Western Midstream Partners, Lp · NYSE:WES
Western Midstream Partners, Lp — Western Gas Partners — Q3 2016 Earnings Presentation
19 slides from Western Midstream Partners, Lp's earnings presentation, November 2016
Slide 1: NYSE: WES, WGP
www.westerngas.com NYSE: WES, WGP
Slide 2: Cautionary Language Re: Forward-Looking Statements
Western Gas Cautionary Language Re: Forward-Looking Statements This presentation contains forward-looking statements. Western Gas Partners, LP and Western Gas Equity Partners, LP believe that their expectations are based on reasonable assumptions. No assurance, however, can be given that such expect
Slide 3: Recent Highlights
Recent Highlights • Ramsey IV Operating at Capacity • Ramsey V Currently In Service • Began Work on Delaware Basin Water Disposal Systems • Issued $200 Million of 2044 Senior Notes at a Yield of 5.256% www.westerngas.com 3
Slide 4: WES Financial Summary – 3Q16 vs. 2Q16
WES Financial Summary – 3Q16 vs. 2Q16 ($ in millions) 3Q16 2Q16 Adjusted EBITDA(1) $278.2 $250.6 Total Capex(2) $93.0 $118.9 Maintenance Capex(2) $15.3 $21.1 Maint. Capex as % of Adjusted EBITDA 6% 8% Distributable Cash Flow(1) $237.3 $199.3 Coverage Ratio(1) 1.42x(4) 1.22x(3) (1) See appendices at
Slide 5: WES Operating Summary – 3Q16 vs. 2Q16
WES Operating Summary – 3Q16 vs. 2Q16 3Q16 2Q16 Key Drivers Natural Gas Throughput Growth in Delaware and 4.07 3.87 Marcellus (Bcf/d) Crude / NGL Throughput 185 187 - (MBbls/d) Adjusted Gross Margin / Mcf $0.82 $0.84 Changes in Throughput Mix for Natural Gas Assets Additional Distribution from Adjus
Slide 6: Delaware Basin Footprint
Delaware Basin Footprint Ramsey Processing Capacity Processing Capacity Online Train (MMcf/d) Date Ramsey III1 200 2Q16 Ramsey IV 200 2Q16 Ramsey V 200 4Q16 Ramsey II1 100 4Q16 10 MILES Ramsey VI 200 4Q17 Total 900 Gas Gathering (Existing) 400+ MMcf/d 150,000+ Acres Gas Gathering (Under Constr
Slide 7: The Anadarko Opportunity
The Anadarko Opportunity Anadarko Investor Slide1 *New Drill, BTAX PV-10, assuming $2.30/Mcf Estimated 2021 Gas Volumes2: Estimated 2021 Water Volumes3: ~520 MMcf/d ~ 520 MBbl/d (1) Source: Anadarko Petroleum Corp. Investor Book September 2016 (2) Approx. 2021 APC net gas volumes based off of APC oi
Slide 8: 2016 Outlook
2016 Outlook Full-Year 2016 Guidance Previously Midpoint ($ in millions) Current Announced Change WES Adjusted EBITDA(1) $930 – 970 $980 – 1,000 $40 WES Total Capex(1) $490 – 530 $490 – 530 – WES Maint. Capex as % of Adj. EBITDA 7 – 10% 6 – 8% (1.5)% WES Distribution Growth 10% 10% – WGP Distributio
Slide 9: Appendices
Appendices www.westerngas.com
Slide 10: Business Interruption Summary
Business Interruption Summary Estimated Claim Attributable to Period Actual Proceeds ($ in Millions) Received in Period Minimum Maximum 1Q 2016 $11 $15 - 2Q 2016 $10 $15 $2.6 3Q 2016 - $5 $13.7 Total $21 $35 $16.3 www.westerngas.com 10
Slide 11: WES Non-GAAP Reconciliation – Adjusted EBITDA
WES Non-GAAP Reconciliation “Adjusted EBITDA” WES defines Adjusted EBITDA as net income (loss) attributable to Western Gas Partners, LP, plus distributions from equity investees, non-cash equity- based compensation expense, interest expense, income tax expense, depreciation and amortization, impairm
Slide 12: WES Non-GAAP Reconciliation – Adjusted EBITDA
WES Non-GAAP Reconciliation “Adjusted EBITDA” WES defines Adjusted EBITDA as net income (loss) attributable to Western Gas Partners, LP, plus distributions from equity investees, non-cash equity- based compensation expense, interest expense, income tax expense, depreciation and amortization, impairm
Slide 13: WES Non-GAAP Reconciliation – Distributable Cash Flow
WES Non-GAAP Reconciliation “Distributable Cash Flow” WES defines Distributable cash flow as Adjusted EBITDA, plus interest income and the net settlement amounts from the sale and/or purchase of natural gas, condensate and NGLs under WES’s commodity price swap agreements to the extent such amounts a
Slide 14: WES Non-GAAP Reconciliation – Adjusted gross margin
WES Non-GAAP Reconciliation “Adjusted gross margin” WES defines Adjusted gross margin as total revenues and other, less cost of product and reimbursements for electricity-related expenses recorded as revenue, plus distributions from equity investees and excluding the noncontrolling interest owner’s
Slide 15: WES Non-GAAP Reconciliation – Adjusted EBITDA
WES Non-GAAP Reconciliation “Adjusted EBITDA” WES defines Adjusted EBITDA as net income (loss) attributable to Western Gas Partners, LP, plus distributions from equity investees, non-cash equity- based compensation expense, interest expense, income tax expense, depreciation and amortization, impairm
Slide 16: WES Non-GAAP Reconciliation – Adjusted EBITDA
WES Non-GAAP Reconciliation “Adjusted EBITDA” WES defines Adjusted EBITDA as net income (loss) attributable to Western Gas Partners, LP, plus distributions from equity investees, non-cash equity- based compensation expense, interest expense, income tax expense, depreciation and amortization, impairm
Slide 17: WES Non-GAAP Reconciliation – Distributable Cash Flow
WES Non-GAAP Reconciliation “Distributable Cash Flow” WES defines Distributable cash flow as Adjusted EBITDA, plus interest income and the net settlement amounts from the sale and/or purchase of natural gas, condensate and NGLs under WES’s commodity price swap agreements to the extent such amounts a
Slide 18: WES Non-GAAP Reconciliation – Adjusted gross margin
WES Non-GAAP Reconciliation “Adjusted gross margin” WES defines Adjusted gross margin as total revenues and other, less cost of product and reimbursements for electricity-related expenses recorded as revenue, plus distributions from equity investees and excluding the noncontrolling interest owner’s
Slide 19: www.westerngas.com
www.westerngas.com www.westerngas.com NYSE: WES, WGP