Posts Tagged ‘energy news’

Parkland Completes Acquisition of 75% of the Shares of Sol Investment Limited, the Largest Independent Fuel Marketer in the Caribbean

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CaribPR Wire, CALGARY, Alberta, Jan. 08, 2019:  Parkland Fuel Corporation (“Parkland”) (TSX:PKI), a leading convenience store operator and one of the fastest growing independent marketers of fuel and petroleum products in the Americas, today announced the closing of its acquisition of 75% of the shares of Sol Investments Limited (“SIL” and together with its subsidiaries “Sol”). Sol is the largest independent marketer and supplier of petroleum products in the Caribbean, operating in 23 jurisdictions. As expected, this close enables Sol to effectively contribute to Parkland’s earnings for the full calendar year of 2019. Parkland will update its guidance for 2019 when it discloses its year-end results for 2018.

“The opportunity to expand to a new geography and market through a strong business platform like Sol is an exciting time for Parkland. The assets and infrastructure we have acquired are proven, well known, and will enable Parkland to extend its supply advantage into a new region,” said Bob Espey, President and Chief Executive Officer of Parkland. “I would like to welcome the Sol team to Parkland. Our two businesses are stronger together, and I look forward to the opportunities this acquisition will enable for all of us.”

Pierre Magnan, Parkland’s Vice-President of Corporate Development and former head of Supply, Trading & Refining will assume the role of President, Parkland International and will oversee the Sol business based  from Grand Cayman.

“I look forward to working with the Sol team to build on Sol’s strong foundation of safe and reliable supply in the region,” said Mr. Magnan. “We are committed to investing in Sol’s people and infrastructure to grow our presence in the region.”

FORWARD-LOOKING STATEMENTS

Certain information included herein is forward-looking. Many of these forward looking statements can be identified by words such as “expects”, “expected”, “will”, “anticipate”, “continue”, or similar words. Forward-looking information in this press release includes, but is not limited to, potential benefits to be realized from the business combination, Parkland’s future investment in the assets of Sol and expansion of operations in the Caribbean region. Parkland believes the expectations reflected in such forward-looking statements are reasonable but no assurance can be given that these expectations will prove to be correct and such forward-looking statements should not be unduly relied upon. Forward-looking statements are not guarantees of future performance and involve a number of risks and uncertainties some of which are described in Parkland’s annual information form and other continuous disclosure documents. Such forward-looking statements necessarily involve known and unknown risks and uncertainties and other factors, which may cause Parkland’s actual performance and financial results in future periods to differ materially from any projections of future performance or results expressed or implied by such forward-looking statements. Such factors include, but are not limited to: general economic, market and business conditions; industry capacity; competitive action by other companies; refining and marketing margins; the ability of suppliers to meet commitments; actions by governmental authorities including increases in taxes; changes in environmental and other regulations; and other factors, many of which are beyond the control of Parkland.

Any forward-looking statements are made as of the date hereof and Parkland does not undertake any obligation, except as required under applicable law, to publicly update or revise such statements to reflect new information, subsequent or otherwise. The forward-looking statements contained in this press release are expressly qualified by this cautionary statement.

ABOUT PARKLAND FUEL CORPORATION

Parkland is Canada’s largest and one of North America’s fastest growing independent suppliers and marketers of fuel and petroleum products and a leading convenience store operator.  Parkland services customers through three channels: Retail, Commercial and Wholesale. Parkland optimizes its fuel supply across these three channels by operating the Parkland Burnaby Refinery, and leveraging a growing portfolio of supply relationships and storage infrastructure.  Parkland provides trusted and locally relevant fuel brands and convenience store offerings, including its On the Run/Marché Express banners, in the communities it serves.

Parkland creates value for shareholders by focusing on its proven strategy of growing organically, realizing a supply advantage and acquiring prudently and integrating successfully. At the core of our strategy are our people, as well as our values of safety, integrity, community and respect, which are embraced across our organization.

To sign up for Parkland news alerts, please go to http://bit.ly/PKI-Alert or visit www.parkland.ca.

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Proman Increases Trinidad and Tobago’s Natural Gas Supply to Petrochemical Plants

DeNovo delivers first commercial supply of natural gas from Iguana Field after more than 30 years of remaining undeveloped

PORT OF SPAIN, Trinidad and Tobago, Nov. 21, 2018 /PRNewswire-HISPANIC PR WIRE/ — DeNovo Energy Limited (”DeNovo”), a subsidiary of the Proman Group (”Proman”), has today announced the first commercial supply of gas from the Iguana Field in Block 1(a), which will deliver 80 million cubic feet of gas per day once fully operational. DeNovo, which became the operator of the field in 2016, fast-tracked the project delivery, safely executing this development using 2.6 million man-hours, with over 73% local content, in just under three years.

The project was delivered in line with Proman’s strategy for ensuring security of gas supply and sustainability in Trinidad and Tobago’s Energy Industry. Proman invested USD 250 million in DeNovo in 2015, as the first downstream group to invest in the upstream sector in Trinidad and Tobago. A global leader in petrochemicals, Proman has been operating in Trinidad and Tobago since 1984 and owns and operates 14 petrochemical plants on the Point Lisas Industrial Estate in Trinidad, amounting to more than 50% of the installed petrochemical capacity. Through this investment, Proman has been able to develop stranded pools of gas to deliver to an already matured downstream industry. The Iguana Field is DeNovo’s first stranded gas field development, and signals a significant positive evolution in the operating capabilities within the Trinidad and Tobago energy industry as the DeNovo model provides a quick and tested way of increasing natural gas production.

