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Delek Logistics Partners, LP Reports Third Quarter 2020 Results

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- Reported third quarter net income attributable to all partners of $46.3 million ; represents a 52% increase y/y

- EBITDA of $67.8 million represented an increase of 31.6% y/y

- Third quarter distributable cash flow coverage ratio of 1.50x and total leverage ratio of 3.9x

- Declared third quarter distribution of $0.905 per limited partner unit; reflects 2.8% percent increase y/y

- On-track to deliver 5% distribution growth in 2020 versus year-ago levels

- Simplification of incentive distribution rights (IDRs) removes overhang and lowers cost of capital

- Start-up of Red River pipeline expansion should benefit 2021 results

BRENTWOOD, Tenn. , Nov. 4, 2020 /PRNewswire/ -- Delek Logistics Partners, LP (NYSE: DKL) ("Delek Logistics") today announced its financial results for the third quarter 2020. For the three months ended September 30, 2020 , Delek Logistics reported net income attributable to all partners of $46.3 million , or $1.26 per diluted common limited partner unit. This compares to net income attributable to all partners of $30.5 million , or $0.89 per diluted common limited partner unit, in the third quarter 2019. Net cash from operating activities was $62.3 million in the third quarter 2020 compared to $35.0 million in the third quarter 2019. Distributable cash flow was $59.1 million in the third quarter 2020, compared to $33.7 million in the third quarter 2019. Reconciliation of net cash from operating activities as reported under U.S. GAAP to distributable cash flow is included in the financial tables attached to this release.          

For the third quarter 2020, earnings before interest, taxes, depreciation and amortization ("EBITDA") was $67.8 million compared to $51.5 million in the third quarter 2019. Results improved on a year-over-year basis primarily due to the drop down of the Big Spring Gathering System and Trucking Assets, increased crude gathering, and a reduction in operating expenses by $4.2 million primarily due to a decrease in contract services. Reconciliation of net income attributable to all partners as reported under U.S. GAAP to EBITDA is included in the financial tables attached to this release.

Uzi Yemin , Chairman, President and Chief Executive Officer of Delek Logistics' general partner, remarked: "Our financial performance remains resilient despite a challenging energy environment. Third quarter EBITDA and net income increased approximately 32% and 52%, respectively, versus last year. Third quarter distribution growth was 2.8% on a year-over-year basis and we are on-track to deliver 5% distribution growth on a full-year basis."

Mr. Yemin continued, "During the quarter, we eliminated the incentive distribution rights (IDRs), which removes an overhang from DKL shares and lowers our cost of capital. This better positions us to pursue growth opportunities going forward. Our distribution coverage and leverage ratios have already exceeded our year-end targets and create flexibility. Finally, the Red River pipeline expansion was completed in the quarter and should provide financial momentum into 2021."

Distribution and Liquidity

On October 27, 2020, Delek Logistics declared a quarterly cash distribution of $0.905 per common limited partner unit for the third quarter 2020, which equates to $3.62 per common limited partner unit on an annualized basis. This distribution will be paid on November 12, 2020 to unitholders of record on November 6, 2020. This represents a 0.6% increase from the second quarter 2020 distribution of $0.900 per common limited partner unit, or $3.60 per common limited partner unit on an annualized basis, and a 2.8% increase over Delek Logistics' third quarter 2019 distribution of $0.88 per common limited partner unit, or $3.52 per common limited partner unit annualized. For the third quarter 2020, the total cash distribution declared to all partners was approximately $39.3 million , resulting in a distributable cash flow coverage ratio was 1.50x.

As of September 30, 2020 , Delek Logistics had total debt of approximately $1,006.1 million and cash of $6.0 million . Additional borrowing capacity, subject to certain covenants, under the $850.0 million credit facility was $89.3 million . The total leverage ratio, calculated in accordance with the credit facility, for the third quarter 2020 was approximately 3.9x, which is within the current requirements of the maximum allowable leverage ratio of 5.5x.

