Plains All American Pipeline
Plains All American Pipeline, L.P. and Plains GP Holdings Report Second-Quarter 2017 Results and Update 2017 Full-Year Guidance and 2018 Preliminary Forecast

Aug 8, 2017

Plains All American Pipeline, L.P. (NYSE:PAA) and Plains GP Holdings (NYSE:PAGP) today (8/7) reported second-quarter 2017 results.

"This afternoon PAA reported second-quarter results in line with the guidance provided in May," stated Greg L. Armstrong, Chairman and CEO of Plains All American Pipeline. "We continue to generate attractive year-over-year growth in our fee-based segments, as second quarter 2017 results for our Transportation and Facilities segments increased an aggregate of 10% over last year's comparative quarterly results. Additionally, our outlook for our fee-based segments, which comprise more than 90% of our consolidated Adjusted EBITDA, remains solid. Based on completion of several projects and step ups in commitment levels, we currently expect these two fee-based segments to generate approximately 15% growth in 2018.

"Unfortunately, we continue to experience significant downward pressure in our margin-based Supply and Logistics segment. As a result, we updated our full-year 2017 Adjusted EBITDA guidance and our 2018 preliminary forecast. The updated 2017 guidance reflects a downward revision of $185 million, or 8%, primarily associated with the Supply & Logistics segment. Our 2018 preliminary forecast now includes a range with respect to our Supply & Logistics segment, from $100 million to $300 million.

"The revisions to our updated 2017 Adjusted EBITDA guidance are associated with our Supply and Logistics activities, primarily due to a lack of visibility for crude oil and NGL arbitrage opportunities that we have historically been able to capture with our asset base and business model and margin erosion in our crude oil and NGL supply activities.

"As we will discuss on our conference call, we are taking a number of actions to ensure we are responsive to the market changes experienced by our Supply and Logistics businesses. These actions include changing the way we plan to manage our distribution and taking other business, financial and balance sheet management actions." Armstrong noted that the conference call will be held today, August 7, 2017, at 5:00 p.m. Central Time versus the originally scheduled time of Tuesday, August 8, 2017 at 10:00 a.m. Central Time.

Click here to read the full press release.

For more information:

Plains All American Pipeline, L.P.

333 Clay Street, Suite 1600
Houston, Texas
United States, 77002

Link http://electricenergyonline.com/detail_news.php?ID=649770
Most consulted news
Click here to try the new version of Electric Energy Online!