Morningstar DBRS Assigns Provisional Credit Rating of "A," Stable Trend, to North West Redwater Partnership Bonds

DBRS Limited (Morningstar DBRS) assigned a provisional credit rating of "A" with a Stable trend to North West Redwater Partnership's (NWR or the Issuer) proposed Series P and Series Q bond issuance. Proceeds of $[1.2] billion will be used to pay down both a portion of the Issuer’s outstanding term loan/revolving facility’s balance and a portion of the commercial paper outstanding balance.

CREDIT RATING RATIONALE
The credit rating assigned to this newly issued debt instrument is based on the ratings of an already-outstanding debt series of the above-mentioned debt instrument.

ENVIRONMENTAL, SOCIAL, AND GOVERNANCE CONSIDERATIONS
Credit rating actions on Alberta or CNRL are likely to have an impact on this credit rating. ESG factors that have a significant or relevant effect on the credit analysis of Alberta and CNRL are discussed separately at https://dbrs.morningstar.com/issuers/3014/alberta-province-of and https://dbrs.morningstar.com/issuers/66, respectively.

A description of how Morningstar DBRS considers ESG factors within the Morningstar DBRS analytical framework can be found in the Morningstar DBRS Criteria: Approach to Environmental, Social, and Governance Risk Factors in Credit Ratings (23 January 2024) https://dbrs.morningstar.com/research/427030/morningstar-dbrs-criteria:-approach-to-environmental,-social,-and-governance-risk-factors-in-credit-ratings

Notes:
All figures are in Canadian dollars unless otherwise noted.

Morningstar DBRS applied the following principal methodology, specifically the section regarding Guarantees and Other Forms of Support:

Morningstar DBRS Global Corporate Criteria (15 April 2024)
https://dbrs.morningstar.com/research/431186/morningstar-dbrs-global-corporate-criteria

The following methodology has also been applied:

Global Methodology for Rating Project Finance (15 April 2024)
https://dbrs.morningstar.com/research/431188/global-methodology-for-rating-project-finance

The credit rating methodologies used in the analysis of this transaction can be found at: https://dbrs.morningstar.com/about/methodologies.

A description of how Morningstar DBRS analyzes corporate finance transactions and how the methodologies are collectively applied can be found at: https://dbrs.morningstar.com/research/431153.

The related regulatory disclosures pursuant to the National Instrument 25-101 Designated Rating Organizations are hereby incorporated by reference and can be found by clicking on the link under Related Documents or by contacting us at info-DBRS@morningstar.com.

A provisional credit rating is not a final credit rating with respect to the above-mentioned securities and may change or be different than the final credit rating assigned or may be discontinued. The assignment of final credit ratings on the above-mentioned securities is subject to receipt by Morningstar DBRS of all data and/or information and final documentation that Morningstar DBRS deems necessary to finalize the credit ratings.

The credit rating was initiated at the request of the rated entity.

The rated entity or its related entities did participate in the credit rating process for this credit rating action.

Morningstar DBRS had access to the accounts, management and other relevant internal documents of the rated entity or its related entities in connection with this credit rating action.

This is a solicited credit rating.

The conditions that lead to the assignment of a Negative or Positive trend are generally resolved within a 12-month period. Morningstar DBRS trends and credit ratings are under regular surveillance.

Information regarding Morningstar DBRS credit ratings, including definitions, policies, and methodologies, is available on dbrs.morningstar.com or contact us at info-DBRS@morningstar.com.

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