PNG hands out more cash to shareholders, execs

Pacific Northern Gas (PNG) shareholders are to receive another cash benefit resulting from the sale earlier this year of its 50 per cent interest in a planned natural gas pipeline to feed the Kitimat LNG export terminal project.

Pacific Northern Gas (PNG) shareholders are to receive another cash benefit resulting from the sale earlier this year of its 50 per cent interest in a planned natural gas pipeline to feed the Kitimat LNG export terminal project.

Shareholders of record as of June 6 are to receive $3 a share, amounting to $11 million, part of the net remaining proceeds of an initial $30 million payment made to PNG by Apache Canada and EOG Resources.

Shareholders in March also received $3 share from the same sale proceeds.

PNG sold its share in the pipeline for $50 million in total – the final $20 million will be paid to PNG when the Pacific Trails pipeline project is officially announced – that’s expected to happen later this year.

The $6 per share dividends represents the total net proceeds arising from the $30 million payment.

Expenses included $4 million in bonuses to company executives, $2.6 million for taxes and $1.2 million in advisory fees.

PNG official Craig Donohue said there had been discussion about using some of the first $30 million to continue an expansion into renewable energy projects but that the company’s board decided it could accomplish that within its existing resources.

“We have sufficient resources available, sufficient wherewithal,” said Donohue.

PNG is already a partner with a company called Skookum Power Corporation in a run-of-river hydro-electric project on the Sunshine Coast and has formed a new partnership with Skookum to buy into a second promising run-of-river project near Sechelt, also on the Sunshine Coast.

The 45 megawatt Narrows Inlet Project, has a 30-year sales deal with BC Hydro and construction is expected to start next year.

The project would cost approximately $190 million and the PNG partnership with Skookum could see it providing $20 million of that amount.

Depending upon the timing of the Pacific Trails announcement, the final $20 million could come available when the $20 million is required for the Narrows Inlet run of river project, said Donohue.

And although PNG has sold its half-interest in the Pacific Trails Pipeline, it does have a long-term contract to operate and maintain the pipeline, providing revenue it says will help decrease rates for  other customers.

 

Just Posted

Vopak expects 240 liquid gas-by-rail cars per day

North Coast residents can learn more about the Ridley Island-based project at the open houses

Ice Demons get an early start on the ice

The players are determined to score wins in this year’s league.

Focus groups important for age-friendly policy

These results will drive the age-friendly action plan

Is it a car? Is it a buggy? Yes, all of the above

Riverbank cleanup nets some odd items

Mobile complaint team coming to B.C.’s northwest

Ombudsperson’s office wants to hear from wronged residents

VIDEO: Rare close encounter with whale pod spotted off B.C. waters

Pod of southern resident orca whales breach within arms length of whale watchers

Veterans Affairs ordered to take second look before supporting vets’ relatives

Liberal government ordered officials to adopt a more critical eye

Dead B.C. motorcyclist was member of group that raced down mountain road

Some group members record their rides on Strathcona Parkway and post times to page

Indigenous athletes in spotlight at BC Sports Hall of Fame

New gallery to feature Carey Price, Kaila Mussel and Richard Peter

B.C. couple who went missing on flight from Edmonton named by family

Family released a statement Wednesday saying they’re still intent on finding the two-seater plane

VIDEO: A close look at what you were breathing during the B.C. wildfire season

Electron microscope images show soot and tar particles generated by worst B.C. fire season

B.C. woman donates $250,000 to ovarian cancer research for friends

Two of Patty Pitts’s friends passed away from the disease within a year

B.C. could provide clues as to how New Brunswick electoral results shake out

Premier Christy Clark faced a strikingly similar scenario following the province’s 2017 election

Ottawa working to iron out kinks in public alert system

The alerts are being credit with saving lives during last week’s tornadoes

Most Read