The 16-day government shutdown hurt jobs growth in the private sector this month with only 130,000 jobs added, a drop if 15,000 from September, according to ADP's National Employment Report.
September also didn't add as many jobs as ADP originally reported. It revised private sector payroll increases from 166,000 to 145,000.
Service industries added the most jobs, but still fewer than last month at 107,000 compared with 130,000 in September. Trade, transportation, and utilities businesses had the biggest October jobs growth within the service sector.
October jobs performance among private employers was "well below the average of the last 12 months," ADP President and CEO Carlos Rodriguez said in a company statement.
STOCKS WEDNESDAY: How markets are doing
He added that large businesses fared better than small businesses in terms of payroll growth between September and October.
Western Refining Logistics, LP, incorporated on July 17, 2013, owns, operates, develops, and acquires terminals, storage tanks, pipelines, and other logistics assets. As of December 31, 2012, the Company�� assets includes pipeline and gathering assets and terminalling, transportation, and storage assets in the Southwestern portion of the United States, which included approximately 300 miles of pipelines and approximately 7.9 million barrels of active storage capacity, as well as other assets. The Company's assets are integral to the operations of Western�� refineries located in El Paso, Texas, and near Gallup, New Mexico.
As of December 31, 2012, the Company owns and operates two refineries, in El Paso, Texas and Gallup, New Mexico, with a total crude oil throughput capacity of 153,000 barrels per day (bpd). The Company does not take ownership of the hydrocarbons or products (other than certain additives) that it handles or engages in the trading of any commodities.
Advisors' Opinion: - [By Robert Rapier]
Western Refining Logistics (NYSE: WNRL) debuted on Oct. 10. The partnership was formed by Western Refining (NYSE: WNR) to own, operate, develop and acquire terminals, storage tanks, pipelines, and other logistics assets. WNRL’s assets include 300 miles of crude oil pipelines, gathering systems, and 566,000 barrels of crude oil storage located primarily in the Permian Basin. Most of its revenue is expected to be derived from two 10-year, fee-based agreements with Western Refining.
Top Transportation Companies To Buy Right Now: Tallgrass Energy Partners LP (TEP)
Tallgrass Energy Partners, LP incorporated on February 6, 2013, is a limited partnership company. It provides natural gas transportation and storage services for customers in the Rocky Mountain and Midwest regions of the United States through its Tallgrass Interstate Gas transportation system and processing services for customers in Wyoming through its Midstream Facilities. The Company operates in two segments: Gas Transportation and Storage and Processing. The Gas Transportation and Storage segment is engaged in ownership and operation of interstate natural gas pipelines and related natural gas storage facilities that provide services to third-party natural gas distribution utilities and other shippers. The Processing segment is engaged in ownership and operation of natural gas processing and treating facilities that produce natural gas liquids and residue gas that is sold in local wholesale markets or delivered into pipelines for transportation to additional end markets.
The Company provides processing services for customers in Wyoming through its Casper and Douglas natural gas processing and West Frenchie Draw natural gas treating facilities. The Casper and Douglas plants have combined capacity of 138.5 138.5 MMcf/d. The Company has its operations in Lakewood, Colarado. The Company owns and natural gas processing plants in Casper and Douglas, Wyoming and a natural gas treating facility at West Frenchie Draw, Wyoming through its wholly-owned subsidiary, Tallgrass Midstream, LLC.
The Company competes with Kinder Morgan and Southern Star Central Gas Pipeline, Inc.
Advisors' Opinion: - [By Robert Rapier]
Tallgrass Energy Partners (NYSE: TEP) is a midstream limited partnership that provides natural gas transportation and storage services in the Rocky Mountain and Midwest regions of the US. The partnership launched on May 13, 2013 and in late June increased EBITDA guidance above analysts’ expectations, causing units to climb nearly 21 percent by year-end. In December TEP reiterated guidance for 1.2x distribution coverage for the entire year. The partnership recently declared a distribution of $0.3150 per unit for the fourth quarter of 2013 – a 5.9 percent increase from the Q3 2013 distribution. TEP’s annualized yield based on the most recent distribution is 4.8 percent, its current EV is $1.28 billion and its total debt/equity (mrq) is 30.5 percent.
- [By Aimee Duffy]
Tallgrass Energy Partners (NYSE: TEP ) followed closely behind, going public on May 14. This midstream company picked up some of Kinder Morgan Energy Partners'�western-based natural gas assets when KMP was forced to divest them to receive the Department of Justice's blessing on the El Paso acquisition.
Top Transportation Companies To Buy Right Now: CryoPort Inc (CYRX)
Cryoport, Inc. (CryoPort), incorporated on May 25, 1990, provides frozen shipping logistics solutions to the biotechnology and life science industries. The Company�� solutions are disruptive to old technologies and provide reliable, economic alternatives to existing products and services utilized for frozen shipping in biotechnology and life sciences including stem cells, cell lines, vaccines, diagnostic materials, semen and embryos for in-vitro fertilization, cord blood, bio-pharmaceuticals, infectious substances and other items that require continuous exposure to frozen or cryogenic temperatures.
The Company offer its solutions to companies in the biotechnology and life sciences industries and specific verticals including manufacturers of stem cells and cell lines, diagnostic laboratories, bio-pharmaceuticals, contract research organizations, in-vitro fertilization, cord blood, vaccines, tissue, animal husbandry, and other producers of commodities requiring reliable frozen solutions for logistics problems.
The CryoPort Express System
Cryoport Express Solutions include a cloud-based logistics management software branded as the Cryoportal. The Cryoportal supports the management of the entire shipment process through a single interface which includes initial order input, document preparation, customs clearance, courier management, shipment tracking, issue resolution, and delivery. Cryoport�� total turnkey logistics solutions offer reliability, cost effectiveness, and convenience, while the use of recyclable and reusable components provides green, environmentally friendly solutions. The Cryoportal provides an array of information dashboards and validation documentation for every shipment.
Cryoport Express Solutions include recording and retaining a fully documented chain-of-custody and, at the client�� option, chain-of-condition for every shipment, helping ensure that safety, efficacy, and stability of shipped commodities are maintained. This re! corded and archived information allows its customers to meet the exacting requirements necessary for scientific work and for regulatory purposes. Cryoport Express Solutions can be used by customers, as a turnkey solution, through direct access to the cloud-based Cryoportal, or by contacting Cryoport Client Care for order entry tasks. Cryoport provides 24/7/365 logistics services through its Client Care team and also provides complete training and process management services to support each client�� specific requirements.
The CryoPort Express System
The CryoPort Express System consists of the CryoPort Express Portal, which programmatically manages order entry and all aspects of shipping operations, CryoPort Express Shippers, the CryoPort Express Smart Pak data logger, and CryoPort Express Analytics, which monitors shipment performance metrics and evaluates temperature-monitoring data collected by the data logger during shipment. In addition, the Company provides a containment bag, which is used in connection with the shipment of infectious or dangerous goods using the CryoPort Express Shipper and other accessories used in the shipment of biological and pharmaceutical specimens.
CryoPort Express Portal
The CryoPort Express Portal is used by CryoPort, the Company�� customers and its business partners to automate the entry of orders, prepare customs documentation and to facilitate status and location monitoring of shipped orders while in transit it is used by CryoPort to manage shipping operations. It is also used to support the high level of customer service. The CryoPort Express Portal also serves as the communications nerve center for the management, collection and analysis of Smart Pak data collected from Smart Pak data loggers in the field.
