Wells Fargo NAPTP Annual 2014 MLP Energy Investor Symposium Conference New York City Dec. 2014 Orlando May 2015 1
Structure = Competitive Advantage Investment grade MLP with no incentive distribution rights Provides MMP a competitive advantage with one of the lowest costs of capital in the MLP space Public 100% LP Magellan Midstream…
Refined Products Longest refined products pipeline system, primarily transporting gasoline and diesel fuel, with 9,500 miles, 52 terminals and 42mm barrels of storage Profit driven by throughput volume and tariffs Tariff increase…
Marine Storage 5 storage facilities with 26mm barrels of aggregate storage, supported by long-term agreements Profit driven by amount of storage leased Strong demand due to market structure, pricing volatility and connectivity…
Crude Oil 1,600 miles of crude oil pipelines, substantially backed by long-term throughput commitments 21mm barrels of total crude oil storage, including 12mm barrels used for leased storage One of the largest storage providers in…
Primarily Fee-Based Business Expect Future Fee-Based, Low Risk Activities to Comprise 85% or More of Operating Margin 2014 Results* Leased storage Fee-based ancillary 15% services 9% Terminal delivery fees Transportation 4%…
Growth in Expansion Capital Spending Over the last 10 years, Magellan has invested 3.8 billion in organic growth projects and acquisitions Expect to spend 1.2 billion in 2015 - 2016 to finish construction projects currently…
Significant Future Growth from Crude Oil Projects While refined products assets generate the largest portion of our financial results, Magellans growing crude oil asset profile continues to provide springboard for additional crude…
Longhorn Pipeline Current capacity of 275k bpd; averaged 250k bpd during first quarter 2015 Pipeline fully subscribed under long-term, take-or-pay agreements 10% of capacity reserved for spot shippers 430mm combined capital…
BridgeTex Pipeline 50/50 joint venture with Plains that began operation late Sept 14 300k bpd capacity; expect to average approx. 200k bpd in 2015 80% of pipeline capacity committed under long-term, take-or-pay agreements 775mm for…
Houston Crude Oil Connectivity Magellans Houston distribution network is the most comprehensive system to deliver crude oil to the Houston Gulf Coast area Access to all domestic inbound crude production Delivery capabilities to…
Double Eagle Pipeline 50/50 joint venture with Kinder Morgan to transport condensate from the Eagle Ford shale 200-mile, 100k bpd pipeline Delivers to Magellans Corpus Christi terminal JV recently connected Double Eagle to Kinders…
Corpus Christi Condensate Splitter Magellan is constructing a 50k bpd condensate splitter at our Corpus Christi terminal Fee-based project, fully committed with long-term, take-or-pay agreement with Trafigura 250mm spending: 65% of…
Condensate Splitter With restrictions on crude oil exports, investments in condensate splitters on the Gulf Coast are LPG needed to handle the influx of NGL Market Eagle Ford production Light Naphtha Replacement for Natural…
Saddlehorn Pipeline Joint venture to deliver various grades of crude oil from Niobrara play to storage facilities in Cushing, OK owned by Magellan and Plains 550-mile, 20-inch diameter pipeline capable of transporting up to 400k bpd…
Little Rock Pipeline Midcontinent refiners do not currently have access to Little Rock via pipeline Our pipeline system extends to Ft. Smith, AR at this point Magellan plans to deliver refined products to the Little Rock market from…
Distribution Growth Trend Proven history of distribution growth with 52 quarterly increases to date Targeting 15% annual distribution growth for 2015 and at least 10% for 2016 (per MMP unit) 3.01 2.62 0.56 2001 2002…
Conservative Financial Profile Committed to maintaining solid investment grade rating Currently, one of the highest-rated MLPs at BBB+ / Baa1 Targeting distribution coverage of at least 1.1x on long-term basis DCF guidance of…
Magellan Summary Proven history of exceptional returns and distribution growth Straight-forward, low risk, stable business model Forecasted strong distributable cash flow generation with solid distribution coverage Conservative,…
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