News Classic

VAL-D’OR, QC, Nov. 13, 2024 /CNW/ – Orbit Garant Drilling Inc. OGD (“Orbit Garant” or the “Company”) today announced its financial results for the three-month period ended September 30, 2024 (“Q1 2025”). All dollar amounts are in Canadian dollars unless otherwise stated.

Financial Highlights

(1) This is a non-IFRS measure and is not a standardized financial measure. The Company’s method of calculating such financial measures may differ from the methods used by other issuers and, accordingly, the definition of these non-IFRS financial measures may not be comparable to similar measures presented by other issuers. Refer to “Reconciliation of Non-IFRS financial measures” on page 3 of this news release for more information about each non-IFRS measure and for the reconciliations to the most directly comparable IFRS financial measures.

“Our margins improved in our fiscal first quarter compared to Q1 last year, reflecting stronger operating earnings in both our Canadian and international operations,” said Pierre Alexandre, President and CEO of Orbit Garant. “In Canada, our overall drilling activity increased, including the proportion of higher-margin specialized drilling. Our revenue and operating earnings were also higher in our international operations, where we benefitted from increased activity in Chile and Guyana, and the cessation of our operations in West Africa in Q2 last year.”

“Our improved performance reflects the strong progress we have made in advancing our strategy of focusing on senior and well-financed intermediate mining company customers in Canada and Chile,” continued Mr. Alexandre. “With gold prices currently trading at elevated levels near US$2,600 per ounce, and copper prices trading above US$4.00 per pound, we expect that customer demand from senior and well-financed intermediate mining companies will remain strong. While demand from junior exploration companies is still constrained, we are well positioned to capture more business from juniors as their access to capital improves.”

First Quarter Results

Revenue for Q1 2025 totalled $48.4 million, an increase of 9.3% compared to $44.3 million for the three-month period ended September 30, 2023 (“Q1 2024”). Canada revenue totalled $35.4 million in Q1 2025, an increase of 7.4% compared to $33.0 million in Q1 2024, reflecting increased drilling activity and an increased proportion of specialized drilling operations. International revenue totalled $13.0 million in Q1 2025, an increase of 14.8% compared to $11.3 million in Q1 2024, reflecting increased drilling activity in Chile and Guyana, partially offset by the absence of drilling activity in West Africa as the Company completed its exit from West Africa during Fiscal 2024.

Gross profit for Q1 2025 was $7.4 million, or 15.2% of revenue, compared to $4.1 million, or 9.4% of revenue, in Q1 2024. Adjusted gross margin¹, excluding depreciation expenses, was 19.7% in Q1 2025, compared to adjusted gross margin¹, excluding depreciation expenses, of 15.2% in Q1 2024. The increases in gross profit, gross margin and adjusted gross margin¹ were primarily attributable to increased drilling activity in Canada, Chile and Guyana during the quarter, including a higher proportion of specialized drilling in Canada, and the cessation of drilling activities in West Africa.

General and Administrative expenses were $3.5 million, or 7.2% of revenue, in Q1 2025, compared to $4.0 million, or 8.9% of revenue, in Q1 2024.

Adjusted EBITDA¹ totalled $6.5 million in Q1 2025 compared to $3.0 million in Q1 2024. Net earnings for Q1 2025 were $3.2 million, or $0.08 per share (diluted), compared to a net loss of $0.4 million, or $0.01 per share (diluted), in Q1 2024. The increases in Q1 2025 were primarily attributable to increased operating earnings across all segments.

Liquidity and Capital Resources

The Company repaid a net amount of $0.5 million on its Credit Facility in Q1 2025, compared to a withdrawal of $2.7 million in Q1 2024. The Company’s long-term debt under the Credit Facility, including US$3.0 million ($4.0 million) drawn from the US$5.0 million revolving credit facility and the current portion, was $21.0 million as at September 30, 2024, compared to $21.5 million as at June 30, 2024.

Subsequent to Q1 2025, the Company announced that the Toronto Stock Exchange (“TSX”) accepted its notice of intention to make a normal course issuer bid (the “NCIB Program”) to purchase outstanding common shares of Orbit Garant on the open market in accordance with the rules of the TSX. Pursuant to the NCIB Program, Orbit Garant may purchase, from time to time, in aggregate up to 1,868,637 common shares (being approximately 5% of the 37,372,756 issued and outstanding common shares of Orbit Garant as of October 22, 2024) over a 12-month period commencing on October 31, 2024, and terminating on October 30, 2025. Further information on the NCIB Program can be found in the Company’s news release dated October 28, 2024.

