ENTERPRISE PRODUCTS PARTNERS L.P. BARCLAYS INVESTMENT GRADE ENERGY & PIPELINE CONFERENCE March 23, 2016 Randy Fowler President ALL RIGHTS RESERVED. ENTERPRISE PRODUCTS PARTNERS L.P. enterpriseproducts.com
EPD KEY CREDIT HIGHLIGHTS Fully integrated midstream energy company aggregating domestic supply with direct connections to domestic and international demand History of successful execution on 62 billion of growth projects and M&A…
COMPOSITE OF TOP 200 CUSTOMERS Revenue from Top 200 Customers by Rating(1) Top 200 customers account for 95.7% of EPD's 2015 revenue < B / B3 Not Rated 9.9% 2.0% AA / Aa3 73.8% of revenue from our LC 19.2% Top 200 customers is…
2016 MACRO ENERGY OUTLOOK Supplyside: entering 2nd year of a weak commodity price cycle E&P companies protecting balance sheets and liquidity; minimizing drilling; generally, focusing on short cycle / immediate cash flow capital…
INDICATIVE ECONOMICS FOR KEY OIL PLAYS Current Activity Assumes HighGrade Drilling 70 40 captures only highgrade Average Highgrade 50 captures virtually everything 60 Pricing Assumes 20% BFIT ROI 50 40 /Bbl 30 20…
INDICATIVE ECONOMICS FOR KEY GAS PLAYS Current Activity Assumes HighGrade Drilling 5.00 Average Highgrade 4.50 4.00 Pricing Assumes 20% BFIT ROI 3.50 3.00 /MMBtu 2.50 2.00 1.50 1.00 0.50 0.00 Note: assumes oil…
LOW GAS TO CRUDE SPREAD CONTINUING TO DRIVE U.S. NGL ADVANTAGE NYMEX Natural Gas Price as a % of Crude U.S. Ethane Crackers: Global Cost Advantage 70 Shale Gas Production Now Totals 50% of Total Gas Production 60 Far East / Asia…
THE CHEMICALS INDUSTRY IS MAKING VERY LARGE INVESTMENTS BASED ON U.S. SHALES American Chemistry Council (ACC) is tracking 225 U.S. chemical projects valued at 145 billion. They estimate that 60% of these new investments are from…
VISIBILITY TO GROWTH: 6B OF MAJOR CAPITAL PROJECTS BY INSERVICE DATE 3.5 2.7 Billion 6.0 Billion 3.3 PDH facility Crude oil / refined 3.0 products infrastructure MidlandtoSealy NGL & propylene 2.5 pipeline expansions Eagle…
EPD MAJOR ORGANIC GROWTH PROJECTS Demand Pull and Market Creation Focus Aegis Ethane PDH Pipeline Facility Houston / Port Arthur / Beaumont Crude Oil Distribution Echo Crude Oil LPG export Oiltanking terminal…
ETHANE TAKEAWAY SOLUTIONS PROVIDES ACCESS TO GULF COAST MARKETS ATEX C2 Contracted Volumes ATEX Pipeline 150 120 Current capacity of 125 MBPD MBPD 90 Expandable to 265 MBPD; would require 60 104 116 131 additional…
EXPANSION OF PERMIAN ASSET FOOTPRINT Existing Assets 2 gas gathering systems: 1,500 miles of pipe 3 gas processing plants: 350 MMcf/d capacity 75 MBPD of NGL fractionation capacity at Hobbs 2.1 MMBbls of NGL cavern storage 950…
MIDLAND TO HOUSTON CRUDE OIL PIPELINE From the Permian Supply Hub to Multiple Markets 400mile, 24 pipeline from Midland to Oklahoma Sealy, Texas Cushing 60% of initial capacity of 300 MBPD is contracted under longterm…
U.S. BECOMES LARGEST EXPORTER OF LPG LPG Exports from EPD Facilities Through 2015 2015 LPG Exports from EPD Facilities by Destination Region: 107.3 MMBbls % of Cargoes Loaded % of Destination Market North America / Caribbean 23% 37%…
LPG LOADINGS Historical and Committed Loadings vs. Capacity 1,150 Cargos Scheduled from 20152020 16 Avg Monthly Loadings Per Year (As of Aug2015) Operational Capacity 14 12 10 MMBbls 8 6 4 Existing Capacity: 9.0…
ETHANE EXPORT FACILITY Largest of Its Kind New ethane export facility with a combined operating rate of 200 MBPD across two docks 18 miles of 24 P/L MTBV to Morgans Point 90% of capacity is under longterm contracts 3Q 2016…
GROWING U.S. PROPANE DEMAND ENTERPRISE PDH FACILITY New PDH facility will produce up to 1.65 billion pounds per year of polymer grade propylene or 25 MBPD Consume 35 MBPD of propane 100% of capacity contracted under feebased…
FINANCIAL UPDATE ALL RIGHTS RESERVED. ENTERPRISE PRODUCTS PARTNERS L.P. enterpriseproducts.com
HISTORY OF FINANCIAL DISCIPLINE WHILE EXECUTING GROWTH STRATEGY Total Growth Capex & Debt Leverage 8.0 7.8 4.6 4.7x 7.0 6.2 4.5x 6.0 2.5 Debt / Adjusted EBITDA 4.3x 5.0 in Billions 4.2x 4.2 4.2x Up to 4.1x 3.9 3.8…
APPENDIX ALL RIGHTS RESERVED. ENTERPRISE PRODUCTS PARTNERS L.P. enterpriseproducts.com
VISIBILITY TO GROWTH: MAJOR CAPITAL PROJECTS 2.7B InService 2015; 6.0B Under Construction In Service Date 2015 1Q 2016 2Q 2016 3Q 2016 4Q 2016 20172018 NGL Pipeline & Services LPG export facility on Gulf Coast (up to 16 MMBbls/mo)…
REGIONAL NGL HUBS: GULF COAST VS. EAST COAST NO COMPARISON USGC East Coast SUPPLY Diversity 7 unique basins linked 1 basin for all supply 2016 4.1 MMBPD Estimated 0.8 MMBPD STORAGE Capacity 300 MMBbls (salt dome) 11 MMBbls…
NONGAAP RECONCILIATIONS ALL RIGHTS RESERVED. ENTERPRISE PRODUCTS PARTNERS L.P. enterpriseproducts.com
GROSS OPERATING MARGIN We evaluate segment performance based on the nonGAAP financial measure of gross operating margin. Gross operating margin (either in total or by individual segment) is an important performance measure of the core…
ADJUSTED EBITDA Adjusted EBITDA is commonly used as a supplemental financial measure by our management and external users of our financial statements, such as investors, commercial banks, research analysts and ratings agencies to…
DISTRIBUTABLE CASH FLOW Distributable cash flow is an important nonGAAP financial measure for our limited partners since it serves as an indicator of our success in providing a cash return on investment. Specifically, this financial…
CONTACT INFORMATION Randy Burkhalter Vice President, Investor Relations (713) 3816812 rburkhaltereprod.com Jackie Richert Senior Manager, Investor Relations (713) 3813920 jmricherteprod.com ALL RIGHTS RESERVED. ENTERPRISE…
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