Proman Chief Executive David Cassidy said, “After 30 years of excelling in the Downstream sector, we decided to invest in a local Upstream company at a time when gas curtailments seriously impaired Trinidad and Tobago’s global competitiveness. The Iguana field development is a perfect example of global collaboration and the diverse competencies within the Proman Group, as DeNovo was supported by other Proman companies to deliver this project in record time to a world-class standard. I would like to express my thanks to the expert teams at DeNovo, Proman AG (Trinidad) Ltd, Eurotecnica Contractors and Engineers S.p.A, and Industrial Plant Services Limited (IPSL) for their outstanding work. Together we have achieved a significant first for Trinidad and Tobago, demonstrating Proman’s commitment to enhancing the competitiveness of the local petrochemical sector, increasing the security of gas supply in the country, and leading a sustainable evolution in the local Energy Industry.”

Speaking of Proman’s involvement, DeNovo CEO Joel Pemberton said, “Proman has proven the great potential from natural gas still exists in Trinidad and Tobago despite the challenges faced by the local Energy Industry. Proman was the first company to make a significant investment in the local upstream, and supported DeNovo in the midst of a global energy crisis, and when gas shortages threatened petrochemical operations in Trinidad and Tobago. This investment is part of Proman’s multi-billion-dollar operation in the country, supporting hundreds of skilled jobs and supporting business, and contributing significantly to Trinidad and Tobago’s economic prosperity and Energy Industry sustainability.”

Cassidy characterised Proman’s investment in the development as “taking the initiative.” He went on to say, “We continue to work with all stakeholders to ensure that Trinidad and Tobago remains a competitive and viable place to produce petrochemicals, and that the Energy Industry can be sustainable and secure in the short and long terms.”

The announcement comes at a time when Proman has significantly scaled up its global operations partly through its controlling stake in Consolidated Energy Limited and the recent start-up of the Natgasoline plant, the United States’ largest methanol production facility, in Beaumont, Texas.

NOTES TO EDITORS

About the Proman Group

Proman is an integrated industrial group and global leader in natural gas derived products and services. Headquartered in Switzerland, with assets in the United States, Trinidad and Oman, and ongoing expansion into Mexico, Proman is the world’s second largest methanol producer and one of the ten leading fertilizer companies via, in part, its controlling stake in Consolidated Energy Limited. Proman is also a significant services business, with extensive experience in petrochemical plant operations, petrochemical and power plant construction, product marketing and logistics, and project management. The Group offers a fully integrated, diversified platform across the whole value chain from the production and conversion of natural gas to the marketing and delivery of end products to its customers. Proman has been committed to Trinidad and Tobago’s energy sector for over 30 years, continually re-investing to expand its portfolio to include methanol, anhydrous ammonia, urea ammonium nitrate and melamine. The Group employs over 1,000 employees in the country, accounting for two-thirds of Proman’s global workforce.

About DeNovo

DeNovo is a Trinidad and Tobago independent upstream operating company focused on monetising proven natural gas reserves for use in the petrochemical sector. DeNovo is part of the Proman Group, the largest petrochemical group in Trinidad and Tobago, which has been committed to the country’s Energy Industry for over 30 years. Proman is one of the world’s largest methanol producers, and a leading fertiliser producer globally. DeNovo is Proman’s upstream operating company, focused on monetising proven natural gas reserves for use in Trinidad and Tobago’s energy industry. DeNovo’s model is to Acquire top talent and resources, Collaborate with all stakeholders for the common good, Evolve in a constantly changing world whilst delivering on core objectives in line with our values, and Sustain a robust and profitable business which enhances Trinidad and Tobago.

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Parkland Fuel Corporation to Acquire 75% of SOL, the Largest Independent Fuel Marketer in the Caribbean

Transformational Business Combination Establishes Strong International Growth Platform; SOL’s Simpson Group to Own 9.9% of Parkland

CaribPR Wire, CALGARY, Alberta, Oct. 10, 2018: Parkland Fuel Corporation (“Parkland”, “We”, “Our” or “Us”), (TSX:PKI) Canada’s largest and one of North America’s fastest growing independent marketers of fuel and petroleum products and a leading convenience store operator, and SOL Limited have entered into an agreement to complete a business combination (the “Business Combination” or “Transaction”) between Parkland and SOL Investments Limited (“SIL”) and its subsidiaries (collectively, “SOL”).  A privately-held company owned by the Simpson Group, SOL is the largest independent fuel marketer in the Caribbean and a wholly-owned subsidiary of SOL Limited.

SOL supplies and markets a total of 4.8 billion liters of fuel volume annually across 23 countries in the Caribbean and generated US$215 million (approximately C$280 millioni) in adjusted earnings before taxes, depreciation and amortization (“Adjusted EBITDA”) in the 12-month period ending June 2018.

The Transaction will result in Parkland acquiring 75% of the issued and outstanding shares in the capital of SIL (the “SIL Shares”) for total consideration of US$1.21 billion (approximately C$1.57 billion) plus customary post-closing adjustments on a cash-free and debt-free basis (the “Purchase Price”), and SOL Limited acquiring 12.16 million common shares in the capital of Parkland (the “Parkland Shares”).  This equates to a purchase price multiple on the 75% equity interest in SOL of approximately 7.5x Adjusted EBITDA, excluding working capital. Upon closing the Simpson Group, through its ownership in SOL Limited, will own approximately 9.9% of the issued and outstanding shares in Parkland and its intention is to remain a long-term investor in Parkland. The Transaction is expected to be immediately accretive to Parkland’s distributable cash flow per share by approximately 17% (pre-synergies).