Financial Results

Revenue for the third quarter 2020 was $142.3 million compared to $137.6 million in the prior-year period. The increase in revenue is primarily attributable to the drop down of the Big Spring Gathering System and Trucking Assets. Total operating expenses were $14.2 million in the third quarter 2020, compared to $18.4 million in the third quarter 2019. The decrease was primarily due to cost control measures put in place at the end of the first quarter 2020. Total contribution margin was $67.3 million in the third quarter 2020 compared to $46.5 million in the third quarter 2019, mainly driven by the aforementioned contribution from new assets and lower expenses. General and administrative expenses were $6.1 million for the third quarter 2020, compared to $5.3 million in the prior-year period.

Pipelines and Transportation Segment

Contribution margin in the third quarter 2020 was $46.4 million compared to $27.1 million in the third quarter 2019.  The recent drop down of the Big Spring Gathering System and the Trucking Assets were the primary drivers behind the year-over-year growth. Operating expenses were $10.7 million in the third quarter 2020 compared to $12.5 million in the prior-year period.

Wholesale Marketing and Terminalling Segment

During the third quarter 2020, contribution margin was $21.0 million , compared to $19.4 million in the third quarter 2019. The change in contribution margin was primarily due to lower operating expenses which were $3.5 million in the third quarter 2020, compared to $5.9 million in the third quarter 2019.

Average West Texas wholesale throughput in the third quarter 2020 was 9,948 barrels per day compared to 9,535 barrels per day in the third quarter 2019. The West Texas gross margin per barrel decreased year-over-year to $3.42 per barrel and included approximately $0.8 million , or $0.87 per barrel, from renewable identification numbers (RINs) generated in the quarter. During the third quarter 2019, the West Texas gross margin per barrel was $4.82 per barrel and included $0.3 million from RINs, or $0.38 per barrel.

Average terminalling throughput volume of 160,843 barrels per day during the third quarter 2020 decreased on a year-over-year basis from 170,727 barrels per day in the third quarter 2019.  During the third quarter 2020, average volume under the East Texas marketing agreement with Delek US was 73,417 barrels per day compared to 83,953 barrels per day during the third quarter 2019.

Third Quarter 2020 Results | Conference Call Information

Delek Logistics will hold a conference call to discuss its third quarter 2020 results on Thursday, November 5, 2020 at 7:30 a.m. Central Time . Investors will have the opportunity to listen to the conference call live by going to www.DelekLogistics.com . Participants are encouraged to register at least 15 minutes early to download and install any necessary software.  An archived version of the replay will also be available at www.DelekLogistics.com for 90 days.    

Investors may also wish to listen to Delek US' (NYSE: DK) third quarter 2020 earnings conference call on Thursday, November 5, 2020 at 8:30 a.m. Central Time and review Delek US' earnings press release. Market trends and information disclosed by Delek US may be relevant to Delek Logistics, as it is a consolidated subsidiary of Delek US. Investors can find information related to Delek US and the timing of its earnings release online by going to www.DelekUS.com .

About Delek Logistics Partners, LP

Delek Logistics Partners, LP, headquartered in Brentwood, Tennessee , was formed by Delek US Holdings, Inc. (NYSE: DK) to own, operate, acquire and construct crude oil and refined products logistics and marketing assets.

