Kineticor enters into agreement to acquire 32 MW cogeneration project in Canada

Kineticor Resource Corporation has announced that it has entered into an asset purchase and sale agreement with Tidewater Midstream and Infrastructure Ltd. to acquire the 32 MW cogeneration facility currently under construction which will provide power and heat to the Pipestone Gas Plant. Under the terms of the sale, Kineticor issued a cash payment of CAD85 million (US$64 million) in exchange for ownership of the cogeneration facility. In conjunction with the acquisition, Kineticor and Tidewater have entered into a long-term energy services agreement whereby Kineticor will supply power and heat to Tidewater's Pipestone Gas Plant once construction is complete.

Tidewater's Pipestone Gas Plant will rely on Kineticor's cogeneration facility to be the sole power provider for the gas plant, eliminating the reliance on the Alberta power grid and ensuring an economical power source.