The remaining 25% of the shares outstanding in SIL are subject to the Minority Purchase/Sale Right (as defined below) pursuant to which Parkland may elect to acquire or SOL Limited may elect to sell the remaining shares in the capital of SIL. Based on SOL’s Adjusted EBITDA for the 12-month period ending June 2018, the Adjusted EBITDA attributable to Parkland from the 75% ownership stake in SOL would have been US$161 million (approximately C$210 million), representing 75% of SOL’s Adjusted EBITDA for the period.

Parkland President and CEO Bob Espey said, “The addition of SOL will extend our global supply reach and enable us to continue to build our supply advantage to benefit our entire business. With its integrated supply chain backed by an extensive distribution network, fortress assets, a premier brand portfolio and an exceptional team, SOL has built a strong market position with unparalleled regional scale.  Together, Parkland and SOL create a significant North American and Caribbean growth platform. We are delighted to partner with the Simpson Group and welcome the opportunity to work with SOL’s strong management team to optimize and grow SOL’s industry leading retail and supply network through our combined scale and expertise.”

Sir Kyffin Simpson, CBE, Founder of SOL Limited said, “I am exceptionally pleased to announce the coming together (Business Combination) of Parkland and SOL, which will ensure an exciting and dynamic future for everyone.  With a desire to continue to develop and grow the business through expansion in new areas, I am extremely blessed to bring in our good friends Parkland of Canada to the Caribbean.  I have long admired Parkland as a company with their futuristic vision and energy, and I have been tremendously impressed with Bob Espey’s strong leadership along with his exceptional management team.”

“I am truly confident that this coming together with the fantastic team at SOL will be a complementary blend of cultures, ideas, technology and innovation.  I am convinced that Parkland and SOL are perfectly matched to develop new and exciting opportunities, with renewed energy that will provide excellent avenues for the development of our people that will in turn enhance our customer experience and open new doors for great synergies and improved logistics.  With forty-three million people and a GDP of more than US$200 billion, this is the perfect time to take advantage of the tremendous opportunities that abound in the Caribbean.”

“This coming together will also provide a big boost of confidence for regional investment opportunities and we are happy to do our part in this regard.  Please therefore join with me in welcoming this wonderful team and organization to the region.   I pray God’s richest blessings on this coming together and I look forward to what the future has in store for us all.”

Chief Financial Officer Mike McMillan said, “The scale of the pro-forma business combined with the strong cash flow from operations and operational synergies expected from SOL will further strengthen Parkland’s balance sheet and capital structure.  The financing for the Transaction will enable Parkland’s pro forma total leverage ratio to remain below 3.5x.  In addition, Parkland will be in a strong position from a balance sheet and capital structure perspective to continue to execute on our growth strategies.”

Key Highlights

  • The addition of stable earnings from 526 retail stations (266 company-owned or company-leased sites and 260 dealer owned and operated sites);
  • Provides an opportunity to roll out Parkland’s private label, loyalty and enhanced food offer;
  • Positions Parkland to access supply at scale in the US Gulf Coast, creating future growth opportunities and supply advantage in the US Gulf and Atlantic coasts for Parkland USA (in addition to our continued focus on the US Northern Tier and Rocky Mountain regions);
  • Total identified annual run-rate synergies of approximately 20% of SOL’s Adjusted EBITDA over the next three years;
  • Pro forma net debt to Parkland Adjusted EBITDA of approximately 3.2x on a consolidated basis with a strong deleveraging profile; and
  • The SOL operating brands will remain in place, and the SOL business will retain key management and continue to be managed from the Caribbean.

Parkland and SOL Limited, the sole shareholder of SIL, will enter into a shareholders agreement that grants a call right for Parkland and put right for SOL Limited (collectively, the “Minority Purchase/Sale Right”), pursuant to which Parkland may elect to acquire or SOL Limited may elect to sell the remaining 25% portion of the issued and outstanding shares in the capital of SOL (the “Remaining Shares”) at a value of 8.5x the Adjusted EBITDA of SOL based on the then current audited financial statements.  The Minority Purchase/Sale Right will be exercisable by either party for a period of 90 days following the release by Parkland of its audited financial statements for the fiscal year ended December 31, 2020 (or December 31, 2021 in the event that closing does not occur on or before December 31, 2018).  The Minority Purchase/Sale Right will be exercisable annually thereafter by either party for a period of 90 days following the release by Parkland of its audited annual financial statements.

The Transaction is subject to the receipt of customary third-party consents and regulatory approvals, including approval of the Toronto Stock Exchange.  Closing of the Transaction is expected to occur in late Q4 2018.

Strategic Rationale

  • Through strategic acquisitions and organic growth, SOL has built ‘fortress assets’ in stable markets across the region;
  • SOL is the largest independent fuel marketer and convenience store operator in the Caribbean region, with more than 4.8 billion liters of annual volume and approximately US$215 million (approximately C$280 million) in estimated Adjusted EBITDA (excluding expected synergies);
  • Provides comprehensive and key infrastructure in the Caribbean region to extend and enhance Parkland’s supply advantage and expertise;
  • Adds significant scale to Parkland’s retail and supply businesses;
  • Provides increased exposure to stable earnings across multiple lines of business;
  • Provides diversification from the North American market;
  • Significantly contributes to Parkland’s US dollar cash flows;
  • Positions Parkland to access supply at scale in the US Gulf Coast, creating future growth opportunities and supply advantage in the US Gulf and Atlantic coasts for Parkland USA;
  • Supports acquisition and expansion opportunities in the Caribbean region and broader Americas; and
  • Opens Parkland’s business to global supply advantages to benefit existing and future business opportunities.

SOL Retail Business

  • Represents approximately 2.0 billion liters of annual volume with operations in 20 countries;
  • Includes 526 retail stations (266 company owned or company leased sites and 260 dealer owned and operated sites); and
  • Operates 197 Shell-branded retail stations and 163 ESSO-branded retail stations and enjoys a long-standing relationship with both premier retail brands in the Caribbean.  SIL also operates 93 SOL-branded stations, which enjoy excellent recognition in the Caribbean.