Safe Harbor Provisions Regarding Forward-Looking Statements

This press release contains forward-looking statements that are based upon current expectations and involve a number of risks and uncertainties. Statements concerning current estimates, expectations and projections about future results, performance, prospects, opportunities, plans, actions and events and other statements, concerns, or matters that are not historical facts are "forward-looking statements," as that term is defined under the federal securities laws. These statements contain words such as "possible," "believe," "should," "could," "would," "predict," "plan," "estimate," "intend," "may," "anticipate," "will," "if,"  "expect" or similar expressions, as well as statements in the future tense, and can be impacted by numerous factors, including the fact that a substantial majority of Delek Logistics' contribution margin is derived from Delek US, thereby subjecting us to Delek US' business risks; risks relating to the securities markets generally; risks and costs relating to the age and operational hazards of our assets including, without limitation, costs, penalties, regulatory or legal actions and other effects related to releases, spills and other hazards inherent in transporting and storing crude oil and intermediate and finished petroleum products; the impact of adverse market conditions affecting the utilization of Delek Logistics' assets and business performance, including margins generated by its wholesale fuel business; the impact of the COVID-19 outbreak on the demand for crude oil, refined products and transportation and storage services; uncertainties regarding future decisions by OPEC regarding production and pricing disputes between OPEC members and Russia ; an inability of Delek US to grow as expected as it relates to our potential future growth opportunities, including dropdowns, and other potential benefits; the results of our investments in joint ventures; the ability of the Red River joint venture to complete the expansion to increase the Red River pipeline capacity; adverse changes in laws including with respect to tax and regulatory matters; and other risks as disclosed in our Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and other reports and filings with the United States Securities and Exchange Commission. Forward-looking statements include, but are not limited to, statements regarding future growth at Delek Logistics; distributions and the amounts and timing thereof; potential dropdown inventory; expected earnings or returns from joint ventures or other acquisitions; expansion projects; ability to create long-term value for our unit holders; financial flexibility and borrowing capacity; and distribution growth of 5% or at all. Forward-looking statements should not be read as a guarantee of future performance or results and will not be accurate indications of the times at, or by, which such performance or results will be achieved.  Forward-looking information is based on information available at the time and/or management's good faith belief with respect to future events, and is subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in the statements.  Delek Logistics undertakes no obligation to update or revise any such forward-looking statements to reflect events or circumstances that occur, or which Delek Logistics becomes aware of, after the date hereof, except as required by applicable law or regulation

Non-GAAP Disclosures:

Our management uses certain "non-GAAP" operational measures to evaluate our operating segment performance and non-GAAP financial measures to evaluate past performance and prospects for the future to supplement our GAAP financial information presented in accordance with U.S. GAAP. These financial and operational non-GAAP measures are important factors in assessing our operating results and profitability and include:

  • Earnings before interest, taxes, depreciation and amortization ("EBITDA") - calculated as net income before net interest expense, income tax expense, depreciation and amortization expense, including amortization of customer contract intangible assets, which is included as a component of net revenues in our accompanying condensed consolidated statements of income.

  • Distributable cash flow - calculated as net cash flow from operating activities plus or minus changes in assets and liabilities, less maintenance capital expenditures net of reimbursements and other adjustments not expected to settle in cash.  Delek Logistics believes this is an appropriate reflection of a liquidity measure by which users of its financial statements can assess its ability to generate cash.

EBITDA and distributable cash flow are non GAAP supplemental financial measures that management and external users of our condensed consolidated financial statements, such as industry analysts, investors, lenders and rating agencies, may use to assess:           

  • Delek Logistics' operating performance as compared to other publicly traded partnerships in the midstream energy industry, without regard to historical cost basis or, in the case of EBITDA, financing methods;

  • the ability of our assets to generate sufficient cash flow to make distributions to our unitholders;

  • Delek Logistics' ability to incur and service debt and fund capital expenditures; and

  • the viability of acquisitions and other capital expenditure projects and the returns on investment of various investment opportunities.

Delek Logistics believes that the presentation of EBITDA, distributable cash flow and distributable cash flow coverage ratio provide useful information to investors in assessing its financial condition, its results of operations and the cash flow its business is generating. EBITDA, distributable cash flow and distributable cash flow coverage ratio should not be considered in isolation or as alternatives to net income, operating income, cash flow from operating activities or any other measure of financial performance or liquidity presented in accordance with U.S. GAAP. 

