Tidewater Midstream and Infrastructure Ltd T.TWM

Value of TWM's Brazeau River Gas Processing Plant

[TVR]

Based on the values reported today in Whitecaps's sale of interests in its gas processing facilities to Topas and Pembina it looks like TWM's Brazeau River Gas Processing Plant could have a sale value in the range of $400 million. Brazeau is 180mmcf/d gas processing capability + 10,000 bpd NGL fractionation capacity.  Whitecap got $100 million for 50% of Musreau (43mmcf/d+ 12,500 bpd liquids capacity.  The secpnd deal for the Kaybob complex with 165mmcf/d + 15,000 bpd condensate capacity was more complicated because it included Pembina funding a new facility.  Brazeau is not opertaing at capaacity, but is averaging 70% to 80% capacity so not too bad.

Since TWM's current martket cap is only around $250 million it looks like selling off their assets (Brazeau, Prince George Refinery + Renewables business) could bring in 4 to 5 times the current market cap or 4 times after eliminating all current debt.  Time for a sale process?

[wynner]

Market cap of TWM is $225 million and LCFS is $308 million. Yet TWM owns 69% of LCFS. Something around $200 million. So EVERYTHING else is worth about $100 million. Gas plant, Refinery ,rail lines, pipes , hydrogen, whatever. Who's buying whom?