SOL Supply and Distribution Business

  • SOL’s infrastructure assets include 32 import terminals, 7 pipelines, 3 marine berths and 10 charter ships;
  • Enables SOL to achieve superior supply economics in the Caribbean region as it is the largest fuels marketer with an integrated supply chain;
  • Primary objective is to supply the SOL marketing business and any spare capacity is sold to third parties;
  • Chartered vessel fleet provides SOL with inter-island transportation and distribution capabilities;
  • Owned and leased terminals enable intermediate storage for large fuel cargoes across the region;
  • Geographically close to US Gulf Coast supply, one of the longest refined product markets in the world;
  • Ownership of 29% non-operating financial stake in the entity that owns and operates the SARA Refinery located in Fort-de-France, Martinique (the “SARA Refinery”).  The capacity of the SARA Refinery is 16,000 thousand barrels per day; and
  • SARA Refinery owns and operates all the pipelines, ships and terminals required to supply refined products to Guadeloupe, French Guiana and Martinique.

SOL Commercial and Industrial Business

  • Represents approximately 1.8 billion liters of annual volume with operations in 21 countries;
  • Supplies gasoline, diesel, fuel oil, LPG (propane) and other petroleum products to commercial and industrial customers in the mining, power generation, manufacturing, construction, transport and hospitality industries;
  • Lubricants segment represents 21 million liters of annual volume and operations in 18 countries;
  • Distributes Shell and Pennzoil-branded lubricants and is the largest licensed distributor of Shell-branded lubricants in the Caribbean;
  • LPG (propane) segment represents 47 million liters of annual volume and operations in 10 countries;
  • Distributes LPG (propane) direct to customers under the highly recognizable SOL Energy brand; and
  • Distributes LPG (propane) to other distributors and governments under various supply agreements.

SOL Aviation Business

  • Represents approximately 600 million liters of annual volume with operations in 13 countries;
  • Operates in most countries through joint ventures with various third parties.  Joint ventures are structured to enable maximum utilization of high cost fixed assets; and
  • Jointly owns airport terminals and infrastructure in several markets.

Parkland Financing

The Transaction and related fees and expenses will be financed by Parkland with a fully underwritten financing package:

  • Debt financing of approximately C$1.1B underwritten by Canadian Imperial Bank of Commerce and National Bank of Canada as Co-Lead Arrangers and Bookrunners consisting of:
    • C$470 million of senior secured bank debt, a US$250 million (approximately C$325M million) term loan and a term facility of C$300 million.
  • SOL Limited will provide approximately C$518 million of equity financing through its investment in Parkland:
    • Parkland will issue 12.16 million Parkland shares to SOL Limited from treasury as partial consideration for the Business Combination at a price of approximately C$42.62 per share, representing the 5-day volume-weighted average price of Parkland’s common shares on the Toronto Stock Exchange as of market close on October 9, 2018.  After closing, SOL Limited will own approximately 9.9% of the issued and outstanding common shares in Parkland.

Parkland expects to replace the term facility with alternative longer-term debt prior to the closing of the Transaction.

Investor Event and Conference Call Information

Parkland will host a webcast and conference call at 6:30 AM MT (8:30 AM ET) on October 10, 2018 to discuss the Transaction.  Parkland’s Senior Leadership Team will be available to take questions from securities analysts and investors following their formal comments.

Please log into the webcast slide presentation 10 minutes prior to start time at:

Webcast: https://edge.media-server.com/m6/p/gxyt5yny

To access the conference call by telephone, dial toll-free (844) 889-7784.  International callers should use (661) 378-9928, Conference ID: 1558797.  Please connect approximately 10 minutes before the beginning of the call. The webcast will be available for replay one hour after the conference call ends. It will remain available at the link above for one year and will be posted to www.parkland.ca.

A link to the live webcast and investor presentation will be available on the Investors section of Parkland’s website at  http://www.parkland.ca/investors/.

If you are unable to participate in the call, a replay will be available by dialing (855) 859-2056, Conference ID: 1558797 (Canada and USA toll-free). For international callers, please dial (404) 537-3406, Conference ID: 1558797.  A transcript of the broadcast will be posted on the website once it becomes available.

About Parkland

Parkland is Canada’s largest and one of North America’s fastest growing independent suppliers and marketers of fuel and petroleum products and a leading convenience store operator.  Parkland services customers through three channels: Retail, Commercial and Wholesale.  Parkland optimizes its fuel supply across these three channels by operating the Parkland Burnaby Refinery, and leveraging a growing portfolio of supply relationships and storage infrastructure.  Parkland provides trusted and locally relevant fuel brands and convenience store offerings, including its On the Run/Marché Express banners, in the communities it serves.

Parkland creates value for shareholders by focusing on its proven strategy of growing organically, realizing a supply advantage and acquiring prudently and integrating successfully.  At the core of our strategy are our people, as well as our values of safety, integrity, community and respect, which are embraced across our organization.

About SOL

By providing fuels, lubricants, LPG products and an extensive network of service stations, SOL enables the energy that keeps the heart of our region beating. SOL is the largest independent petroleum marketing company in the Caribbean region and is committed to supporting and empowering the communities in which it operates.

With operations spanning across twenty-three territories, SOL’s highly qualified team reflects the talent, spirit and diversity of the region. SOL serves a wide range of commercial customers who are involved in shipping, luxury boating, aviation, mining, trucking and fleet operations, as well as families and individuals – hard working men and women who need a reliable partner to fuel their vehicles, homes and lives.

Advisors

Deloitte provided transaction services in respect of the Business Combination.

