Q4 2019 Earnings Call
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I would now with Hana conference over to hear Valentini manager of Investor Relations. Please go ahead.
Thank you Amy good morning, everyone and welcome to Transaltas fourth quarter and yearend conference call with me today are dawn feral President and Chief Executive Officer.
Todd stock Chief Financial Officer.
John Kousinioris Chief operating officer.
Brett Gellner, Chief Development Officer, and carry O'reilly Whelks, Chief Officer, legal regulatory and external affairs.
Today's call is webcast and I invite those listening on the phones to view the supporting slides that are also posted on our website <unk>.
A replay of the call will be available later today and the transcript will be posted to our site shortly thereafter.
As usual all the information provided during this conference call is subject to the forward looking statement qualification set out on slide two here.
He children or M. DNA and also incorporated in fall for the purposes of today's call.
All amounts reference during the color in Canadian currency, unless otherwise stated.
The non high for us terminology used including comparable EBITDA funds from operations free cash flow and de consolidated AFFO are also reconciled in the M. DNA for your reference.
On today's call Dawn and Todd will provide an overview of the past year and expectations for 2020.
After these prepared remarks, we will open the call for questions.
With that let me now turn call over to Dawn based Kara and welcome everyone to the call I today as Karen that I'm going to make a few comments on our key accomplishments in 2019, and then I'll turn it over to Todd who will take you through the details of our financial results.
We are off to a great start on our objectives for 2020.
And we're going to leave plenty of room at the end of the call for questions on below 2019 or expectations her 2020 and beyond.
So in 2019 financially, we did deliver 379 million or free cash flow, which is above our expectations coming into the year and above our results in 2018.
We also recovered an additional 56 million in cash kinda Sundance PPH that were terminated in 2018.
When you take those two numbers together, we delivered 435 million of total free cash flow in 2019, which was a great result for this company.
The <unk> operations at our company delivered strong availability, averaging over 90% for the year. So congratulations to them her great year, and importantly, we delivered significant reductions in our eliminate which now has a run rate that is 8% below our 2018 levels.
And of course this a work came as a result of all the hard work by the Transalta teams across the company.
We did returned 68 million of capital to our shareholders through our share buyback program.
And we ended the year with liquidity of 1.7 billion and then finally in January we decided to increase the dividend I by 6.25%, So very strong operational and financial a year, which as a company we're very proud of.
On strategy, we advanced our clean energy investment plan that we announced last September.
We are on track to deliver our first coal to gas conversion at the Sundance unit six this year.
And we're on course to complete our conversions for Keephills units, two and three by the first half of 2021.
We the dancer Sundance five Repowering project. The two Siemens turbines are acquired in Q4 will be used at the site.
Permitting is underway and we now have shot energy North American as acute customer I got project.
We are continuing to permit a hybrid combined cycle plant keephills one.
As many of you know a pioneer pipeline with commission to early okay. So the hard work of the Tidewater team and contributed to cost reductions and market margin increases in our coal fleet in 2019.
Big level and Antrim worth finished in December and we welcome them into our fleet and they're now fully producing cash flows for all of 2020.
And we're pleased to welcome Microsoft Partners Health care, and New Hampshire electric as new customers to Transalta.
We executed an agreement with Semcams midstream to construct and operate their new cogeneration facility I Kaybob and detailed construction activities have now commenced and cod is targeted for mid 2021.
We significantly advanced Darwin rise project and we were excited to receive and you see approval I had a schedule and we continue to target I 20 to 2021 Cod date for that project.
And we are in the final stages, a building a world class battery or some of you insight that will be completed later this year.
This could come check when site is under construction and will be completed later this year and of course, we have an option to by 49% of that project at Cod once it's completed.
And finally at the very ended the year, we acquired it Ah development portfolio of seven when sites across the U.S. that our team is working on for the corporate P. market that is expanding in that a in the U.S.
Turning to our goals on U.S.G. I'm proud to say that this was our fifth year, a voluntary integrated reporting.
We continue to drive industry, leading sustainability practices and I'm proud of the work that we advanced in 2019, especially you got that work that we did at the end of year to set new goals for for years to target.
We reduced our carbon emission in 2019 by over 200000 tons compared to 2018. Thanks in part to our early integration of the pioneer pipeline.
And of course safety is a key corporate value and it's critical to all of US here that our employees go home safe and sound to their families every day.
