Posts for Ticker ‘EPD’

Chesapeake Trades More Assets for Cash (CHK, KMP, EPD)

bearChesapeake Energy Corporation (NYSE:CHK) has created a 50/50 midstream joint venture with Global Infrastructure Partners that includes a significant portion of Chesapeake’s midstream assets in exchange for $588 million in cash. The new venture is called Chesapeake Midstream Partners, L.L.C. Read More »

Posted on: September 28, 2009 – 10:26 am in Oil & Gas, , ,

Pipeline to Profits is Clogged (EPD, KMP, PAA, BSR)

oil-well-image10Enterprise Products Partners LP (NYSE:EPD) reported first quarter earnings of $237.3 million (earnings per unit of $0.41) on revenues of $3.42 billion. In the first quarter of 2008, the company reported earnings of $272 million, per unit earnings of $0.51, and revenues of $5.68 billion. The 40% drop in revenues was attributed to lower commodity prices during the first quarter of 2009.
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Posted on: April 27, 2009 – 8:16 am in Earnings, Oil & Gas, , , ,

When Two Partners Quit, Will the Third One Sue? (EPD, EPE, TPP)

burning-money-pic22Master limited partnership Enterprise Products Partners L.P. (NYSE:EPD) has announced that it will pull out of a partnership with an affiliate of Oiltanking Holdings America, Inc., a subsidiary of privately-held German firm Marquard & Bahls AG. Enterprise’s general partner, Enterprise GP Holdings L.P. (NYSE:EPE) also owns the general partner of TEPPCO Partners, L.P. (NYSE:TPP), the third partner in this joint venture. The reason for the split is only stated as a “disagreement” with Oiltanking.
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Posted on: April 22, 2009 – 9:19 am in Dividend, Law, Mergers and Buy Outs, Oil & Gas, , ,

Kinder Morgan And Broader LP Distribution Conundrum (KMP, EPD, ENB, BSR)

money-stack-image35There could be some trouble ahead in at least some of the entities in the pipeline business and the practice of distributions from LP’s if you look at operating numbers and the trends in oil and energy prices versus distributions to holders of the companies. Kinder Morgan Energy Partners, L.P. (NYSE: KMP) has reported a cash distribution per common unit of $1.05 per unit and distributable cash flow of $0.97 per unit, compared with a distribution of $0.96 per unit and distributable cash flow of $1.12 per unit in the first quarter of 2008. The company reported net income of $0.15 per common unit, less than half analysts’ expectations of $0.31 per common unit. Revenue of $1.79 billion was also way off estimates of $2.87 billion.

Kinder Morgan attributed the declines to low prices for crude oil, lower transportation volumes in the refined products business, and reduced steel handling in the company’s bulk terminals business.  We wanted to see how this compares to what is expected for earnings and distributions (dividends) competitors such as Enterprise Products Partners LP (NYSE: EPD) and Plains All American Pipeline LP (NYSE: PAA). Given the results for Kinder Morgan, there are still questions on the earnings versus the dividends.
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Posted on: April 16, 2009 – 9:33 am in Dividend, ETF, Oil & Gas, , , ,

Enterprise Products Raising Cash (EPD)

Money_stack_pic_4Enterprise Products Partners L.P. (NYSE: EPD) has announced that it will sell 8,600,000 common units in a secondary offering.  The units represent limited partner interests rather than traditional shares seen in most secondary offerings. Its market cap is nearly $10 billion.  If it can maintain its currentdividend, the yield is roughly 9%. 

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Posted on: January 6, 2009 – 4:24 pm in Oil & Gas, Secondary Offering,

Duncan Energy & Enterprise Swap Cash for Assets (DEP, EPD)

Duncan Energy Partners L.P. (NYSE:DEP) announced yesterday that it had purchased limited partnership interests in several midstream assets belonging to Enterprise Products Partners L.P. (NYSE:EPD). These two companies have more in common than just anagrammatic stock tickers. The general partner of Duncan Energy is wholly-owned by Enterprise, so the exchange of $730 million in Duncan cash for shares in some Enterprise assets in the state of Texas resembles a bookkeeping entry.

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Posted on: December 9, 2008 – 9:49 am in Mergers and Buy Outs, Oil & Gas, ,

Enterprise Products Gets More Credit (EPD)

Money_stack_pic_2Enterprise Products Partners LP (NYSE:EPD), a pipeline master limited partnership, increased its credit facilities by $593 million yesterday. The company obtained a $375 million senior revolving credit facility and a $218 billion senior term loan to add to its nearly $1.8 billion in senior unsecured revolving credit facilities.

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Posted on: November 19, 2008 – 9:38 am in Oil & Gas,

Updated Energy Production Outages From Hurricane Ike (XOM, CVX, COP, KMP, TPP, EPD, DO)

Oil_well_logo_2The effects of Hurricane Ike on the Gulf Coast are still being sorted out, but, so far reported infrastructure damage is light. That may change as producers, refiners, and pipeline operators begin more detailed examinations today.  But this is part of why oil prices have sold off so much despite the outages and interruptions.  Below you can see an update on which major oil and gas companies have released date regarding their facilities which were in Ike’s path.