As at September 30, 2024, the Company’s working capital totalled $50.4 million, compared to $48.6 million as at June 30, 2024. Orbit Garant’s working capital requirements are primarily related to the funding of inventory and the financing of accounts receivable. As at September 30, 2024, Orbit Garant had 37,372,756 common shares issued and outstanding.

Orbit Garant’s unaudited interim consolidated financial statements and management’s discussion and analysis for Q1 2025 are available via the Company’s website at www.orbitgarant.com or SEDAR+ at www.sedarplus.ca.

Conference Call

Pierre Alexandre, President and CEO, and Daniel Maheu, CFO, will host a conference call for analysts and investors on Thursday, November 14, 2024 at 10:00 a.m. (ET). To join the conference call without operator assistance, you can register and enter your phone number at https://emportal.ink/3U3bKU6 to receive an instant automated call back. Alternatively, you can dial 416-945-7677 or 1-888-699-1199 to reach a live operator that will join you into the call.

A live webcast of the call will be available on Orbit Garant’s website at: http://www.orbitgarant.com/en/events. The webcast will be archived following conclusion of the call. To access a replay of the conference call dial 289-819-1450 or 1-888-660-6345, passcode: 90516 #.  The replay will be available until November 21, 2024.

RECONCILIATION OF NON – IFRS FINANCIAL MEASURES

Financial data has been prepared in conformity with International Financial Reporting Standards (“IFRS”). However, certain measures used in this discussion and analysis do not have any standardized meaning under IFRS and could be calculated differently by other companies. The Company believes that certain non-IFRS financial measures, when presented in conjunction with comparable IFRS financial measures, are useful to investors and other readers because the information is an appropriate measure to evaluate the Company’s operating performance. Internally, the Company uses this non-IFRS financial information as an indicator of business performance. These measures are provided for information purposes, in addition to, and not as a substitute for, measures of financial performance prepared in accordance with IFRS.

EBITDA, Adjusted EBITDA and Adjusted EBITDA Margin

Management believes that EBITDA is an important measure when analyzing its operating profitability, as it removes the impact of financing costs, certain non-cash items, income taxes and restructuring costs. As a result, Management considers it a useful and comparable benchmark for evaluating the Company’s performance, as companies rarely have the same capital and financing structure.

Reconciliation of EBITDA, Adjusted EBITDA and Adjusted EBITDA Margin  

Adjusted Gross Profit and Adjusted Gross Margin

Although adjusted gross profit and adjusted gross margin are not recognized financial measures defined by IFRS, Management considers them to be important measures as they represent the Company’s core profitability, without the impact of depreciation expense. As a result, Management believes they provide a useful and comparable benchmark for evaluating the Company’s performance.

Reconciliation of Adjusted Gross Profit and Adjusted Gross Margin  

About Orbit Garant

Headquartered in Val-d’Or, Québec, Orbit Garant is one of the largest Canadian-based mineral drilling companies, providing both underground and surface drilling services in Canada and internationally through its 188 drill rigs and approximately 1,000 employees. Orbit Garant provides services to major, intermediate and junior mining companies, through each stage of mining exploration, development and production. The Company also provides geotechnical drilling services to mining or mineral exploration companies, engineering and environmental consultant firms, and government agencies. For more information, please visit the Company’s website at www.orbitgarant.com.

