Plains All American Pipeline, L.P. (PAA) Q1 2026 Earnings Call

Investor webinar replay

Replay transcript excerpt

movements alone, the crude contribution should probably be higher than what is currently shown. Could you just walk us through what's baked into the new guide and maybe the embedded outlook in there? Sure. Brandon, this is Al. Yeah, our original guidance for the year assumed a $60 and $65 environment for 2026, so kind of a 62. We came into the year highly hedged, at roughly those levels. The $85 environment that we're talking about for the future is roughly the strip from June through December when we looked at it. So there would be some benefit based on crude prices on our PLA, but the fact that we had hedged quite a bit before entering the year That sensitivity we give is just a raw sensitivity. In order to make it more meaningful, we would have had to have disclosed to you the hedge position at the beginning of the year, which we haven't historically done. So, what I would say is that the first quarter performance and the nine months of our guide is very minimally impacted by actual PLA pricing. Okay, thank you. Yes, very helpful. Thank you. And then maybe just wanted to ask about, you know, in light of some of the commentary in your prepared remarks about a more constructive longer term market and just the whole macro environment as it stands today, how are you guys thinking about the potential for the Epic expansion at this point? Brandon, good morning. This is Jeremy. We're excited about the opportunities around our entire long haul portfolio. and are having constructive dialogue with existing customers and new customers looking for secure supply from the United States. So that results in some spot activity, but longer term, the expectation is to contract at higher rates than maybe before this would happen with potentially new counterparties. So that would appl...