Non-GAAP measures have important limitations as analytical tools, because they exclude some, but not all, items that affect net income and net cash provided by operating activities. These measures should not be considered substitutes for their most directly comparable U.S. GAAP financial measures. Additionally, because EBITDA and distributable cash flow may be defined differently by other partnerships in its industry, Delek Logistics' definitions of EBITDA and distributable cash flow may not be comparable to similarly titled measures of other partnerships, thereby diminishing their utility.  See the accompanying tables in this earnings release for a reconciliation of these non-GAAP measures to the most directly comparable GAAP measures. 


Delek Logistics Partners, LP

Condensed Consolidated Balance Sheets (Unaudited)

(In thousands, except unit and per unit data)



September 30, 2020


December 31, 2019

ASSETS





Current assets:





Cash and cash equivalents


$

6,024



$

5,545


   Accounts receivable


17,472



13,204


Accounts receivable from related parties


10,002




Inventory


1,696



12,617


Other current assets


410



2,204


Total current assets


35,604



33,570


Property, plant and equipment:





Property, plant and equipment


684,199



461,325


Less: accumulated depreciation


(216,698)



(166,281)


Property, plant and equipment, net


467,501



295,044


Equity method investments


255,368



246,984


Operating lease right-of-use assets


18,153



3,745


Goodwill


12,203



12,203


Marketing Contract Intangible, net


125,591



130,999


Rights-of-way


36,178



15,597


Other non-current assets


6,988



6,305


Total assets


$

957,586



$

744,447







LIABILITIES AND DEFICIT





Current liabilities:





Accounts payable


$

4,740



$

12,471


Accounts payable to related parties




8,898


Interest payable


6,745



2,572


Excise and other taxes payable


3,433



3,941


Current portion of operating lease liabilities


5,546



1,435


Accrued expenses and other current liabilities


3,482



5,765


Total current liabilities


23,946



35,082


Non-current liabilities:





Long-term debt


1,006,145



833,110


Asset retirement obligations


5,908



5,588


Deferred tax liabilities


1,205



215


Operating lease liabilities, net of current portion


12,607



2,310


Other non-current liabilities


19,229



19,261


Total non-current liabilities


1,045,094



860,484


Total liabilities


1,069,040



895,566


Equity (Deficit):





Common unitholders - public; 8,687,371 units issued and outstanding at September 30, 2020 (9,131,579 at December 31, 2019)


164,313



164,436


Common unitholders - Delek Holdings; 34,745,868 units issued and outstanding at September 30, 2020 (15,294,046 at December 31, 2019)


(275,767)



(310,513)


General partner - 0  units issued and outstanding at September 30, 2020 (498,482 at December 31, 2019)




(5,042)


Total deficit


(111,454)



(151,119)


Total liabilities and deficit


$

957,586



$

744,447


 

Delek Logistics Partners, LP

Condensed Consolidated Statements of Income (Unaudited)

(In thousands, except unit and per unit data)


Three Months Ended September 30,


Nine Months Ended September 30,


2020


2019


2020


2019

Net revenues:








Affiliate

$

95,410



$

66,647



$

289,739



$

191,530


Third-party

46,858



70,909



133,567



253,852


Net revenues

142,268



137,556



423,306



445,382


Cost of sales:








Cost of materials and other

60,692



72,594



205,877



262,713


Operating expenses (excluding depreciation and amortization presented
 
below)

13,694



17,490



39,271



49,318


Depreciation and amortization

8,931



6,138



22,957



18,450


Total cost of sales

83,317



96,222



268,105



330,481


Operating expenses related to wholesale business (excluding depreciation
 and amortization presented below)

536



945



2,152



2,502


General and administrative expenses

6,122



5,280



16,973



15,046


Depreciation and amortization

528



450



1,495



1,351


Other operating income, net



(70)



(107)



(95)


Total operating costs and expenses

90,503



102,827



288,618



349,285


Operating income

51,765



34,729



134,688



96,097


Interest expense, net

10,360



12,509



32,854



35,164


Income from equity method investments

(4,860)



(8,394)



(16,875)



