jrad what is misleading about dcf per unit?
the dcf also covered the cumulative unpaid preferred for the quarter
During the first quarter of 2014, the Partnership issued 5,060,000 of Class E Preferred Units at an offering price of $25.00 per Class E Preferred Unit. The Partnership received $122.4 million in net proceeds, which were used to pay down the revolving credit facility and to fund capital expenditures. The initial distribution on the Class E Preferred Units will be payable on July 15, 2014 to holders of record as of July 1, 2014, in an amount equal to $0.67604 per unit, or approximately $3.4 million. Thereafter, the Partnership will pay cumulative distributions in cash on the Class E Preferred Units on a quarterly basis at a rate of $0.515625 per unit, or 8.25% per year. The cumulative dividends through March 31, 2014 are included as a reduction to Distributable Cash Flow for the current quarter.
Msg 37884 of 37890 at 5/2/2014 8:45:27 AM from iv mlp board by
Ratings/Target Price Changes Log 05/02
Targa Resources Partners, LP: Barclays raises price target from $60 to $65, rating Outperform
Targa Resources Partners, LP: RBC raises price target from $63 to $69, rating Outperform
Targa Resources Partners, LP: Raymond James raises price target from $60 to $62, rating Outperform
Targa Resources Partners, LP: Credit Suisse raises price target from $60 to $63, rating Neutral
Targa Resources Partners, LP: Stifel raises price target from $60 to $64, rating Buy
Federal Probe Into Chesapeake and Encana Michigan Gas Leases Ends-Both Cleared-State to continue Probe
U.S. prosecutors cleared Chesapeake Energy (CHK) Corp. and Encana Corp. (ECA), two of the nation’s largest natural gas producers, of trying to cheat the state of Michigan in shale drilling auctions.
The Justice Department’s antitrust division sent a letter dated April 29 to Chesapeake saying that the investigation has closed, according to a copy obtained by Bloomberg News. Encana confirmed in an e-mailed statement that it also had been informed the probe was over. The department didn’t respond to voice mail messages seeking comment.
The wind-down of the federal grand jury inquiry is another step forward for Chesapeake out from under the shadow cast by former chairman and Chief Executive Officer Aubrey McClendon, who was fired last year amid a shareholder revolt and conflict-of-interest scandal. The decision to drop the case may bolster Chesapeake next week in a Michigan courthouse, where the state is pressing ahead with bid-rigging charges against both companies.
“More often than not, federal prosecutors and state attorneys general come to the same conclusion” because they are examining much of the same evidence, said Bruce McDonald, a partner at Jones Day and a former antitrust enforcer in the Justice Department.
As of the close of business yesterday, the May 5 probable cause hearing into the state charges against Chesapeake and Encana was still scheduled to go forward, Sydney Allen, a spokeswoman for Michigan Attorney General Bill Schuette, said in a telephone interview.
During such a hearing, the accused can challenge whether the state attorney general had probable cause to bring the charges. Both companies pleaded not guilty in March.
from post on inv bry board
"Additionally, ethane exports to Canada via the Mariner West Pipeline have begun, averaging 24,000 barrels per day (Mbbl/d) in February. Other key ethane export projects include Mariner East and Marcus Hook in the Marcellus region, supporting shipments out of New Jersey, the Vantage Pipeline from North Dakota to Canada, and the recently announced Enterprise project in the Gulf Coast."
actual results-Marcellus super-rich well tested at 24-hour rate of 6,357 boe per day, or 38.1 Mmcfe per day (65% liquids), with a 7,065 foot lateral and 36 frac stages. This is the highest rate Marcellus well in the southwest portion of the play drilled to date by any operator
Msg 138397 of 138415 at 4/29/2014 6:26:13 AM iv bry board by
RRC Super Well .
RRC reported a well last night in the Southern Marcellus which IP'd at 13 MMCF , 1356 condensate , 2781 NGLS !
Or the equivalent of over 6,000 BOE a day . WOW !
PS. RRC has had a nice run lately , I don't own it [ wish I had } .
coochy why do you think their benefactor took their assets/drop-downs elsewhere? structure was inherently wrong for a company the size of eroc after the cash cow was lost. they did not have enough capital (nor access to reasonably priced capital) to fund both upstream and midstream sufficiently after selling off mineral interest cash flow cow and the upstream now does not contain sufficient traditional mlp E&P type assets nor traditional mlp undeveloped properties to prosper without sever dilution (increasing units/incurring high interest rate debt). also undeveloped shale acreage cannot be sold right now for a reasonable price so no good cash flow there. they must partner with some one in some fashion going forward say with piks or something similar by promising the farm as collateral unless they severely dilute and/or continue to defer distributions or cut them again severely if they restart.. what a mess
Msg 37729 of 37735 at 4/28/2014 8:48:05 AM from iv mlp by
Williams Suspends Investment in Bluegrass NGL Pipeline Due to Insufficient Customer Commitments
Company Focusing Capital on Other Projects in Its Large, Diverse Portfolio of Growth Opportunities
Williams has suspended capital investments in the Bluegrass Pipeline, a proposed natural-gas-liquids project, primarily in response to an insufficient level of firm customer commitments. The company continues to engage in discussions with potential customers regarding the scale and timing of demand for services and the required firm contractual commitments that would support any future capital investments.