The CryoPort Express Shippers
The Company�� CryoPort Express Shippers are cryogenic dry vapor shippers capable of maintaining cryogenic temperatures of minus 150掳 Celsius or below f! or a peri! od of 10 or more days. A dry cryogenic shipper is a device that uses liquid nitrogen contained inside a vacuum insulated bottle, which serves as a refrigerant to provide stable storage temperatures below minus 150掳 Celsius. It has developed a retention system to ensure that liquid nitrogen stays inside the vacuum container, which allows the shipper to be designated as a dry shipper meeting International Air Transport Association (IATA) requirements. The Company is offering two sizes of dry vapor shippers, the CryoPort Express Standard Shipper with a storage capacity of up to 75 0.2 milliliter vials and the CryoPort Express High Volume Shipper, which was introduced, in January of 2012 with a capacity of up to 500 0.2 milliliter vials.
The CryoPort Express Standard Shipper
The Standard CryoPort Express Shippers are lightweight, re-usable dry vapor liquid nitrogen storage containers. A Standard CryoPort Express Shipper is composed of an aluminum metallic dewar flask, with a well for holding the biological material in the inner chamber.
The CryoPort Express High Volume Shippers
The Cryoport Express High Volume Shipper also uses a dry vapor liquid nitrogen (LN2) technology to maintain below -150掳 C temperatures with a dynamic shipping endurance of 10 days. The CryoPort Express High Volume dry shipper uses a dry vapor liquid nitrogen (LN2) technology to maintain below -150掳 Celsius temperatures. The High Volume dry shipper has a storage capacity of up to 500 0.2 milliliter vials.
The CryoPort Express Smart Pak
Phase II of the Company�� Smart Pak System, which is a self-contained automated data logger capable of recording the internal and external temperatures of samples shipped in its CryoPort Express Shipper is used in every shipment. Phase III of its Smart Pak System consists of developing and rolling out a chip with wireless connectivity to enable its customers to monitor a shipper�� location, specimen temperature and over! all state! of health via its Web portal. The Company is developing the requirements for Phase III.
Cryoport Express Analytics
The Cryoportal is an important information technology element of its business strategy and has been designed to support planned future features to allow for an expansion of its solutions offering. Analytics is a term used by IT professionals to refer to performance benchmarks or Key Performance Indicators (KPI��) that management utilizes to measure performance against desired standards. Examples for analytics tracked through the Cryoportal include time-based metrics for order processing time and on-time deliveries by its shipping partners, as well as profiling shipping lanes to determine average transit times and predicting potential shipping exceptions based on historical metrics.
Biological Material Holders
The Company has developed a containment bag, which is used in connection with the shipment of infectious or dangerous goods using the CryoPort Express Shipper. Up to five vials, watertight primary receptacles are placed onto aluminum holders and up to fifteen holders (75 vials) are placed into an absorbent pouch, which is designed to absorb the entire contents of all the vials in the event of leakage. This pouch containing up to 75 vials is then placed in a watertight secondary packaging Tyvek bag capable of withstanding cryogenic temperatures, and then sealed. This bag is then placed into the well of the cryogenic shipper.
The Company competes with MVE/Chart Industries, Taylor Wharton and Air Liquide, Marathon Products Inc., Kodiak Thermal Technologies, Inc, BioStorage Technologies and BioMatrica, Inc.
Advisors' Opinion: - [By CRWE]
Today, CYRX has shed (-10.00%) down -0.050 at $.450 with�179,695 shares in play thus far (ref. google finance Delayed: 12:35PM EDT October 4, 2013).
Cryoport, Inc. and OCASA, Inc. have previously entered into a master services agreement to provide global cold chain logistics solutions for life science and biotech commodities requiring cryogenic temperatures. OCASA will have access to Cryoport�� full range of cryogenic business solution capabilities including its proprietary Cryoport Express庐 Shippers and cloud-based logistics management software platform, the CryoportalTM. Cryoport will leverage OCASA�� global logistics network to provide more complete global services to its customers. In conjunction with Cryoport and OCASA providing each other with logistics solutions, the Companies will engage in co-marketing, joint sales activities, and a wide range of customer-driven support requirements to provide comprehensive and seamless solutions to the life sciences and biotech industries
Top Transportation Companies To Buy Right Now: Access Midstream Partners LP (ACMP)
Access Midstream Partners, L.P., formerly Chesapeake Midstream Partners, L.L.C. (Partnership), incorporated on January 21, 2010, owns, operates, develops and acquires natural gas, natural gas liquids (NGLs) and oil gathering systems and other midstream energy assets. The Company is focused on natural gas and NGL gathering. The Company provides its midstream services to Chesapeake Energy Corporation (Chesapeake), Total E&P USA, Inc. (Total), Mitsui & Co. (Mitsui), Anadarko Petroleum Corporation (Anadarko), Statoil ASA (Statoil) and other producers under long-term, fixed-fee contracts. On December 20, 2012, the Company acquired from Chesapeake Midstream Development, L.P. (CMD), a wholly owned subsidiary of Chesapeake, and certain of CMD's affiliates, 100% of interests in Chesapeake Midstream Operating, L.L.C. (CMO). As a result of the CMO Acquisition, the Partnership owns certain midstream assets in the Eagle Ford, Utica and Niobrara regions. The CMO Acquisition also extended the Company's assets and operations in the Haynesville, Marcellus and Mid-Continent regions.
The Company operates assets in Barnett Shale region in north-central Texas; Eagle Ford Shale region in South Texas; Haynesville Shale region in northwest Louisiana; Marcellus Shale region in Pennsylvania and West Virginia; Niobrara Shale region in eastern Wyoming; Utica Shale region in eastern Ohio, and Mid-Continent region, which includes the Anadarko, Arkoma, Delaware and Permian Basins. The Company's gathering systems collect natural gas and NGLs from unconventional plays. The Company generates its revenues through long-term, fixed-fee gas gathering, treating and compression contracts and through processing contracts.
Barnett Shale Region
The Company's gathering systems in its Barnett Shale region are located in Tarrant, Johnson and Dallas counties in Texas in the Core and Tier 1 areas of the Barnett Shale and consist of 25 interconnected gathering systems and 850 miles of pipeline. During the year! ended December 31, 2012, average throughput on the Company's Barnett Shale gathering system was 1.195 billion cubic feet per day. The Company connects its gathering systems to receipt points that are either at the individual wellhead or at central receipts points into which production from multiple wells are gathered. The Company's Barnett Shale gathering system is connected to the three downstream transportation pipelines: Atmos Pipeline Texas, Energy Transfer Pipeline Texas and Enterprise Texas Pipeline. Natural gas delivered into Atmos Pipeline Texas pipeline system serves the greater Dallas/Fort Worth metropolitan area and south, east and west Texas markets at the Katy, Carthage and Waha hubs. Natural gas delivered into Energy Transfer Pipeline Texas pipeline system serves the greater Dallas/Fort Worth metropolitan area and southeastern and northeastern the United States markets supplied by the Midcontinent Express Pipeline, Centerpoint CP Expansion Pipeline and Gulf South 42-inch Expansion Pipeline. Natural gas delivered into Enterprise Texas Pipeline pipeline system serves the greater Dallas/Fort Worth metropolitan area and southeastern and northeastern the United States markets supplied by the Gulf Crossing Pipeline.
Eagle Ford Shale Region
The Company's gathering systems in its Eagle Ford Shale region are located in Dimmit, La Salle, Frio, Zavala, McMullen and Webb counties in Texas and consist of 10 gathering systems and 618 miles of pipeline. During 2012, gross throughput for these assets was 0.169 billion cubic feet per day. The Company connects its gathering systems to central receipt points into which production from multiple wells is gathered. The Company's Eagle Ford gathering systems are connected to six downstream transportation pipelines, which include Enterprise, Camino Real, West Texas Gas, Regency Gas Service, Eagle Ford Gathering and Enerfin. The Company processes gas at Yoakum or other Enterprise plants and transports residue to Wharton residue header w! ith conne! ctions to numerous interstate pipelines.
