Pembina Pipeline Corp 6-K, filed Aug 6, 2020

Pembina Pipeline Corp (PBA)

6-K 2020-08-06 For: 2020-06-30

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Added on April 09, 2026

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Pembina Pipeline Corp filed this 6-K on August 6, 2020.

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		PEMBINA PIPELINE CORPORATION



Date:	August 6, 2020	By:	/s/ Scott Burrows
			Name: Scott Burrows
			Title: Senior Vice President and Chief Financial Officer



Exhibit Number		Document Description

99.1		Q2 2020 Management's Discussion and Analysis & Financial Statements
99.2		Calculation of Earnings Coverage
99.3		CEO Certificate
99.4		CFO Certificate



REPORT TO SHAREHOLDERS
Second Quarter 2020

MANAGEMENT'S DISCUSSION AND ANALYSIS


Table of Contents

1. About Pembina			3
2. Financial & Operating Overview			4
3. Segment Results			8
4. Liquidity & Capital Resources			20
5. Capital Investments			23
6. Dividends			24
7. Selected Quarterly Information			25
8. Selected Equity Accounted Investee Information			27
9. Other			28
10. Accounting Policies & Estimates			30
11. Risk Factors			31
12. Non-GAAP Measures			33
13. Abbreviations			36
14. Forward-Looking Statements & Information			37



($ millions, except where noted)	2020	2019	Change		% Change
Revenue	1,268	1,808	(540	)	(30	)
Net revenue⁽¹⁾	776	758	18		2
Gross profit	455	629	(174	)	(28	)
Earnings	253	664	(411	)	(62	)
Earnings per common share – basic (dollars)	0.39	1.23	(0.84	)	(68	)
Earnings per common share – diluted (dollars)	0.39	1.23	(0.84	)	(68	)
Cash flow from operating activities	642	661	(19	)	(3	)
Cash flow from operating activities per common share – basic (dollars)⁽¹⁾	1.17	1.29	(0.12	)	(9	)
Adjusted cash flow from operating activities⁽¹⁾	586	550	36		7
Adjusted cash flow from operating activities per common share – basic (dollars)⁽¹⁾	1.07	1.08	(0.01	)	(1	)
Capital expenditures	211	434	(223	)	(51	)
Adjusted EBITDA⁽¹⁾	789	765	24		3
Total volume (mboe/d)⁽²⁾	3,427	3,384	43		1



