Martin Midstream Partners reports earnings increase in 2012 first quarter

Martin Midstream Partners L.P. (MMLP) on May 2 announced first-quarter earnings per share of $0.40 versus an estimated $0.39 per share, beating estimates by 2.6 percent.

Revenues came in at $338.3M versus an estimated $305.04million, beating by 10.9 percent.

Net income for the first quarter of 2011 was $7.3 million, or $0.31 per limited partner unit. Revenues for the first quarter of 2012 were $338.3 million compared to $283.0 million for the first quarter of 2011.

For the quarter ended March 31,  net income was not impacted by non-cash derivative losses. For the first quarter of 2011, net income was impacted negatively by $0.5 million, or $0.02 per limited partner unit, in non-cash derivatives net losses from certain commodity and interest rate hedges that are subject to mark-to-market accounting.

The Partnership's distributable cash flow for the first quarter of 2012 was $22.8 million.

Ruben Martin, president and chief executive officer of Martin Midstream GP LLC, the general partner of Martin Midstream Partners, said, "We are pleased with the Partnership's first quarter financial performance. For the quarter we earned distributable cash flow of approximately $22.8 million and a strong distribution coverage ratio of 1.17 times. The Partnership benefitted from stronger than expected performance in our Sulfur Services Segment as our fertilizer and molten sulfur divisions continued their positive momentum and strong margin levels we saw in the fourth quarter last year. Operationally, our fertilizer production units are running at very high levels of utilization that coincides with strong customer demand for our product offerings.”

On April 24, Martin Midstream declared a quarterly cash distribution of $0.7625 per unit for the quarter ended March 31. This quarterly distribution remains unchanged from the distribution paid in the prior quarter. The distribution is payable on May 15 to common unitholders of record as of the close of business on May 8. The ex-dividend date for the cash distribution is May 4, 2012. 

MarkWest Energy Partners increases quarterly cash distribution to $0.79

MarkWest Energy Partners, L.P. (NYSE: MWE) on April 26 declared a cash distribution of $0.79 per common unit for the first quarter of 2012, for an implied annual rate of $3.16 per common unit. The first quarter 2012 distribution represents an increase of $0.12 per common unit, or 17.9 percent, compared to the first quarter 2011 distribution and an increase of $0.03 per common unit, or 4.0 percent, compared to the fourth quarter 2011 distribution.

MarkWest announces producer agreement for East Texas processing expansion

MarkWest Energy Partners, L.P. (NYSE: MWE) on March 19 announced the execution of long-term gathering and processing agreements with Anadarko Petroleum Corp. (NYSE: APC) that will support the recently announced 120 million cubic feet per day (MMcf/d) expansion of the Partnership's cryogenic processing capacity in East Texas.

MarkWest will provide gathering and processing services to support Anadarko's liquids-rich development program within Panola County, Texas.

To provide critical midstream services to Anadarko and other producer customers that are expanding their drilling programs in East Texas, including Chevron, PetroQuest Energy, and Samson Lone Star, LLC, MarkWest is constructing the Carthage East plant, with cryogenic processing capacity of 120 MMcf/d, increasing total processing capacity in East Texas to 400 MMcf/d. In addition, Carthage East will expand the Partnership's gathering capacity in East Texas by 140 MMcf/d and residue gas outlet capacities by 60 MMcf/d.

MarkWest Energy offering of 5.9 million units priced at 3.2 percent discount

An offering of 5.9 million units by MarkWest Energy Partners LP (NYSE: MWE) was priced at a 3.2 percent discount to its March 12 closing price.

The natural-gas processor and distributor said on March 12 that it planned to undertake the offering to raise funds for its capital-expenditure program.

MarkWest had 95.9 million common units outstanding as of Feb. 17. (Source:  Mia Lamar, Dow Jones Newswires; 212-416-3207; mia.lamar@dowjones.com

MarkWest Energy's 3.5 million unit offering priced at 3.4 percent discount

DALLAS, Texas - The upsized offering on July 8 of 3.5 million units of MarkWest Energy Partners LP (NYSE: MWE) was priced at $48.00, a 3.4 percent discount to the unit's July 7 close. The offering will be used to fund debt repayment.

Units of the natural-gas processor and distributor on July 8 closed down 2.76 percent at $48.30.

MarkWest disclosed plans to offer 3.2 million units late on July 7, adding itself to a growing list of companies tapping equity markets to pay down debt. In addition to repaying amounts under its revolving credit facility, MarkWest planned to use some proceeds for ongoing capital expenditures.

The Partnership has granted the underwriters a 30-day option to purchase a maximum of 525,000 additional common units to cover over-allotments, if any.

In the first quarter, MarkWest recorded a loss because of derivative effects and a loss from repaying debt, but revenue climbed at most of its units.

MarkWest Energy agrees to buy EQT natural gas assets for $230 million

Markwest Energy will pay EQT Corp. $230 million for Kentucky property.

The acquisition includes an associated natural gas liquids pipeline and a 100 million cubic feet per day cryogenic processing plant.

EQT Corporation and MarkWest Energy Partners said on Jan. 2 that MarkWest had agreed to acquire EQT's natural gas processing complex in Langley, Ky., for $230 million.

MarkWest said it will expand the cryogenic processing capacity immediately following the close of the acquisition, which is expected by the end of the first quarter.

Upon the close of the transaction, EQT will execute a long-term agreement with MarkWest to provide processing services for its Kentucky Huron/Berea shale gas, including natural gas liquids transportation, fractionation, and marketing services through 2022.

MarkWest, ArcLight place Arkoma Connector in service

The 50-mile Arkoma Connector interstate natural gas transmission line was placed in service in July.
In May 2009, MarkWest Energy Partners, LP, and an affiliate of ArcLight Capital Partners, announced the formation of a joint venture to own and operate the Arkoma Connector, which provides 638,000 dekatherms per day of Woodford Shale takeaway capacity and interconnects with Midcontinent Express Pipeline and Gulf Crossing Pipeline at Bennington, Okla.
Under the terms of the joint venture agreement, ArcLight acquired a 50 percent equity interest in the joint venture for $62.5 million.
MarkWest will receive a service fee for operating and managing the joint venture. MarkWest and ArcLight will invest equally in the ongoing costs to operate or expand the pipeline.