Forward-looking information

This news release may contain forward-looking statements (within the meaning of applicable securities laws) relating to business of Orbit Garant Drilling Inc. (the “Company”) and the environment in which it operates. Forward-looking statements are identified by words such as “believe”, “anticipate”, “expect”, “intend”, “plan”, “will”, “may” and other similar expressions. These statements are based on the Company’s expectations, estimates, forecasts and projections. They are not guarantees of future performance and involve risks and uncertainties that are difficult to control or predict. Risks and uncertainties that could cause actual results, performance or achievements to differ materially include the world economic climate as it relates to the mining industry; the Canadian economic environment; the Company’s ability to attract and retain customers and to manage its assets and operating costs; the political situation in certain jurisdictions in which the Company operates and the operating environment in the jurisdictions in which the Company operates, as well as the risks and uncertainties are discussed in the Company’s regulatory filings available at www.sedarplus.ca. There can be no assurance that forward-looking statements will prove to be accurate as actual outcomes and results may differ materially from those expressed in these forward-looking statements. Readers, therefore, should not place undue reliance on any such forward-looking statements. Further, a forward-looking statement speaks only as of the date on which such statement is made. The Company undertakes no obligation to publicly update any such statement or to reflect new information or the occurrence of future events or circumstances except as required by applicable securities laws.

SOURCE Orbit Garant Drilling Inc.

View original content: http://www.newswire.ca/en/releases/archive/November2024/13/c0508.html

Baltic Power, Hai Long and Oneida projects continue to make construction progress

TORONTO, Nov. 13, 2024 (GLOBE NEWSWIRE) — Northland Power Inc. (“Northland” or the “Company”) NPI reported today financial results for the three and nine months ended September 30, 2024. All dollar amounts set out herein are in thousands of Canadian dollars, unless otherwise stated.

“Northland’s third quarter results were negatively impacted by the Gemini cable outage and lower offshore wind production but on a full year basis Northland continues to remain on track to achieve our full year guidance, given the strong performance in the first half of the year,” said John Brace, Northland’s Interim President and CEO. “We continue to make progress on our three construction projects in Taiwan, Poland and Canada. Following the regrettable safety incident in August, construction of the Hai Long onshore substation is progressing according to its recovery plans. We also have a number of exciting development opportunities in core markets across our development pipeline.”

Third Quarter Highlights

Financial results for the three months ended September 30, 2024 were lower compared to the same quarter of 2023, primarily due to lower production at offshore wind facilities and lower revenue from the Spanish portfolio. This decrease was partially offset by the contribution from the New York onshore wind projects that achieved commercial operations in October 2023 and higher revenue from EBSA due to growth in asset base and rate escalations.

Financial Results

• Sales decreased to $491 million from $513 million in 2023.
• Gross Profit decreased to $444 million from $458 million in 2023.
• Net Loss was $191 million compared to net income of $43 million in 2023.
• Adjusted EBITDA (a non-IFRS measure) decreased to $228 million from $267 million in 2023.
• Adjusted Free Cash Flow per share (a non-IFRS measure) decreased to $0.08 from $0.25 in 2023.
• Free Cash Flow per share (a non-IFRS measure) decreased to $0.00 from $0.14 in 2023.

The following table presents key IFRS and non-IFRS financial measures and operational results. Sales, gross profit, operating income and net income, as reported under IFRS, include consolidated results of entities not wholly owned by Northland, whereas Northland’s non-IFRS financial measures include only Northland’s proportionate ownership interest.

Third Quarter Results Summary

Offshore wind facilities

Electricity production for the three months ended September 30, 2024 decreased by 10% or 81GWh compared to the same quarter of 2023. This was primarily due to export cable damage at Gemini, and higher unpaid curtailments related to negative prices and grid outages, partially offset by higher wind resource at German offshore wind facilities.

Sales of $213 million for the three months ended September 30, 2024 decreased 8% or $18 million, compared to the same quarter of 2023, primarily due to the lower production by $26 million, partially offset by a $7 million P&I factor adjustment and various other items.

Adjusted EBITDA of $108 million for the three months ended September 30, 2024 decreased 15% or $19 million compared to the same quarter of 2023, due to the same factors as noted above.

An important indicator for performance of offshore wind facilities is the current and historical average power production of the facility. The following table summarizes actual electricity production and the historical average, high and low, for the quarter of each offshore facility:

In June 2024, one of Gemini’s export cables was damaged and taken out of service. On September 4, 2024, the cable was successfully repaired and energized, bringing Gemini back to full operations safely and without incident. During the repair, Gemini’s production continued via the second export cable. This was determined to be an isolated event and is expected to have a minimal impact on the Adjusted EBITDA and Adjusted Free Cash Flow for the full year, respectively, net of insurance proceeds, which are anticipated to be received by the end of the year.

