Mplx Lp · NYSE:MPLX
Mplx Lp — Q3 2018 Earnings Presentation
23 slides from Mplx Lp's earnings presentation, Nov 1, 2018
Slide 1: Third-Quarter 2018 Earnings
Third-Quarter 2018 Earnings November 1, 2018
Slide 2: Forward-Looking Statements
Forward‐Looking Statements This presentation contains forward-looking statements within the meaning of federal securities laws regarding MPLX LP (“MPLX”) and Marathon Petroleum Corporation (“MPC"). These forward-looking statements relate to, among other things, expectations, estimates and projection
Slide 3: Third-Quarter Highlights
Third-Quarter Highlights Reported adjusted EBITDA of $937 million and distributable cash flow of $766 million which provided 1.47x distribution coverage and resulted in 3.8x leverage Adjusted EBITDA increased 74% year-over-year, 23% year-over-year excluding the impact from dropdowns Announced
Slide 4: Logistics & Storage Segment
Logistics & Storage Segment Reported 3Q adj. EBITDA of $547 million, which increased 24% year-over-year after adjusting for the impact of dropdowns Headquarters Pipeline throughputs averaged 3.39 MMBPD, MPLX Pipelines: Owned & Operated ~7% increase over 3Q 2017 MPLX Interest Pipelines: Operated
Slide 5: L&S: Planned Long Haul Pipeline Investments
L&S: Planned Long Haul Pipeline Investments PGC Pipeline Legend PGC Pipeline – Crude pipeline running from Permian Basin to Whistler Pipeline Texas Gulf Coast region – JV: MPLX, Energy Transfer, Magellan, and Delek – 600-mile pipe expected to be at least 30-inch in diameter and operational in mid-
Slide 6: L&S: Mt. Airy Export Terminal
L&S: Mt. Airy Export Terminal Strategically located on Mississippi River in close proximity to several refineries, including MPC’s Garyville refinery 4 MMBBL of third-party leased storage capacity, capability to expand storage capacity to 10 MMBBL 120,000 bpd export dock, permitted for constru
Slide 7: L&S: Swordfish Pipeline
L&S: Swordfish Pipeline Proposed crude oil pipeline running from St. James to Clovelly in Louisiana Jointly developed: MPLX and Crimson Midstream Binding open season to assess shipper interest commenced on October, 17, 2018 Pipeline would provide shippers access to storage services, vessel l
Slide 8: Gathering & Processing Segment
Gathering & Processing Segment Reported 3Q adj. EBITDA of $390 million, which increased 22% year-over-year Delivered record gathered, processed, and fractionated volumes Brought online 6 processing plants (1.1 Bcf/d of processing capacity) year-to-date, increasing total processing capacity to
Slide 9: Gathering & Processing Segment: Marcellus & Utica Operations
Gathering & Processing Segment Marcellus & Utica Operations Processed Volumes(a) Gathered volumes averaged 3.1 Bcf/d, Capacity at Utilization of ~35% increase over 3Q 2017 End of Average Available Area Volume Processed volumes averaged 5.5 Bcf/d, Quarter (MMcf/d) (MMcf/d) Capacity (%)(b) ~10% in
Slide 10: Gathering & Processing Segment: Marcellus & Utica Fractionation
Gathering & Processing Segment Marcellus & Utica Fractionation Fractionated Volumes(a) Achieved 3Q 2018 fractionated Capacity at Utilization of Average volumes of ~454 MBPD Area End of Volume Available Quarter Capacity (MBPD) Achieved ~24% growth in quarterly (MBPD)(b) (%)(c) fractionated volume
Slide 11: Gathering & Processing Segment: Southwest Operations
Gathering & Processing Segment Southwest Operations Processed Volumes(a) Gathered volumes averaged 1.6 Bcf/d, ~14% increase over 3Q 2017 Capacity at Utilization of Average End of Available Area Volume Quarter Capacity Processed volumes averaged 1.5 Bcf/d, (MMcf/d) (MMcf/d) (%)(b) ~11% increase o
Slide 12: 3Q 2018 Financial Highlights