Haynesville Shale Region
The Company's Springridge gas gathering system in the Haynesville Shale region is located in Caddo and DeSoto Parishes, Louisiana, in one of the core areas of the Haynesville Shale and consists of 263 miles of pipeline. During 2012, average throughput on the Company's Springridge gathering system was 0.359 billion cubic feet per day. The Company connects its gathering system to receipt points that are at central receipt points into which production from multiple wells is gathered. The Company's Springridge gathering system is connected to three downstream transportation pipelines: Centerpoint Energy Gas Transmission, ETC Tiger Pipeline and Texas Gas Transmission Pipeline. The Company's Mansfield gas gathering system in the Haynesville Shale region is located in DeSoto and Sabine Parishes, Louisiana, in one of the areas of the Haynesville Shale and, as of December 31, 2012, consist of 304 miles of pipeline. During 2012, average throughput on the Company's Mansfield gathering system was 0.720 billion cubic feet per day. The Company connects its gathering system to receipt points that are at central receipt points into which production from multiple wells is gathered and treated. The Company's Mansfield gathering system is connected to two downstream transportation pipelines: Enterprise Accadian Pipeline and Gulf South Pipeline. Natural gas delivered into Enterprise Accadian pipeline can move to on-system markets in the Midwest and to off-system markets in the Northeast through interconnections with third-party pipelines. Natural gas delivered into Gulf South pipeline can move to on-system markets in the Midwest and to off-system markets in the Northeast through interconnections with third-party pipelines.
Marcellus Shale Region
Through Appalachia Midstream, the Company operates 100% of and own an approximate average 47% interests in 10 gas gathering systems that consist of approximately 5! 49 miles ! of gathering pipeline in the Marcellus Shale region. The Company's volumes in the region are gathered from northern Pennsylvania, southwestern Pennsylvania and the northwestern panhandle of West Virginia, in core areas of the Marcellus Shale. The Company operates these smaller systems in northeast and central West Virginia, southeast Pennsylvania, northwest Maryland, north central Virginia, and south central New York. During 2012, gross throughput for Appalachia Midstream assets was just over 1.8 billion cubic feet per day. The Company's Marcellus gathering systems' delivery points include Caiman Energy, Central New York Oil & Gas, Columbia Gas Transmission, MarkWest, NiSource Midstream, PVR and Tennessee Gas Pipeline. Natural gas is delivered into a 16-inch pipeline and delivered to the Caiman Energy Fort Beeler processing plant where the liquids are extracted from the gas stream. The natural gas is then delivered into the TETCo interstate pipeline for ultimate delivery to the Northeast region of the United States. Natural gas delivered into Central New York Oil & Gas 30-inch diameter pipeline can be delivered to Stagecoach Storage, Millennium Pipeline, or Tennessee Gas Pipeline's Line 300. In Columbia Gas Transmission lean natural gas is delivered into two 36-inch interstate pipelines for delivery to the Mid-Atlantic and Northeast regions of the United States. Natural gas is delivered into a MarkWest pipeline for delivery to the MarkWest Houston processing plant where the liquids are extracted from the gas stream. In NiSource Midstream natural gas is delivered into a 20-inch diameter pipeline and delivered to the MarkWest Majorsville processing plant where the liquids are extracted from the rich gas stream. In PVR natural gas is delivered into the 24-inch diameter Wyoming pipeline and the Hirkey Compressor Station. In Tennessee Gas Pipeline natural gas is delivered into this looped 30-inch diameter pipeline (TGP Line 300) at three different locations can be received in the Northeast at points along th! e 300 Lin! e path, interconnections with other pipelines in northern New Jersey, as well as an existing delivery point in White Plains, New York.
Niobrara Shale Region
The Company's gathering systems in the Niobrara Shale region are located in Converse County, Wyoming and consist of two interconnected gathering systems and 79 miles of pipeline. During 2012, average throughput in the Company's Niobrara Shale region was 0.013 billion cubic feet per day. The Company connects its gathering systems to receipt points,which are either at the individual wellhead or at central receipts points into which production from multiple wells are gathered. The Company's Niobrara gathering systems are connected to two downstream transportation pipelines: Tallgrass/Douglas Pipeline and North Finn/DCP Inlet Pipeline. Natural gas delivered into Tallgrass/Douglas pipeline is sent to the Tallgrass processing facility; after processing, natural gas is delivered to Cheyenne Hub, Rockies Express Pipeline, or Trailblazer Pipeline through Tallgrass Interstate Gas Transmission.
Utica Shale Region
The Company's gathering systems in the Utica Shale region are located in northeast Ohio and consist of 67 miles of pipeline. The Company's Utica gathering systems are connected to two downstream transportation pipelines: Dominion East Ohio (Blue Racer) and Dominion Transmission, Inc.
Mid-Continent Region
The Company's Mid-Continent gathering systems extend across portions of Oklahoma, Texas, Arkansas and Kansas. Included in the Company's Mid-Continent region are three treating facilities located in Beckham and Grady Counties, Oklahoma, and Reeves County, Texas, which are designed to remove contaminants from the natural gas stream.
Anadarko Basin and Northwest Oklahoma
The Company's assets within the Anadarko Basin and Northwest Oklahoma are located in northwestern Oklahoma and the northeastern portion of the Texas Panhandle and consist of appro! ximately ! 1,578 miles of pipeline. During 2012, the Company's Anadarko Basin and Northwest Oklahoma region gathering systems had an average throughput of 0.457 billion cubic feet per day. Within the Anadarko Basin and Northwest Oklahoma, the Company is focused on servicing Chesapeake's production from the Colony Granite Wash, Texas Panhandle Granite Wash and Mississippi Lime plays. Natural gas production from these areas of the Anadarko Basin and Northwest Oklahoma contains NGLs. In addition, the Company operates an amine treater with sulfur removal capabilities at its Mayfield facility in Beckham County, Oklahoma. The Company's Mayfield gathering and treating system gathers Deep Springer natural gas production and treats the natural gas to remove carbon dioxide and hydrogen sulfide to meet the specifications of downstream transportation pipelines.
The Company's Anadarko Basin and Northwest Oklahoma systems are connected to a transportation pipelines transporting natural gas out of the region, including pipelines owned by Enbridge and Atlas Pipelines, as well as local market pipelines such as those owned by Enogex. These pipelines provide access to Midwest and northeastern the United States markets, as well as intrastate markets.
Permian Basin
The Company's Permian Basin assets are located in west Texas and consist of approximately 358 miles of pipeline across the Permian and Delaware basins. During 2012, average throughput on the Company's gathering systems was 0.076 billion cubic feet per day. The Company's Permian Basin gathering systems are connected to pipelines in the area owned by Southern Union, Enterprise, West Texas Gas, CDP Midstream and Regency. Natural gas delivered into these transportation pipelines is re-delivered into the Waha hub and El Paso Gas Transmission. The Waha hub serves the Texas intrastate electric power plants and heating market, as well as the Houston Ship Channel chemical and refining markets. El Paso Gas Transmission serves western the United ! States ma! rkets.
Other Mid-Continent Regions
The Company's other Mid-Continent region assets consist of systems in the Ardmore Basin in Oklahoma, the Arkoma Basin in eastern Oklahoma and western Arkansas and the East Texas and Gulf Coast regions of Texas. The other Mid-Continent assets include approximately 648 miles of pipeline. These gathering systems are localized systems gathering specific production for re-delivery into established pipeline markets. During 2012, average throughput on these gathering systems was 0.031 billion cubic feet per day.
The Company competes with Energy Transfer Partners, Crosstex Energy, Crestwood Midstream Partners, Freedom Pipeline, Peregrine Pipeline, XTO Energy, EOG Resources, DFW Mid-Stream, Enbridge Energy Partners, DCP Midstream, Enterprise Products Partners Inc., Regency Energy Partners, Texstar Midstream Operating, West Texas Gas Inc., TGGT Holdings, Kinderhawk Field Services, CenterPoint Field Services, Williams Partners, Penn Virginia Resource Partners, Caiman Energy, MarkWest Energy Partners, Kinder Morgan, Dominion Transmission (Blue Racer), Enogex and Atlas Pipeline Partners.
