Hi,Dreiser! Always fun to speculate with you...assuming this isn't just a normal shelf registration that all MLPs do then I have two possibilities to offer up. 1. Another chunk of barges etc like Hornbeck..GEL seems to be making a bunch of bucks with the GEL Navy so making another acquisition seems like a good move. There aren't too many Barge Navies bigger than GEL's these days. 2. A big expansion of GEL's Wyoming refinery. Right now GEL has a pipeline from that refinery to Casper for refined products..and GEL also has an open season for a pipeline bringing crude oil from Casper to the Pronghorn RR loading facility near the refinery . Now, it seems to me that bringing crude into both the refinery and Proghorn from Casper would be easy..and if demand for refined products is growing in Wyoming then why not double or triple the size of the Gel refinery? There's kind of a third possibility..the acquisition of Martin Midstream. Martin has a good size barge navy, is big in recovering sulfur like GEL, and just plunked down $135million to buy from APL its'20% share of the big Chevron operated natural gas liquids pipeline in NM and TX...It seems like a reasonable fit, but would take a lot more than $400million... Hey,fun..GEL has done very well for us so far!
ive been looking at mmlp's assets.
nice collection however did overpay for the apl pipeline aquisition.
im looking to add a new midstream position.
leaning towards either mmlp or dmp.
or just adding more ngls even at these prices.
definetly going to add a small slice of ete.
your thoughts re;the above please.
im leaning towards the barges since they really ring the register and they are safer then by rail.
as for martin its a great fit but gel ,so far,hasnt made that type of large move .
refineries ,as of now, coining money.
however wy. not a large populated area and in my readings of the gel published numbers has not been a large market.
however maybe they do both.as for my money whatever this management team does ,if the past is any indication then it will be a winner
as for other mlps mwe still at least a year away but ngls on fire.
i like their management and position.
widening the panama canal right up their alley.
they r on the way to be a big beneficiary of that construction.
as an aside i recently restarted a sizeable position in ete.its a force top be reckoned with and has excellent price and cagr growth.
as always nice hearing from u and good investing
ps is your wife enjoying her new lexus.
its a great ride.
as for me im loving my bmw more every day
heading back to cape cod for the summer for me its paradise in the summer im right on the ocean.