Keyera Corp. Announces Closing of $318 million Public Offering of Common Shares and Over-Allotment Option

/NOT FOR DISTRIBUTION IN THE UNITED STATES OR OVER UNITED STATES WIRE SERVICES/

CALGARY, May 29, 2014 /CNW/ - Keyera Corp. (TSX:KEY) ("Keyera") announced today the successful completion of the public offering of 3,750,000 common shares ("Common Shares"), as well as the sale of an additional 562,500 Common Shares pursuant to the over-allotment option exercised by the underwriters in connection with the public offering.  This brings the total number of Common Shares sold by Keyera in the public offering to 4,312,500. The Common Shares were priced at $73.75 per Common Share for gross total proceeds of approximately $318 million.

The issue was made through a syndicate of underwriters co-led by RBC Capital Markets and National Bank Financial Inc. and included TD Securities Inc., CIBC, BMO Capital Markets, Scotiabank, Peters & Co. Limited, FirstEnergy Capital Corporation, GMP Securities L.P. and Macquarie Capital Markets Canada.

Net proceeds of the offering will be used to partially fund Keyera's capital growth program, to reduce its short term indebtedness under its credit facilities and for general corporate purposes.

About Keyera
Keyera Corp. (TSX:KEY) operates one of the largest natural gas midstream businesses in Canada.  Its business consists of natural gas gathering and processing as well as the processing, transportation, storage and marketing of natural gas liquids (NGLs), the production of iso-octane and crude oil midstream activities.

Keyera's gas processing plants and associated facilities are strategically located in the west central, foothills and deep basin natural gas production areas of the Western Canada Sedimentary Basin.  Its NGL and crude oil infrastructure, including pipelines, terminals and processing and storage facilities, as well as its iso-octane facility, are located in Edmonton and Fort Saskatchewan, Alberta, a major North American NGL hub.  Keyera markets propane, butane, condensate and iso-octane to customers in Canada and the United States.

Disclaimer
This document contains forward-looking statements based on Keyera management's current expectations and assumptions relating to Keyera's business, the environment in which it operates and the future operations and performance of Keyera's assets. As these forward-looking statements depend upon future events, actual outcomes may differ materially depending on factors such as: Keyera's ability to execute its capital program; timing of anticipated capital spending; construction and input costs; construction scheduling variables; availability of construction crews and engineering services; ability to source required parts and equipment; future operating results of the assets; future operating results of Keyera's assets; future operating results of Keyera's business segments and the components of those results; Keyera's ability to execute its strategic initiatives; commodity supply/demand balances and prices; activities of producers, competitors, customers, business partners and others; access to third party facilities; overall economic and market conditions; access to capital and financing alternatives; operational risks associated with Keyera's businesses and operations; potential delays or changes in plans with respect to development projects or capital expenditures or the results therefrom; the legislative, regulatory and tax environment; and other known or unknown factors. There can be no assurance that the results or developments anticipated by Keyera will be realized or that they will have the expected consequences for or effects on Keyera.

For additional information on these and other factors, see Keyera's public filings on www.sedar.com. Unless otherwise required by applicable laws, Keyera does not intend to publicly update or revise forward-looking statements, whether as a result of new information, future events or otherwise.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy any securities, nor shall there be any sale of securities in any state in the United States in which such offer, solicitation or sale would be unlawful. The securities referred to herein have not been and will not be registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements.

SOURCE: Keyera Corp.

For further information about Keyera, please visit our website at www.keyera.com or contact:

John Cobb, Vice President, Investor Relations and Information Technology or
Julie Puddell, Manager, Investor Relations

E-mail: [email protected], Telephone: [phone] / Toll Free: [phone].