CALGARY, AB, Oct. 1, 2021 /CNW/ - Topaz Energy Corp. (TSX:
TPZ) ("Topaz" or the "Company") is pleased to announce the
publication of its inaugural 2020 Sustainability Report which
outlines how the Company has integrated environment, social &
governance ("ESG") performance considerations within the Company's
energy investment strategy. The report is available on
the Company's website at www.topazenergy.ca.
The Company's 2020 Sustainability Report covers its
first full calendar year of operations, during which: Topaz
established its executive team and ESG and sustainability
practices; expanded its board of directors; completed an initial
public offering; listed its shares on the TSX; and demonstrated its
acquisition strategy which is focused on high quality, growth
assets and top tier operators. The report shows how Topaz
invests and evaluates its partners, in order to generate solid
risk-adjusted financial returns, and verifies Topaz as a high
quality, low-emissions royalty and infrastructure energy
investment. Topaz looks forward to expanding its ESG disclosure in
the future as the Company continues to advance beyond its formative
year.
Highlights of the report include:
Environment:
- Focus on lower emissions energy investment underpinned by:
-
- gross overriding royalties - while Topaz is not exposed to
future capital costs, associated emissions or abandonment
obligations, partners and plays are thoughtfully selected on the
basis of integrated economic and environmental sustainability;
and
- non-operated ownership interests in new, state of the art
natural gas processing facilities and certain water management
infrastructure that together produce very low emissions.
- For Topaz, our strategic partnerships with high-quality
operators attentive to environmental stewardship and performance
enhance our long-term value. Tourmaline, Topaz's key partner
exemplifies this by setting aggressive emissions reduction targets,
investing in multiple environmental/economic-enhancing
technologies, water-recycling and community involvement all of
which is backstopped by top-quartile base economics.
Social:
- Senior executive team and staff each with 50 per cent
women
- Established relationships with several organizations focused on
(i) promoting healthier and more sustainable communities, (ii)
supporting educational opportunities and (iii) fostering employee
engagement in the community
- Governance:
- Established a culture of accountability and alignment with
executive compensation tied to comprehensive elements of financial
and strategic performance alongside ESG integration to ensure
strong shareholder and stakeholder alignment
- Robust corporate governance policies including a focus on
independence and oversight of related party transactions
- High scoring on corporate governance self-assessment (based
upon the Globe and Mail "Board Games" scorecard)
- Achieved a goal of at least 30% women independent directors in
2020
Transparency:
- Disclosure aligned with the Sustainability Accounting Standards
Board (SASB) which recently completed its merger with IIRC to form
the Value Reporting Foundation and the Task Force on Climate-
Related Financial Disclosures (TCFD) and includes our ownership
interest share of carbon emissions data related to our
infrastructure assets.
Additional information
Additional information about Topaz, including the financial
statements and management's discussion and analysis for the three
and six months ended June 30, 2021 as
well as the Company's 2020 Annual Information Form are available
electronically under the Company's profile on SEDAR, www.sedar.com,
and on Topaz's website, www.topazenergy.ca.
ABOUT THE COMPANY
Topaz is a unique royalty and energy infrastructure company
focused on generating free cash flow growth and paying reliable and
sustainable dividends to its shareholders, through its strategic
relationship with one of Canada's
largest natural gas producers, Tourmaline, an investment grade
senior Canadian E&P company, and leveraging industry
relationships to execute complementary acquisitions from other
high-quality energy companies, while maintaining its commitment to
environmental, social and governance best practices. For
further information, please visit the Company's website
www.topazenergy.ca.