National Bank Financial Inc. served as financial advisor to Parkland.

Forward-Looking Statements

Certain statements contained in this news release constitute forward-looking information and statements (”collectively, “forward-looking statements”). Many of these forward-looking statements can be identified by words such as “believe”, “expects”, “expected”, “will”, “intends”, “projects”, “projected”, “anticipates”, “estimates”, “continues”, “objective” or similar expressions and include, but are not limited to, statements regarding Parkland’s expectation of its future financial position, business and growth strategies and objectives, sources of growth, capital expenditures, financial results, future financing and the terms thereof, future transactions and the efficiencies to be derived therefrom, the successful completion of the Transaction and the timing thereof, the accretive impact of the Transaction (including the expected impact to Parkland’s distributable cash flow per share), the expected benefits resulting from the Transaction including Parkland’s leverage pro forma following the Transaction, Adjusted EBITDA of the business acquired in the Transaction, the Simpson Group’s intentions with respect to its ownership of Parkland, future projections of Adjusted EBITDA, the contribution to EBITDA and/or Adjusted EBITDA from the Transaction, volumes and gross margins expected to be derived from the Transaction, expected synergies and growth opportunities (including geographic areas of potential growth) resulting from the Transaction, the number of Parkland Shares to be issued as partial consideration for the Transaction, expected exercise of the Minority Purchase/Sale Right and the terms thereof, sources of financing for the Transaction, the ability of Parkland to refinance indebtedness under its term facility, Parkland’s expected pro forma total leverage, strength of Parkland’s balance sheet and capital structure pro forma the Transaction and Parkland’s continued ability to execute on its growth strategies. Parkland believes the expectations reflected in such forward-looking statements are reasonable but no assurance can be given that these expectations will prove to be correct and such forward-looking statements should not be unduly relied upon. The forward-looking statements contained herein are based upon certain assumptions and factors including, without limitation: historical trends, current and future economic and financial conditions, and expected future developments. Parkland believes such assumptions and factors are reasonably accurate at the time of preparing this press release. However, forward-looking statements are not guarantees of future performance and involve a number of risks and uncertainties some of which are described in Parkland’s Annual Information Form dated March 9, 2018 (”AIF”) and other continuous disclosure documents. Such forward-looking statements necessarily involve known and unknown risks and uncertainties and other factors, which may cause Parkland’s actual performance and financial results in future periods to differ materially from any projections of future performance or results expressed or implied by such forward-looking statements. Such factors include, but are not limited to, risks associated with: the failure to achieve the anticipated benefits of the Transaction, the aggregate amount of any adjustments to the Purchase Price, the ability to secure funding to finance the consideration payable upon the exercise of the Minority Purchase/Sale Right, expansion of Parkland’s business into the Caribbean, the ability of suppliers to meet commitments, failure to retain key management, failure to execute on plans to deleverage the combined Parkland business, failure to obtain necessary regulatory or other third party consents and approvals required to complete the Transaction, failure to complete the Transaction, failure to secure alternative sources of funding to the term facility on terms acceptable to Parkland, failure to meet financial, operational and strategic objectives and plans, general economic, market and business conditions, industry capacity, failure to realize anticipated synergies from the Transaction, the operations of Parkland’s assets, competitive action by other companies, actions by governmental authorities and other regulators including increases in taxes, changes and developments in environmental and other regulations, and other factors, many of which are beyond the control of Parkland. There is a specific risk that Parkland may be unable to complete the Transaction in the manner described in this press release or at all. If Parkland is unable to complete the Transaction, there could be a material adverse impact on Parkland and on the value of its securities. Any forward-looking statements are made as of the date hereof and Parkland does not undertake any obligation, except as required under applicable law, to publicly update or revise such statements to reflect new information, subsequent or otherwise. The forward-looking statements contained in this press release are expressly qualified by this cautionary statement. Readers are directed to, and are encouraged to read the risks and uncertainties described in “Forward-Looking Statements” and “Risk Factors” included in Parkland’s AIF and in “Forward-Looking Statements” and “Risk Factors” included in Parkland’s management discussion and analysis for the year ended December 31, 2017 (the “MD&A”) and for the three and six months ended June 30, 2018 (the “Q2 2018 MD&A”), as such information is incorporated by reference herein, each as filed on SEDAR at www.sedar.com and available on the Parkland website at www.parkland.ca.

Non-GAAP Financial Measures

This press release refers to certain financial measures that are not determined in accordance with International Financial Reporting Standards (“IFRS”). Net debt to Adjusted EBITDA and distributable cash flow per share are not measures recognized under IFRS and do not have standardized meanings prescribed by IFRS.  Other issuers may calculate these non-GAAP measures differently.  Parkland considers these to be important supplemental measures of Parkland’s performance and believes these measures are frequently used by securities analysts, investors and other interested parties in the evaluation of companies in its industries.

In reference to Parkland’s Adjusted EBITDA, Adjusted EBITDA is a measure of segment profit and is considered to be forward-looking information in this document. See Section 12 of the Q2 2018 MD&A and Note 14 of the Interim Condensed Consolidated Financial Statements for a reconciliation of this measure of segment profit.

In reference to SOL’s Adjusted EBITDA, Adjusted EBITDA refers to the agreed-upon normalized earnings before income taxes, depreciation and amortization of SOL for the purposes of this Transaction, is considered to be forward-looking information in this document, and does not represent Parkland’s definition of Adjusted EBITDA.

Investors are encouraged to evaluate each adjustment and the reasons Parkland considers it appropriate for supplemental analysis.  Readers are cautioned, however, that these measures should not be construed as an alternative to net income determined in accordance with IFRS as an indication of performance. The financial measures that are not determined in accordance with IFRS in this press release are expressly qualified by this cautionary statement. Parkland believes these financial measures based are on such information that is reasonable but no assurance can be given that these expectations will prove to be correct and such figures should not be unduly relied upon.