Advisors' Opinion: - [By Marc Bastow]
Natural gas and gas liquids owner and operator Access Midstream Partners (ACMP) raised its quarterly distribution 23.5% to 55.5 cents per unit for its Common and Class C units, payable on Feb. 14 to unit holders of record as of Feb. 7.
ACMP Dividend Yield: 3.96%
- [By Robert Rapier]
That�� the neat trick�Williams�(NYSE: WMB) pulled off today in converting its equity investment in�Access Midstream Partners�(NYSE: ACMP) into full control that will allow it to use ACMP�� surplus �cash flow to offset the deficit at its fully sponsored�Williams Partners�(NYSE: WPZ) MLP, which is to be folded into Access. Williams shareholders get stepped up dividend growth and strategic control of valuable assets.
Top Transportation Companies To Buy Right Now: GasLog Ltd (GLOG)
GasLog Ltd. (GasLog), incorporated on July 16, 2003, is an owner, operator and manager of liquefied natural gas (LNG) carriers. The Company is a holding company. Its subsidiaries conduct all of its operations and own all of its operating assets, including its ships. The Company operates in two segments: vessel ownership and vessel management. In the vessel ownership segment, the services provided primarily consist of chartering out company-owned LNG carriers, and in the vessel management segment the services provided consist of LNG carrier technical management services, as well as LNG carrier construction supervision services and other vessel management services provided to the Company�� vessel ownership segment and to external third parties.
In February 2011, GasLog Carriers Ltd. established two vessel-owning companies, GAS-five Ltd. and GAS-six Ltd. In March 2011, GasLog Carriers Ltd. established two vessel-owning companies, GAS-seven Ltd. and GAS-eight Ltd. In June 2011, GasLog Carriers Ltd. established two additional vessel-owning companies, GAS-nine Ltd. and GAS-ten Ltd. In June 2011, Ceres Shipping Ltd. (Ceres Shipping) transferred its interest in GasLog Ltd. to Blenheim Holdings Ltd. (Blenheim Holdings). In June 2011, an entity jointly owned by the Livanos and Radziwill families (Joint Venture Partner) sold its 49% interest in GAS-three Ltd., GAS-four Ltd., GAS-five Ltd. and GAS-six Ltd. to Ceres Shipping. Ceres Shipping contributed the 49% interest in GAS-three Ltd., GAS-four Ltd., GAS-five Ltd. and GAS-six Ltd. to Blenheim Holdings, who in turn contributed the 49% interest in these four vessel-owning companies to GasLog Ltd., which contributed the same to GasLog Carriers Ltd. As of December 31, 2011, the Company owned 100% interest in GAS-three Ltd., GAS-four Ltd., GAS-five Ltd. and GAS-six Ltd. On July 11, 2011 and September 5, 2011, the Company transferred its interest of two dormant subsidiaries, GasLog Holdings Limited and GasLog Services Limited, respectively, to Ceres Shi! pping.
As of December 31, 2011, the Company�� owned fleet consisted of 10 wholly owned LNG carriers. As of December 31, 2011, the Company managed and operated 14 LNG carriers, which included its owned ships, as well as 11 ships owned or leased by BG Group plc (BG Group), a participant in the worldwide energy and natural gas markets, and one additional LNG carrier in which it had a 25% interest. As of December 31, 2011, the Company owned a 25% interest in Egypt LNG Shipping Ltd. (Egypt LNG), whose principal asset is the LNG carrier Methane Nile Eagle. The Company�� owned fleet includes the GasLog Savannah, the GasLog Singapore, four LNG carriers on order at Samsung Heavy Industries Co., Ltd. (Samsung Heavy Industries) in South Korea, two LNG carriers on order at Samsung Heavy Industries in South Korea, and two LNG carriers on order at Samsung Heavy Industries in South Korea.
The Company�� wholly owned subsidiary, GasLog LNG Services Ltd., (GasLog LNG Services) handles the technical management of its fleet. Through GasLog LNG Services, it provides technical ship management services for 12 LNG carriers owned by third parties in addition to management of the two LNG carriers operating in its owned fleet. The Company provides the services of its owned ships under time charters. The Company�� subsidiaries include GasLog Investments Ltd., GasLog Monaco S.A.M., Ceres LNG Employee Incentive Scheme Ltd., GasLog Carriers Ltd., GAS-one Ltd., GAS-two Ltd., GAS-three Ltd., GAS-four Ltd., GasLog Shipping Company Ltd., GasLog Shipping Limited and Egypt LNG Shipping Ltd.
Advisors' Opinion: - [By Heather Ingrassia]
On Thursday, August 15, GasLog (GLOG) announced that it had ordered two new 174K cbm Tri-Fuel Diesel Electric LNG carriers from Samsung Heavy Industries. These carriers are expected to be delivered in 2016 which is the same year the company will begin seven-year charters with BG Group (BRGYY.PK) (BRGXF.PK).
- [By Robert Rapier]
Last month saw two new master limited partnerships (MLPs) go public.�GasLog Partners�(NYSE: GLOP) is an offshoot of�GasLog�(NYSE: GLOG), which is an owner, operator and manager of liquefied natural gas (LNG) carriers. GasLog (GLOG) owns the 2 percent general partner interest, all incentive distribution rights and a 49.8 percent limited partner interest in GLOP.
- [By Stephen Quickel]
Gaslog Limited (GLOG)
This Monaco-based company owns and operates a sizeable fleet of ocean-going liquefied natural gas (LNG) carriers, which it charters out and manages for others. Earnings are expected to grow 32% a year. Thirteen of 14 analysts rate it a Strong Buy or Buy.
Top Transportation Companies To Buy Right Now: Kinder Morgan Inc (KMI)
Kinder Morgan, Inc. (KMI), incorporated on August 23, 2006, owns and manages a diversified portfolio of energy transportation and storage assets. The Company operates in five business segments: Products Pipelines-KPM, Natural Gas Pipelines-KMP, CO2-KMP, Terminals-KMP and Kinder Morgan Canada-KMP. The Company through Kinder Morgan Energy Partners, L.P. (KMP) operates or owns an interest in approximately 37,000 miles of pipelines and approximately 180 terminals. These pipelines transport natural gas, refined petroleum products, crude oil, carbon dioxide and other products, and its terminals store petroleum products and chemicals, and handle such products as ethanol, coal, petroleum coke and steel. The Company is a provider of carbon dioxide (CO2), for enhanced oil recovery projects in North America. On December 15, 2011, KMP acquired a refined petroleum products terminal located on a 14-acre site in Lorton, Virginia from Motiva Enterprises, LLC. On May 25, 2012, KMI acquired El Paso Corporation. In August 2012, Kinder Morgan Energy Partners, L.P. acquired Tennessee Gas Pipeline (TGP) and a 50% interest in El Paso Natural Gas (EPNG) pipeline from KMI.
NGPL PipeCo LLC consists of its 20% interest in NGPL PipeCo LLC, the owner of Natural Gas Pipeline Company of America LLC and certain affiliates (collectively NGPL), an interstate natural gas pipeline and storage system, which it operates. On November 30, 2011, KMP acquired certain natural gas treating assets from SouthTex Treaters, Inc. On July 1, 2011, KMP acquired from Petrohawk Energy Corporation both the remaining 50% ownership interest in KinderHawk Field Services LLC that KMP did not already own and a 25% equity ownership interest in EagleHawk Field Services LLC. As of December 31, 2011, its interests in KMP and its affiliates consisted of the general partner interest, which the Company holds through its ownership of the general partner of KMP and which entitles the Company to receive incentive distributions; 21.7 million of the 238.0 mi! llion outstanding KMP units, representing an approximately 6.4% limited partner interest, and14.1 million of KMP�� 98.5 million outstanding i-units, representing an approximately 4.2% limited partner interest, through its ownership of 14.1 million Kinder Morgan Management, LLC (KMR) . The Company�� subsidiaries include Kinder Morgan Kansas, Inc. (KMK) and Kinder Morgan Energy Partners, L.P. (KMP).