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Posted on: September 15, 2008 – 9:33 am in Oil & Gas, , , , , , ,

Energy Watch Part IV: Pipelines (DPM, BGH, APL, AHD, EPD, KMP)

Oil_gas_pipeline_pic_3Just looking at the drop in price for common units of pipeline master limited partnerships could lead one to believe the midstream business is going to hell in a handbasket. DPC Midstream Partners (NYSE:DPM) is down 48% from its 52-week high, Buckeye GP Holdings (NYSE:BGH) is down 44%, Atlas Pipeline Partners (NYSE:APL) is down 32%, and Atlas Pipeline Holdings (NYSE:AHD) is down 30%. Even the two largest companies are lower — Enterprise Products Partners is down 12% and Kinder Morgan (NYSE:KMP) is off 6%.

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Posted on: August 19, 2008 – 9:11 am in Oil & Gas, , , , , ,

Oil Patch Results Seeing Very Mixed Reviews (SU, EPD, ECA, SII)

Before today’s opening bell, four players in the oil patch released their second quarter numbers.

Suncor (NYSE:SU), Enterprise Products Partners (NYSE:EPD), EnCana (NYSE:ECA), and Smith International (NYSE:SII) all posted good numbers, but the outlook with the recent fall in prices is not so clear.  The next trend in prices of those stocks is also becoming unclear.

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Posted on: July 24, 2008 – 11:35 am in Earnings, Oil & Gas, , , ,

Blackstone Puts $500 Million Into Pipeline Company (BX, KYN, KYE, KED, EPD)

The Wall Street Journal has reported that The Blackstone Group LP (NYSE:BX) will invest some $500 million into a new pipeline company, Crestwood Midstream Partners LLC. Crestwood was formed in December 2007, with an initial investment of $150 million from the Kayne Anderson private equity energy funds, and you will see there are several of them:

  • Kayne Anderson MLP Investment Company (NYSE: KYN)
  • Kayne Anderson Energy Total Return Fund (NYSE: KYE)
  • Kayne Anderson Energy Development Company (NYSE: KED)

A Blackstone-owned hedge fund, GSO Capital Partners, is also participating in today’s deal.

Crestwood is headed by Robert G. Phillips, former chief executive of Enterprise Products Partners (NYSE:EPD), who joined Enterprise following its merger with GulfTerra in 2006. The WSJ notes that Blackstone teamed up with Warburg Pincus just a week ago on a $500 million investment in Kosmos Energy, an West African offshore oil exploration company.

Paul Ausick
June 25, 2008

Posted on: June 25, 2008 – 8:02 am in Oil & Gas, Private Equity, , , , ,

Cramer’s Tight End Fantasy Stock Picks (T, ED, EPD)

On tonight’s MAD MONEY, Jim Cramer continued his ‘fantasy football draft pick’ methodology in picking stocks for a portfolio that will withstand a recession.  Tonight after a strong market he wants to review a portfolio of tight end picks.  These will stand firm and are still on offense and score touchdowns occasionally (upside, with high dividends that protect).  Here are his three picks:

  • AT&T (NYSE:T);
  • Con Edison (NYSE:ED);
  • Enterprise Partners (NYSE:EPD).

In the prior segment he gave his "wide receiver picks" that are the aggressive big scoring stocks.

Last night he gave his picks that were not defensive, but still the leaders as the quarterback.  But before that he gave his solid Defensive linemen picks that are defensive stock picks, and four of those were in our own LIST OF 17 DEFENSIVE STOCKS that we modified last Friday morning.  Sixteen of those seventeen stocks closed up today.

I use baseball analogies quite frequently, but if you aren’t American or if you aren’t a football fan these shows this week are probably a challenge to watch.

Jon C. Ogg
September 11, 2007

Jon Ogg produces the 24/7 Wall St. SPECIAL SITUATION INVESTING NEWSLETTER; he does not own securities in the companies he covers.

Posted on: September 11, 2007 – 5:27 pm in Cramer, , , ,

Earlybird Analyst Calls (June 6, 2007)

AGN started as Buy at Jefferies.
AW started as Outperform at Credit Suisse.
BAY started as Overweight at JPMorgan.
CACH cut to Neutral at Merriman Curhan Ford.
CIEN started as Outperform at Piper Jaffray.
CPNO started as Outperform at Morgan Keegan.
EPD started as Outperform at Morgan Keegan.
EPE started as market perform at Morgan Keegan.
ETE started as Outperform at Morgan Keegan.
ETP started as Outperform at Morgan Keegan.
GILD cut to Neutral at Credit Suisse.
IMA started as Buy at Stifel Nicolaus.
JCI raised to Outperform at Credit Suisse.
KMP started as Outperform at Morgan Keegan.
KSE raised to Neutral at Credit Suisse.
LOOP started as Buy at Sun Trust Robinson Humphrey.
MNT started as Buy at Jefferies.
NTEC started as Outperform at Rodman & Renshaw.
ORBC started as Outperform at CIBC.
RSG started as Outperform at Credit Suisse.
SINT cut to Hold at Stifel Nicolaus.
TEVA raised to Outperform at Credit Suisse.
VLTR cut to Sector Perform at CIBC.
VRUS started as Buy at B of A.
WMI started as Outperform at Credit Suisse.

Jon C. Ogg
June 6, 2007

Posted on: June 6, 2007 – 6:30 am in Analyst Calls, , , , , , , , , , , , , , , , , , , , , , , , ,