Onshore renewable facilities

Electricity production was 20% or 86GWh higher than the same quarter of 2023, primarily due to the contribution from the New York onshore wind projects that achieved commercial operations in October 2023, and higher wind resource at the Canadian and Spanish onshore renewable facilities, partially offset by lower solar resource at the Spanish onshore renewable facilities.

Sales of $116 million were 1% or $2 million lower than the same quarter of 2023, primarily due to lower revenue from the Spanish facilities and Canadian onshore facilities, partially offset by the contribution from the New York onshore wind projects. Please refer to the MD&A for a further breakdown of Spanish portfolio revenue by component.

Adjusted EBITDA of $82 million was 8% or $7 million lower than the same quarter of 2023, primarily due to operating cost from New York onshore wind projects, in addition to the same factors as above.

Natural gas facilities

Electricity production of 944GWh for the three months ended September 30, 2024 was largely in line with the same quarter of 2023.

Sales of $74 million for the three months ended September 30, 2024 decreased 8% or $6 million as compared to the same quarter of 2023, primarily due to lower natural gas prices resulting in lower energy rates.

Adjusted EBITDA of $40 million for the three months ended September 30, 2024 was largely in line with the same quarter of 2023.

Utility

Sales of $85 million for the three months ended September 30, 2024 increased 9% or $7 million compared to the same quarter of 2023, primarily due to the growth in asset base and rate escalations.

Adjusted EBITDA of $35 million for the three months ended September 30, 2024 increased 18% or $5 million compared to the same quarter of 2023, primarily due to the same factors as above.

Consolidated statement of income (loss)

General and administrative (“G&A”) costs of $30 million in the third quarter increased $8 million compared to the same quarter of 2023, primarily due to increased personnel costs relating to one-time management changes and restructuring of operating and corporate functions.

Development costs of $18 million decreased $16 million compared to the same quarter of 2023, primarily due to focused spending on development activities and timing of the expenditures.

Finance costs of $108 million increased 22% or $20 million compared to the same quarter of 2023, primarily due to the contribution from New York onshore wind projects, partially offset by scheduled repayments on facility-level loans.

Fair value loss on financial instruments was $100 million, primarily due to net movement in the fair value of derivatives related to interest rate and foreign exchange contracts.

Foreign exchange gain of $9 million in the third quarter was primarily due to unrealized gain from fluctuations in the closing foreign exchange rates.

Other income was $19 million lower than the same quarter of 2023, primarily due to gains associated with the partial sell-down of development assets in 2023.

Net loss of $191 million in the third quarter of 2024 compared to net income of $43 million in the same quarter of 2023, was primarily as a result of the factors described above.

Adjusted EBITDA

The following table reconciles net income (loss) to Adjusted EBITDA:

Adjusted EBITDA of $228 million for the three months ended September 30, 2024 decreased 15% or $40 million compared to the same quarter of 2023. The significant factors decreasing Adjusted EBITDA include:

• $19 million in gains from partial sell-down of development assets in 2023;
• $19 million decrease in operating results at the offshore wind facilities, primarily due to export cable damage at Gemini, and higher unpaid curtailments related to negative prices and grid outages at German offshore wind facilities, as described above; and
• $9 million decrease in the contribution from the Spanish renewables portfolio, as described above.

The factor partially offsetting the decrease in the Adjusted EBITDA was:

• $8 million increase due to contribution of New York Wind onshore facilities and higher operating results at EBSA, as described above.

Adjusted Free Cash Flow and Free Cash Flow

The following table reconciles cash flow from operations to Adjusted Free Cash Flow and Free Cash Flow:

Adjusted Free Cash Flow of $19 million for the three months ended September 30, 2024 was 70% or $44 million lower than the same quarter of 2023.

The significant factors decreasing Adjusted Free Cash Flow were:

• $49 million decrease in Adjusted EBITDA (gross of growth expenditures) primarily due to the factors described above; and
• $7 million decrease from foreign exchange and interest rate hedges, and other settlements.

The factor partially offsetting the decrease in Adjusted Free Cash Flow was:

• $12 million decrease in scheduled debt repayments on facility-level loans, mainly at the Spanish portfolio.

Free Cash Flow, which is reduced by growth expenditures, totaled $1 million for the three months ended September 30, 2024, and was $35 million lower than the same quarter of 2023, due to the same factors as Adjusted Free Cash Flow.

