NGL Energy Partners LP · NYSE:NGL

NGL Energy Partners LP — Merger or Acquisition (November 2013)

14 slides from NGL Energy Partners LP's merger presentation, November 2013

  1. Slide 1: Overview of Gavilon Acquisition

    Overview of Gavilon Acquisition

  2. Slide 2: Forward Looking Statements

    Forward Looking Statements This presentation includes “forward looking statements” within the meaning of federal securities laws. All statements, other than statements of historical fact, included in this presentation are forward looking statements, including statements regarding the Partnership’s f

  3. Slide 3: Senior Management Representatives

    Senior Management Representatives H. Michael Krimbill Chief Executive Officer – NGL James J. Burke Chief Executive Officer – High Sierra David C. Kehoe Chief Operating Officer Atanas H. Atanasov Chief Financial Officer 3

  4. Slide 4: Overview of Gavilon Acquisition

    Overview of Gavilon Acquisition  NGL has agreed to acquire Gavilon, LLC ("Gavilon"), the diversified midstream energy business owned by funds managed by Ospraie Management, General Atlantic and Soros Fund Management  Gavilon is principally comprised of crude oil storage, terminal and pipeline asse

  5. Slide 5: Acquisition is a Continuation of NGL's Rapid and Successful Growth

    Acquisition is a Continuation of NGL's Rapid and Successful Growth NGL has delivered a total return of 68% since IPO  Since NGL's IPO in May 2011, NGL has consumated and integrated 26 acquisitions totaling ~$2 billion (~$2.9 billion including Gavilon)  The acquisition of Gavilon is transformative

  6. Slide 6: Gavilon Transaction Merits

    Gavilon Transaction Merits  Exceptional crude oil platform with integrated storage, terminal and pipeline assets Integrated Platform  Complementary supply, marketing and logistics ("SM&L") businesses in crude oil and refined products with Attractive Growth  Platform provides NGL with an attractiv

  7. Slide 7: Gavilon Adds Scale, Diversity and Hard Assets

    Gavilon Adds Scale, Diversity and Hard Assets Crude Oil Platform—Hard Assets Illustrative Asset Contribution  50% interest in Glass Mountain Pipeline ("GMP") – 210-mile pipeline with ~147 MMbbls/d capacity Crude – Pipeline has expansion capacity to 175 MMbbls/d Pipelines, – 440 MMbbls of intermedia

  8. Slide 8: Integrated, Customer-Focused Midstream Platform

    Integrated, Customer-Focused Midstream Platform Glass Mountain 8.1 Bcf and 25 MMcf/d Pipeline leased storage and transportation capacity Gavilon Customers Natural Gas Natural Gas Pipeline Pipeline Pipeline Transportation Transportation Gavilon Electricity Generation Natural Gas Customers Processing

  9. Slide 9: Strategically Located and Complementary Operations

    Strategically Located and Complementary Operations Gavilon's assets are located in key U.S. transportation and marketing centers Legend Truck Terminal 4 Seadrift Terminal Truck/Marine Terminal  Used by Gavilon for loading Texas crude oil supply and Storage Hub and Terminal transporting to higher va

  10. Slide 10: Cushing Terminal and Glass Mountain Pipeline

    Cushing Terminal and Glass Mountain Pipeline Cushing Terminal Overview Cushing Terminal Connection Matrix  7.99 MMbbls of storage capacity(1) 8-bay Truck  200 acres with expansion capability of 3.0 MMbls Terminal of additional storage  Transformation from storage terminal into high throughput gat

  11. Slide 11: Crude Oil Supply Marketing & Logistics

    Crude Oil Supply Marketing & Logistics SM&L gross margin growth will be primarily driven by growth in blending and transport; marketing expected to remain flat Marketing and Supply Gathering and Transportation  Fully integrated marketing and supply  Pick up, transport and deliver crude oil solutio

  12. Slide 12: Fuels

    Fuels Overview Gavilon's Distribution Terminals  Marketing and supply of gasoline and Refined diesel (94 Mbbls/d moved) Products – Access to over 230 fuels distribution terminals  Marketing and supply of ethanol and biodiesel (9 Mbbls/d moved) – Includes blending of ethanol and Renewables biodiese

  13. Slide 13: Purchase Price is Fully Funded

    Purchase Price is Fully Funded  Acquisition is fully funded through credit facility borrowings and a private placement of common units  Pro forma credit profile remains within NGL's target leverage range  No additional equity is required to finance this acquisition  Acquisition bolsters NGL's di

  14. Slide 14: Key Takeaways

    Key Takeaways  The Gavilon transaction is a transformative acquisition that results in immediate accretion at an attractive multiple  Gavilon provides NGL an exceptional crude oil platform with integrated storage and pipeline assets, and complementary supply, marketing and logistics businesses in

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