TIDEWATER MIDSTREAM AND INFRASTRUCTURE LTD. ANNOUNCES THIRD QUARTER 2025 RESULTS AND OPERATIONAL UPDATE

Executive Summary

• Tidewater Midstream reported a consolidated net loss of C$34.1 million for Q3 2025, widening sharply from the C$7.3 million loss in Q3 2024.
• Adjusted EBITDA fell to C$16.2 million versus C$29.2 million a year earlier, reflecting lower product volumes, margins and emission‑credit revenues.
• The company completed two material transactions: (1) acquisition of the north segment of Pembina’s Western Pipeline for cash ≈ C$1.2 M plus assumption of ~C$30 M abandonment liabilities; (2) sale of the Sylvan Lake gas plant for ≈ C$5.5 M, proceeds used to repay senior debt.

Key Details

• Financial Highlights – Q3 2025
• Consolidated net loss attributable to shareholders: $(34.1) M (vs. $(7.3) M in Q3 2024).
• Adjusted EBITDA (non‑GAAP): $16.2 M (vs. $29.2 M YoY).
• Distributable cash flow: $(14.8) M; net debt increased to $587.8 M.
• Capital Expenditures – Total C$7.4 M (growth capital $0.1 M, maintenance $7.3 M). Full‑year 2025 capex guidance: $15–20 M.
• Downstream Operations (PGR) – Throughput 10,313 bbl/d (+4% QoQ, ‑12% YoY); crack spread averaged $90/bbl, up 6% QoQ.
• HDRD Complex – Utilization fell to 2,011 bbl/d (67% of design) due to extended turnaround and an unplanned outage; ramp‑up now at ~2,330 bbl/d with full capacity expected Dec 2025.
• Midstream Gas Processing – BRC throughput 124 MMcf/d (↑29 MMcf vs. prior quarter); Ram River plant remains offline for the year pending price recovery.
• Western Pipeline Transaction – Cash consideration ≈ C$1.2 M; assumed abandonment/reclamation liabilities ≈ C$30 M (undiscounted). Expected cost‑improvement synergies and feedstock procurement benefits.
• Sylvan Lake Sale – Proceeds ≈ C$5.5 M, applied to repay senior credit facility.
• Government Incentives – Canada announced a C$370 M Biofuels Production Incentive (Jan 2026‑Dec 2027) that could enhance cash flow for Tidewater Renewables’ renewable diesel operations.
• BC LCFS Initiative – Agreement with BC government to receive low‑carbon fuel credits covering ~50% of renewable feedstock cost for 2026‑27; additional CFR emission credits anticipated.
• Earnings Call – Joint Tidewater & Tidewater Renewables conference call scheduled for Nov 13, 2025 at 10:00 am MDT (details provided).

Notable Quotes

“We are very pleased to have successfully closed the Western Pipeline Transaction… and the Sylvan Lake disposition… While the third quarter presented operational challenges, we remain focused on improving margins and increasing throughput.” – Jeremy Baines, CEO.