Subsequent Events

12 Months Ended

Mar. 31, 2014

Subsequent Events

Subsequent Events

24. Subsequent Events

Execution of new Storage Agreement

        On May 1, 2014, the Company and its largest volumetric customer, TransCanada Gas Storage Partnership ("TransCanada"), executed a storage service agreement which replaced its pre-existing storage agreement which contained an option to terminate effective April 1, 2015. The previous agreement provided TransCanada with approximately 40 Bcf of storage capacity at the Company's AECO facility and had a term that extended to 2030. Either party had an option to terminate at the end of every five-year interval. TransCanada elected to terminate this agreement and entered into a new agreement which extends until 2020. The new agreement provides for an initial capacity of 40 Bcf which will be reduced to 20 Bcf on April 1, 2017. By terminating the prior agreement, TransCanada became obligated to make an early termination payment.

        As a result of the execution of the new contract, Niska Partners has revised the amortization of its intangible assets to reflect the new pattern in which the cash flows from the intangible assets, which is substantially in excess of the carrying value, are generated.

Distributions

        Subsequent to year-end Niska Partners declared and paid distributions to its common unitholders totaling $12.8 million. The Carlyle/Riverstone Funds reinvested all of their distributions and received an additional 445,144 common units through the DRIP in lieu of receiving cash distributions of $6.4 million.