TC Energy Announced Update on Growth Outlook

SEATTLE (Oil Monster): TC Energy Corporation has announced update on its growth outlook. The company reported significant progress against its 2023 priorities, said the company press release.

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The company raised its financial guidance for the current year. Accordingly, the company now expects its earnings before interest, taxes, depreciation and amortization (EBITDA) for 2023 to be up from 2022 by 8%. This is higher when compared with the earlier guidance which predicted EBITDA growth at the upper end of the 5-7% range. Meantime, the comparable EBITDA is forecast to grow 5-7% in 2024, it said.

Earlier this year, TC Energy had announced plans to spin off its crude oil pipeline business by splitting it into two separate companies. The new pipeline business will be named South Bow Corp. and will have its headquarters in Calgary. Additionally, it will have an office in Houston, Texas. South Bow will be positioned as a low risk vehicle, being part of its core businesses. The South Bow spinoff is expected to maximise the value of its Liquids Pipelines business.

Furthermore, TC Energy expects to advance an incremental $3 billion of asset sales in 2024 and maintain the targeted $6 to $7 billion annual net capital spending in 2025 and beyond.