Changes in Results for the Three Months Ended June 30
Revenue	▼	$540 million decrease, consisting of a $649 million decrease ($85 million decrease net of cost of goods sold) in Marketing & New Ventures, partially offset by a $85 million increase in Pipelines and a $14 million increase in Facilities. The decrease was largely due to weaker global energy demand during the second quarter of 2020, as a result of the ongoing COVID-19 pandemic, resulting in decreased prices for crude oil and NGL, combined with lower marketed NGL volumes. Market conditions compressed margins and decreased crude activities, while lower frac spreads impacted NGL margins. These decreases in revenue were partially offset by revenue from the Cochin Pipeline, Edmonton Terminals and Vancouver Wharves acquired in the Kinder Acquisition.
Cost of goods sold	▲	$558 million decrease, due to lower crude oil and NGL prices, discussed above, combined with lower marketed NGL volumes during the second quarter of 2020.
Operating expenses	▼	$20 million increase, largely due to higher labour and property taxes driven by growth in Pembina's business following the Kinder Acquisition, partially offset by lower power costs due to a lower average power pool price during the second quarter of 2020.
Share of profit from equity accounted investees	▼	$32 million decrease, largely due to lower NGL margins and the the narrower AECO-Chicago natural gas price differential, resulting in a lower contribution from Aux Sable and lower interruptible volumes on the Alliance Pipeline.
Realized gain on commodity-related derivatives	▲	$35 million increase, due to lower market prices creating a gain for crude and NGL-based derivatives settled during the period.
Unrealized loss (gain) on commodity-related derivatives	▼	$116 million negative variance primarily due to contracts maturing in the period, combined with the recovery in the forward price of crude oil and NGL which drove the associated derivative contracts into a loss position.
General & administrative and other expense	▲	$38 million decrease, largely due to $28 million in other income associated with the CEWS, combined with lower incentive costs following the decline in global equity markets which impacted Pembina's share price.
Net finance costs	▲	$6 million decrease, primarily driven by a $24 million increase in gains on non-commodity related derivative financial instruments, as the value of the Canadian dollar relative to the U.S. dollar increased during the second quarter of 2020, partially offset by higher interest expense associated with higher average debt levels and interest expense associated with leases.
Current tax expense	▼	$11 million increase, as taxable income generated from the the assets acquired in the Kinder Acquisition and tax impact of the CEWS was partially offset by decreased taxable income from other Pembina entities.
Deferred tax expense	▼	$270 million increase, largely due to the enactment of Bill 3 in June of 2019, which reduced the Alberta corporate tax rate from 12 to 8 percent and resulted in a large deferred tax recovery, partially offset by the utilization of non-capital losses in 2019.
Earnings	▼	$411 million decrease, due to the items noted above.
Cash flow from operating activities	▼	$19 million decrease, primarily driven by the $78 million change in non-cash working capital, $24 million decrease in distributions from equity accounted investees and $21 million increase in net interest paid, partially offset by the increase in operating results after adjusting for non-cash items, $34 million increase in payments that were received and deferred and $14 million decrease in taxes paid, as tax installments were deferred until the third quarter of 2020 as a result of the COIVD-19 pandemic.
Adjusted cash flow from operating activities⁽¹⁾	▲	$36 million increase, largely due to the same items impacting cash flow from operating activities, discussed above, net of the $78 million change in non-cash working capital and higher current tax expense.
Adjusted EBITDA⁽¹⁾	▲	$24 million increase, largely due to the $107 million contribution from the Cochin Pipeline, Edmonton Terminals and Vancouver Wharves acquired in the Kinder Acquisition, combined with the realized gain on commodity-related derivatives, discussed above, partially offset by lower margins on crude oil and NGL sales in the marketing business as a result of lower commodity prices and frac spreads during the second quarter of 2020, and lower contribution from Alliance due to lower interruptible volumes and Aux Sable due largely to lower NGL margins. Included in adjusted EBITDA is $168 million (2019: $200 million) related to equity accounted investees.
Total volume (mboe/d)⁽²⁾	▲	43 mboe/d increase, due to the larger asset base following the Kinder Acquisition, combined with higher supply volumes at the Redwater Complex, partially offset by lower interruptible volumes due to lower crude oil and NGL demand and a narrower AECO-Chicago natural gas price differential. Revenue volumes include 355 mboe/d (2019: 345 mboe/d) related to equity accounted investees.


•	Customers choose us first for reliable and value-added services;


•	Investors receive sustainable industry-leading total returns;


•	Employees say we are the 'employer of choice' and value our safe, respectful, collaborative and fair work culture; and


•	Communities welcome us and recognize the net positive impact of our social and environmental commitment.



▲	Increase;	▼	Decrease; or	●	No impact;	to earnings, adjusted EBITDA, cash flow from operations, adjusted cash flow from operating activities or total volumes.


⁽²⁾	Total revenue volumes. See the "Abbreviations" section for definition. Marketed NGL volumes are excluded from volumes to avoid double counting. Refer to the "Marketing & New Ventures" section for further information.



