Topic: How To Invest

The Successful Investor Hotline – Friday, October 5, 2018

Article Excerpt

TRANSCANADA CORP., $53.77, Toronto symbol TRP, operates a 91,500-kilometre pipeline network that pumps natural gas from Alberta to eastern Canada and the U.S. Other operations include 4,800 kilometres of crude oil pipelines and 12 power plants. The company plans to move ahead with its Coastal GasLink pipeline project now that LNG Canada has confirmed plans to build a new natural gas liquefaction facility in Kitimat, British Columbia. LNG Canada is owned by Royal Dutch Shell, Petronas, PetroChina, Mitsubishi Corp. and Korea Gas Co. The new 670-kilometre pipeline will pump natural gas from northeastern B.C. to the Kitimat facility. From there, tankers will carry the liquefied gas to markets in Asia. TransCanada expects begin construction in early 2019, and the pipeline should begin operating in 2023. The company will spend $6.2 billion on this project, which is equal to 13% of its $49.1 billion market cap (the total value of all outstanding shares). It has secured a 25-year contract with LNG Canada, which cuts…