Products Pipelines-KMP
The segment consists of KMP�� refined petroleum products and natural gas liquids pipelines and their associated terminals, Southeast terminals, and its transmix processing facilities. Products Pipelines-KMP, which consists of approximately 8,400 miles of refined petroleum products pipelines that deliver gasoline, diesel fuel, jet fuel and natural gas liquids to various markets; plus approximately 60 associated product terminals and petroleum pipeline transmix processing facilities serving customers across the United States.
KMP�� West Coast Products Pipelines include the SFPP, L.P. operations (often referred to in this report as the Pacific operations), the Calnev pipeline operations, and the West Coast Terminals operations. The assets include interstate common carrier pipelines regulated by the FERC, intrastate pipelines in the state of California regulated by the California Public Utilities Commission, and certain non rate-regulated operations and terminal facilities. The Pacific operations serve six western states with approximately 2,500 miles of refined petroleum products pipelines and related terminal facilities that provide refined products to population centers in the United States, including California; Las Vegas and Reno, Nevada, and the Phoenix-Tucson, Arizona corridor. During the fiscal year ended February 22, 2012 (fiscal 2011), the Pacific operations��mainline pipeline system transported approximately 1,071,400 barrels per day of refined products, with the product mix being approximately 59% gasoline, 24% diesel fuel, and 17! % jet fue! l.
The Calnev pipeline system consists of two parallel 248-mile, 14-inch and eight-inch diameter pipelines that run from KMP�� facilities at Colton, California to Las Vegas, Nevada. The pipeline serves the Mojave Desert through deliveries to a terminal at Barstow, California and two railroad yards. It also serves Nellis Air Force Base, located in Las Vegas, and also includes approximately 55 miles of pipeline serving Edwards Air Force Base in California. During fiscal 2011, the Calnev pipeline system transported approximately 118,800 barrels per day of refined products, with the product mix being approximately 41% gasoline, 33% diesel fuel, and 26% jet fuel.
KMP owns approximately 51% of Plantation Pipe Line Company, the sole owner of the approximately 3,100-mile refined petroleum products Plantation pipeline system serving the southeastern United States. KMP operates the system pursuant to agreements with Plantation and its wholly-owned subsidiary, Plantation Services LLC. The Plantation pipeline system originates in Louisiana and terminates in the Washington, District of Columbia area. It connects to approximately 130 shipper delivery terminals throughout eight states and serves as a common carrier of refined petroleum products to various metropolitan areas, including Birmingham, Alabama; Atlanta, Georgia; Charlotte, North Carolina, and the Washington, District of Columbia area. An affiliate of ExxonMobil Corporation owns the remaining approximately 49% ownership interest, and ExxonMobil has historically been one of the shippers on the Plantation system both in terms of volumes and revenues. In fiscal 2011, Plantation delivered approximately 518,000 barrels per day of refined petroleum products, with the product mix being approximately 67% gasoline, 20% diesel fuel, and 13% jet fuel.
KMP owns 50% of Cypress Interstate Pipeline LLC, the sole owner of the Cypress pipeline system. KMP operates the system pursuant to a long-term agreement. The Cypress pipeline is a! n interst! ate common carrier natural gas liquids pipeline originating at storage facilities in Mont Belvieu, Texas and extending 104 miles east to a connection with Westlake Chemical Corporation, a petrochemical producer in the Lake Charles, Louisiana area. Mont Belvieu, located approximately 20 miles east of Houston, is a hub for natural gas liquids gathering, transportation, fractionation and storage in the United States. The Cypress pipeline system has a capacity of approximately 55,000 barrels per day for natural gas liquids. In fiscal 2011, the system transported approximately 45,000 barrels per day.
KMP�� Southeast terminal operations consist of 27 liquid petroleum products terminals located along the Plantation/Colonial pipeline corridor in the Southeastern United States. The marketing activities of the Southeast terminal operations are focused on the Southeastern United States from Mississippi through Virginia, including Tennessee. The primary function involves the receipt of petroleum products from common carrier pipelines, short-term storage in terminal tankage, and subsequent loading onto tank trucks. Combined, the Southeast terminals have a total storage capacity of approximately 9.1 million barrels. In fiscal 2011, these terminals transferred approximately 353,000 barrels of refined products per day and together handled 9.2 million barrels of ethanol.
KMP�� Transmix operations include the processing of petroleum pipeline transmix, a blend of dissimilar refined petroleum products that have become co-mingled in the pipeline transportation process. During pipeline transportation, different products are transported through the pipelines abutting each other, and generate a volume of different mixed products called transmix. KMP processes and separates pipeline transmix into pipeline-quality gasoline and light distillate products at six separate processing facilities located in Colton, California; Richmond, Virginia; Dorsey Junction, Maryland; Indianola, Pennsylvania; Wood Riv! er, Illin! ois; and Greensboro, North Carolina. Combined, KMP�� transmix facilities processed approximately 10.6 million barrels of transmix in 2011.
Natural Gas Pipelines-KMP
Natural Gas Pipelines-KMP, which consists of approximately 16,200 miles of natural gas transmission pipelines and gathering lines, plus natural gas storage, treating and processing facilities, through which natural gas is gathered, transported, stored, treated, processed and sold. The Natural Gas Pipelines-KMP business segment contains both interstate and intrastate pipelines. Its primary businesses consist of natural gas sales, transportation, storage, gathering, processing and treating. Within this segment, KMP owns approximately 16,200 miles of natural gas pipelines and associated storage and supply lines that are strategically located at the center of the North American pipeline grid. KMP�� transportation network provides access to the gas supply areas in the western United States, Texas and the Midwest, as well as consumer markets.
KMP�� subsidiary, Kinder Morgan Treating, L.P., owns and operates (or leases to producers for operation) treating plants that remove impurities (such as carbon dioxide and hydrogen sulfide) and hydrocarbon liquids from natural gas before it is delivered into gathering systems and transmission pipelines to ensure that it meets pipeline quality specifications. Additionally, its subsidiary KM Treating Production LLC designs, constructs, and sells custom and stock natural gas treating plants. Combined, KMP�� rental fleet of treating assets include approximately 213 natural gas amine-treating plants, approximately 56 hydrocarbon dew point control plants, and more than 140 mechanical refrigeration units that are used to remove impurities and hydrocarbon liquids from natural gas streams prior to entering transmission pipelines.
KinderHawk Field Services LLC gathers and treats natural gas in the Haynesville shale gas formation located in northwest Louisiana.! Its asse! ts consist of more than 450 miles of natural gas gathering pipeline in service, with average throughput of approximately 1.1 billion cubic feet per day of natural gas. Additionally, the system�� natural gas amine treating plants have a capacity of approximately 2,600 gallons per minute. During 2011, KinderHawk executed firm gathering and treating agreements with a third-party producer for the long-term of five sections. KinderHawk also holds additional third-party gas gathering and treating commitments. In total, these contracts provide for the dedication of 36 sections, from four shippers, for 3 to 10 years. EagleHawk Field Services LLC provides natural gas gathering and treating services in the Eagle Ford shale formation in South Texas.
KMP owns a 40% interest in Endeavor Gathering LLC, which provides natural gas gathering service to GMX Resources��exploration and production activities in its Cotton Valley Sands and Haynesville/Bossier Shale horizontal well developments located in East Texas. GMX Resources, Inc. operates and owns the remaining 60% ownership interest in Endeavor Gathering LLC. Endeavor�� gathering system consists of over 100 miles of gathering lines and 25,000 horsepower of compressors that collect and compress natural gas from GMX Resources��operated natural gas production from wells located in its core area. The natural gas gathering system has takeaway capacity of approximately 115 million cubic feet per day. KMP owns a 50% equity interest in Eagle Ford Gathering LLC, which provides natural gas gathering, transportation and processing services to natural gas producers in the Eagle Ford shale gas formation in south Texas.