To sign up for Parkland news alerts, please go to https://goo.gl/mNY2zj or visit www.parkland.ca.

___________________________

i All figures converted between USD and CAD using an exchange rate of US$1.0 = C$1.3

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GENERAC: 7 Benefits of Investing in a Backup Power Generator

MEXICO CITY, Nov. 21, 2017 /PRNewswire-HISPANIC PR WIRE/ — The following statement was issued by Frank Moreno, Sr. Director Marketing Latin America, Generac:

If you run a company, you should consider the massive benefits from having a backup power system. Not only do you save money, in the long-term, you will keep yourself from worrying and wasting energy. If you are considering the possibility of purchasing a generator for your business, please keep in mind the following:

  1. Backup Generators Can Act in a Matter of Seconds. Blackouts and power outages can last for several days when the utility company is experiencing problems of some kind. However, with a backup generator, it will only be a few seconds before the generator starts feeding your company or business.
  2. Prevent Food Decomposition and Loss. Corporate canteens, catering businesses or restaurants could suffer major economic losses if the food that needs to be refrigerated is left without protection when the power goes out.
  3. When the Power Returns, the Transition will be Smooth. Since the equipment (typically) remains in operation for several minutes after the main source of energy has been restored, some problems are avoided, such as the voltage variations that occur when power comes back. Once the network is stable, and the engine has cooled down a bit, the emergency generator shuts down, and is then ready for any new incident.
  4. There will be no Interruptions in your Security System. With an emergency generator that goes live in a matter of seconds, you can rest assured that your company or business will remain protected, thus preventing burglary and looting in the event of a blackout or a natural disaster.
  5. Your Operations will Continue, Even During Long Outages. You can do computer work, presentations, meetings and teleconferences even during long power outages. With a backup generator, you don’t even have to get up from where you are, or to interrupt your activities.
  6. You and your employees will remain Connected to the World at all Times. Forget about being left in isolation, in the event of power failures and natural disasters your telecommunications will not be affected.
  7. You Never Know When Will you Need Backup Power. The electricity supply may be unexpectedly affected for many reasons: harsh climate, trees that fall on the distribution lines, natural disasters or even rodents that bite the wires.

http://www.infosol.com.mx/proyectos/generac/7-benefits-of-Investing-in-a-backup-power-generator.html

http://www.infosol.com.mx/proyectos/generac/7-benefitsb-of-investing-in-a-backup-power-generator.docx

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Generac: Hurricanes, Earthquakes, Electrical Storms. How To Continue With Your Life And Your Business?

MEXICO CITY, Oct. 19, 2017 /PRNewswire-HISPANIC PR WIRE/ — Recently, hurricane Irma made landfall in Puerto Rico and the consequences were devastating. According to the island’s Emergency Management Agency, almost one million people ran out of electricity and there are more than 50,000 without water; 14 hospitals used generators due to loss of power, and some roads were obstructed by fallen trees and poles. The director of the agency warned that some areas could be without power for up to 6 months due to the deterioration of infrastructure.

It´s an earthquake, it’s an earthquake!

Recently Mexico City suffered one of the most damaging earthquakes since ‘85. An earthquake of 7.1 shook the cities of Puebla, Mexico City and Morelos, causing fallen buildings, destroyed homes, homeless people, offices and evacuated companies for inspection of buildings’ infrastructure to see whether or not they can continue their activities.

In response to this incident, there was damage to the infrastructure of 93 telecommunications service sites in CDMX, which resulted in the loss of voice services. In the State of Mexico, the damages reached the infrastructure of 44 places and 7 in Morelos.

“Facing natural disasters with the force of an earthquake or hurricane, a culture of prevention is necessary, which means that we have the right tools for our day-to-day continuity. For this reason, it is important to always be prepared and have backup energy systems that allow for coping with the worst natural phenomenon or a failure in the supply of the public network”, said Samara Salgado, Marketing Director for Latin America of Generac.

Back-up units or a power generation system to prevent a power outage from putting the operation at risk in a home, businesses, schools and even large enterprises with critical applications are key equipment, which from Generac’s point of view must be considered in any continuity theme.

According to Samara, “In this context, electric power backup systems are no longer just a system for critical loads; nowadays they’ve become the system of systems, the backbone and a strategic tool for companies, either because the business is considered mission critical or just because it pretends to achieve a competitive advantage, while for the public sector, servicing and guiding the citizenry is not optional. The idea is to consider it as strategic within the business continuity and emergency service plan.”

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APR Energy Awarded LPG-Fired Project in U.S. Virgin Islands

Innovative plant features first TM2500+ turbine in commercial operation to run on LPG

JACKSONVILLE, Florida, Dec. 12, 2016 /PRNewswire-HISPANIC PR WIRE/ — APR Energy, a global leader in fast-track power solutions, announces today that it has signed a 12-month contract with U.S. Virgin Islands Water and Power Authority (WAPA) to provide 25MW of power generation using liquid petroleum gas (LPG). The project features a retrofitted GE TM2500+ mobile gas turbine, the first ever to be commercially operated on LPG – a significant milestone that will provide customers access to a cheaper and cleaner-burning alternative to other conventional petroleum-based fuels.

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The project is the latest in a string of business wins for APR Energy since being privatized at the beginning of the year, bringing the total of new awards, extensions and expansions in 2016 to more than 1GW. The project also is the company’s sixth award in the past year using mobile gas turbines.

