CALGARY, Oct 7 /CNW/ - The Board of Directors of Pembina Pipeline Corporation ("Pembina" or the "Corporation") (TSX: PPL) has declared an October 2010 cash dividend of $0.13 per share to be paid November 15, 2010 to shareholders of record on October 25, 2010. This dividend is designated an "eligible dividend" for Canadian income tax purposes.
The October 2010 dividend brings cumulative dividends (including distributions paid by the Corporation's predecessor, Pembina Pipeline Income Fund, since its inception in September 1997) to approximately $15.01 per share.
On October 1, 2010 Pembina Pipeline Income Fund closed the Plan of Arrangement pursuant to which it converted into a dividend-paying corporate entity carrying on business as Pembina. Pembina's common shares and convertible debentures commenced trading on the Toronto Stock Exchange ("TSX") on Tuesday, October 5, 2010 under the symbols "PPL" and "PPL.DB.B", respectively. The Fund's trust units and convertible debentures (TSX: PIF.UN, PIF.DB.B) were de-listed by the TSX that same day.
Based on internal projections and certain assumptions, Pembina expects to maintain its current dividend level of 13 cents per share per month ($1.56 per share per year) through 2013.
Pembina Pipeline Corporation transports crude oil and natural gas liquids produced in Western Canada, owns and operates oil sands pipelines and has a growing presence in midstream and natural gas services sectors.
Forward-Looking Information and Statements
This news release contains certain forward-looking information and statements that are based on the Pembina's current expectations, estimates, projections and assumptions in light of its experience and its perception of historical trends. In this news release, such forward-looking information and statements can be identified by terminology such as "to be", "expects", "projects" and similar expressions.
In particular, this document contains forward-looking statements and information, including certain financial outlook and the ability of Pembina to maintain its current level of cash dividends to its equity holders through 2013. These forward-looking statements and information are being made by Pembina based on certain assumptions that Pembina has made in respect thereof as at the date of this document, including: that favourable growth parameters continue to exist in respect of current and future growth projects (including the ability to finance such projects on favourable terms); future dividends, taxation of dividends; and that Pembina's businesses will continue to achieve sustainable financial results.
These forward-looking statements are not guarantees of future performance and are subject to a number of known and unknown risks and uncertainties, including, but not limited to: non-performance of agreements in accordance with their terms; the impact of competitive entities and pricing; reliance on key industry partners, alliances and agreements; the strength and operations of the oil and natural gas production industry and related commodity prices; the continuation or completion of third-party projects; regulatory environment and inability to obtain required regulatory approvals; tax laws and treatment; fluctuations in operating results; the ability of Pembina to raise sufficient capital to complete future projects and satisfy future commitments; construction delays; labour and material shortages; and certain other risks detailed from time to time in Pembina's public disclosure documents including, among other things, those detailed under the heading "Risk Factors" in Pembina's management's discussion and analysis for the year ended December 31, 2009, which can be found at www.sedar.com.
Accordingly, readers are cautioned that events or circumstances could cause results to differ materially from those predicted, forecasted or projected. Such forward-looking statements are expressly qualified by the above statements. Pembina does not undertake any obligation to publicly update or revise any forward-looking statements or information contained herein, except as required by applicable laws. Management of Pembina approved the financial outlook contained herein as of the date of this news release. Readers should be aware the information contained in the financial outlook contained herein may not be appropriate for other purposes.
All dollar values are in Canadian dollars.