(14,860)


Other (income) expense, net

105





103



461


Total non-operating expenses, net

5,605



4,115



16,082



20,765


Income before income tax expense

46,160



30,614



118,606



75,332


Income tax (benefit) expense

(168)



84



67



220


Net income attributable to partners

$

46,328



$

30,530



$

118,539



$

75,112


Comprehensive income attributable to partners

$

46,328



$

30,530



$

118,539



$

75,112










Less: General partner's interest in net income, including incentive distribution rights



8,895



18,724



24,244


Limited partners' interest in net income

$

46,328



$

21,635



$

99,815



$

50,868










Net income per limited partner unit:








Common units - basic

$

1.26



$

0.89



$

3.30



$

2.08


Common units - diluted

$

1.26



$

0.89



$

3.30



$

2.08










Weighted average limited partner units outstanding:








Common units - basic

36,889,761



24,417,285



30,290,051



24,411,308


Common units - diluted

36,894,043



24,420,582



30,292,261



24,417,466










Cash distribution per limited partner unit

$

0.905



$

0.880



$

2.695



$

2.550


 


 

Delek Logistics Partners, LP

Condensed Consolidated Statements of Cash Flows (Unaudited)

(In thousands)



Nine Months Ended September 30,



2020


2019

Cash flows from operating activities





Net income


$

118,539



$

75,112


Adjustments to reconcile net income to net cash provided by operating activities:





Depreciation and amortization


24,452



19,801


Non-cash lease expense


2,236



2,554


Amortization of customer contract intangible assets


5,408



5,408


Amortization of deferred revenue


(1,418)



(1,248)


Amortization of deferred financing costs and debt discount


1,786



2,054


Accretion of asset retirement obligations


320



298


Income from equity method investments


(16,875)



(14,860)


Dividends from equity method investments


17,572



9,188


(Gain) loss on asset disposals


(107)



(95)


Deferred income taxes


990



115


Other non-cash adjustments


292



484


Changes in assets and liabilities:





Accounts receivable


(4,268)



1,588


Inventories and other current assets


12,714



(3,290)


Accounts payable and other current liabilities


(7,638)



(7,613)


Accounts receivable/payable to related parties


(19,002)



(5,016)


Non-current assets and liabilities, net


(347)



2,391


Changes in assets and liabilities


(18,541)



(11,940)


Net cash provided by operating activities


134,654



86,871


Cash flows from investing activities





Asset acquisitions from Delek Holdings, net of assumed liabilities


(100,527)




Purchases of property, plant and equipment


(6,918)



(4,964)


Proceeds from sales of property, plant and equipment


107



144


Distributions from equity method investments


2,723



804


Equity method investment contributions


(11,804)



(137,361)


Net cash used in investing activities


(116,419)



(141,377)


Cash flows from financing activities





Proceeds from issuance of additional units to maintain 2% General Partner interest


10



8


Distributions to general partner


(27,635)



(22,762)


Distributions to common unitholders - public


(23,653)



(22,580)


Distributions to common unitholders - Delek Holdings


(46,220)



(37,929)


Distributions to Delek Holdings unitholders and general partner related to Trucking Assets Acquisition


(47,558)




Distribution to general partner for conversion of its interest and IDR elimination


(45,000)




Proceeds from revolving credit facility


515,900



476,400


Payments on revolving credit facility


(343,600)



(336,800)


Net cash (used in) provided by financing activities


(17,756)



56,337


Net increase in cash and cash equivalents


479



1,831


Cash and cash equivalents at the beginning of the period


5,545



4,522


Cash and cash equivalents at the end of the period


$

6,024



$

6,353


Supplemental disclosures of cash flow information:





Cash paid during the period for:





Interest


$

26,895



$

29,003


Income taxes


$

141



$

143


Non-cash investing activities:





(Decrease) increase  in accrued capital expenditures


$

(948)



$

1,274


Equity issuance to Delek Holdings unitholders in connection with Big Spring Gathering Assets Acquisition


$

109,513



$


Non-cash financing activities:





Sponsor contribution of fixed assets


$

1,378



$


Non-cash lease liability arising from obtaining right of use assets during the period


$

...