“This first-of-its-kind project will enable the USVI to leverage its significant investment in LPG infrastructure by greatly reducing the cost and environmental impact of power generation,” said APR Energy Executive Chairman John Campion. “Experts are forecasting a 15-percent increase in the price of diesel fuel during the next two years, while LPG prices are expected to remain stable. Using LPG should provide WAPA with significant savings compared with diesel-powered reciprocating engines, which are common in the Caribbean.”

“The switch to the lower-cost and cleaner-burning LPG as the primary source of fuel in generating electricity in the Virgin Islands has been the single biggest capital project WAPA has undertaken in recent history,” said WAPA Executive Director and CEO Julio Rhymer, Sr. “We are excited about potentially providing lower rates for our customers and are pleased that with today’s contract signing APR Energy will be part of our energy solution in the Virgin Islands. For years now, WAPA has had a positive relationship with APR Energy, and we are pleased to work with them in becoming the world’s first electric utility to place an LPG-fired TM2500+ into commercial operation.”

Campion expects this project to serve as a model for other utilities looking to benefit quickly from LPG as an alternative, cheaper fuel source. “Interest in LPG is growing in many markets around the world, especially in the Caribbean and parts of Africa and Asia, where availability of the fuel has expanded significantly in the last few years,” Campion said. “The TM2500+ turbine is one of the few fast-track technologies capable of running on LPG, and it offers customers the added flexibility to switch quickly and seamlessly between fuels based on price and availability.”

The new project supplements APR Energy’s existing 25MW diesel-fuelled turbine plant installed in 2012 for WAPA, bringing its total generation at the site to 50MW.

About APR Energy

APR Energy is the world’s leading provider of fast-track mobile turbine power. Our fast, flexible and full-service power solutions provide customers with rapid access to reliable electricity when and where they need it, for as long as they need it. Combining state-of-the-art, fuel-efficient technology with industry-leading expertise, our scalable turnkey plants help run cities, countries and industries around the world, in both developed and developing markets. For more information, visit the Company’s website at www.aprenergy.com.

APR Energy

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Viking Cold Solutions’ Thermal Energy Storage system demonstrates over 30% energy savings in a 3rd party study and is recommended for adoption by utilities in California

An innovative thermal energy storage system using phase change material and intelligent controls provides significant cost savings, enhanced product monitoring, and protection for cold storage operators and supermarkets.

HOUSTON, Nov. 15, 2016 /PRNewswire-HISPANIC PR WIRE/ – Viking Cold Solutions, a leader in thermal energy storage systems, today announced that a Southern California Utility, along with an independent 3rd party energy management firm, ASWB Engineering, completed a Field Demonstration Study of the Viking Cold Thermal Energy Storage (TES) system. The study verified a reduction in electricity consumption of 30% and 39% in two separate low temperature cold storage facilities in the San Diego area. Based on the results of this study, the Utility and ASWB recommended that California utilities adopt the technology into their Energy Efficiency incentive programs.

The purpose of the independent study was to determine the effectiveness of Viking Cold’s patented TES system in cold storage freezer applications and to qualify the system for California utility inventive programs as part of the California Energy Commission Emerging Technologies initiative.

“The benefits of the technology include reduced refrigeration equipment run time and increased product safety during power emergencies due to the thermal storage capabilities of the solution,” said John Baffa, Professional Engineer at ASWB Engineering.

“It is exciting to see our technology recognized by a leading utility energy efficiency program and I’m pleased that the study validates the results that Viking Cold customers already experience daily,” said James Bell, CEO of Viking Cold Solutions. “Our passive, non-mechanical system is a cost-effective way to reduce energy consumption across the cold chain, from walk-in freezers to large distribution warehouses, which can be used stand-alone, or to boost the return with solar PV.”

Two locations currently using Viking Cold’s TES system were studied by ASWB. The first test site, a walk-in freezer on Camp Pendleton in Southern California, showed a net facility energy savings of 30%.  The second test site is a commercial freezer warehouse at the Jacobs & Cushman San Diego Food Bank. By leveraging the Food Bank’s existing photovoltaic system to run the refrigeration during the day and using Viking Cold’s TES system at night, the facility showed a net energy savings of 39%.

“Electricity costs are one of the top two expenses in the cold storage industry and this study demonstrates the value of using an intelligent Thermal Energy Storage system to reduce energy consumption in freezers,” said Corey Rosenbusch, President and CEO of the Global Cold Chain Alliance (GCCA). “Based on these results, our membership should evaluate this technology for their own low temperature applications.”

The complete Phase Change Material and Controls Field Demonstration Study, written by ASWB Engineering, can be downloaded on the California Emerging Technologies Coordinating Council’s website at http://www.etcc-ca.com/reports/phase-change-material-and-controls-study-low-temp-refrigeration-applications.

About Viking Cold Solutions:

Viking Cold Solutions™ is an energy management company, which makes the world’s cold storage systems more efficient using proprietary Phase Change Material (PCM) and intelligent controls.  The Thermal Energy Storage (TES) solution stores energy, reduces demand, shifts load, monitors the facility, and provides thermal back-up protection. The company’s patented TES systems have saved over 7,000 MWh of energy, reduced carbon footprint by over 4,600 metric tons, and prevented more than $13M of product loss. Learn more at vikingcold.com

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Plaza Provision Company installs another Viking Cold™ Thermal Energy Storage system reducing energy costs by over 30%

HOUSTON, July 20, 2016 /PRNewswire-HISPANIC PR WIRE/ – Plaza Provision Company, a leading food distributor in Puerto Rico, has purchased its fourth Thermal Energy Storage (TES) system from Viking Cold Solutions, and where installed, has reduced energy consumption by over 30%.

