Our C$63 target price is based on our 20-year NPV methodology. Our NPV imputes a 10% discount rate and 8% cap rate. Our TP implies a 11.4x multiple on our 2027 EBITDA estimate.

Downside risks to our target price being achieved include weaker commodity prices driving lower producer activity, unfavorable marketing margins, regulatory risks, and tariffs negatively impacting producer behavior.