“When we acquired Decatur Energy in 2017, we believed there was a high probability of re-contracting based on its history of re-contracting and the need for capacity in the region due to supply retirements and load growth,” said
Since the acquisition in
Under the terms of the extension, Decatur Energy will receive payments for 34 MW of additional capacity immediately and will receive capacity payments on up to an additional 79 MW upon execution of an updated interconnection agreement that is expected to be finalized in 2021. As a result, adjusted EBITDA is expected to increase by
Non-GAAP measures
Adjusted EBITDA is not a defined financial measure according to GAAP and does not have a standardized meaning prescribed by GAAP and, therefore, is unlikely to be comparable to similar measures used by other enterprises. Adjusted EBITDA should not be considered an alternative to net income, calculated in accordance with GAAP. Rather, this measure is provided to complement the nearest GAAP measure in the analysis of the Company’s results of operations from management’s perspective.
See Non-GAAP measures in the Company’s Management’s Discussion and Analysis for the six months ended
Forward-looking information
Certain information in this news release is forward-looking information within the meaning of Canadian securities laws as it relates to anticipated financial or operating performance, events or strategies. When used in this context, words such as "anticipate", "believe", "continue", "estimate", "plan", "intend", "expect", "target" and "will" or similar words suggest future outcomes. By their nature, such statements are subject to significant risks, assumptions and uncertainties, which could cause the Company's actual results and experience to be materially different than the anticipated results. Forward-looking information or statements included in this news release are provided to inform the Company's shareholders and potential investors about management's assessment of the Company's future plans and operations. This information may not be appropriate for other purposes.
Material forward-looking information in this press release includes expectations pertaining to Decatur Energy regarding: (i) timing of completion and magnitude of the remaining expected combustion turbine upgrade, and (ii) the expected impacts to adjusted EBITDA.
These statements are based on certain assumptions and analyses made by the Company in light of its experience and perception of historical trends, current conditions, expected future developments, and other factors it believes are appropriate. The material factors and assumptions used to develop these forward-looking statements relate to: (i) performance; and (ii) the status of and impact of policy, legislation and regulations.
Whether actual results, performance or achievements will conform to the Company's expectations and predictions is subject to a number of known and unknown risks and uncertainties which could cause actual results and experience to differ materially from the Company's expectations. Such material risks and uncertainties are: (i) facility availability and performance including maintenance expenditures; (ii) regulatory and political environments including changes to environmental legislation; and (iii) changes in general economic and competitive conditions. See Risk Factors in the Company's 2019 Management's Discussion and Analysis, as well as the Management’s Discussion and Analysis for the six months ended
Readers are cautioned not to place undue reliance on any such forward-looking statements, which speak only as of the specified approval date. The Company does not undertake or accept any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements to reflect any change in the Company’s expectations or any change in events, conditions or circumstances on which any such statement is based, except as required by law.
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