ENTERPRISE PRODUCTS PARTNERS L.P. WELLS FARGO SECURITIES ENERGY SYMPOSIUM December 9, 2014 Mike Creel Chief Executive Officer ALL RIGHTS RESERVED. ENTERPRISE PRODUCTS PARTNERS L.P. enterpriseproducts.com
ADDITIONAL INFORMATION This communication does not constitute an offer to buy or solicitation of an offer to sell any securities. In furtherance of the proposed merger of Oiltanking Partners, L.P. (Oiltanking) with a whollyowned…
ENTERPRISE PRODUCTS PARTNERS L.P. EPD is one of the largest publicly traded midstream energy partnerships with a firm value of 93 billion* One of the largest integrated midstream energy systems Diversified sources of cash flow…
EPD TODAY: NATURAL GAS, NGLS, CRUDE OIL, REFINED PRODUCTS AND PETROCHEMICALS Asset Overview Connectivity Pipelines: 52,000 miles of natural gas, NGL, crude oil, refined Connected to U.S. major shale basins products and…
GEOGRAPHIC AND BUSINESS DIVERSIFICATION PROVIDE MULTIPLE EARNINGS STREAMS 5.2 Billion Gross Operating Margin 4 Year Growth Capital Allocation 20132016E(1) For 12 months ended September 30, 2014 12.5 Billion (predominantly…
VISIBILITY TO GROWTH: 20B PROJECTS Recently Completed / Under Construction Organic Growth Capital Projects Projects completed since 2011: 13.0 Billion 4.5 6.0B Under 13.0B Completed Construction Pipelines: 4,200 miles of natural…
FUNDAMENTALS ALL RIGHTS RESERVED. ENTERPRISE PRODUCTS PARTNERS L.P. enterpriseproducts.com
EPD OBSERVATIONS ON OIL PRICES Cut Existing Production: OPEC could not agree on production cuts at November 2014 meeting, with strongest members signaling no appetite to cut Slow Supply Growth: lower prices impact both OPEC, Russian…
INDICATIVE BREAKEVEN FOR KEY OIL AND CONDENSATE PLAYS Average and HighGrade Wells with NGL Upgrade 90 80 70 Drilling Impacted 60 NYMEX /Bbl 50 40 30 HighGrade Well Average Well 20 10 Note: assumes 20%…
INDICATIVE NGL PRODUCTION FORECASTS Assumes 65 WTI NGL Production Sensitivity 6,000 CAGR 5,500 8.4% 7.1% 5,000 5.6% MBPD 4,500 Increase: 2014 to 2015 14.0% 12.5% 10.5% 4,000 3,500 Prior to Price Collapse Adjusted…
PROJECTS OVERVIEW ALL RIGHTS RESERVED. ENTERPRISE PRODUCTS PARTNERS L.P. enterpriseproducts.com
MAJOR NGL CAPITAL GROWTH PROJECTS ATEX and Aegis Ethane Pipelines ATEX Pipeline Initial Origins 1,265mile, 16 and 20 pipeline Initial capacity 125 MBPD, expandable to 265 MBPD Connected to 4 NGL fractionators 15 year shiporpay…
EPD PDH FACILITY UPDATE Propylene production from ethylene crackers decreased by 5.4 billion lbs. or 37% since 2010 due to the decline in cracking naphtha Capacity to produce up to 1.65 billion pounds per year of polymer grade…
EXPORT CAPACITY: LINKING U.S. SUPPLIES TO GLOBAL DEMAND OTI EPD Mont OTI Belvieu Ship Barge Under Product Docks Docks Construction Morgans Point OILT Beaumont Multi 2 2 2 EPD Beaumont Refined 1 0 1 OILT Houston Multi 6 2…
U.S. BECOMES LARGEST EXPORTER OF PROPANE Propane Exports by Destination as of November 2014 2014 YTD Propane Exports (from EPD Facility) by Destination Region: 75 MMBbls % of Cargoes Loaded % of Destination Market North America 24%…
