UBS MLP One-on-One Conference Park City, Utah Jan. 2014 NYSE: MMP www.magellanlp.com
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 9,600 miles, 53 system terminals and 41mm barrels of storage Profit driven by throughput volume and tariffs Tariff…
Marine Storage 5 storage facilities with more than 26mm barrels of aggregate storage Profit driven by amount of storage leased Highly utilized (90%+ leased) supported by long-term agreements 5 NYSE: MMP
Crude Oil 800 miles of crude oil pipelines substantially backed by long-term throughput commitments 15mm barrels of aggregate storage supported by lease agreements, including one of the largest storage providers in Cushing, OK…
Primarily Fee-Based Business Expect Future Fee-Based, Low Risk Activities to Comprise 85% or More of Operating Margin ytd 3q13 Results* Leased storage Fee-based ancillary 20% services Transportation 9% 51% Terminal…
Growth in Expansion Capital Spending Over the last nine years, Magellan has invested 2.9 billion in acquisitions and organic growth projects 1.1 billion of expansion projects currently underway and 200 million of acquisitions…
Future Growth Opportunities Magellans growing crude oil asset profile provides springboard for additional crude oil opportunities Current Expansion Spending 2013-2014 estimate Current Operating Margin 17% ytd 3q13 25% Refined…
Permian Crude Oil Pipelines Longhorn Pipeline reversal BridgeTex JV with Occidental Petroleum 225k bpd capacity now operational 300k bpd capacity Increasing capacity by 50k bpd, Expect to be operational mid-2014 expected to be…
Permian a Key Focus Area for Magellan Incremental pipeline capacity (000 bpd) Permian 110 Sunoco West Texas Gulf 2012 2030 150 Sunoco Permian Express I Growth: 250 Plains Cactus +1,072k bpd 275 Longhorn pipeline 300 BridgeTex…
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 as well as Houston…
Eagle Ford Joint Venture JV with Kinder Morgan to transport condensate from the Eagle Ford shale 190-mile, 100k bpd Double Eagle pipeline Delivers to Magellans Corpus Christi terminal Fully operational at this point Recently…
Refined Products Pipeline Acquisition Recently acquired 800 miles of refined petroleum products pipeline Acquired July 1: New Mexico pipeline system 250 miles of pipeline 57mm cost funded with cash Acquired Nov. 15: Rocky…
Regional Refined Products Opportunities Mid-Continent refineries are maintaining high crude runs and seeking new outlets for their production, providing regional refined products opportunities Opportunities for bi-directional…
Distribution Growth Trend Proven history of distribution growth with 46 quarterly increases Targeting 16% annual distribution growth for 2013 and 15% for 2014 (per MMP unit, annualized) 2.23 0.56 2001 2002 2003 2004 2005…
Conservative Financial Profile Committed to maintaining solid investment grade rating: currently, one of the highest-rated MLPs at BBB+ / Baa2 (positive outlook) At this time, targeting 125 million of annual excess cash due to…
Magellan Investment Highlights Straight-forward, low risk, stable business model No general partner incentive distribution rights Attractive growth projects under construction and accretive acquisitions Proven history of…
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