Changes in Results for the Six Months Ended June 30
Revenue	▼	$837 million decrease, consisting of a $1.1 billion decrease ($176 million decrease net of cost of goods sold) in Marketing & New Ventures, partially offset by a $232 million increase in Pipelines and a $46 million increase in Facilities. The decrease was primarily due to weaker global energy demand during the first six months of 2020 as a result of the ongoing COVID-19 pandemic and the resulting decrease in market prices for crude oil and NGL, combined with lower marketed NGL volumes. Market conditions compressed margins and decreased crude activities, while lower frac spreads impacted NGL margins. These lower margins, combined with a $33 million arbitration award payment received during the first quarter of 2019, were partially offset by revenue from the Cochin Pipeline, Edmonton Terminals and Vancouver Wharves acquired in the Kinder Acquisition.
Cost of goods sold	▲	$946 million decrease, due to lower crude oil and NGL prices, combined with lower marketed NGL volumes.
Operating expenses	▼	$59 million increase, largely due to higher labour costs and repairs and maintenance as a result of the larger asset base following the Kinder Acquisition, partially offset by lower power costs due to a lower average power pool price during the first six months of 2020.
Share of profit from equity accounted investees	▼	$45 million decrease, largely due to lower NGL margins and the narrower AECO-Chicago natural gas price differential, resulting in lower interruptible volumes on the Alliance Pipeline and lower contribution from Aux Sable.
Realized gain on commodity-related derivatives	▲	$33 million increase, due to lower market prices in the period creating a gain for crude and NGL-based derivatives settled.
Unrealized (gain) loss on commodity-related derivatives	▲	$38 million positive variance primarily due to contract prices of crude oil and NGL that remain below market prices.
General & administrative and other expense	▲	$37 million decrease, largely due to lower incentive costs, driven by the decline in global equity markets which impacted Pembina's share price, combined with other income associated with the CEWS, which were partially offset by project write-downs and acquisition related costs.
Net finance costs	▼	$124 million increase, primarily driven by a $78 million increase in foreign exchange losses on U.S. dollar debt and non-commodity related derivative financial instruments as the value of the Canadian dollar relative to the U.S. dollar was lower during the first six months of 2020, combined with additional interest expense associated with higher average debt levels and increased interest expense related to leases.
Current tax expense	▼	$11 million increase, as taxable income generated from the assets acquired in the Kinder Acquisition and tax impact of the CEWS was partially offset by decreased taxable income from other Pembina entities.
Deferred tax recovery	▼	$278 million increase, largely due to the enactment of Alberta's Bill 3 in June of 2019, which reduced the Alberta corporate tax rate from 12 to 8 percent and resulted in a large deferred tax recovery, partially offset by the utilization of non-capital losses in 2019.
Earnings	▼	$410 million decrease, compared to 2019, driven by the items noted above.
Cash flow from operating activities	▼	$217 million decrease, primarily driven by the $150 million change in non-cash working capital, $101 million increase in taxes paid as the final payment of 2019 taxes was made, $71 million decrease in distributions from equity accounted investees and $39 million increase in net interest paid, partially offset by the increase in operating results after adjusting for non-cash items and $48 million increase in payments that were received and deferred.
Adjusted cash flow from operating activities⁽¹⁾	▲	$34 million increase, largely due to the same items impacting cash flow from operating activities, discussed above, net of the $150 million change in non-cash working capital, $100 million increase in taxes paid and $38 million lower accrued share-based payments, partially offset by the $20 million increase in preferred share dividends following the Kinder Acquisition.
Adjusted EBITDA⁽¹⁾	▲	$81 million increase, due to the $207 million contribution from the Cochin Pipeline, Edmonton Terminals and Vancouver Wharves acquired in the Kinder Acquisition and Redwater Co-generation facility going into service and realized gain on commodity related derivatives, discussed above, partially offset by lower margins on crude oil and NGL sales in the marketing business as a result of lower demand for crude oil and NGL during the first six months of 2020 as a result of the COVID-19 pandemic, and lower contribution from Aux Sable due to lower NGL margins and Alliance due to the narrower AECO-Chicago natural gas price differential. Included in adjusted EBITDA is $347 million (2019: $420 million) related to equity accounted investees.
Total volume (mboe/d)⁽²⁾	▲	73 mboe/d increase due to the contributions from the assets acquired in the the Kinder Acquisition, partially offset by lower interruptible volumes due to lower demand for crude oil and NGL and a narrower AECO-Chicago natural gas price differential. Revenue volumes include 348 mboe/d (2019: 357 mboe/d) related to equity accounted investees.


⁽²⁾	Net capacity. Includes Aux Sable capacity. The financial and operational results for Aux Sable are included in the Marketing & New Ventures Division; excludes projects under development.



	3 Months Ended June 30									6 Months Ended June 30
	2020					2019				2020				2019
($ millions, except where noted)	Volumes⁽¹⁾	Gross Profit		Adjusted EBITDA⁽²⁾		Volumes⁽¹⁾	Gross Profit	Adjusted EBITDA⁽²⁾		Volumes⁽¹⁾	Gross Profit	Adjusted EBITDA⁽²⁾		Volumes⁽¹⁾	Gross Profit		Adjusted EBITDA⁽²⁾
Pipelines	2,555	376		540		2,518	360	472		2,592	772	1,090		2,514	700		929
Facilities	872	163		250		866	167	236		876	337	506		881	325		468
Marketing & New Ventures⁽³⁾	—	(85	)	29		—	100	97		—	72	84		—	193		218
Corporate	—	1		(30	)	—	2	(40	)	—	2	(61	)	—	(1	)	(77	)
Total	3,427	455		789		3,384	629	765		3,468	1,183	1,619		3,395	1,217		1,538


⁽¹⁾	Pipelines and Facilities are revenue volumes which are physical volumes plus volumes recognized from take-or-pay commitments. Volumes are stated in mboe/d, with natural gas volumes converted to mboe/d from MMcf/d at a 6:1 ratio.



	o Form 20-F	x Form 40-F


⁽¹⁾	Refer to the "Non-GAAP Measures" section.