KMP�� Natural Gas Pipelines��upstream operations consist of its Casper and Douglas, Wyoming natural gas processing operations and its 49% ownership interest in the Red Cedar Gas Gathering Company. KMP owns and operates its Casper and Douglas, Wyoming natural gas processing plants, and combined, these plants have the capacity ! to proces! s up to 185 million cubic feet per day of natural gas depending on raw gas quality. Casper and Douglas are the natural gas processing plants, which provide straddle processing of natural gas flowing into KMP�� Kinder Morgan Interstate Gas Transmission LLC pipeline system. KMP also owns the operations of a carbon dioxide/sulfur treating facility located in the West Frenchie Draw field of the Wind River Basin of Wyoming, and includes this facility as part of its Casper and Douglas operations. The West Frenchie Draw treating facility has a capacity of 50 million cubic feet per day of natural gas.
KMP owns a 49% interest in the Red Cedar Gathering Company (Red Cedar). Red Cedar owns and operates natural gas gathering, compression and treating facilities in the Ignacio Blanco Field in La Plata County, Colorado. The remaining 51% interest in Red Cedar is owned by the Southern Ute Indian Tribe. Red Cedar�� natural gas gathering system consists of approximately 750 miles of gathering pipeline connecting more than 900 producing wells, 104,600 horsepower of compression at 22 field compressor stations and three carbon dioxide treating plants. The capacity and throughput of the Red Cedar gathering system is approximately 600 million cubic feet per day of natural gas.
KMP�� subsidiary, TransColorado Gas Transmission Company LLC (TransColorado), owns a 300-mile interstate natural gas pipeline that extends from approximately 20 miles southwest of Meeker, Colorado to the Blanco Hub near Bloomfield, New Mexico. KMP operates and owns 50% of the 1,679-mile Rockies Express natural gas pipeline system, a natural gas pipelines constructed in North America. The Rockies Express system consists of three pipeline segments: a 327-mile pipeline that extends from the Meeker Hub in northwest Colorado, across southern Wyoming to the Cheyenne Hub in Weld County, Colorado, a 713-mile pipeline from the Cheyenne Hub to an interconnect in Audrain County, Missouri and a 639-mile pipeline from Audrain Count! y, Missou! ri to Clarington, Ohio. KMP�� ownership is through its 50% equity interest in Rockies Express Pipeline LLC, the sole owner of the Rockies Express pipeline system. Sempra Pipelines & Storage, a unit of Sempra Energy, and ConocoPhillips each own 25% of Rockies Express Pipeline LLC.
The Rockies Express pipeline system is powered by 18 compressor stations totaling approximately 427,000 horsepower. The system is capable of transporting two billion cubic feet per day of natural gas from Meeker, Colorado to the Cheyenne Market Hub in northeastern Colorado and 1.8 billion cubic feet per day from the Cheyenne Hub to the Clarington Hub in Monroe County in eastern Ohio. Capacity on the Rockies Express system is contracted under 10 year firm service agreements with producers from the Rocky Mountain supply basin. These agreements provide the pipeline with fixed monthly reservation revenues for the primary term of such contracts through 2019, with the exception of one agreement representing approximately 10% of the pipeline capacity that grants a shipper the one-time option to terminate effective late 2014. With its connections to numerous other pipeline systems along its route, the Rockies Express system has access to almost all of the gas supply basins in Wyoming, Colorado and eastern Utah. Rockies Express is capable of delivering gas to multiple markets along its pipeline system, primarily through interconnects with other interstate pipeline companies and direct connects to local distribution companies.
KMP�� Central interstate natural gas pipeline group, which operates primarily in the Mid-Continent region of the United States, consists of four natural gas pipeline systems: Trailblazer Pipeline, Kinder Morgan Louisiana Pipeline, KMP�� 50% ownership interest in the Midcontinent Express Pipeline and KMP�� 50% ownership interest in the Fayetteville Express Pipeline. KMP�� subsidiary, Trailblazer Pipeline Company LLC (Trailblazer), owns the 436-mile Trailblazer natural gas pipelin! e system.! The Trailblazer pipeline system originates at an interconnection with Wyoming Interstate Company Ltd.�� pipeline system near Rockport, Colorado and runs through southeastern Wyoming to a terminus near Beatrice, Nebraska where it interconnects with NGPL�� and Northern Natural Gas Company�� pipeline systems. NGPL manages, maintains and operates the Trailblazer system for KMP, for which it is reimbursed at cost. Trailblazer offers its customers firm and interruptible transportation, and in 2011, it transported an average of approximately 717 million cubic feet per day of natural gas.
KMP�� subsidiary, Kinder Morgan Louisiana Pipeline LLC owns the Kinder Morgan Louisiana natural gas pipeline system. KMP owns a 50% interest in Midcontinent Express Pipeline LLC, the sole owner of the approximate 500-mile Midcontinent Express natural gas pipeline system. KMP also operates the Midcontinent Express pipeline system. Regency Midcontinent Express LLC owns the remaining 50% ownership interest. The Midcontinent Express pipeline system originates near Bennington, Oklahoma and extends eastward through Texas, Louisiana, and Mississippi, and terminates at an interconnection with the Transco Pipeline near Butler, Alabama. It interconnects with numerous pipeline systems and provides an important infrastructure link in the pipeline system moving natural gas supply from newly developed areas in Oklahoma and Texas into the United States��eastern markets. The pipeline system is comprised of approximately 30-miles of 30-inch diameter pipe, 275-miles of 42-inch diameter pipe and 197-miles of 36-inch diameter pipe. Midcontinent Express also has four compressor stations and one booster station totaling approximately 144,500 horsepower. It has two rate zones: Zone 1 (which has a capacity of 1.8 billion cubic feet per day) beginning at Bennington and extending to an interconnect with Columbia Gulf Transmission near Delhi, in Madison Parish Louisiana and Zone 2 (which has a capacity of 1.2 billion cubic feet ! per day) ! beginning at Delhi and terminating at an interconnection with Transco Pipeline near the town of Butler in Choctaw County, Alabama. Capacity on the Midcontinent Express system is 99% contracted under long-term firm service agreements that expire between 2012 and 2021. The ity of volume is contracted to producers moving supply from the Barnett shale and Oklahoma supply basins.
CO2-KMP
The CO2-KMP business segment consists of Kinder Morgan CO2 Company, L.P. and its consolidated affiliates, (collectively referred to KMCO2). The CO2-KMP business segment produces, transports, and markets carbon dioxide for use in enhanced oil recovery projects as a flooding medium for recovering crude oil from mature oil fields. CO2-KMP, which produces, markets and transports, through approximately 2,000 miles of pipelines, carbon dioxide to oil fields that use carbon dioxide to increase production of oil; owns interests in and/or operates eight oil fields in West Texas; and owns and operates a 450-mile crude oil pipeline system in West Texas
KMCO2 holds ownership interests in oil-producing fields located in the Permian Basin of West Texas, including an approximate 97% working interest in the SACROC unit; an approximate 50% working interest in the Yates unit; an approximate 21% net profits interest in the H.T. Boyd unit; an approximate 65% working interest in the Claytonville unit; an approximate 99% working interest in the Katz Strawn unit, and lesser interests in the Sharon Ridge unit, the Reinecke unit and the MidCross unit.
