Pembina Pipeline Stock Price, News & Analysis

Pembina Pipeline (TSX: PPL; NYSE: PBA) announces the closing of PGI's acquisition of a 50% working interest in Whitecap Resources' Kaybob Complex, effective December 31, 2024. The deal includes long-term take-or-pay agreements and area-of-dedication commitments for Whitecap's volumes.

Based on Whitecap's drilling results, PGI expects full capacity utilization at the Kaybob Complex and has accelerated K3 facility developments to Q3 2025, one year ahead of schedule. PGI will invest up to $400 million ($240 million net to Pembina) in the Lator Infrastructure project, expected to start in late 2026/early 2027.

Additionally, PGI has increased its funding commitment for Veren's Gold Creek and Karr areas infrastructure to approximately $200 million ($120 million net to Pembina), supported by long-term take-or-pay commitments. These developments will support higher utilization of Pembina's Peace Pipeline and Redwater Complex, including the RFS IV expansion.

Pembina Pipeline has announced its 2025 financial guidance, projecting adjusted EBITDA of $4.2 billion to $4.5 billion. The company plans a $1.1 billion capital investment program for 2025, focusing on ongoing construction projects and development spending. The guidance reflects positive impacts from volume growth across Western Canadian Sedimentary Basin, new assets, and full-year impact of Alliance and Aux Sable assets consolidation, partially offset by Cochin Pipeline recontracting impacts.

Key priorities for 2025 include safe operations, project execution, progressing Cedar LNG Project, evaluating options for Dow Supply Agreement, and developing pipeline expansions. The company expects to generate positive free cash flow and maintain a year-end debt-to-adjusted EBITDA ratio of 3.4 to 3.7 times.

Pembina Pipeline has announced its plan to redeem all 1,028,130 outstanding Cumulative Redeemable Floating Rate Class A Preferred Shares, Series 22 on January 8, 2025. The redemption price will be $25.50 per share, plus all accrued and unpaid dividends, totaling approximately $26 million. The company has notified the sole registered holder of the Series 22 Shares about the redemption details. Non-registered holders should contact their brokers regarding the redemption process.

Pembina Pipeline announced that none of its Series 7 Preferred Shares will be converted into Series 8 Preferred Shares on December 1, 2024. The decision comes after receiving conversion notices from shareholders by the November 18, 2024 deadline, where less than the required minimum of 1,000,000 Series 7 Shares were tendered for conversion into Series 8 Shares.

Pembina Pipeline has completed the previously announced redemption of its $150 million Series 19 medium-term notes, originally due June 22, 2026. The redemption occurred on November 17, 2024, at a price of approximately $1,023.19 per $1,000 principal amount, which includes accrued but unpaid interest. The company funded this redemption through a combination of cash on hand and its credit facility. The Series 19 Notes were initially issued under pricing supplement no. 5 dated June 20, 2023.

Pembina Pipeline (TSX: PPL; NYSE: PBA) has announced its intention to redeem all outstanding Series 19 Medium Term Notes, totaling $150 million, on November 17, 2024. The redemption price will be approximately $1,023.19 per $1,000 principal amount, including accrued but unpaid interest. The company plans to fund this redemption through a combination of cash on hand and credit facility. The Series 19 Notes were originally set to mature on June 22, 2026.

Pembina Pipeline reported Q3 2024 earnings of $385 million, with adjusted EBITDA of $1,019 million and quarterly adjusted cash flow from operating activities of $724 million. The company narrowed its 2024 adjusted EBITDA guidance to $4.225-$4.325 billion from the previous $4.2-$4.35 billion. Key developments include Pembina's acquisition of a 14.6% interest in Aux Sable's U.S. operations and PGI's $420 million transaction with Whitecap Resources. The company maintains a strong balance sheet with a debt-to-adjusted EBITDA ratio of 3.6x.

Pembina Pipeline announced it will not redeem its Series 7 Preferred Shares on December 1, 2024. Shareholders can convert their Series 7 Shares to Series 8 Shares during November 1-18, 2024. The annual dividend rate for Series 7 Shares will be 5.953% from December 1, 2024, to December 1, 2029. For Series 8 Shares, the initial floating rate will be 6.583% for the period ending March 1, 2025. The upcoming dividend payment of $0.273750 per Series 7 Share will be paid on December 2, 2024, to shareholders of record on November 1, 2024.

Pembina Pipeline (TSX: PPL; NYSE: PBA) has declared quarterly dividends for its preferred shares, Series 1, 3, 5, 7, 9, 15, 17, 19, 21, 22, and 25. The dividends are payable on various dates in November and December 2024, with corresponding record dates in October, November, and December 2024.

The company also announced its Third Quarter 2024 Results Conference Call and Webcast, scheduled for November 6, 2024, at 8:00 a.m. MT. Pembina will release its Q3 2024 results on November 5, 2024, after markets close. The conference call dial-in numbers and webcast details were provided for interested parties to participate or access the replay.