⁽¹⁾	Refer to the "Non-GAAP Measures" section.


⁽²⁾	Refer to the "Non-GAAP Measures" section.


⁽³⁾	Marketed NGL volumes are excluded from volumes to avoid double counting. Refer to the "Marketing & New Ventures" section for further information.



Change in Results
Conventional revenue⁽¹⁾	▼	Decrease due to lower interruptible revenue volumes on the Peace Pipeline system and Drayton Valley Pipeline as a result of the ongoing COVID-19 pandemic which has reduced global energy demand, partially offset by Phase VI coming into service during June 2020.
Transmission revenue⁽¹⁾	▲	Increase largely due to the contribution from the Cochin Pipeline following the Kinder Acquisition.
Oil Sands revenue⁽¹⁾	▲	Increase primarily due to the contribution from the Edmonton Terminals following the Kinder Acquisition, partially offset by the recognition of $22 million in deferred variable revenue in the second quarter of 2019.
Operating expenses⁽¹⁾	▼	Increase primarily due to the additional operating expenses associated with the Cochin Pipeline and Edmonton Terminals following the Kinder Acquisition, partially offset by lower power costs due to a lower average power pool price during the second quarter of 2020.
Share of profit from equity accounted investees	▼	Decrease largely due to lower interruptible volumes on the Alliance Pipeline, driven by a narrower AECO-Chicago natural gas price differential.
Depreciation and amortization included in operations	▼	Increase in depreciation due to the larger asset base as a result of the addition of the assets acquired in the Kinder Acquisition.
Distributions from equity accounted investees	▼	$87 million consists of $57 million (2019: $69 million) from Alliance and $30 million (2019: $30 million) from Ruby. The decrease in distributions from Alliance is largely due to the same factors impacting share of profit from equity accounted investees noted above.
Volumes (mboe/d)⁽³⁾	▲	Increase primarily due to the contribution from the Cochin Pipeline following the Kinder Acquisition, combined with higher temporary interruptible volumes on Ruby, partially offset by lower interruptible volumes discussed in the revenue sections above. Revenue volumes include 126 mboe/d (2019: 141 mboe/d) related to Alliance and 116 mboe/d (2019: 89 mboe/d) related to Ruby.
Adjusted EBITDA⁽²⁾	▲	$68 million increase due to higher revenue associated with the Cochin Pipeline and Edmonton Terminals following the Kinder Acquisition, partially offset by lower conventional revenue, increased operating expenses associated with the larger asset base and lower contribution from Alliance due to the narrower AECO-Chicago natural gas price differential. Included in adjusted EBITDA is $69 million (2019: $81 million) related to Alliance and $49 million (2019: $48 million) related to Ruby.


⁽¹⁾	Includes inter-division transactions. See Note 12 of the Interim Financial Statements.


⁽³⁾	Revenue volumes. See the "Abbreviations" section for definition.



