
infrastructure acquisition enhances TransCanada's ability to reliably
deliver an essential balancing service to the gas markets in western
As part of the transaction, TransCanada will acquire BP's base gas in
the facility, all of BP's mineral interests in the Crossfield area
including BP's ownership interest in the Elkton production unit and
related surface land. BP will maintain a transactional relationship
with TransCanada as a storage customer going forward.
Closing of the transaction is subject to certain conditions being
satisfied and is expected to occur by the first quarter of 2013.
With more than 60 years' experience, TransCanada is a leader in the
responsible development and reliable operation of North American
energy infrastructure including natural gas and oil pipelines, power
generation and gas storage facilities. TransCanada operates a network
of natural gas pipelines that extends more than 68,500 kilometres
(42,500 miles), tapping into virtually all major gas supply basins in
North America. TransCanada is one of the continent's largest
of gas storage and related services with approximately 380
billion cubic feet of storage capacity. A growing independent power
producer, TransCanada owns or has interests in over 10,900 megawatts
of power generation in Canada and the United States. TransCanada is
developing one of North America's largest oil delivery systems.
TransCanada's common shares trade on the Toronto and New York stock
exchanges under the symbol TRP. For more information visit:
http://www.transcanada.com/ or check us out on Twitter @TransCanada.
FORWARD LOOKING INFORMATION
This publication contains certain information that is forward-looking
and is subject to important risks and uncertainties (such statements
are usually accompanied by words such as "anticipate", "expect",
"would" or other similar words). Forward-looking statements in this
document are intended to provide TransCanada security holders and
potential investors with information regarding TransCanada and its
subsidiaries, including management's assessment of TransCanada's and
its subsidiaries' future financial and operation plans and outlook.
All forward-looking statements reflect TransCanada's beliefs and
assumptions based on information available at the time the statements
were made. Readers are cautioned not to place undue reliance on this
forward-looking information. TransCanada undertakes no obligation to
update or revise any forward-looking information except as required
by law. For additional information on the assumptions made, and the
risks and uncertainties which could cause actual results to differ
from the anticipated results, refer to TransCanada's Management's
Discussion and Analysis filed February 15, 2012 under TransCanada's
profile on SEDAR at http://www.sedar.com/ and other reports filed by
TransCanada with Canadian securities regulators and with the U.S.
Securities and Exchange Commission.
Shawn Howard/Grady Semmens
403.920.7859 or 800.608.7859
Investor & Analyst Enquiries:
David Moneta/Terry Hook/Lee Evans
403.920.7911 or 800.361.6522
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