Martin Midstream Partners L.p. · NASDAQ:MMLP
Martin Midstream Partners L.p — Wells Fargo Annual Energy Symposium 2014
27 slides from Martin Midstream Partners L.p's conference presentation, Dec 10, 2014
Slide 1: Wells Fargo Annual Energy Symposium
Wells Fargo Annual Energy Symposium December 10, 2014 NASDAQ: MMLP www.martinmidstream.com
Slide 2: Forward Looking Statements
FORWARD LOOKING STATEMENTS Statements included that are not historical facts (including any statements concerning plans and objectives of management for future operations or economic performance, or assumptions or forecasts related thereto), are forward-looking statements. These statements can be id
Slide 3: Use of Non-GAAP Financial Measures
USE OF NON-GAAP FINANCIAL MEASURES This presentation includes certain non-GAAP financial measures such as EBITDA and Adjusted EBITDA. These non- GAAP financial measures are not meant to be considered in isolation or as a substitute for results prepared in accordance with accounting principles genera
Slide 4: Partnership Overview
(A) MARTIN MIDSTREAM PARTNERS PARTNERSHIP OVERVIEW
Slide 5: Martin Midstream Partners L.P. (MMLP) Overview
MARTIN MIDSTREAM PARTNERS L.P. (MMLP) OVERVIEW NASDAQ Listed: MMLP Formed October 31, 2002 MMLP is a publically traded, diversified master limited partnership with operations including: Terminalling & Storage Natural Gas Services Sulfur Services Marine Transportation MMLP Trading Sum
Slide 6: Martin Resource Management (MRMC) Overview
MARTIN RESOURCE MANAGEMENT (MRMC) OVERVIEW Based in Kilgore, TX, MRMC is a leading independent provider of integrated logistics solutions, storage, manufacturing, marketing, and distribution services to energy, petrochemical and other industrial concerns MRMC and its legacy companies have been o
Slide 7: Strong General Partner Support
STRONG GENERAL PARTNER SUPPORT Ongoing MRMC businesses help support the Partnership Maintains distinct set of assets and business units that are complementary to MMLP Martin Resource Management Approximately 22% of 2013 MMLP EBITDA derived from Corporation contracts with MRMC 50% Economic 51%
Slide 8: Uniquely Diversified Operating Mix
UNIQUELY DIVERSIFIED OPERATING MIX YTD 9/30/14 EBITDA Natural Gas Services Marine Transportation $26.1 $11.6 22% 10% 24% 44% $117.9 Million Sulfur Services Terminalling & Storage $27.9 (all $ values before unallocated SG&A) $52.4 8
Slide 9: Strong Fee-Based Contract Mix
STRONG FEE-BASED CONTRACT MIX Recent Fee-based Acquisitions Driving Partnership Growth Terminalling & Storage Fee-based, multi-year contracts for traditional storage assets – Specialty and Shore Based Terminals (with guaranteed throughput minimums) Fee-based, extended-term tolling agreement for
Slide 10: MMLP Asset Locations – All Segments
MMLP ASSET LOCATIONS – ALL SEGMENTS 10
Slide 11: Terminalling & Storage Overview
TERMINALLING & STORAGE OVERVIEW Includes: Shore Based Terminals, Specialty Terminals, Smackover Refinery and Lubricants MMLP owns or operates 47 terminal facilities with 4.2 Adjusted Segment EBITDA (1) million barrels of aggregate storage capacity across the $80.0 $ in millions U.S. Gulf Coast reg
Slide 12: Terminalling & Storage – Shore Based Terminals
TERMINALLING & STORAGE – SHORE BASED TERMINALS Shore Based Terminals System of 30 marine shore based terminals located at strategic distribution points along the Gulf Coast from Theodore, AL, to Corpus Christi, TX, and divided into two classes: 10 full service terminals provide complete logistic
Slide 13: Terminalling & Storage - Specialty Terminals
TERMINALLING & STORAGE - SPECIALTY TERMINALS Expertise in “Hard to Handle” Product Logistics 17 specialty terminal facilities with aggregate storage capacity of 3.5 million barrels Provide storage and handling services for a broad range of products including crude oil, ammonia, asphalt, sulfur,
Slide 14: Terminalling & Storage - Specialty Terminals
TERMINALLING & STORAGE - SPECIALTY TERMINALS Corpus Christi Crude Terminal Strategically located at the primary downstream delivery point for growing Eagle Ford Shale production (Terminal point of the Harvest Pipeline) Initial operations (Phase I) began in 2012 Phase III Completion June 2014