Change in Results
Conventional revenue⁽¹⁾	●	Consistent with the prior period, as lower interruptible revenue volumes on the Drayton Valley Pipeline due to the ongoing COVID-19 pandemic which has reduced global energy demand, were largely offset by Phase VI coming into service during June 2020 and higher revenue volumes during the first quarter of 2020.
Transmission revenue⁽¹⁾	▲	Increase largely due to the contribution from the Cochin Pipeline, higher operating expense recoveries and the return to normal operations on the Vantage Pipeline following a third-party force majeure in 2019.
Oil Sands revenue⁽¹⁾	▲	Increase primarily due to contribution from the Edmonton Terminals following the Kinder Acquisition, partially offset by the recognition of $22 million in deferred variable revenue in the second quarter of 2019.
Operating expenses⁽¹⁾	▼	Increase primarily due to the additional operating expenses associated with the Cochin Pipeline and Edmonton Terminals following the Kinder Acquisition, partially offset by lower power costs due to a lower average power pool price during the second quarter of 2020.
Share of profit from equity accounted investees	▼	Decrease largely due to lower interruptible volumes on the Alliance Pipeline, driven by a narrower AECO-Chicago natural gas price differential, partially offset by favourable foreign exchange rate impacts.
Depreciation and amortization included in operations	▼	Increase in depreciation due to the larger asset base, as a result of the assets acquired in the Kinder Acquisition.
Distributions from equity accounted investees	▼	$175 million consists of $113 million (2019: $150 million) from Alliance and $62 million (2019: $60 million) from Ruby. The decrease in distributions from Alliance is largely due to the same factors impacting share of profit from equity accounted investees noted above.
Volumes (mboe/d)⁽³⁾	▲	Increase primarily due to the contribution from the Cochin Pipeline following the Kinder Acquisition, combined with temporary interruptible volumes on Ruby, partially offset by lower interruptible volumes on the Drayton Valley Pipeline and the Alliance Pipeline, discussed above. Revenue volumes include 127 mboe/d (2019: 145 mboe/d) related to Alliance and 101 mboe/d (2019: 89 mboe/d) related to Ruby.
Adjusted EBITDA⁽²⁾	▲	$161 million increase due to higher revenue associated with the Cochin Pipeline and Edmonton Terminals following the Kinder Acquisition, partially offset by increased operating expenses associated with the larger asset base and lower contribution from Alliance, due to the narrower AECO-Chicago natural gas price differential. Included in adjusted EBITDA is $140 million (2019: $176 million) related to Alliance and $98 million (2019: $101 million) related to Ruby.


⁽¹⁾	Revenue volumes in mboe/d. See the "Abbreviations" section for definition.



Significant Projects	In-service Date
Phase VI Peace Pipeline Expansion	June 2020
Wapiti Condensate Lateral	March 2020
NEBC Montney Infrastructure	February 2020



Phase VII Peace Pipeline Expansion			Status: Deferred
This expansion is expected to add approximately 240 mbpd of incremental capacity upstream of Fox Creek, accessing capacity available on the pipelines downstream of Fox Creek. Included in the expansion is a 20-inch, approximately 220-kilometer pipeline in the La Glace-Valleyview-Fox Creek corridor, as well as six new pump stations or terminal upgrades, between La Glace and Edmonton, Alberta.
The carrying value of the project at June 30, 2020 was $301 million.



Phase VIII Peace Pipeline Expansion			Status: Deferred
This expansion will include 10-inch and 16-inch pipelines in the Gordondale to La Glace corridor as well as six new pump stations or terminal upgrades located between Gordondale and Fox Creek.
The carrying value of the project at June 30, 2020 was $35 million.



Phase IX Peace Pipeline Expansion			Status: Deferred
This expansion currently will include 6-inch and 16-inch pipelines debottlenecking the corridor north of Gordondale as well as upgrades at one pump station. In addition, this expansion will see existing pipelines, which are currently batching, converted to single product lines.
The carrying value of the project at June 30, 2020 was $3 million.


⁽¹⁾	For further details on Pembina's significant assets, including definitions, refer to Pembina's AIF for the year ended December 31, 2019 filed at www.sedar.com (filed with the U.S. Securities and Exchange Commission at www.sec.gov under Form 40-F) and on Pembina's website at www.pembina.com.



Changes in Results
Gas Services net revenue⁽¹⁾⁽²⁾	●	Consistent with the prior period as increased revenue associated with Duvernay II being placed into service was largely offset by lower revenues at Resthaven and the Cutbank Complex due to lower capital fees.
NGL Services net revenue⁽¹⁾⁽²⁾	▲	Increase primarily due to additional revenues from the Vancouver Wharves following the Kinder Acquisition.
Operating expenses⁽¹⁾	●	Consistent with prior period, as increased operating expenses associated with the Vancouver Wharves, following the Kinder Acquisition, combined with Duvernay II and Duvernay Sour Treatment Facilities going into service, were largely offset by lower power costs due to a lower average power pool price during the second quarter of 2020.
Share of profit from equity accounted investees	●	Consistent with the prior period.
Depreciation and amortization included in operations	▼	Increase in depreciation due to the larger asset base as a result of the assets acquired in the Kinder Acquisition, combined with Duvernay II and Duvernay Sour Treatment Facilities going into service.
Distributions from equity accounted investees	●	$27 million consists of $26 million (2019: $23 million) from Veresen Midstream and $1 million (2019: $nil) from Fort Corp.
Volumes (mboe/d)⁽³⁾	▲	Increase due to higher supply volumes at the Redwater Complex and revenue volumes associated with Duvernay II, partially offset by the temporary shut-in of the Saskatchewan Ethane Extraction Plant due to low commodity prices, combined with lower volumes at the Younger facility due to increased competition from a competitor pipeline that was placed into service. Revenue volumes include 81 mboe/d (2019: 86 mboe/d) related to Veresen Midstream.
Adjusted EBITDA⁽²⁾	▲	$14 million increase primarily due to additional revenue from the Vancouver Wharves following the Kinder Acquisition and Duvernay II being placed into service, combined with lower long-term incentive costs, partially offset by higher operating expenses related to the Vancouver Wharves, Duvernay II and Duvernay Sour Treatment Facilities. Included in adjusted EBITDA is $45 million (2019: $43 million) related to Veresen Midstream.


