67 WALL STREET, New York - May 16, 2014 - The Wall Street Transcript has just published its Oil & Gas: Master Limited Partnerships Report offering a timely review of the sector to serious investors and industry executives. This special feature contains expert industry commentary through in-depth interviews with public company CEOs and Equity Analysts. The full issue is available by calling (212) 952-7433 or via The Wall Street Transcript Online.
Topics covered: Increasing Demand for Midstream Assets - U.S. Energy Infrastructure Build Out - Emerging Shale Plays - Outlook for Natural Gas Liquids - Oil and Gas Investing - Shale Production Growth
Companies include: Marlin Midstream Partners, LP (FISH) and many more.
In the following excerpt from the Oil & Gas: Master Limited Partnerships Report, the CFO of Marlin Midstream Partners, LP (FISH) discusses company strategy and the outlook for this vital industry:
TWST: If you would, let's start by introducing our readers to Marlin Midstream with bit of company history and an overview of the business today.
Ms. Bush: Marlin is a typical MLP structure. We view ourselves as a small-cap, growth-oriented partnership. We have a typical parent-sponsor relationship. Our sponsor is called NuDevco Midstream Development, and you'll probably hear me refer to them quite a bit, so I'll give you a little bit of color on who they are. They have a long, storied track record of developing and building very profitable energy businesses.
NuDevco is owned by Keith Maxwell, who is our Chairman and CEO, and it partners a lot with an affiliate company of ours known as Associated Energy Services, sometimes I'll refer to them as AES. They work together to seek opportunities to develop midstream assets that ultimately can be dropped down in the partnership, and that's where we see the growth part of our story coming from.
Our existing assets today are in two segments. The first segment we call our midstream natural gas segment, and in that segment, we target the Cotton Valley Sands, Haynesville Shale, Austin Chalk and Eaglebine formations. Those formations are divided into our two locations, which is our Tyler County location and then our Panola County location. At Panola, we have two cryogenic natural gas processing plants, and at Tyler, we have one cryogenic processing plant, and that's the basis for most of our midstream assets. We also have some gathering pipelines that feed into both of those processing plants.
Our second segment is our crude logistics segment, and we serve well-established crude-oil-producing basins. Most notably would be the Utica and Powder River Basin, and those are in Utah and Wyoming. We have two transloading facilities, which we call Wildcat and Big Horn. Across those sites, we have five crude oil transloaders.
We used the proceeds from our IPO to repay our debt, and now we have really low leverage ratios, some of the best in class amongst any of the MLPs in the industry. With that financial flexibility, we're able to grow the company, and we think that's a big value creation for our shareholders. So that's Marlin in a nutshell.
TWST: How do you feel the company's IPO was received by the investment community?
For more of this interview and many others visit the Wall Street Transcript - a unique service for investors and industry researchers - providing fresh commentary and insight through verbatim interviews with CEOs, portfolio managers and research analysts. This special issue is available by calling (212) 952-7433 or via The Wall Street Transcript Online.