FORWARD-LOOKING STATEMENTS
This news release contains forward-looking statements and
forward-looking information (collectively, "forward-looking
statements") that relate to the Company's current expectations and
views of future events. These forward-looking statements relate to
future events or the Company's future performance. Any statements
that express, or involve discussions as to, expectations, beliefs,
plans, objectives, assumptions or future events or performance
(often, but not always, through the use of words or phrases such as
"will likely result", "are expected to", "expects", "will
continue", "is anticipated", "anticipates", "believes",
"estimated", "intends", "plans", "forecast", "projection",
"strategy", "objective" and "outlook") are not historical facts and
may be forward-looking statements and may involve estimates,
assumptions and uncertainties which could cause actual results or
outcomes to differ materially from those expressed in such
forward-looking statements. No assurance can be given that these
expectations will prove to be correct and such forward-looking
statements included in this news release should not be unduly
relied upon. These statements speak only as of the date of this
news release. In particular and without limitation, this news
release contains forward-looking statements pertaining to the
following: Topaz's future growth outlook, strategic plans and
acquisition strategy; the ability to generate solid risk-adjusted
financial returns; the expansion of its ESG disclosure in the
future; it focus on ESG goals including lower emissions energy
investments, establishing relationships with organizations that
promote social initiatives; establishing a culture of
accountability and alignment with respective to governance
initiatives; and the Company's business as described under the
heading "About the Company" above.
Forward–looking information is based on a number of assumptions
including those highlighted in this news release and is subject to
a number of risks and uncertainties, many of which are beyond the
Company's control, which could cause actual results and events to
differ materially from those that are disclosed in or implied by
such forward–looking information.
Such risks and uncertainties include, but are not limited to,
the failure to complete acquisitions on the terms or on the
timing announced or at all and the failure to realize some or all
of the anticipated benefits of acquisitions including estimated
royalty production, royalty production revenue and free cash flow
per share growth, and the factors discussed in the Company's
recently filed Management's Discussion and Analysis (See
"Forward-Looking Statements" therein), Annual Information Form (See
"Risk Factors" and "Forward-Looking Statements" therein) and other
reports on file with applicable securities regulatory authorities
and may be accessed through the SEDAR website (www.sedar.com) or
Topaz's website (www.topazenergy.ca).
Without limitation of the foregoing, future dividend payments,
if any, and the level thereof is uncertain, as the Company's
dividend policy and the funds available for the payment of
dividends from time to time is dependent upon, among other things,
free cash flow, financial requirements for the Company's
operations and the execution of its growth strategy, fluctuations
in working capital and the timing and amount of capital
expenditures, debt service requirements and other factors
beyond the Company's control. Further, the ability of Topaz to pay
dividends will be subject to applicable laws (including the
satisfaction of the solvency test contained in applicable corporate
legislation) and contractual restrictions contained in the
instruments governing its indebtedness, including its credit
facility.
Topaz does not undertake any obligation to update such
forward–looking information, whether as a result of new
information, future events or otherwise, except as expressly
required by applicable law.
NON-GAAP FINANCIAL MEASURES
In addition to using financial measures prescribed by
International Financial Reporting Standards ("IFRS" or "GAAP"),
references are made in this news release to "free cash flow", which
is a measure that does not have any standardized meaning as
prescribed by IFRS. Management uses this term for its own
performance measures and to provide shareholders and potential
investors with a measurement of the Company's efficiency and its
ability to generate the cash necessary to fund dividends and a
portion of its future growth expenditures or to repay debt.
Accordingly, investors are cautioned that this non-GAAP financial
measure may not be comparable to similarly defined measures
presented by other entities and should not be considered in
isolation nor as an alternative to net income (loss) from
continuing operations or other financial information determined in
accordance with GAAP as an indication of the Company's performance.
References to "free cash flow" are to the amount of cash estimated
to be available for dividends to shareholders in accordance with
the Company's dividend policy and is defined as cash flow less
capital expenditures, where "cash flow" is defined as cash from
(used in) operations before changes in non-cash working
capital.
GENERAL
See also "Forward-Looking Statements", and "Non-GAAP Financial
Measures" in the most recently filed Management's Discussion and
Analysis.
SOURCE Topaz Energy Corp.