KMCO2 operates and owns an approximate 65% gross working interest in the Claytonville oil field unit and operates and owns an approximate 99% working interest in the Katz Strawn unit, both located in the Permian Basin area of West Texas. The Claytonville unit is located approximately 30 miles east of the SACROC unit, in Fisher County, Texas. The unit produced approximately 200 gross barrels of oil per day during 2011 (100 net barrels to KMCO2! per day)! . During 2011, the Katz Strawn unit produced approximately 500 barrels of oil per day (400 net barrels to KMCO2 per day). In 2011, the average purchased carbon dioxide injection rate at the Katz Strawn unit was 46 million cubic feet per day.
KMCO2 operates and owns an approximate 22% working interest plus an additional 28% net profits interest in the Snyder gasoline plant. KMCO2 also operates and owns a 51% ownership interest in the Diamond M gas plant and a 100% ownership interest in the North Snyder plant, all of which are located in the Permian Basin of West Texas. The Snyder gasoline plant processes natural gas produced from the SACROC unit and neighboring carbon dioxide projects, specifically the Sharon Ridge and Cogdell units, all of which are located in the Permian Basin area of West Texas. The Diamond M and the North Snyder plants contract with the Snyder plant to process natural gas. Production of natural gas liquids at the Snyder gasoline plant during 2011 averaged approximately 16,600 gross barrels per day (8,300 net barrels to KMCO2 per day excluding the value associated to KMCO2�� 28% net profits interest).
KMCO2 owns approximately 45% of, and operates, the McElmo Dome unit in Colorado, which contains more than 6.6 trillion cubic feet of recoverable carbon dioxide. It also owns approximately 87% of, and operates, the Doe Canyon Deep unit in Colorado, which contains more than 870 billion cubic feet of carbon dioxide. For both units combined, compression capacity exceeds 1.4 billion cubic feet per day of carbon dioxide and during 2011, the two units produced approximately 1.25 billion cubic feet per day of carbon dioxide. KMCO2 also owns approximately 11% of the Bravo Dome unit in New Mexico. The Bravo Dome unit contains more than 800 billion cubic feet of recoverable carbon dioxide and produced approximately 300 million cubic feet of carbon dioxide per day in 2011. As a result of KMP�� 50% ownership interest in Cortez Pipeline Company, it owns a 50% equity inter! est in an! d operates the approximate 500-mile Cortez pipeline. The pipeline carries carbon dioxide from the McElmo Dome and Doe Canyon source fields near Cortez, Colorado to the Denver City, Texas hub. The Cortez pipeline transports over 1.2 billion cubic feet of carbon dioxide per day. The tariffs charged by the Cortez pipeline are not regulated, but are based on a consent decree.
KMCO2 also owns a 13% undivided interest in the 218-mile, Bravo pipeline, which delivers carbon dioxide from the Bravo Dome source field in northeast New Mexico to the Denver City hub and has a capacity of more than 350 million cubic feet per day. Tariffs on the Bravo pipeline are not regulated. Occidental Petroleum (81%) and XTO Energy (6%) hold the remaining ownership interests in the Bravo pipeline. In addition, KMCO2 owns approximately 98% of the Canyon Reef Carriers pipeline and approximately 69% of the Pecos pipeline. The Canyon Reef Carriers pipeline extends 139 miles from McCamey, Texas, to the SACROC unit in the Permian Basin. The pipeline has a capacity of approximately 270 million cubic feet per day and makes deliveries to the SACROC, Sharon Ridge, Cogdell and Reinecke units. The Pecos pipeline is a 25-mile pipeline that runs from McCamey to Iraan, Texas. It has a capacity of approximately 120 million cubic feet per day and makes deliveries to the Yates unit. The tariffs charged on the Canyon Reef Carriers and Pecos pipelines are not regulated.
Terminals-KMP
The Terminals-KMP business segment includes the operations of KMP�� petroleum, chemical and other liquids terminal facilities (other than those included in the Products Pipelines-KMP business segment) and all of its coal, petroleum coke, fertilizer, steel, ores and other dry-bulk material services facilities, including all transload, engineering, conveying and other in-plant services. Combined, the segment is composed of approximately 115 owned or operated liquids and bulk terminal facilities and approximately 35 rail transloadin! g and mat! erials handling facilities. The terminals are located throughout the United States and in portions of Canada.
KMP�� liquids terminals operations primarily store refined petroleum products, petrochemicals, ethanol, industrial chemicals and vegetable oil products in aboveground storage tanks and transfer products to and from pipelines, vessels, tank trucks, tank barges, and tank railcars. Combined, KMP�� approximately 25 liquids terminals facilities possess liquids storage capacity of approximately 60.2 million barrels, and in 2011, these terminals handled approximately 616 million barrels of liquids products, including petroleum products, ethanol and chemicals. KMP�� bulk terminal operations primarily involve dry-bulk material handling services. KMP also provides conveyor manufacturing and installation, engineering and design services, and in-plant services covering material handling, conveying, maintenance and repair, truck-railcar-marine transloading, railcar switching and miscellaneous marine services. KMP owns or operates approximately 90 dry-bulk terminals in the United States and Canada, and combined, its dry-bulk and material transloading facilities handled approximately 100.6 million tons of coal, petroleum coke, fertilizers, steel, ores and other dry-bulk materials in 2011.
Kinder Morgan Canada-KMP
The Kinder Morgan Canada-KMP business segment includes the Trans Mountain pipeline system, KMP�� ownership of a one-third interest in the Express pipeline system, and the 25-mile Jet Fuel pipeline system. The Trans Mountain pipeline system originates at Edmonton, Alberta and transports crude oil and refined petroleum products to destinations in the interior and on the west coast of British Columbia. Trans Mountain�� pipeline is 715 miles in length. KMP also owns a connecting pipeline that delivers crude oil to refineries in the state of Washington. The capacity of the line at Edmonton ranges from 300,000 barrels per day when heavy crude represents 20% ! of the to! tal throughput (which is a historically normal heavy crude percentage), to 400,000 barrels per day with no heavy crude. Trans Mountain is the sole pipeline carrying crude oil and refined petroleum products from Alberta to the west coast.
In 2011, Trans Mountain delivered an average of 274,000 barrels per day. The crude oil and refined petroleum products transported through Trans Mountain�� pipeline system originates in Alberta and British Columbia. The refined and partially refined petroleum products transported to Kamloops, British Columbia and Vancouver originates from oil refineries located in Edmonton. Petroleum products delivered through Trans Mountain�� pipeline system are used in markets in British Columbia, Washington State and elsewhere offshore. Trans Mountain also operates a 5.3 mile spur line from its Sumas Pump Station to the United States.-Canada international border where it connects with KMP�� approximate 63-mile, 16-inch to 20-inch diameter Puget Sound pipeline system. The Puget Sound pipeline system in the state of Washington has a sustainable throughput capacity of approximately 135,000 barrels per day when heavy crude represents approximately 25% of throughput, and it connects to four refineries located in northwestern Washington State. The volumes of crude oil shipped to the state of Washington fluctuate in response to the price levels of Canadian crude oil in relation to crude oil produced in Alaska and other offshore sources.
NGPL PipeCo LLC
The Company owns a 20% interest in NGPL PipeCo LLC and account for its interest as an equity method investment. The Company continues to operate NGPL PipeCo LLC�� assets pursuant to an operations and reimbursement agreement effective through February 15, 2023. NGPL PipeCo LLC owns a interstate gas pipeline and storage system consisting primarily of two interconnected natural gas transmission pipelines terminating in the Chicago, Illinois metropolitan area. NGPL�� Amarillo Line originates in th! e West Te! xas and New Mexico producing areas and is comprised of approximately 4,400 miles of mainline and various small-diameter pipelines. Its other pipeline, the Gulf Coast Line, originates in the Gulf Coast areas of Texas and Louisiana and consists of approximately 4,100 miles of mainline and various small-diameter pipelines. These two main pipelines are connected at points in Texas and Oklahoma by NGPL�� approximately 800-mile Amarillo/Gulf Coast pipeline.
