Westshore Terminals announces Q4 2014 distribution

VANCOUVER, Dec. 16, 2014 /CNW/ - Westshore Terminals Investment Corporation (TSX: WTE) (the "Corporation") announced today that a dividend of $24,502,505 (representing $0.33 per share) will be paid on or before January 15, 2015 to shareholders of record on December 30, 2014.The Q4 2014 dividend will be designated an "eligible dividend" for Canadian tax purposes.

For the eleven months ended November 30, 2014, Westshore loaded 28.5 million tonnes as compared to 27.4 million tonnes for the same period in 2013. For Q4 2014, Westshore anticipates it will load approximately 7.4 million tonnes compared to the 7.5 million tonnes loaded in the same period in 2013, which would result in total 2014 throughput of approximately 31.2 – 31.3 million tonnes. Q4 production results have been impacted by material maintenance to two stacker reclaimers. More ongoing maintenance overall is required to maintain the aging equipment, which is operating at near capacity.  

Westshore's $270 million capital project remains on time and on budget. It will see the new consolidated office and maintenance shops, employee facilities and warehouse building completed in Q3 2015, a replacement shiploader at Berth 1 and one new stacker reclaimer in 2016 and the other two new stacker reclaimers, in each of 2017 and 2018, with total project completion anticipated by the first half of 2019.

Based on current information from Westshore's customers and based on agreements currently in place, 2015 throughput volumes are currently anticipated to be 31-32 million tonnes at rates higher than 2014 as a whole. 2015 volumes are anticipated to be in line with 2014 volumes as Westshore is anticipating conducting material maintenance to one of its dumpers and Berth 1 which will reduce overall productivity in 2015.  

Westshore has entered into an agreement with Riversdale Resources Limited, a Canadian company with a planned metallurgical (steel making) coal mine to be developed in Blairmore, Alberta. Under the terms of the agreement, Riversdale will pay Westshore an annual  reservation fee to hold up to 2 million tonnes of capacity at Westshore. Production is slated to start in late 2018 and ramping up in 2019. The agreement with Riversdale also includes a 10 year throughput agreement for such volumes ending in 2028.

The foregoing statements concerning anticipated throughput volumes, capital project and new customer agreement are forward-looking statements that reflect the current expectations of the Corporation with respect to future events and performance.  Forward-looking statements should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether such performance or results will be achieved.

Forward-looking statements are based on information available at the time they are made, assumptions made by management, and management's good faith belief with respect to future events, and will be impacted by and are subject to the risks and uncertainties outlined in the Corporation's Annual Information Form that could cause actual performance or results to differ materially from those reflected in the forward-looking statements, historical results or current expectations.

SOURCE: Westshore Terminals Investment Corporation

Nick Desmarais, Secretary & Vice-President, Corporate Development, [phone]