Tanner James

Tanner James asked for clarification on the expectations for TransAlta's long-term financial plan to be provided at the upcoming Investor Day, specifically whether it will assume base business or presume execution of the data center MOU and other items, and how AESO process uncertainties will be handled or caveated.

Answer

EVP Finance and CFO Joel Hunter stated that the intention is to provide an outlook out to 2029, reflecting assumptions around Alberta power prices, the impact on the merchant portfolio, and factoring in Phase I of the data center along with Centralia coming into service in late 2028. President and CEO John Kousinioris added that expectations around general pricing and market evolution in the province would also be included.

Tanner James, on behalf of Julian Dumoulin-Smith from Jefferies, asked for clarification on the expectations for TransAlta's long-term financial plan to be provided next month, specifically whether the guidance would assume a base business or presume execution of the MOU or other items, and how AESO process uncertainties would be handled or caveated.

Answer

EVP Finance and CFO Joel Hunter stated that the intention is to provide an outlook out to 2029, reflecting assumptions around Alberta power prices and their impact on the merchant portfolio. This outlook will also factor in Phase One of the data center opportunity and Centralia coming into service later in 2028, providing building blocks for the Investor Day presentation on March 23rd. President and CEO John Kousinioris added that expectations around general pricing and market evolution in the province would also be included.

Tanner James, on for Julien Dumoulin-Smith from Jefferies, asked if the counterparties for Phase 2 data center discussions were the same as Phase 1 and requested an update on the Centralia site opportunity and its timeline.

Answer

President and CEO John Kousinioris confirmed that discussions for both Phase 1 and subsequent phases are with a singular customer. Regarding Centralia, he detailed the plan to convert the facility to natural gas for a single customer under a long-term agreement. He also highlighted the site's potential for additional renewable or storage development given its strategic location and infrastructure.