2019 was a tremendous result, I buy by all the teams across Transalta. Our total injury injury frequency declined to 1.12, which was at 40% improvement relative to 2018, and our third straight year of improved performance.
It was a very very strong year on many fronts and with that I will turn it over to Todd you can go into details on the financial results.
Thank you Don and welcome to everyone on the call.
Jumping to the financial and operational results I'd like to start up by reviewing the Alberta prices, we saw in here and what we expect to see going forward for 2020 and 2021.
For the full year, the Alberta pool price averaged $55, a megawatt hour, which was $5 per megawatt hour higher compared to 28 team.
Throughout 2019, our merchant coal assets performed well and were able to realize power prices significantly higher than the average fuel price.
Year to date in 2020 power prices have averaged around $78 a megawatt hour due to the extreme cold weather experienced in mid January and overlapping thermal outages and de risks.
As we look at the balance of 2020, the final year, where where our Alberta says will be under their <unk> is the forward curve is currently around $54 per megawatt hour and prices in 2021 or slightly higher at 56.
Currently we have hedged about 60% of our base load merchant production in the $55 a megawatt hour range would you consider additional a hedging opportunities and in any given month, we may target, increasing our hedge levels up to 90% or expected baseload production for that one.
In addition to our expected Baseload production, we have significant peaking capacity at the Sundance units, which provides us additional opportunity to benefit from higher prices in times of market tightness.
To reduce our fuel cost risk in 2020, we locked in roughly 65% overall berta natural gas prices for the year.
Our results for the fourth quarter were strong and inline with our expectations.
Probably EBITDA was lower by 22 million compared to 2018, primarily due to the loss of expiring contract payments on Mississauga and Poplar Creek.
This was partially offset by strong performance in energy marketing at our Canadian coal segment.
Free cash flow increased by $23 million to 121 million in 2019.
For sustaining capital and lower distributions paid to partners on our Mississauga contract more than offset the lower EBITDA generated in the quarter.
Overall, we delivered 43 cents a share of 43 cents to share a free cash flow a 26% increase over the same period in 2018.
[noise] alternative to the full year 2019 results.
For the full year 2019, we produced 984 million of EBITDA, which includes the 56 million that we received from the settlement of the P.A. termination dispute.
Without the PVA settlement payment. This was very close to the midpoint of our 2019 outlook.
It's important to remember is at the Mississauga and Poplar Creek contract changes that occurred at the end of 2018 were expected to reduced EBITDA by approximately 142 million in 2019.
Normal normalizing for these known contract changes, we delivered year over year EBITDA improvement of 66 million.
This shows that we've been able to increase performance in our remaining key business segments.
Canadian coal delivered an incremental 31 million of EBITDA for the full year compared to 2018.
The operational improvements implemented over the past year continue to show strong benefits in the segment and lower eliminate.
As well the early completion of the pioneer pipeline allowed us to take advantage of the lower all in cost of burning natural gas, including lower carbon compliance costs.
The U.S. call segment performed well for the majority of the year, we were unable to offset the lower results in Q1 due to an isolated and extreme pricing event in March.
Centralia was unable to commit one of its units to physical production for the day ahead supply due to an unplanned forced outage repair this isolated event negatively impacted our annual results by approximately 25 million.
In the Canadian gas segment, excluding the impact of the previously mentioned contract changes EBITDA improved 3 million for the full year and in line with 2018.
Frustrating segment performed well performed as expected, but did generate lower EBITDA in the year when compared to 2018 due to weakening of the Australian dollar relative to the Canadian dollar and the ongoing legal costs associated with our dispute with FMCG.
The wind and solar segment results for the year were relatively consistent with prior periods.
Our hydro business delivered strong results, which were consistent with 2018, both for the quarter and the full year.
For the full year, we generated 110 million of EBITDA from these assets, which is consistent with prior years.
We've discussed previously with the expiration of the PVA at the end of 2020, we anticipate seeing a substantial step up in cash generated from these assets as all revenue created by the assets will be routines by transalta.
Lastly, I do want to highlight the strong performance that we saw from our energy marketing segment for the year. The segment generated 89 million of EBITDA year, which is a was substantially higher than 2018. These results were generated across the marketing portfolio was particularly strong performance from the U.S. western markets.
I do want to quickly note that this year was an exceptional year for the 2020 guidance that we outlined in January we are anticipating a more normalized year for the energy marketing segment of approximately 50 to 60 million of EBITDA.
