Western Midstream Partners, Lp · NYSE:WES
Western Midstream Partners, Lp — FY2018 Earnings Presentation
16 slides from Western Midstream Partners, Lp's earnings presentation, Feb 15, 2019
Slide 1: Fourth Quarter and Full-Year 2018 Review
NYSE: WES | NYSE: WGP westerngas.com INVESTOR RELAT IONS JACK SPINKS Manager, Investor Relations 832 636 3738 FOURTH QUARTER AND FULL-YEAR 2018 REVIEW February 15, 2019
Slide 2: Cautionary Language Regarding Forward Looking Statements
Cautionary Language Regarding Forward Looking Statements Important Information for Investors and Unitholders This presentation does not constitute an offer to sell or the solicitation of an offer to buy any securities or a solicitation of any vote or approval. In connection with the proposed transac
Slide 3: Simplification & Strategic Acquisition Transactions
Simplification & Strategic Acquisition Transactions Transactions Expected to Close by End of 1Q19 PRO FORMA STRUCTURE Subject to WES Unitholder Vote on February 27th Anadarko Petroleum Corporation Public Term Loan Facility to Finance Acquisition Cash Consideration NYSE: APC Unitholders Opportunist
Slide 4: Strong 2018 Performance
Strong 2018 Performance 2018 2018 ($ in Millions) Guidance Actuals WES Adjusted EBITDA1 $1,175 - $1,225 $1,206 WES Total Capital Expenditures2 $1,350 - $1,450 $1,458 WES Maintenance Capital Expenditures $85 - $95 $91 WES 2018 Distribution Growth 1.5 cents/quarter 1.5 cents/quarter WGP 2018 Distribut
Slide 5: 4Q18 vs 3Q18 Financial Performance
4Q18 vs 3Q18 Financial Performance ($ in Millions) 4Q18 3Q18 Adjusted EBITDA $347.5 $314.5 Total Capital Expenditures1 $321.8 $328.9 Maintenance Capital Expenditures $29.9 $23.8 Distributable Cash Flow $257.3 $248.2 Coverage Ratio 1.10x 1.08x 1) Total Capital Expenditures attributable to WES include
Slide 6: 4Q18 vs 3Q18 Operational Performance
4Q18 vs 3Q18 Operational Performance 4Q18 3Q18 Ke y D r i ve r s Natural Gas Throughput DJ Basin and Marcellus, partially (Bcf/d) 3.93 3.85 offset by Chipeta and Wyoming Adjusted Gross Margin for Natural Gas Assets ($/Mcf) $1.05 $1.03 Crude, NGL & Produced Water Throughput (MBbls/d) 434 421 DBM Wate
Slide 7: Focused Investment in High-Growth Basins
Focused Investment in High-Growth Basins 2019E Capital Expenditures: 2019E Adjusted EBITDA: 2019E Coverage Ratio: $1.3 to $1.4 Billion $1.8 to $1.9 Billion Coverage Expansion DJ Basin Delaware Basin DJ Basin Delaware Basin 37% 54% 37% 40% > 1.2x > 1.1x Other 13% Other 3% Equity Investments Equity In
Slide 8: Delaware Basin: Efficient Three-Product Growth
Delaware Basin: Efficient Three-Product Growth NEW MEXICO TEXAS Gas, Crude & Water Opportunity Set Ramsey LOVING CULBERSON WINKLER Scalable Mentone Infrastructure 5 MILES REEVES APC Leasehold WARD Gas Processing Plant Leverage Opportunistic Existing/Future Gas Gathering Lines PLANNED SYSTEM Third Pa
Slide 9: Unchanged 2019 Outlook
Unchanged 2019 Outlook ($ in millions, includes full-year effect of assets to be acquired) 2019 Guidance Adjusted EBITDA1 $1,800 - $1,900 Total Capital Expenditures2,3 $1,300 - $1,400 Maintenance Capital Expenditures $110 - $120 WES Distribution Growth 1% - 2% WGP Distribution Growth 6% - 8% Annual
Slide 10: Appendices
Appendices www.westerngas.com | NYSE: WES, WGP 10
Slide 11: WES Non-GAAP Reconciliation
WES Non-GAAP Reconciliation “Adjusted EBITDA” WES defines Adjusted EBITDA as net income (loss) attributable to Western Gas Partners, LP, plus distributions from equity investments, non-cash equity-based compensation expense, interest expense, income tax expense, depreciation and amortization, impair
Slide 12: WES Non-GAAP Reconciliation
WES Non-GAAP Reconciliation “Adjusted EBITDA” WES defines Adjusted EBITDA as net income (loss) attributable to Western Gas Partners, LP, plus distributions from equity investments, non-cash equity-based compensation expense, interest expense, income tax expense, depreciation and amortization, impair
Slide 13: WES Non-GAAP Reconciliation
WES Non-GAAP Reconciliation “Adjusted EBITDA” WES defines Adjusted EBITDA as net income (loss) attributable to Western Gas Partners, LP, plus distributions from equity investments, non-cash equity-based compensation expense, interest expense, income tax expense, depreciation and amortization, impair
Slide 14: WES Non-GAAP Reconciliation
WES Non-GAAP Reconciliation “Adjusted EBITDA” WES defines Adjusted EBITDA as net income (loss) attributable to Western Gas Partners, LP, plus distributions from equity investments, non-cash equity-based compensation expense, interest expense, income tax expense, depreciation and amortization, impair
Slide 15: WES Non-GAAP Reconciliation
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 16: WES Non-GAAP Reconciliation
WES Non-GAAP Reconciliation “Adjusted Gross Margin” WES defines Adjusted gross margin as total revenues and other (less reimbursements for electricity-related expenses recorded as revenue), less cost of product, plus distributions from equity investments, and excluding the noncontrolling interest ow
Western Midstream Partners — FY2018 Earnings Presentation on 6ix