/NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED STATES/
CALGARY, Dec. 7, 2012 /CNW/ - Veresen Inc. ("Veresen" or "the Company")
(TSX: VSN) today announced guidance for 2013 and declared a cash
dividend for December 2012.
Veresen is forecasting distributable cash in the range of $0.92 to $1.19
per Common Share for 2013. Based on a forecast aggregate dividend
payout of $1.00 per Share for 2013, the corresponding range of the
payout ratio will be 84 percent to 109 percent.
"Our 2013 guidance reflects continued growth and stability in each of
our businesses on a per Share basis, with the exception of our Aux
Sable midstream business. The variability in our guidance range is
primarily attributed to Aux Sable's margin-based activities. The low
end of our range reflects a conservative view of NGL margins, which
could result from weaker ethane and propane markets in 2013," said Don
Althoff, President and CEO of Veresen.
"Over the long term, we believe the fundamentals of the NGL markets
remain strong as a result of growth in petrochemical demand and export
capability. Aux Sable is a world-class, strategically-located facility
with a competitive advantage to deliver NGLs into premium North
Veresen is well-positioned with a strong balance sheet and a diverse
portfolio of assets, including its pipeline, power and independent
midstream businesses that will continue to generate steady earnings and
cash flow to support the Company's dividend.
For 2012, Veresen maintains its previously announced guidance for
distributable cash of $1.03 to $1.12 per Common Share. Further details
concerning 2012 and 2013 guidance can be found in the Investor
Information section of Veresen's website at www.vereseninc.com.
December Cash Dividend
The Board of Directors of Veresen declared a cash dividend of $0.0833
per common share. The dividend will be paid on January 23, 2012 to
shareholders of record at the close of business on December 31, 2012.
This dividend is designated an "eligible dividend" for Canadian income
The dividend is eligible to be reinvested by shareholders, at a 5%
discount, in common shares of Veresen under the dividend reinvestment
component of the Premium Dividend™ and Dividend Reinvestment Plan of
Veresen ("Plan") to be held for their account under the Plan. No
portion of this dividend will be eligible for a premium cash payment
under the Premium Dividend™ component of the Plan.
Registered shareholders of Veresen who have not previously enrolled in
the Plan and wish to enroll in the Plan with respect to the December
2012 cash dividend and future cash dividends declared by Veresen, must
deliver to Computershare Trust Company of Canada, as Plan Agent, a
completed enrollment form which is available at www.computershare.com/investorcentrecanada, at or before 5:00 pm (ET) on Thursday, December 20, 2012. A copy of
the enrollment form may also be obtained by calling Computershare Trust
Company of Canada at 1-800-564-6253, or from Veresen's website at www.vereseninc.com.
Beneficial shareholders of Veresen who have not previously enrolled in
the Plan and wish to participate in the Plan with respect to the
December 2012 cash dividend and future cash dividends declared by
Veresen, should contact their broker, investment dealer, financial
institution or other nominee to provide appropriate enrollment
instructions and to ensure any deadlines or other requirements that
such nominee may impose or be subject to are met.
About Veresen Inc.
Veresen is a publicly-traded dividend paying corporation based in
Calgary, Alberta, that owns and operates energy infrastructure assets
across North America. Veresen is engaged in three principal businesses:
a pipeline transportation business comprised of interests in two
pipeline systems, the Alliance Pipeline and the Alberta Ethane
Gathering System; a midstream business which includes ownership
interests in a world-class natural gas liquids extraction facility near
Chicago, the Hythe/Steeprock gas gathering and processing complex, and
other natural gas and NGL processing energy infrastructure; and a power
business with renewable and gas-fired facilities and development
projects in Canada and the United States, and district energy systems
in Ontario and Prince Edward Island. Veresen and each of its pipeline,
midstream and power businesses are also actively developing a number of
greenfield projects. In the normal course of its business, Veresen and
each of its businesses regularly evaluate and pursue acquisition and
Veresen's common shares, Series A preferred shares, and 5.75%
convertible unsecured subordinated debentures, Series C due July 31,
2017 are listed on the Toronto Stock Exchange under the symbols "VSN",
"VSN.PR.A" and VSN.DB.C", respectively. For further information, please
SOURCE: Veresen Inc.
For further information:
Dorreen Miller, Director Investor Relations
Phone: (403) 213-3633