Slide nine a breaks down the performance of our Canadian coal fleet and helps highlight the benefits. We continue to see from our decisions made in 2018, along with the impacts of increased coal firing through the pioneer pipeline.
With overall, a while overall revenue in production were lower for Q4 and for the full year compared to 2018 comparable gross margin was similar on a per megawatt hour basis gross margin increased by 10% for the full year.
For the year EBITDA margins increased by $4 per megawatt hour from $16 to $20. This represents over a 25 improvement to EBITDA margins driven by both higher realized prices lower oil M&A costs, and lower fuel and carbon costs.
We continue to maintain strong liquidity at the end of 2019, we had 1.3 billion available on our credit facilities in over 400 million of cash on hand.
This strong liquidity position along with expected cash generated from the business as well as the second tranche of the Brookfield investment sets us up well in 2020 to meet our upcoming bond maturity fund our goal coal to gas program and advance our adult development projects.
For 2020, we're targeting to repurchase up to $80 million of shares throughout the year.
Lastly, with confidence in our cash flow and a positive outlook for growth. The board is able to declare an increase in our common share dividend to 17 cents annually, which represents a six in the quarter percent increase over the previous dividend.
With that I'll now pass the call back to dawn to provide a brief summary before questions.
Thanks Todd.
I'm turns out this performance and 29 team. It's a combination of work undertaken to shift our strategy cost structure and operating models to adapt to the new market and regulatory realities.
We've made great progress and of course, we always believe here that our work has never done we're still fine tuning the business with the right cost structure and business model to ensure that were competitive as we enter into a fully deregulated market here in Alberta in 2021.
You'll notice on this slide that our 2020 goals are more of the same and that's great news. Our strategy is in its execution stage and we are staying the course in terms of delivering our clean energy plan and transitioning our fleet here in Alberta.
And of course are continuing to grow transalta renewable our teams are preparing for the merchant market and we have a nice foothold now.
We also have a portfolio of assets that can that we now can I start to develop in the U.S. markets for that market there.
So I'm not going to add much more I think everything is pretty straightforward at this point in terms of what we're doing so I'm going to turn it back to Kara So that we can take your questions and changing.
Thank you Don.
Would you. Please open the call up for questions from analysts and yes.
At this time, if he would like to ask a question. Please press Star then one on your telephone keypad.
Your first question today comes from the line of Maurice choice of RBC capital markets.
Your line is open.
Thank you and good morning, My first questions on.
I guess.
Approach to validating projects, but.
Positive environmental attributes as it did you look at it is just being like a street NPV of free cash flow you received from.
Credits or do you use a different discount rate.
Or in other quantitative measure.
Especially those that project to helps accelerate year sustainability goals.
Yes. Thanks for the question. It's a good very good question, Brett Gellner, Yes, I really I mean, our first and foremost approaches we look at the cash flows I mean, that's fundamentally how we approach all are projects.
Certainly as we see the need for new a more renewables and less carbon footprint type projects.
Certainly we've factored that into how we strategically want to position the company overall.
I would say just generally we still.
Take the same fundamental approach in terms of cash flows and discount rates. So no real real change obviously, if there is.
Environmental attributes so weekend.
Get credit for ourselves.
Certainly not factors into the cash flows.
I think part obviously is the term of the contract the off taker those are probably more important considerations.
Thank you and my second and final question just to finish off.
So you've got a new partner.
We see.
Thank goodness I wonder, whether if you've had much dialogue with them do you guys have any differences saw changes soon.
So you strategically approach to that.
No worries that John Kousinioris, we we continue to work with the new orders at share Ness.
I don't from our perspective, we think it's a good constructive relationship we haven't seen any kind of change in the overall strategy that that we had you don't before the change in terms of the.
The way the units are being operated in the plans to eventually convert them, which the which we will be doing to to gas. So it's very much we're staying the course will be assets.
Great. Thank you very much.
Okay.
Your next question comes from the line of Mark a choppy sea Ibcs capital markets your.
Your line is open.
Thanks, Good morning.
Obviously, you've got some from wind assets that are coming closer.
Completion in your guidance and more in the U.S. here, So just thinking about.
Timelines here for drops are in W. And maybe you can just give us a clarity on what you're thinking is there and then maybe just.
And also how you think about.
Consolidated leverage in the ability to use more project level and aren't W. now.