Slide 15: Terminalling & Storage - Specialty Terminals
TERMINALLING & STORAGE - SPECIALTY TERMINALS Specialized Naphthenic Processing Facility Naphthenic lube refinery in Smackover, AR Nameplate capacity of 7,700 bpd Approximately 10% of total US naphthenic lube market share Specialized facility converts crude oil into naphthenic lubricants for
Slide 16: Terminalling & Storage - Packaging and Lubricants
TERMINALLING & STORAGE - PACKAGING AND LUBRICANTS Specialty lubricant product blending and packaging assets in Smackover, AR; entire platform rebranded as Martin Lubricants 235,000 sq. ft. warehouse 5.3 million gallons bulk storage Central hub for branded and private label packaged lubricant
Slide 17: Natural Gas Services Overview
NATURAL GAS SERVICES OVERVIEW Two Recent Acquisitions Representing ~$50+ million of Pro Forma Cash Flow Recent Growth in Fee-based Cash Flowing Assets Adjusted Segment EBITDA (1) Acquisition of remaining 57.8% of Cardinal Gas Storage $40.0 $ in millions $34.9 Partners (Cardinal) – August 2014 – Ex
Slide 18: Sulfur Services Overview
SULFUR SERVICES OVERVIEW Manufactures/processes, handles and markets sulfur products, Adjusted Segment EBITDA fertilizer and sulfuric acid $50.0 $ in millions $44.6 MMLP’s Sulfur Services key assets include: $37.5 $34.4 $34.0 $27.9 4 sulfur prillers (Texas & California) with a combined $25.0 p
Slide 19: Sulfur Services – Integrated Value Chain
SULFUR SERVICES – INTEGRATED VALUE CHAIN • Provides transportation, processing and marketing services necessary to move product from producer to consumer • Intermodal transportation offers multiple fee opportunities for the Partnership 19
Slide 20: Marine Transportation Overview
MARINE TRANSPORTATION OVERVIEW MMLP’s Marine Transportation segment includes the following key assets: 56 inland marine tank barges 26 inland push-boats 4 offshore tug barge units Ability to handle specialty products (asphalt, fuel oil, gasoline, sulfur and other bulk liquids) – complement
Slide 21: Select MMLP Organic Growth Projects
SELECT MMLP ORGANIC GROWTH PROJECTS Terminalling & Storage Neches Terminal Land Acquisition / Expansion Neches Copper Concentrate Terminal Corpus Christi Crude Terminal Expansion Hondo Asphalt Terminal Natural Gas Services WTLPG Expansion Arcadia Rail Terminal Marine Transportation Best Alternative
Slide 22: Further Financial Information: EBITDA Reconciliations
FURTHER FINANCIAL INFORMATION EBITDA RECONCILIATIONS
Slide 23: MMLP Adjusted EBITDA Reconciliation – YTD 2014
MMLP ADJUSTED EBITDA RECONCILIATION – YTD 2014 ($ in millions) Nine Months Ended September 30th, 2014 (Excludes Unallocated SG&A) Terminalling & Natural Gas Marine Sulfur Services MMLP Storage Services Transportation Operating Income $ 24.5 $ 19.9 $ 21.8 $ 4.1 $ 70.3 Depreciation and 27.9 3.9 6.1 7.
Slide 24: MMLP Adjusted EBITDA Reconciliation – Year Ended 2013
MMLP ADJUSTED EBITDA RECONCILIATION – YEAR ENDED 2013 ($ in millions) Year Ended December 31, 2013 (Excludes Unallocated SG&A) Terminalling & Natural Gas Marine Sulfur Services MMLP Storage Services Transportation Operating Income $ 35.3 $ 29.2 $ 26.0 $ 9.0 $ 99.5 Depreciation and 31.8 2.2 8.0 10.2
Slide 25: MMLP Adjusted EBITDA Reconciliation – Year Ended 2012
MMLP ADJUSTED EBITDA RECONCILIATION – YEAR ENDED 2012 ($ in millions) Year Ended December 31, 2012 (Excludes Unallocated SG&A) Terminalling & Natural Gas Marine Sulfur Services MMLP Storage Services Transportation Operating Income $ 27.9 $ 13.9 $ 37.3 $ 6.8 $ 85.9 Depreciation and 23.0 0.6 7.4 11.1
Slide 26: MMLP Adjusted EBITDA Reconciliation – Year Ended 2011
MMLP ADJUSTED EBITDA RECONCILIATION – YEAR ENDED 2011 ($ in millions) Year Ended December 31, 2011 (Excludes Unallocated SG&A) Terminalling & Natural Gas Marine Sulfur Services MMLP Storage Services Transportation Operating Income $ 14.0 $ 6.1 $ 27.7 $ 0.7 $ 48.5 Depreciation and 19.0 6.1 6.7 13.2 4
Slide 27: Martin Midstream Partners
(A) MARTIN MIDSTREAM PARTNERS
Martin Midstream Partners — Wells Fargo Annual Energy Symposium 2014 on 6ix