The following table reconciles Adjusted EBITDA to Adjusted Free Cash Flow:

Significant Events and Updates

Renewables Growth:

• Construction Update on Hai Long, Baltic Power and Oneida – The Hai Long project continued to make progress. Offshore construction at the project is advancing, with the completion of installation of both offshore substation foundation jackets, the first offshore substation topside, and two of three export cables. As planned, the project completed the installation of pin piles and turbine jacket foundations at approximately half of the turbine locations, which are ready for turbine installation in 2025, further de-risking the project. The fabrication of turbine components continues, including completion of the first sets of towers, generators and nacelles. On August 20, 2024, an incident occurred at the onshore substation due to a leak of carbon dioxide from the fire suppression system, which resulted in three fatalities. The project team is cooperating with local authorities to investigate the incident and ensure the safety of personnel and the surrounding community. The onshore substation construction work was initially suspended but is now progressing according to its recovery plans. First power is expected in the second half of 2025 with full commercial operations expected to commence in 2026/2027, according to schedule. Overall project cost is aligned with original expectations.
  The Baltic Power project continues to make progress on fabrication of onshore and offshore substations, foundations, export cables, multiple turbine components and inter-array cables. This quarter marked the fabrication completion of the first sets of monopile foundations and transition pieces, which are ready to be delivered to the project. Construction of the onshore substation and the operations and management building are progressing. Major in-water construction activity is expected to start in early 2025. Full commercial operations are expected to commence in the latter half of 2026, according to schedule. Overall project cost is aligned with original expectations.
  The Oneida project continues to make progress with its construction activities. The high-voltage transformers have arrived at site, and all cabling and grid interconnection works are being finalized. Commissioning activities have commenced. Full commercial operations are expected to commence in 2025, according to schedule. Overall project cost is aligned with original expectations.

• Other Growth Activity – Northland continues to make progress on its development activities in its core markets. For example, Northland signed a 15-year bilateral offtake agreement for 100% of the battery energy storage capacity from the Jurassic BESS project in Alberta with members of the Alberta Schools Commodities Purchasing Consortium. This is the first offtake agreement of its kind in Canada for a battery storage project and is a key milestone in the advancement of Northland’s Alberta portfolio.
• Increase in Corporate Credit Facility – During the quarter, Northland increased the size of its corporate revolving credit facility from $1.0 billion to $1.25 billion to continue to enhance available liquidity and support future growth opportunities in its core markets. Northland currently has available liquidity of $1.1 billion.
• Corporate credit rating re-affirmed – Credit rating agencies Standard & Poor and Fitch Ratings re-affirmed Northland’s corporate credit rating in 2024 at BBB (Stable).

2024 Financial Outlook

Northland’s outlook is underpinned by its commitment to operational excellence, prudent growth in key global markets and focus on the Company’s three major renewable construction programs, ensuring their successful execution.

To prepare for further growth, the Company also continues to be active in pursuing various development opportunities in its core markets.

As of November 13, 2024, management’s 2024 financial outlook remains within the guidance range. This outlook reflects Northland’s commitment to strong operational performance, with key financial projections for 2024 including expected Adjusted EBITDA in the range of $1.2 billion to $1.3 billion and Adjusted Free Cash Flow per share to be in the range of $1.30 to $1.50. Furthermore, projected Free Cash Flow per share for 2024 is expected to be in the range of $1.10 to $1.30, reflecting the Company’s commitment to prudent financial management.

It is important to note that while Northland is confident in its outlook, it remains subject to the Forward-Looking Statements set forth herein as well as the Risk Factors outlined in Northland’s most recent Annual Information Form dated February 21, 2024 (“2023 AIF”).

Third-Quarter Earnings Conference Call

Northland will hold an earnings conference call on November 14, 2024, to discuss its third quarter 2024 results. The call will be hosted by Northland’s Senior Management, who will discuss the Company’s financial results and developments as well as answering questions from analysts.

Conference call details are as follows:

Thursday, November 14, 2024, 10:00 a.m. ET

Participants wishing to join the call and ask questions must register using the following URL below:

https://register.vevent.com/register/BI0cb4142cbd444fed88c4f0efe921cb3d

For all other attendees, the call will be broadcast live on the internet, in listen-only mode and can be accessed using the following link:

Webcast URL: https://edge.media-server.com/mmc/p/p7kuvn2d

For those unable to attend the live call, an audio recording will be available on northlandpower.com on Friday, November 15, 2024.