Hey, our markets, it's John Thanks for the question so.
You're right we have a number of wind farms that are under construction at even the Semcams project that are the kinds of assets that we think would make sense for them to be dropped down to transalta renewables.
No we can't sort of signal any specific timing in terms of doing that other than to say that.
It makes sense for that sort of suite of assets that we have when we think of wind rise when charger semcams to be up the types of assets that would make sense to to go down and the only other thing I would say is that now that transalta renewables as the adjusted sort of an interim in big level. It would make sense, if there would be considering a new suite of assets.
Todd and maybe I'll just touch on the leverage metrics. So we've communicated, especially since investor day that we're really focusing on deconsolidated debt metrics at the Transalta Corp level. So I.
I don't really see any restrictions on transalta renewables from applying project finance or leverage down on the transalta renewables level that would inhibit their growth through their ability to add assets are transaltas overall ability to grow.
Also at the Transalta level.
As we've mentioned we're basically on track we are on track to reducing our senior debt.
So I'm I'm very happy with where our credit metrics ended at the end of the year, where they are on track on track to for the end of 2020.
So Todd just following up on that so no real governors in terms of consolidated leverage metrics that you guys are really mindful of it it's really the deconsolidated metrics that you are really you're going to sort of drive your your decision making there.
That's correct right. Okay, and then maybe just clarify a little bit on on the comment about hedging a base load you just.
He said exclude Sundance, so that would be keephills, what about things like hydro and gas plant well remember that hydro is under PVA. This year.
And we don't we don't really simply go on hedge hydro and it is under PVA at this point. So that's why it wasn't discussing hydro and just remember the Sundance units you can look on the market. They generally run 30, 40% of the time.
Our call. It 30, 40% of capacity. So there is a lot of opportunity to ramp those units when prices are higher.
So really it is keeping all units that you are talking about having a hedge that you have to balance here yes.
I think that's it that's the right way to look at it just gets built three which is basically running most of this on the rest of a year. That's the way we focus on retching approach on them.
Okay, and then just turning to Ontario, I mean, there was a direct of for the DSO to reach out to.
Gas fired power generators about maybe renegotiate contracts or money in terms of things like that I think there was a.
Most of your timeline. It then come back to the Ontario Ministry of energy sometime in February have you guys had much dialogue on not in any updated thoughts around sarnia or any other gas plants on true.
Yeah I'm.
Markets John.
We did participate in the other consultation process, we did make a written submission at our team is in sort of continual discussion with the government in Ontario, and the ISO.
Trying to come up with a path.
Forward I think my recollection is that the the ISO has completed its report I think that they actually socialized with the government late last week I don't know when there will be publishing their report I expect it will be coming out in the next week or two I suspect publicly.
We continue to be optimistic that we'll be able to re contract our sarnia facility, it's highly valuable to the off takers. So we have there and we think it does fulfill and important role.
In the province, given where its situated so we continue to work and as you know the the expiring contract from the ISO isn't until 2025 square up quite a bit of time for that too.
To to secure the.
Do you or does your level and getting to get to the point, where even talking about term and pricing or is it just that you're willing to come to the table.
We I think though the we'd like to think that we made a sort of constructive proposals that we think works well in terms of an extension of the contracted also meet some of the.
Objectives of the government of Ontario has in terms of where rates will be a in the province.
Okay. Thanks, guys.
Your next question comes from the line of Andrew.
The credit Suisse.
Line is open.
Thank you. Good morning. The question just relates to your energy transition, but coal to natural gas in Alberta, and it really focuses on just what you're saying with labor rates and productivity doctors at this point in time.
Even when we look at the province, right now there's not a lot of.
Typically going on as we saw in past cycles. So what are you seeing from a labor rate standpoint, or just productivity factors.
Yeah, It's Brad tender.
No real no real change I think your comments are very fair the we see that.
Obviously, there are some big projects still underway on a more on the petrochemical side of the business. So it's not like there's not anything going on there's a lot of pipeline.
Construction going on in the province, remember, though we generally enter into a negotiated fix more or less fixed price deals on our coal to gas and we'll be doing something similar when we get into our repowering. So that will all be factored in we go up for competitive bid.
For those processes.
And.
Got it allows people to come forward with the best.
Its cost structure a possible drawn is here.
You are the only other thing I would say is I think.