NEW MARKETS DEVELOP FOR U.S. ETHANE Market Potential EPD Ethane Export Facility at Morgans Point, TX Ethylene cracker feedstock displacing Supported by longterm contracts current crude oil derivative feedstocks or Combined operating…
SEAWAY CRUDE OIL PIPELINE EXPANSION COMPLETED Cushing Seaway Loop: 512 mile, 30 parallel pipeline along existing pipeline; O k l a h o m a completed June 2014 A r k a n Linefill is underway Expect volumes to reach Jones Creek…
EPD & SEAWAYS GULF COAST CRUDE SYSTEM Access to 8 MMBPD Refining and Water From Cushing Galena Park Sealy Baytown XOM VLO H.R. PRSI Shell Beaumont Katy 24 Rancho Bertron 24 Motiva VLO TOT XOM Speed Junction Genoa ECHO…
OILTANKING PARTNERS L.P. ALL RIGHTS RESERVED. ENTERPRISE PRODUCTS PARTNERS L.P. enterpriseproducts.com
ACQUISITION OF OILTANKING (OILT) OVERVIEW AND RATIONALE On October 1, 2014, EPD acquired OILTs GP and related IDRs, 15.9 million OILT common units and 38.9 million OILT subordinated units (which converted oneto one to common units…
ACQUISITION OF OILTANKING (OILT) PRINCIPAL DRIVERS OF VALUE CREATION At least 30 million of synergies and cost savings from the complete integration of OILTs business into Enterprises system as well as public company cost savings…
OILT HOUSTON ASSET OVERVIEW 13.3 MMBbls of storage 100 miles of pipeline in Houston area capacity at main site 7 ship docks (post expansion) and 2 barge docks 6.5 MMBbls of storage Hosts EPDs expanding LPG refrigeration facility…
OILT BEAUMONT ASSET OVERVIEW Two sites with 5.6 MMBbls of Significant land for expansion storage capacity Adjacent to EPDs storage facility Additional 4.1 MMBbls of storage Near EPDs refined products marine capacity under…
FINANCIAL ALL RIGHTS RESERVED. ENTERPRISE PRODUCTS PARTNERS L.P. enterpriseproducts.com
HISTORY OF FINANCIAL DISCIPLINE WHILE EXECUTING GROWTH STRATEGY (1) (2) Total Growth Capex & Debt Leverage 4.5 4.6x 4.2 3.9 4.7x 4.0 3.6 3.5 4.5x 3.1 3.1 Debt / Adjusted EBITDA 3.0 2.9 4.3x 4.2x Billions 2.5 4.1x…
STRENGTHENING DEBT PORTFOLIO Extending Maturities Without Increasing Costs 15.9 Billion Notes Issued 98.9% Fixed Rate Debt 2009 10/2/2014 15 14.7 7.5% 13 13.3 7.3% Average Maturity Years 12.3% 12.4 Cost of Debt…
EPD TOTAL RETURN Compared to 9 Other Asset Classes 15-Year 10-Year 5-Year 3-Year 2006 2007 2008 2009 2010 2011 2012 2013 9M 2014 1 1 1 1 CAGR CAGR CAGR CAGR REIT Commodities IG Bonds MLP Index EPD EPD EPD EPD REIT Small Cap Equity…
APPENDIX ALL RIGHTS RESERVED. ENTERPRISE PRODUCTS PARTNERS L.P. enterpriseproducts.com
VISIBILITY TO GROWTH: MAJOR CAPITAL PROJECTS 6.6B InService 20132014; 6.0B Under Construction In Service Date 2013 1Q 2014 2Q 2014 3Q 2014 4Q 2014 2015 2016 NGL Pipeline & Services Eagle Ford Yoakum gas processing facility (phase III…
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 ALL RIGHTS RESERVED. ENTERPRISE PRODUCTS PARTNERS L.P. 39
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