Northland’s unaudited interim condensed consolidated financial statements for the three and nine months ended September 30, 2024, and related Management’s Discussion and Analysis can be found on SEDAR+ at www.sedarplus.ca under Northland’s profile and on northlandpower.com.

ABOUT NORTHLAND POWER

Northland Power is a global power producer dedicated to helping the clean energy transition by producing electricity from clean renewable resources. Founded in 1987, Northland has a long history of developing, building, owning and operating clean and green power infrastructure assets and is a global leader in offshore wind. In addition, Northland owns and manages a diversified generation mix including onshore renewables, natural gas energy, as well as supplying energy through a regulated utility.

Headquartered in Toronto, Canada, with global offices in eight countries, Northland owns or has an economic interest in approximately 3.2GW (net 2.8GW) of operating capacity. The Company also has a significant inventory of projects in construction and in various stages of development encompassing approximately 12GW of potential capacity.

Publicly traded since 1997, Northland’s common shares, Series 1 and Series 2 preferred shares trade on the Toronto Stock Exchange under the symbols NPI, NPI.PR.A and NPI.PR.B, respectively.

NON-IFRS FINANCIAL MEASURES

This press release includes references to the Company’s adjusted earnings before interest, income taxes, depreciation and amortization (“Adjusted EBITDA”), Adjusted Free Cash Flow, Free Cash Flow and applicable payout ratios and per share amounts, which are measures not prescribed by International Financial Reporting Standards (“IFRS”), and therefore do not have any standardized meaning under IFRS and may not be comparable to similar measures presented by other companies. Non-IFRS financial measures are presented at Northland’s share of underlying operations. These measures should not be considered alternatives to net income (loss), cash flow from operating activities or other measures of financial performance calculated in accordance with IFRS. Rather, these measures are provided to complement IFRS measures in the analysis of Northland’s results of operations from management’s perspective. Management believes that Northland’s non-IFRS financial measures and applicable payout ratio and per share amounts are widely accepted and understood financial indicators used by investors and securities analysts to assess the performance of a company, including its ability to generate cash through operations.