Three Viking Cold’s Thermal Energy Storage systems, installed in 2010, 2013 and 2014, have saved Plaza Provision Company over $650,000, reduced energy consumption by over 3,200 MWh, and reduced carbon footprint by over 2,200 metric tons. The patented Thermal Energy Storage systems store energy at night for subsequent day use, allowing refrigeration to run less frequently. The result is significant cost and electricity savings.

“We purchased our fourth system because the total reduction in consumption has surpassed our expectations,” said Robert Cimino, CEO of Plaza Provision Company. “Also, having real-time monitoring has been invaluable and has helped us to recognize and address equipment issues before they become costly problems.”

“Robert Cimino’s use of state of the art efficiency technology to not only improve his bottom line but also to preserve the environment, is an example of what can be achieved using the Viking Cold’s TES system,” said James Bell, CEO of Viking Cold Solutions. “Our TES system can be installed in cold storage facilities and supermarkets to reduce energy consumption and carbon footprint while mitigating risk with temperature monitoring and backup thermal protection.”

Plaza Provision Company’s system is among twenty-four that Viking Cold has installed in cold storage warehouses and supermarkets in Puerto Rico, Bermuda, St. Thomas, California, New Mexico, and Texas.

Aireko Services and Installation, Inc., a leading HVAC services company, is the authorized distributor of Viking Cold’s TES system in Puerto Rico. They have been installing Viking Cold’s systems since 2010.

To learn more, watch Viking Cold’s 90 second video about how the technology works. To see more details on the Plaza Provision Company case, click here.

Viking Cold Solutions™ is an energy management company focused on making the world’s cold storage systems more efficient. The Viking Cold team has deep expertise in cold storage energy management, supermarket energy management, and thermal energy storage systems.

Viking Cold provides energy storage solutions that reduce operational costs and business risk for cold storage and supermarkets with high refrigeration-based energy loads. The company is expanding rapidly throughout the U.S. and internationally. Learn more at vikingcold.com.

CONTACT: Collin Coker, ccoker@vikingcold.com, +1-832-497-5205

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APR Energy Expands Sales Focus in the Americas Region

JACKSONVILLE, Florida, July 18, 2016 /PRNewswire-HISPANIC PR WIRE/ – APR Energy, a global leader in fast-track power solutions, announces today the appointment of Carlos Mousadi as Regional Sales Director Americas.

APR Energy.

“Carlos brings more than a decade and a half of sales experience and deep knowledge of the Latin American power generation market to our expanding global commercial team,” said Silvio Cavaceppi, vice president of business development and marketing. “His vast experience using turbines and working with alternative fuels such as LPG will be especially valuable as we provide customers in the region with fast-track, fuel-flexible power solutions that can save customers significant money in fuel costs.”

Prior to joining APR Energy, Mousadi was director of sales at Siemens Energy Inc., where he focused on simple and combined-cycle fossil power plants solutions for customers throughout Latin America. Earlier at Siemens, he served as director of operations management, business excellence and business development with a concentration on Latin America.

About APR Energy

APR Energy is the world’s leading provider of fast-track mobile turbine power. Our fast, flexible and full-service power solutions provide customers with rapid access to reliable electricity when and where they need it, for as long as they need it. Combining state-of-the-art, fuel-efficient technology with industry-leading expertise, our scalable turnkey plants help run cities, countries and industries around the world, in both developed and developing markets. For more information, visit the Company’s website at www.aprenergy.com.

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CONTACT: Alan Chapple (Media), Phone: +1 (904) 223-2277, Email: publicrelations@aprenergy.com, Press Photo Gallery, http://www.aprenergy.com/press-photo-gallery

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APR Energy Shareholders Approve Consortium Acquisition, Privatization

JACKSONVILLE, Florida, Jan. 7, 2016 /PRNewswire-HISPANIC PR WIRE/ — APR Energy plc (the “Company”) (LSE: APR), a global leader in fast-track power solutions, announces today that an offer by a consortium of investors (the “Consortium”) to acquire the Company was declared unconditionally successful on 5 January. The Consortium comprises Fairfax Financial Holdings Limited, ACON Equity Management and Albright Capital Management, and brings substantial financial backing to support the Company’s business initiatives, including committing more than $200 million in fresh equity capital to reduce debt and increase working capital.

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“This is a significant milestone in the evolution of APR Energy,” said Executive Chairman John Campion. “We are pleased to be working alongside a group that truly understands our business and our market – and that shares our longer-term vision. Our new investors bring significant strategic value to our business, including global relationships, a sophisticated understanding of international finance and extensive experience investing in global power markets. Their significant investment reflects a strong belief in our business, our market and our management team, and we expect them to be great partners as we grow the Company and continue to serve our expanding base of global customers.

“This transaction clearly makes us stronger, and will pay down debt, increase working capital and enable us to approach the longer term with renewed confidence.”

Chief Executive Officer Laurence Anderson said, “With these new partners, we will have greater flexibility to manage through the short-term variations in our business cycle while staying focused on our longer-term growth objectives. We also will have access to additional capital to fund growth initiatives.”

Anderson said that during the transition process, and afterward, “Our customers, partners and suppliers can expect us to continue to build upon our already high level of customer service, driving operational excellence and delivering reliable, essential electricity around the world.”

About APR Energy

APR Energy is the world’s leading provider of fast-track mobile turbine power. Our fast, flexible and full-service power solutions provide customers with rapid access to reliable electricity when and where they need it, for as long as they need it. Combining state-of-the-art, fuel-efficient technology with industry-leading expertise, our scalable turnkey plants help run cities, countries and industries around the world, in both developed and developing markets. For more information, visit the Company’s website at www.aprenergy.com.

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CONTACT: For more information contact: Alan Chapple (Media), Phone: +1 (904) 223-2277, Email: publicrelations@aprenergy.com

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