This will be directionally accurate I think the amount of capital spending, but you'll see the province of your to compare to where it was sort of five or six years ago is about a third of the level in terms of inbound sort of investment in the province, so compared to kind of a capacity constraints that we were accustomed to feeding and the province, a few years ago kind of.
Pressure is off but as Brad said, we tend to just focus on contracting.
The projects and trying to get cost certainty in terms of the development that we're doing.
That's helpful and then related the transition plans.
How do you think about the interplay of the federal carbon pricing regime, with Alberta power pricing dynamics as you have the slide and Scott before prices that are notoriously illiquid, but really what do they say about carbon expectations. We've got the 50 dollar a ton carbon price on the future is the implication really prices are too low.
The forward markups or what are the call me Kurt can you provide.
Yeah, So when we're looking at.
You know add to it so I wouldn't we're looking at kind of the pricing for 2021.
I know that there has been the court case and we're in a position were read up going to the Supreme Court, a Canada, but our expectations are that overtime carbon prices are going to go up I think it in our own mines. We do look at 2021, having a $40 kind of carbon prices lease that's the way the company.
Sees that overall and.
At least from a traveled with respect to see that that kind of cost is actually being reflected in the price that we see in 2021 at this point in time, you're right about the liquidity of the market. So I don't know that what we're seeing in 2020, why do it isn't which isn't all that heavily being traded right now is actually reflective of of where we expect pricing.
To tax should be in the marketplace thought I don't know if you want to add any time same thing, but that's our view Andrew at this point.
Okay very helpful. Thank you.
Your next question comes from the line of John Malone with TD Securities. Your line is open.
Good morning, I'd like to start with the U.S. wind development portfolio you acquired Im just wondering if you can give us will more color on the skills location and status those projects and what might be the best near term development opportunities in the portfolio.
Yes.
John as spreads so as Don mentioned, we have seven projects.
There are all that to you know marginally different stages of development, but they cover.
PGM to SPP and a bit in are caught.
Right now, we're just very focused on.
But going into each project too in terms of their stage of development part of this will be driven by what kind of customer opportunities, we see and where those customers want projects. So very much like you know the Microsoft big level type contract.
So a little bit of if that is just getting them all kind of position and then will advance some as we see the opportunities come along but you know overall.
Probably in the range of Juno 1200 megawatts of opportunity if all of them outward to proceed.
Okay, Great and then just on the the distributions to Noncontrolling interest in the fourth quarter. It was down relative to earlier quarters in 2019 and I. Appreciate it can be a bit lumpy, but I think it was about 111 million. This sport in 19 is that kind of the right ballpark for for 2020 years Q4 number point to something that.
Lower.
Yes, I would I would look at the annualized number for 2019 being the appropriate number I don't know off the top might had like Q4 was slightly different but.
But think about the annualized number being the right the right value for looking forward to 2020.
Okay, Great and then just maybe one last thing on the regulatory front in the context of the Sun five Repowering and just the carbon pricing construct the area as you advance.
That process can you, maybe just provide a little bit of color on what you need to see on the carbon side of things from a regulatory perspective to have comfort to go ahead with that that repowering.
Yeah. So right now as you know the birth, there's a performance standard of about 0.37 tons per megawatt hour. So combined cycle plants are generally in that area. So we don't see the carbon has a big factor here in fact, I mean, we've as you saw weve already.
Purchase gas turbines.
Last year and so we.
Obviously, we have to make our final investment decision. This year, but right now were full steam ahead with getting regulatory approval and also going out for MPC type bids for that project.
So unless something changes dramatically.
We still see that as a very good project and remember we're setting up the fleet to be very competitive long term and we think a combined cycle plants like that.
To be very well positioned, especially in a brownfield as a brownfield investment.
Okay one.
We're also permitting dot dot decision will be made a bit later as we see how the market unfolds.
But again long term those kind of projects in our opinion makes a lot of sense.
Okay I'll leave it there thanks very much.
Your next question comes from the line of Charles Fishman of Morningstar Research. Your line is open.
Good morning, Dawn I had a question on slide 10 on just make sure I understand that's I'm.
Are you confident I got the.
What the fourth bucket over the the common share dividend, that's coming from 10% to 15% of the FFO.
The last bucket the 30, 50%.
Good clean energy investment a share buyback so the way I read that is if you don't have the opportunity and let's talk about those seven development projects and when you asked when projects you bought if maybe none of those move forward. Then you go with the 80 million a share buyback if some of those move forward. That's your.