16,644



$

649


Non-cash lease liability arising from recognition of right of use assets upon adoption of ASU 2016-02


$



$

20,202


Delek Logistics Partners, LP

Reconciliation of Amounts Reported Under U.S. GAAP

(In thousands)


Three Months Ended September 30,


Nine Months Ended September 30,


2020


2019


2020


2019

Reconciliation of Net Income to EBITDA:








Net income

$

46,328



$

30,530



$

118,539



$

75,112


Add:








Income tax (benefit) expense

(168)



84



67



220


Depreciation and amortization

9,459



6,588



24,452



19,801


Amortization of customer contract intangible assets

1,803



1,803



5,408



5,408


Interest expense, net

10,360



12,509



32,854



35,164


EBITDA

$

67,782



$

51,514



$

181,320



$

135,705










Reconciliation of net cash from operating activities to distributable cash flow:








Net cash provided by operating activities

$

62,273



$

35,047



$

134,654



$

86,871


Changes in assets and liabilities

(2,458)



2,451



18,541



11,940


Non-cash lease expense

(1,596)



(1,145)



(2,236)



(2,554)


Distributions from equity method investments in investing activities

1,033





2,723



804


Maintenance and regulatory capital expenditures

(27)



(3,728)



(760)



(5,515)


Reimbursement from Delek Holdings for capital expenditures

26



1,223



81



2,607


Accretion of asset retirement obligations

(106)



(100)



(320)



(298)


Deferred income taxes

(47)



(118)



(990)



(115)


Other operating income, net



70



107



95


Distributable Cash Flow

$

59,098



$

33,700



$

151,800



$

93,835


Delek Logistics Partners, LP

Distributable Coverage Ratio Calculation

(In thousands)


Three Months Ended September 30,


Nine Months Ended September 30,

Distributions to partners of Delek Logistics, LP

2020


2019


2020


2019

Limited partners' distribution on common units

$

39,307



$

21,487



$

87,536



$

62,256


General partner's distributions



439



986



1,269


General partner's incentive distribution rights



8,453



17,632



23,206


Total distributions to be paid (1)

$

39,307



$

30,379



$

106,154



$

86,731










Distributable cash flow

$

59,098



$

33,700



$

151,800



$

93,835


Distributable cash flow coverage ratio (2)

1.50x


1.11x


1.43x


1.08x

(1) The distributions for the three and nine months ended September 30, 2020 reflect the impact of the distribution waiver that waived all of the distributions for the first quarter of 2020 on the 5.0 million Additional Units, related to the Big Spring Gathering Assets transaction, with respect to base distributions and the IDRs. In addition, the distributions for the three and nine months ended September 30, 2020 reflect the waiver of distributions in respect of the IDRs associated with the Additional Units for at least two years. The IDRs were eliminated in the Restructuring Transaction on August 13, 2020.

(2) Distributable cash flow coverage ratio is calculated by dividing distributable cash flow by distributions to be paid in each respective period.

Delek Logistics Partners, LP

Segment Data (unaudited)

(In thousands)


Three Months Ended September 30,


Nine Months Ended September 30,


2020


2019


2020


2019

Pipelines and Transportation








Net revenues:








Affiliate

$

68,444



$

39,304



$

168,285



$

112,694


Third party

3,035



5,281



14,587



16,733


Total pipelines and transportation

71,479



44,585



182,872



129,427


Cost of sales:








Cost of materials and other

14,342



4,947



31,622



17,871


Operating expenses (excluding depreciation and amortization)

10,749



12,547



31,936



36,109


Segment contribution margin

$

46,388



$

27,091



$

119,314



$

75,447


Total Assets

$

685,871



$

529,219














Wholesale Marketing and Terminalling








Net revenues:








