Master Limited Partnership Investor Conference March 2006
Regency Energy Partners Overview
Regencys Formation and History X April 2003 Regency established as a standalone company to house assets once owned by much larger companies X June 2003 Purchased certain Mid-Continent and North Louisiana midstream assets from El Paso…
Relationship with HM Capital Partners X Leading private equity firm Founded in 1989 More than 10 billion under management across 11 pools of private equity Completed over 400 corporate transactions valued at more than 50 billion X…
Regency Operating Structure X Gathering and Processing Segment Simplified Organizational Chart Represents approx 60% of gross margin HM Capital Investors Geographically diverse 3,953,896 Common Units Public Unitholders 15,150,000…
Regency Business Strategy X Continue to Enhance Profitability of Existing Assets Maximize operating efficiencies (e.g., capacity utilization, fuel efficiencies) Maximize cash flow stability by optimizing contract mix Reduce impact of…
Strategically Located Platform of Assets Mid-Continent Assets: Basin (Hugoton/Anadarko): X 1,500 wells X Discovered in 1930s X 1,600 miles of X Producers include: BP, North Louisiana gathering pipeline Oxy, Exxon Mobil, & X 2…
Regency Intrastate Enhancement Project
Regency Intrastate Enhancement Project Original North Louisiana Asset Note: The blue section of pipeline denotes Gulf States Transmission, our 10 mile interstate pipeline
Regency Intrastate Enhancement Project Enhancement Project Overview Haughton to Sibley Mainline Compression Sibley to Mainline Note: The blue section of pipeline denotes Gulf States Transmission, our 10 mile interstate…
Regency Intrastate Enhancement Project Major Supply Areas ADA FIELD SLIGO VERNON FIELD FIELD SIBLEY FIELD VIXON DRISCOLL FIELD FIELD ELM GROVE FIELD Note: The blue section of pipeline denotes Gulf States…
North Louisiana Supply Growth Top Three Fields Five Year Growth 700 600 500 MMCf/d 400 300 200 100 0 2001 2002 2003 2004 2005 Sligo Vernon Elm Grove
Strategic Partnership with Major Producer Joint Development Project with Producer for Greenfield Gathering System
Additional Processing Capability New 200 MMcf/d Conditioning Plant Note: The blue section of pipeline denotes Gulf States Transmission, our 10 mile interstate pipeline
Financial Overview
Selected Financial Information Historical Forecast Twelve Months Twelve Months Twelve Months Ended Ended Ended ( in thousands) Dec 31, 2004 Sep 30, 2005 Dec 31, 2006 EBITDA 1 39,654 22,668 89,177 Plus: non-cash and non-recurring…
Financial Flexibility Stability of business profile enhanced by completion of the Regency Intrastate Enhancement Project % of Pro Forma Segment Margin X 160 million revolving credit facility provides liquidity and financial…
Stable Cash Flows The Regency Intrastate Enhancement Project enhances our stability by adding volumes from fee-based contracts Volume for Nine Months ended 09/30/05 Pro Forma Volume for Nine Months for Regency Intrastate ended…
Strong Common Unit Distribution Coverage Forecasted Twelve Months Ending December 31, 2006 ( in millions) Net Forecasted Cash Flow 66.0 Plus: X 2.20x common unit Interest expense, net 25.3 coverage Less: X 1.10x total unit…
Investment Considerations X Strategic platform of midstream assets with capacity for growth X Proven experience in large-scale expansion projects X Proven acquisition and integration experience X Attractive yield with significant tax…
Master Limited Partnership Investor Conference March 2006
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