TC Energy Corporation has confirmed the launch of two major projects in the natural gas and nuclear energy sectors, with a combined value of CA$2.4bn ($1.76bn). The announcement reflects the company’s strategic direction to address the expected rise in electricity consumption, backed by long-term contracts and a regulated rate framework.
Targeted expansion in transport and generation
The first initiative, the Northwoods project, represents an investment of approximately $0.9bn. This expansion of the ANR pipeline system in the United States is designed to provide 0.4 billion cubic feet per day (Bcf/d) of capacity to support power generation demand, particularly in the U.S. Midwest. The project is scheduled to enter service by late 2029 under a 20-year take-or-pay agreement.
In parallel, TC Energy has approved the Major Component Replacement (MCR) programme for Unit 5 at the Bruce Power nuclear facility in Ontario. The CA$1.1bn ($808mn) project is set to begin in the fourth quarter of 2026, with commercial operations expected to resume in early 2030. It falls under a long-term supply agreement with Ontario’s Independent Electricity System Operator (IESO), effective through 2064.
Financial results and investment priorities
For the first quarter of 2025, TC Energy reported net income of CA$1.0bn, or $0.94 per share, stable compared to the previous year. Comparable EBITDA stood at CA$2.7bn, in line with 2024 levels. The company reaffirmed its annual outlook, expecting full-year EBITDA between CA$10.7bn and CA$10.9bn.
Gross capital spending for 2025 is projected between CA$6.1bn and CA$6.6bn, with around CA$8.5bn in projects scheduled for commissioning, including the Southeast Gateway pipeline in Mexico. This 715-kilometre pipeline, with a capacity of 1.3 Bcf/d, was completed in less than three years and 13% under the original budget. Regulatory approval from the Comisión Nacional de Energía (CNE) is expected by the end of May, ahead of commercial operation.
Growing pipeline activity across North America
Average daily flows on TC Energy’s U.S. natural gas pipelines reached 31 Bcf/d in the first quarter, up 5% from 2024. In Canada, the NGTL system recorded a new high of 17.8 Bcf on February 18. In Mexico, a daily record of 4.1 Bcf was set on March 31. These volumes reflect strong demand and operational readiness across the company’s systems.
The cogeneration fleet achieved an availability rate of 98.6%, driven by reduced unplanned outages. Bruce Power maintained 87% availability despite scheduled work on Unit 5. Units 3 and 4 are also undergoing modernisation, with availability for the remaining reactors expected in the low-90% range for 2025.