3Q 2018 Financial Highlights Adjusted EBITDA Distributable Cash Flow 3000 2017 2018 2400 2017 2018 2,564 2,080 2500 2000 2000 1600 $MM $MM 1,435 1,183 1500 1200 937 800 766 1000 538 442 500 400 0 0 3Q Year-to-Date 3Q Year-to-Date Three Months Ended Nine Months Ended Segment Adjusted EBITDA ($MM) Sep
Slide 13: 3Q 2018 vs. 3Q 2017 Adjusted EBITDA
3Q 2018 vs. 3Q 2017 Adjusted EBITDA 1,000 70 937 53 250 800 G&P 390 600 538 26 $MM 400 G&P 320 L&S 547 200 L&S 2Q 2018 218 vs. 2Q 0 2017 3Q 2017 Drop 3Q 2017 Adjusted EBITDA 1Q 2018 Drop Logistics & Storage Gathering & Processing 3Q 2018 Adjusted EBITDA Attributable to MPLX Attributable to MPLX Vari
Slide 14: Financial and Balance Sheet Highlights
Financial and Balance Sheet Highlights As of ($MM except ratio data) 9/30/18 Cash and cash equivalents 37 Total assets 22,379 Total debt(a) 12,890 Redeemable preferred units 1,003 Total equity 6,953 Distribution coverage 1.47x Leverage(b) 3.8x Remaining capacity available under $2.25 B revolving cre
Slide 15: Appendix
MrLp~ ENERGYLOGISTICS Appendix
Slide 16: 2018 MPLX Organic Growth Capital Projects
2018 MPLX Organic Growth Capital Projects Gathering & Processing Segment Est. Completion Est. Completion Processing and Fractionation Shale Resource Capacity Gathering Date Date Marcellus/Utica Rich- and Dry- Ongoing Sherwood 9 Processing Plant(b) Marcellus 200 MMcf/d In Service Gas Gathering(a) Wes
Slide 17: 2019+ Announced Projects
2019+ Announced Projects Gathering & Processing Segment Continuing to execute on build out in both the Marcellus/Utica and Permian to meet industry needs Complex Name Location Capacity Est. Completion Date Sherwood 12 Processing Plant(a) Marcellus 200 MMcf/d 2019 Sherwood 13 Processing Plant(a) Ma
Slide 18: MPLX Organic Growth Capital Projects: Logistics & Storage
MPLX Organic Growth Capital Projects Logistics & Storage Segment Est. Completion Projects Description Date Ozark and Wood River-to-Patoka Increasing pipeline capacity to 360 MBPD; provides crude sourcing In Service Pipeline Expansions optionality to Midwest refineries Displaces MPC’s third-party sto
Slide 19: Reconciliation of Adjusted EBITDA and Distributable Cash from Net Income
Reconciliation of Adjusted EBITDA and Distributable Cash from Net Income ($MM) 3Q 2018 3Q 2017 YTD 2018 YTD 2017 (a)The Partnership makes a distinction Net income 516 217 1,395 595 between realized or unrealized gains Provision for income taxes 3 1 8 3 and losses on derivatives. During the Amortizat
Slide 20: Reconciliation of Adjusted EBITDA and Distributable Cash from Net Cash Provided by Operating Activities
Reconciliation of Adjusted EBITDA and Distributable Cash from Net Cash Provided by Operating Activities ($MM) 3Q 2018 3Q 2017 YTD 2018 YTD 2017 (a)The Partnership makes a distinction Net cash provided by operating activities 737 494 2,027 1,338 between realized or unrealized gains Changes in working
Slide 21: Reconciliation of Segment Adjusted EBITDA to Net Income
Reconciliation of Segment Adjusted EBITDA to Net Income (a)The Partnership makes a distinction ($MM) 3Q 2018 3Q 2017 YTD 2018 YTD 2017 between realized or unrealized gains and losses on derivatives. During the L&S segment adjusted EBITDA attributable to 547 218 1,510 544 period when a derivative con
Slide 22: Reconciliation of Segment Adjusted EBITDA to Net Income
Reconciliation of Segment Adjusted EBITDA to Net Income Drop Impact 3Q 2018 YTD 2018 (a)The drops are the 3Q 2017 Drop (a) (a) which included Joint Interest in ($MM) without Drops 3Q 2018 without Drops YTD 2018 Drops Drops Pipeline & Storage Assets and the 1Q 2018 drop which included the L&S segment
Slide 23: ENERGY LOGISTIC
4 >: ENERGY LOGISTIC