The project, in which Williams is a joint-venture partner, is designed to connect natural gas liquids produced in the Marcellus-Utica areas in the U.S. Northeast with domestic and export markets in the U.S. Gulf Coast. The Bluegrass Pipeline represents a strong long-term solution in the marketplace.
Williams has a large, diverse portfolio of attractive risk-return growth opportunities. It continues to exercise capital discipline as it pursues projects that garner solid market support, strengthen its cash-flow growth and deliver advantaged connections between large supply areas and growing demand centers.
slide 25-looking from the producers side
and consols/cnx upside alone is another 50% after 2016-of which some is dry gas but mwe should be positioned to get a share
Findlay OKs natural gas drilling at airport
April 23, 2014
By Aaron Aupperlee
The Findlay supervisors approved on Wednesday permits necessary for Consol Energy Inc. to drill for natural gas at Pittsburgh International Airport despite concerns that one well pad was too close to a residential development.
Consol hopes to start drilling this year. County officials say the deal could generate more than $500 million in royalties over about 20 years.
Consol President Nick Deluliis said the project will be a model of safe and responsible natural gas development.
“Our supervisors let us down. They're wimps, as far as I'm concerned,” said Bob Sterner, 52, a resident who wanted well pad No. 2 moved back from the Imperial Pointe neighborhood.
Sterner, who attended the meeting, said Chairman Tom Gallant, an Imperial Pointe resident, tried to get the pad moved, but the other two supervisors would not let it come to a vote.
hi eb. there are no other E&P mlps in immediate danger that I can see.
coochy you dont think eroc is leveraged (read the press release could not meet debt covenants and if you cannot meet debt covenants what does the size matter). at what leverage cost will they be able to expand? how many new units can they issue and now much will it dilute ability to pay distributions and if you notice they did not say they were going to reinstate distributions at same level. at what interest rate will they be able to fund new debt with what liquidity measures. their scoop et al properties are not traditional E&P mlp assets as they have high drilling cost and fast decline which leads to high maintenance capital as well as need for new development capital. why did they "not" divest the E&P assets and keep the midstream asset. sorry this is not a formula for value creation
Assuming divestiture is eventually approved, study Constellation Energy Partners (cep) an MLP E&P history and where they are today (have not paid a distribution since May 2009). what unit holders need to evaluate with this eroc event is how will they fund future growth and at what interest rate/unit price to acquire mlp type E&P assets which they will need to acquire quickly to be a viable long term E&P MLP.
Enterprise Products to Build Ethane Export Facility on Texas Gulf Coast
HOUSTON--(BUSINESS WIRE)--Apr. 22, 2014-- Enterprise Products Partners L.P. (NYSE: EPD) announced today that it plans to build a fully refrigerated ethane export facility on the Texas Gulf Coast. Enterprise has executed long-term contracts to support the development of the facility, which is designed to have an aggregate loading rate of approximately 10,000 barrels per hour, or up to 240 thousand barrels per day (“MBPD”). The export facility is expected to begin operations in the third quarter of 2016.
“We are pleased to announce the successful development of our fully refrigerated ethane export facility, which will be the largest in the world,” said Michael A. Creel, chief executive officer of Enterprise’s general partner. “We continue to receive strong interest from the international community for this project and are having ongoing discussions with other potential customers that could result in our contracting the remaining capacity of the facility.”
“This facility is another example of Enterprise serving incremental market demand for growing supplies of U.S. energy. This is particularly important for ethane, which is a byproduct of natural gas and crude oil production and has limited uses. We estimate U.S. ethane production capacity currently exceeds U.S. demand by 300 MBPD and could exceed demand by up to 700 MBPD by 2020, after considering the estimated incremental demand from new ethylene facilities that have been announced. By providing new markets access to ethane, we are assisting U.S. producers to increase their production, which assures the U.S. will have access to abundant supplies of domestically produced natural gas and crude oil,” stated Creel....
look to me like people with nothing important to do in their lives but bother others. if rpeort them as abuse and if others do their posts get erased
...And what’s the status of the Y grade line of the Marcellus, Utica? Where do we stand?
Rich Kinder - Chairman and CEO
Yes, we continue to work on it but we don’t have commitments yet. So we are not putting it in the backlog. There is some indication from the market that people have been very focused on getting some of their dry gas outlet taking care of course and they’re going to turn their focus and attention to additional wet woods or NGL outlets. So I would say that the interest in the project continues to grow. So the update for the quarter is people are interested and more interested than they were the quarter before. But until that turns itself into signatures on contracts again it’s not going in the backlog and we’re not going to call it done...
...And as Tom pointed out, we do have the ability to use that line. We’re preserving the ability to do both. And that’s our preference. We want to do residue gas outlets on the TGP system. We want to presser the Y grade option assuming our customers are willing to sign-up. But ultimately if they’re not, then we can put that line in residue gas service and put it to good use that way. So long story short, we don’t have the commitments we need yet, but I think interests from the customers continue to grow and we’ll keep working on it....