MLP Protocol 121313

Key Adjustments:

  • Added Valero Energy Partners LP (VLP) to the Crude and Refined Products segment after its successful IPO at $23 per unit on December 10. VLP priced 15% above the mid-point of price talk with an initial indicated yield of 3.70%. Phillips 66 Partners, LP (PSXP) is VLP’s closest peer.
  • Adjusted American Midstream Partners (AMID) for a 2.4 million common unit offering at $22.47 on December 10 (6.1% discount to prior close).
  • Adjusted the 1 Week Price Performance, YTD Price Performance, % Below 52 Week High and % Above 52 Week Low lists to break each full chart into 2 charts to make them easier to read.

News Items:

  • On December 10, Plains All American Pipeline (PAA) announced new Permian Basin Expansion activities and the expansion of its Mississippian Line Crude Oil Pipeline System. (Press Releases)
  • On December 10, American Midstream Partners (AMID) announced the execution of a merger agreement to acquire Blackwater Midstream Holdings, LLC, a developer and operator of terminal storage facilities (“Blackwater”), from an affiliate of ArcLight Capital Partners, LLC (“ArcLight”) for an aggregate purchase price of $60 million. (Press Release)
  • On December 12, Cheniere Energy Partners LP Holdings LLC (CQH) priced its IPO at $20 per share.
  • On December 12, Constellation Energy Partners LLC (CEP) today announced that the trial in the PostRock Litigation, which was originally scheduled for Dec. 16through Dec. 18, 2013, has been rescheduled to Jan. 13 through Jan. 15, 2014 in Wilmington, Delaware. (Press Release)
  • On December 13, BreitBurn Energy Partners L.P. (BBEP) announced it has signed a definitive agreement to acquire additional oil and natural gas properties in the Permian Basin in Texas for approximately $282 million, subject to customary closing conditions and purchase price adjustments, from CrownRock, L.P. The acquisition will be funded with borrowings under the Partnership’s existing bank credit facility and is expected to close in 2013. The Partnership intends to immediately enter into at-the-money commodity hedges to provide price protection for a substantial portion of the proved production for five years. (Press Release)

The MLP Protocol Monthly Analytics Report for December is now available, the January 2014 report will be available the weekend of December 27.

MLP Protocol Weekly Snapshot report: (click to open) MLPP 121313 Snapshot vFree

About Philip Trinder

President of MLP Protocol, investor, trader, and proponent of Master Limited Partnerships.
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