NGPL is a natural gas storage operator with approximately 600 billion cubic feet of total natural gas storage capacity, approximately 278 billion cubic feet of working gas capacity and over 4.3 billion cubic feet per day of peak deliverability from its storage facilities, which are located in supply areas and near the markets it serves. NGPL owns and operates 13 underground storage reservoirs in eight field locations in four states. These storage assets complement its pipeline facilities and allow it to optimize pipeline deliveries and meet peak delivery requirements in its principal markets.
Advisors' Opinion: - [By Robert Rapier]
We got a ton of questions in the chat about the relative merits of Kinder Morgan (NYSE: KMI) and Kinder Morgan Energy Partners (NYSE: KMP). Several were answered, but perhaps it would be helpful to summarize our position here. Note that I will not offer specific Buy, Sell, or Hold recommendations here; those are reflected in the current MLP portfolios. Rather I will compare and contrast the two.
- [By Philip Springer]
Kinder Morgan is a pioneer in the rapidly growing niche of energy master limited partnerships (MLPs). But the company reversed course this week, and announced that it will put all of its MLP assets into its traditional C corporation, Kinder Morgan Inc. (NYSE: KMI).
Kinder Morgan’s various companies operate a huge network of “midstream” assets: pipelines and terminals that move and store oil and natural gas. The company is a direct, lower-risk beneficiary of the new energy boom in the U.S.
In a $44 billion deal, general partner Kinder Morgan Inc. (KMI) will acquire the outstanding shares of Kinder�Morgan Energy Partners LP�(NYSE: KMP), Kinder Morgan Management LLC�(NYSE: KMR) and�El Paso Pipeline Partners LP�(NYSE: EPB).
The new Kinder Morgan Inc. (KMI) will have an estimated enterprise value of about $140 billion��100 billion of market value and $40 billion of debt��aking it the third-largest energy company in the U.S., after ExxonMobil and Chevron.
As of the announcement, the deal valued KMP and KMR at $90 per unit, and EPB at $39. All are significant premiums over their prices before the announcement. However, KMP, KMR and EPB now are trading well above those levels, as is KMI.
Richard Kinder, co-founder and chief executive of Kinder Morgan, basically set in motion the increasingly popular MLP structure in the 1990s. MLPs pay no corporate taxes and distribute their profits to unit holders.
MLPs over time have delivered high, growing payouts, which have fueled price appreciation too. The number of MLPs has grown from just 38 a decade ago to 120 now, with a combined market value of some $600 billion.
But KMP, the biggest MLP of all ($45 billion market value), in particular has had two problems. MLPs need to constantly buy or build new assets in order to keep increasing their high distributions to investors. But KMP had grown so large that it was hard to find suitable targets.
Secon
- [By Brendan Mathews]
We asked which current CEOs fit the�Outsiders�mold. Thorndike reeled off a short list of names, but he started with Michael Pearson of�Valeant Pharmaceuticals� (NYSE: VRX ) . He went on to mention Nicholas Howley of�TransDigm Group� (NYSE: TDG ) , and Rich Kinder of�Kinder Morgan� (NYSE: KMI ) .�
Top Transportation Companies To Buy Right Now: SEACOR Holdings Inc (CKH)
SEACOR Holdings Inc, incorporated on November 7, 1989, is a global provider of equipment and services primarily supporting the offshore oil and gas and marine transportation industries. The Company offers customers a diversified suite of services, including offshore marine, aviation, inland river, marine transportation, crisis and emergency management preparedness and response solutions, commodity trading and logistics and offshore and harbor towing. On March 19, 2012, J.F. Lehman & Company acquired National Response Corporation and its affiliated businesses NRC Environmental Services, SEACOR Response, and SEACOR Environmental Products (collectively NRC) from the Company. In January 2013, the Company sold its energy trading division, SEACOR Energy Inc. to Par Petroleum Corporation. On January 31, 2013, it completed the spin off its Era Group Inc unit (Era).
Offshore Marine Services
The Company�� Marine operates a diversified fleet of vessels, servicing the offshore oil and gas exploration, development, and production industry worldwide.The Company�� marine provides its customers with the assembly of offshore vessel services in the global offshore oil and gas industry, including transport of personnel, platform supply, offshore accommodation, intervention, maintenance and repair support, standby safety services, anchor handling and mooring services, wind farm support, lift boat services, offshore construction support, well enhancement support, and lightering services.
Aviation Services
The Company�� aviation services subsidiary, Era Group (Era), is the helicopter operators globally. ra supports the oil and gas industry in the United States Gulf of Mexico, Alaska, and internationally. Era provides air medical services, firefighting support, flightseeing tours in Alaska, and Search and Rescue and Emergency Medical Services. Era's affiliate, Era Training Center, offers flight training services. Era also markets and distributes specialty helicopter! equipment and accessories.
Inland River Services
The Company�� Inland River Services group owns and operates modern river transportation equipment; owns covered and open hopper barges, 10,000 and 30,000 barrel tank barges, deck barges, inland river towboats and smaller harbor boats; and provides ancillary services along the United States Inland River Waterways and the Parana-Paraguay and the Magdalena River Systems in South America. SCF Marine operates a fleet of hopper barges along the United States Inland River Waterways and South America, transporting agricultural, industrial, and project cargoes. The liquid division, Supercritical Fluid (SCF) Liquids, is a integrated towboat and tank barge company, specializing in the transportation of chemical, clean, and dirty products. Gateway Terminals is among the newest ethanol and petroleum storage terminals on the Mississippi River, with a capacity of 400,000 barrels and the ability to receive and transfer products by barge, unit train, and truck.
Marine Transportation Services
The Company�� ocean shipping and harbor towing subsidiary, SEACOR Ocean Transport, is an owner and operator of equipment engaged in oil transportation, bunkering, harbor towing, Liquefied Natural Gas (LNG) terminal support, short sea shipping and logistics, and third-party ship management services. Through all aspects of its operations, SEACOR Ocean Transport focuses to provide its customers with marine transportation solutions.
Commodity Trading and Logistics
The Company�� Commodity Trading and Logistics group specializes in the purchase, storage, transportation, and sale of agricultural and energy commodities, which include renewable fuels, blendstocks, sugar, rice, and salt. The Agricultural group is primarily focused on the global sourcing and logistics of sugar, rice, salt, and other dry bulk products. The Energy group is primarily focused on the domestic trading and transportation of physical e! thanol an! d clean blendstocks.
Harbor and Offshore Towing Services
The Company�� ocean shipping and harbor towing subsidiary, SEACOR Ocean Transport, is an operator of equipment engaged in oil transportation, bunkering, harbor towing, LNG terminal support, short sea shipping and logistics, and third-party ship management services. The harbor towing services group, Seabulk Towing, is a tugboat operator with operations along the Gulf Coast and Southeastern seaboard port system from Cape Canaveral, Florida, to Port Arthur, Texas. Seabulk Island Transport owns and operates four ocean tugs and five ocean liquid tank barges.
Advisors' Opinion: - [By Seth Jayson]
Margins matter. The more Seacor Holdings (NYSE: CKH ) keeps of each buck it earns in revenue, the more money it has to invest in growth, fund new strategic plans, or (gasp!) distribute to shareholders. Healthy margins often separate pretenders from the best stocks in the market. That's why we check up on margins at least once a quarter in this series. I'm looking for the absolute numbers, so I can compare them to current and potential competitors, and any trend that may tell me how strong Seacor Holdings's competitive position could be.
- [By Traders Reserve]
For investors who want a piece of this developing trend, Transocean and Seadrill are two of the bigger players in this arena. Other offshore drillers/rig operators are Noble (NE) and Ensco (ESV). Companies that provide services to offshore drillers and benefit from increases in exploration and drilling activity are Gulfmark Offshore (GLF), Hornbeck (HOS), Seacor (CKH) and Tidewater (TDW).