Well, the turn on and off and you can invest that money in the in the.
When projects and stuff is that the way to look at that.
So let me let me start and then Todd or John Bracken can add in no you really Charles is really worth looking at both Transalta and transalta renewable.
So.
When were when were developing those when when times were ultimately have in mind. The arent W vehicle is where they had.
So in we often start the development in transalta, but we have got dropping them down into renewable so from a capital allocation perspective.
We don't generally make a trade off between share buyback and wind farm because you know, it's really the capital structure and the currency of aren't W. And the balance sheet that are available there that.
Gives us the confidence to develop though those projects. So when we think about share buyback I think it really.
Comes out of the cash flows at the corporate.
I love to remember Corporately, we have RW, we have the coal to gas investments and we have hydro and we have the energy marketing.
And John So that the did this slide here is de consolidated AFFO at the Transalta level. So maybe Todd you want to just added I think you covered it well there dawn.
And our Investor day in prior discussions we talked about down in Transalta renewables for building out the wind portfolio and other other contracted.
A call a goal gas assets, we expect transalta renewables will be largely self funding they were not looking to contribute transalta.
Deconsolidate in cash.
Down into our MW expect them to be able to finance those growth projects by themselves in this slide when is talking about the clean energy investments what were largely focused on is the coal to gas conversions and the repowering and what's really the constraining item. There is how many repowering salary planning over the next five years clearly the 332 simple conversions are.
Hi, there fully underway or or just about to get underway and then as we talked about the repowering at sub five is just in the permitting phase, but additional repowering beyond that that's what gets covered in his on below the guidance that we gave to the market on the share buyback is that we would be looking to buy back up to $80 million. This year.
And that's that's basically what we're up.
Okay very helpful. Thanks, a lot I appreciate that that's all I had.
Great. Thank you.
And again, ladies and gentlemen, it seems like to ask a question. Please press Star then one on your telephone keypad.
Your next question comes from the line if not Lithgow of carbon Paul Your line is open.
Hi, good morning, Thanks for doing this.
My question relates to the year on year change and revenue from environmental attributes. So poor 29 keen on the annual report shows.
Revenue of 27.6 million from.
Those attributes appears to be inclusive of both Alberta carbon offsets and renewable energy specific it's just noting that change from last year's.
Description in the 2018 report.
21.6 million, but that appeared in airports be limited to just Albert carbon offsets I'm just wondering if there was a change in methodology.
For the year on year changing the reports appears the numbers are the same but just wondering if you have any further and so on that or able to parse out at the revenue for both departmental streams. Thanks.
Yeah, Matt its John let me try to answer the question I don't have the details in front of me, but.
The when you look at 29 teen.
Couple of things just come to mind, one given the sort of increase in carbon pricing, we're seeing sort of an increasing the value of some of the environmental attributes that we would be selling the other points that I would make is our energy marketing team and really it's or if the folks that are asset optimization team are beginning to trade environmental attributes in other jurisdictions. So there.
Jeff.
Trading in Alberta, or or in Ontario, effectively where we have the bulk of our generation, but they're actually looking at trading in you know in.
Some of the other jurisdictions, particularly on the east coast in a bit in California, as well so I think what you're seeing there is just.
The gradual evolution of of the space within the company as we're sort of more active in the area.
Great and then a just a follow up there.
Last year.
And Gulf predicted 25 million in revenue from a verdict carbon offsets entity.
The expansion of the carpet competitive incentive regulation.
Obviously the program has changed once again this year into the tier regime, just wondering if.
You all have any projections for carbon revenue. This year now that's here is in place and that a $30 price is in store for at least the remainder of 2020.
No Matt I think it's John again, I think our view remains constant basically we Oh, we think the environmental attributes that our fleet generates our hydro and our and our wind in Alberta is that kind of run rate that you heard us.
Talk about is broadly aligned with what our expectations would be in year.
This year, that's generally what our expectations.
Great. Thank you.
Yes.
Hi, there are no further questions in queue at this time I turn the call back to the presenters.
Thank you Jamie. Thank you everyone that concludes our call for today. If you have any further questions. Please don't hesitate to reach out to the Investor relations here at Transalta. Thank you and have a good afternoon.
Ladies and gentlemen, this concludes today's conference call.
Thank you for participating.
You may now disconnect.
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