FORWARD-LOOKING STATEMENTS

This press release contains statements that constitute forward-looking information within the meaning of applicable securities laws (“forward-looking statements”) that are provided for the purpose of presenting information about management’s current expectations and plans. Readers are cautioned that such statements may not be appropriate for other purposes. Northland’s actual results could differ materially from those expressed in, or implied by, these forward-looking statements and, accordingly, the events anticipated by the forward-looking statements may or may not transpire or occur. Forward-looking statements include statements that are not historical facts and are predictive in nature, depend upon or refer to future events or conditions, or include words such as “expects,” “anticipates,” “plans,” “predicts,” “believes,” “estimates,” “intends,” “targets,” “projects,” “forecasts” or negative versions thereof and other similar expressions or future or conditional verbs such as “may,” “will,” “should,” “would” and “could.” These statements may include, without limitation, statements regarding future Adjusted EBITDA, Adjusted Free Cash Flow and Free Cash Flow, including respective per share amounts, dividend payments and dividend payout ratios, the timing for and attainment of the Hai Long and Baltic Power offshore wind and Oneida energy storage projects and other renewables growth activity, and the anticipated contributions therefrom to Adjusted EBITDA, Adjusted Free Cash Flow and Free Cash Flow, the anticipated timing and attainment of insurance proceeds relating to the damage of one of Gemini’s export cables, the expected generating capacity of certain projects, guidance, anticipated dates of full commercial operations, forecasts as to overall project costs, the completion of construction, acquisitions, dispositions, whether partial or full, investments or financings and the timing thereof, the timing for and attainment of financial close and commercial operations for each project, the potential for future production from project pipelines, cost and output of development projects, the all-in interest cost for debt financing, the impact of currency and interest rate hedges, litigation claims, anticipated results from the optimization of the Thorold Co-Generation facility and the timing related thereto, future funding requirements, and the future operations, business, financial condition, financial results, priorities, ongoing objectives, strategies and the outlook of Northland, its subsidiaries and joint ventures. These statements are based upon certain material factors or assumptions that were applied in developing the forward-looking statements, including the design specifications of development projects, the provisions of contracts to which Northland or a subsidiary is a party, management’s current plans and its perception of historical trends, current conditions and expected future developments, the ability to obtain necessary approvals, satisfy any closing conditions, satisfy any project finance lender conditions to closing sell-downs or obtain adequate financing regarding contemplated construction, acquisitions, dispositions, investments or financings, as well as other factors, estimates and assumptions that are believed to be appropriate in the circumstances. Although these forward-looking statements are based upon management’s current reasonable expectations and assumptions, they are subject to numerous risks and uncertainties. Some of the factors that could cause results or events to differ from current expectations include, but are not limited to, risks associated with further regulatory and policy changes in Spain which could impair current guidance and expected returns, risks associated with merchant pool pricing and revenues, risks associated with sales contracts, the emergence of widespread health emergencies or pandemics, Northland’s reliance on the performance of its offshore wind facilities at Gemini, Nordsee One and Deutsche Bucht for over 50% of its Adjusted EBITDA, counterparty and joint venture risks, contractual operating performance, variability of sales from generating facilities powered by intermittent renewable resources, wind and solar resource risk, unplanned maintenance risk, offshore wind concentration, natural gas and power market risks, commodity price risks, operational risks, recovery of utility operating costs, Northland’s ability to resolve issues/delays with the relevant regulatory and/or government authorities, permitting, construction risks, project development risks, integration and acquisition risks, procurement and supply chain risks, financing risks, disposition and joint-venture risks, competition risks, interest rate and refinancing risks, liquidity risk, inflation risks, commodity availability and cost risk, construction material cost risks, impacts of regional or global conflicts, credit rating risk, currency fluctuation risk, variability of cash flow and potential impact on dividends, taxation, natural events, environmental risks, climate change, health and worker safety risks, market compliance risk, government regulations and policy risks, utility rate regulation risks, international activities, cybersecurity, data protection and reliance on information technology, labour relations, labour shortage risk, management transition risk, geopolitical risk in and around the regions Northland operates in, large project risk, reputational risk, insurance risk, risks relating to co-ownership, bribery and corruption risk, terrorism and security, litigation risk and legal contingencies, and the other factors described in the “Risks Factors” section of Northland’s Management’s Discussion and Analysis and Annual Information Form for the year ended December 31, 2023, which can be found at www.sedarplus.ca under Northland’s profile and on Northland’s website at northlandpower.com. Northland has attempted to identify important factors that could cause actual results to materially differ from current expectations; however, there may be other factors that cause actual results to differ materially from such expectations. Northland’s actual results could differ materially from those expressed in, or implied by, these forward-looking statements and, accordingly, no assurances can be given that any of the events anticipated by the forward-looking statements will transpire or occur, and Northland cautions you not to place undue reliance upon any such forward-looking statements.

The forward-looking statements contained in this release are, unless otherwise indicated, stated as of the date hereof and are based on assumptions that were considered reasonable as of the date hereof. Other than as specifically required by law, Northland undertakes no obligation to update any forward-looking statements to reflect events or circumstances after such date or to reflect the occurrence of unanticipated events, whether as a result of new information, future events or results, or otherwise.

Certain forward-looking information in this release and the MD&A may also constitute a “financial outlook” within the meaning of applicable securities laws. Financial outlook involves statements about Northland’s prospective financial performance, financial position or cash flows and is based on and subject to the assumptions about future economic conditions and courses of action and the risk factors described above in respect of forward-looking information generally, as well as any other specific assumptions and risk factors in relation to such financial outlook noted in this release and the MD&A. Such assumptions are based on management’s assessment of the relevant information currently available and any financial outlook included in this release and the MD&A is provided for the purpose of helping readers understand Northland’s current expectations and plans for the future. Readers are cautioned that reliance on any financial outlook may not be appropriate for other purposes or in other circumstances and that the risk factors described above or other factors may cause actual results to differ materially from any financial outlook. The actual results of Northland’s operations will likely vary from the amounts set forth in any financial outlook and such variances may be material.

For further information, please contact:

Dario Neimarlija, Vice President, FP&A and Investor Relations
647-288-1019
investorrelations@northlandpower.com
northlandpower.com