⁽¹⁾	Revenue volumes in mboe/d, with natural gas volumes converted to mboe/d from MMcf/d at a 6:1 ratio. See the "Abbreviations" section for definition.



Significant Projects	In-service Date
Duvernay Sour Treatment Facilities	March 2020
Duvernay II	November 2019
Redwater Co-generation Facility	March 2019
Burstall Ethane Storage	January 2019



Duvernay III
Capital Budget: $200 million	In-service Date: Fourth quarter 2020	Status: On time, trending under budget
Duvernay III is the second tranche of infrastructure development under the 20-year infrastructure development and service agreement with Chevron Canada Limited and Kuwait Foreign Petroleum Exploration Company. This development includes a 100 MMcf/d sweet gas, shallow cut processing train, 20 mbpd of inlet condensate stabilization and other associated infrastructure. All equipment and pipe racks have been installed onsite. Mechanical construction was substantially complete at the end of July, electrical work is underway and the commissioning team mobilized in July to commence final walk-downs and dry commissioning.



Prince Rupert Terminal
Capital Budget: $250 million	In-service Date⁽²⁾: First quarter of 2021	Status: Delayed, trending over budget
The Prince Rupert Terminal is located on Watson Island, British Columbia and is expected to have a permitted capacity of approximately 25 mbpd of propane. The propane supply will be sourced primarily from the Company's Redwater Complex. Facility piping work, on-site sphere assembly, and marine retrofit work continued until early March. As a result of COVID-19, Pembina temporarily halted all site construction activities, resulting in a delay to the in-service date, which is now expected to be in the first quarter of 2021. A reduced construction workforce was re-mobilized to site in mid-May and continued with facility piping work and on site sphere assembly. Electrical, substation, marine rehabilitation and rail contractors have also re-mobilized to site.



Hythe Developments
Capital Budget⁽³⁾: $240 million	In-service Date: Late 2020	Status: On time, trending on budget
Pembina and its 45 percent owned joint venture, Veresen Midstream, will construct natural gas gathering and processing infrastructure in the Pipestone Montney region. The infrastructure consists of an expansion of up to 125 MMcf/d (56 MMcf/d net to Pembina) of sour gas processing at Veresen Midstream's existing Hythe Facility and a new, approximately 65 km, 12-inch sour gas pipeline, to be owned by Veresen Midstream and constructed by Pembina. In addition, Veresen Midstream will fund and own a compressor station, built and operated by NuVista Energy Ltd. Pembina will own and construct various other laterals. Construction is underway.



Empress Infrastructure
Capital Budget: $120 million	In-service Date: Late 2020	Status: On time, trending on budget
This expansion will add new fractionation and terminalling facilities, which are expected to add approximately 30 mbpd of propane-plus fractionation capacity to Pembina's Empress NGL Extraction Facility enabling Pembina to optimize propane marketing from that facility between eastern and western markets. Pipeline and rail track construction is complete, mechanical and electrical construction is progressing on the fractionation and rail sites and pre-commissioning work has commenced.



Prince Rupert Terminal Expansion			Status: Deferred
The Prince Rupert Terminal Expansion will increase propane export capacity to approximately 40 mbpd.
The carrying value of the project at June 30, 2020 was $6 million.



Empress Co-generation Facility			Status: Deferred
This project will enable Pembina to be more efficient with its production, utilize heat recovery and provide a second source of power through the installation of a co-generation unit at the Empress NGL Extraction Facility.
The carrying value of the project at June 30, 2020 was $12 million.