Affiliates (1)

$

26,966



$

27,343



$

121,454



$

78,836


Third party

43,823



65,628



118,980



237,119


Total wholesale marketing and terminalling

70,789



92,971



240,434



315,955


Cost of sales:








Cost of materials and other

46,350



67,647



174,255



244,842


Operating expenses (excluding depreciation and amortization)

3,481



5,888



9,487



15,711


Segment contribution margin

$

20,958



$

19,436



$

56,692



$

55,402


Total Assets

$

271,715



238,588














Consolidated








Net revenues:








Affiliates

$

95,410



$

66,647



$

289,739



$

191,530


Third party

46,858



70,909



133,567



253,852


Total consolidated

142,268



137,556



423,306



445,382


Cost of sales:








Cost of materials and other

60,692



72,594



205,877



262,713


Operating expenses (excluding depreciation and amortization presented below)

14,230



18,435



41,423



51,820


Contribution margin

67,346



46,527



176,006



130,849


General and administrative expenses

6,122



5,280



16,973



15,046


Depreciation and amortization

9,459



6,588



24,452



19,801


Other operating income, net



(70)



(107)



(95)


Operating income

$

51,765



$

34,729



$

134,688



$

96,097


Total Assets

$

957,586



$

767,807






(1) Affiliate revenue for the wholesale marketing and terminalling segment is presented net of amortization expense pertaining to the marketing contract intangible we acquired in connection with the Big Spring acquisition.

Delek Logistics Partners, LP

Segment Capital Spending

(In thousands)


Three Months Ended September 30,


Nine Months Ended September 30,

Pipelines and Transportation

2020


2019


2020


2019

Maintenance capital spending

$

28



$

2,731



$

467



$

3,959


Discretionary capital spending

2,524



372



2,957



386


Segment capital spending

$

2,552



$

3,103



3,424



4,345


Wholesale Marketing and Terminalling








Maintenance capital spending

$

118



$

980



1,480



1,389


Discretionary capital spending

558



(91)



2,014



504


Segment capital spending

$

676



$

889



3,494



1,893


Consolidated








Maintenance capital spending

$

146



$

3,711



1,947



5,348


Discretionary capital spending

3,082



281



4,971



890


Total capital spending

$

3,228



$

3,992



$

6,918



$

6,238


Delek Logistics Partners, LP





Segment Data (Unaudited)






Three Months Ended September 30,


Nine Months Ended September 30,


2020


2019


2020


2019

Pipelines and Transportation Segment:








Throughputs (average bpd)








El Dorado Assets:








Crude pipelines (non-gathered)

78,244



49,477



76,750



43,446


Refined products pipelines to Enterprise Systems

55,740



43,518



55,315



32,242


El Dorado Gathering System

13,659



21,632



13,520



21,143


East Texas Crude Logistics System

22,591



25,391



15,705



21,045


Big Spring Gathering Assets (1)

90,719





85,845




Plains Connection System

104,314





96,961












Wholesale Marketing and Terminalling Segment:








East Texas - Tyler Refinery sales volumes (average bpd) (2)

73,417



83,953



70,376



74,607


Big Spring marketing throughputs (average bpd)

78,659



80,203



73,701



83,608


West Texas marketing throughputs (average bpd)

9,948



9,535



11,718



11,446


West Texas gross margin per barrel

$

3.42



$

4.82



$

2.37



$

4.83


Terminalling throughputs (average bpd)

160,843



170,727



145,240



160,621


















(1) Throughput for the Big Spring Gathering Assets are for approximately 180 days we owned the assets following the Big Spring Gathering Assets Acquisition effective March 31, 2020.

(2) Excludes jet fuel and petroleum coke.

Information about Delek Logistics Partners, LP can be found on its website (www.deleklogistics.com), investor relations webpage (ir.deleklogistics.com), news webpage (www.deleklogistics.com/news) and its Twitter account (@DelekLogistics).

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