Wells Fargo Securities Kick the Tires Tour June 6, 2012 Michael A. Creel www.enterpriseproducts.com President and CEO All rights reserved. Enterprise Products Partners L.P.
Key Credit Highlights Largest publicly traded energy partnership in United States with an enterprise value of approximately 57 billion; 62nd on Fortune 500 Integrated midstream energy system serving producers and consumers of natural…
EPD Portfolio of Integrated Assets Major Asset Overview 50,600 miles of natural gas, NGL, crude oil, refined 20 NGL & Propylene fractionators products and petrochemical pipelines 6 offshore hub platforms 190 MMBbls of NGL, refined…
Leading Business Positions Across Midstream Energy Value Chain Midstream Energy Services Natural Gas Natural Gas Pipelines Storage Pipelines NGL Exports Ethane Propane Natural Gas Butane Pipelines Gas Processing Iso-Butane…
Geographic and Business Diversification Provide Multiple Earnings Streams 4.0 Billion Gross Operating Margin For 12 months ended March 31, 2012 NGL Pipelines & Services (58%) Approximately 73% Fee Based Natural gas processing & related…
Visibility to Growth 7.6 Billion Growth Projects Under Construction Investment in new natural gas, NGLs and crude oil infrastructure to support development of shale plays Haynesville / Bossier Shale Eagle Ford Shale Rockies Permian…
Major Capital Projects All rights reserved. Enterprise Products Partners L.P.
Major Capital Projects Under Construction 7.6 Billion In Service Date 2Q12 3Q12 4Q12 201314 Eagle Ford Mixed NGL Pipeline & Ethane Cavern DONE Eagle Ford 36 Natural Gas Pipeline Word to Wilson DONE Eagle Ford Yoakum Gas Processing…
Eagle Ford Shale Projects 600 Crude / Condensate Volumes 500 500 400 MBPD 300 214 200 100 3 35 0 2009 2010 2011 2012 Est. Three new 75 MBPD NGL fractionators at Mont Belvieu All rights reserved. Enterprise…
Shale Plays Drive Western Pipeline Expansions MAPL Rocky Mountain NGL Pipeline Expansion 218 miles of 16 pipeline loops and 18 pump modifications to increase capacity from 275 MBPD to 340 MBPD 10-year, ship-or-pay agreements…
Appalachia to Texas (ATEX) Express P/L Transport Ethane from Marcellus / Utica Shale 250 Volumes 220 205 195 200 175 165 150 MBPD 100 50 105 120 95 Proposed Ethane Header P/L 65 75 0 550-mile pipeline system 2014…
Seaway Crude Oil Pipeline Relieves Cushing Bottleneck Starting in 2012 EPD / ENB 50 / 50 JV to reverse flow of Seaway and expand capacity to provide Gulf Coast access to Mid-Continent, Bakken and Canadian shippers Phase I…
Natural Gas Liquids (NGLs) All rights reserved. Enterprise Products Partners L.P.
Low Gas to Crude Spread: U.S. Petchems Are Now Global Leaders Global Indicative Ethylene Cash Costs Indicative U.S. Ethylene Cracker Profit Margin by Feedstock Dollars Per Metric Ton Ethylene Margin Cents Per Pound 1,400 1,200…
Ethane Supply / Demand Scenarios Significant cracker expansions, 1,700 restarts, conversions and new builds have been announced 1,600 En*Vantage recently estimated ethane cracking capacity will increase 1,500 by 100 MBPD in 2012…
Financial All rights reserved. Enterprise Products Partners L.P.
EPD Financial Objectives Maintain a strong balance sheet, liquidity and credit ratios that support investment grade credit ratings WYSIWYG balance sheet Manage interest rate exposure and maturity schedule Fund growth with…
History of Financial Discipline Retaining DCF for Financial Flexibility 4.0 Distributable Cash Flow Long-term focus 3.7 1.0 Retaining DCF (equity) 3.0 2.3 capital similar to C-corps Billions 0.1 2.0 1.6 1.6 1.4…
History of Financial Discipline While Executing Growth Strategy (1) (2) Total Growth Capex & Debt Leverage Funded growth investments 4.0 4.6x 3.6 3.7 4.7x through issuance of debt and 3.5 4.5x equity, retained DCF and 3.1 4.5x…
No GP IDRs Results in Lower Cost of Equity Capital 50% (1) 45% Selected Pipeline and Terminal MLPs 40% GP Share of Current Distributions 34% 30% 30% 28% 26% 26% 20% 21% 20% 17% 16% 12% 13% 10% 8% 0% 0% 0% 0% 0% EPD EPD…
EPD Financial Snapshot Unit Price / Yield Debt Capitalization (as of March 31, 2012) EPD LP Unit Price (June 1, 2012) 47.53 Senior Unsecured Debt (Billions) 13.1 Current Annualized Cash Distribution Rate 2.51 Junior Subordinated Debt…
EPD and AMZ MLP Index Attractive Total Return vs. Other Asset Classes 10-Year 5-Year 3-Year 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 3M 2012 1 1 1 CAGR CAGR CAGR Commodities EPD EPD EPD EPD Commodities…
Non-GAAP Reconciliations All rights reserved. Enterprise Products Partners L.P.
Non-GAAP Financial Measures This presentation utilizes the Non-GAAP financial measures of Gross Operating Margin, Adjusted EBITDA and Distributable Cash Flow. Gross Operating Margin and Adjusted EBITDA have been presented as if EPD were…
Non-GAAP Reconciliations Enterprise Products Partners L.P. Gross Operating Margin (Dollars in millions) For the For the Three Last Twelve Months Ended Months Ended For the Year Ended December 31, March 31, March 31, 2007 2008 2009…
Non-GAAP Reconciliations Enterprise Products Partners L.P. Adjusted EBITDA (Dollars in millions) For the Three Months Ended For the Year Ended December 31, March 31, 2007 2008 2009 2010 2011 2012 Net income 762.0 1,145.1 1,140.3…
Non-GAAP Reconciliations Enterprise Products Partners L.P. Distributable Cash Flow (Dollars in millions) For the Three Months Ended For the Year Ended December 31, March 31, 2007 2008 2009 2010 2011 2012 Net income attributable…
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