TC Energy to sell Prince Rupert Gas Transmission entities

TC Energy has entered into a binding letter agreement with Nisga’a Nation and Western LNG regarding the purchase and sale of all outstanding shares in Prince Rupert Gas Transmission Holdings and the limited partnership interests in Prince Rupert Gas Transmission, or PRGT. PRGT is a wholly owned subsidiary of TC Energy and the developer of a natural gas pipeline project in British Columbia. TC Energy’s strategic priorities are focused on staying within its $6B-$7B annual net capital expenditure limit. As part of the letter agreement, TC Energy has committed to provide transition services, on a reimbursable basis, to facilitate the seamless transition of the pipeline project and support development work planned for this year. Subject to the execution of definitive agreements and customary closing conditions, the transaction is expected to close in Q2. Initial proceeds from the transaction are not expected to be material to TC Energy, with the potential to receive additional payments contingent upon the project achieving final investment decision and commercial operation.