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WES Investors

Western Midstream Announces First-Quarter 2020 Results
ANNOUNCES REVISED 2020 GUIDANCE

HOUSTON, May 5, 2020 /PRNewswire/ -- Today Western Midstream Partners, LP (NYSE: WES) ("WES" or the "Partnership") announced first-quarter 2020 financial and operating results. Net income (loss) available to limited partners for the first quarter of 2020 totaled $(251.4) million, or a loss of $0.57 per common unit (diluted), with first-quarter 2020 Adjusted EBITDA(1) totaling $513.6 million, first-quarter Cash flows from operating activities totaling $393.3 million, and first-quarter 2020 Free cash flow(1) totaling $214.6 million. The net loss includes $596.8 million of non-cash impairments of goodwill and long-lived assets primarily resulting from lower sustained commodity prices and forecasted in-basin producer activity reductions following the worldwide outbreak of the coronavirus ("COVID-19"). In total, non-cash impairments reduced first-quarter 2020 net income by $1.34 per common unit (diluted).

RECENT HIGHLIGHTS

  • Gathered record Delaware Basin produced-water throughput of 717 MBbls/d for the first quarter, representing an 18-percent sequential-quarter increase
  • Achieved record Delaware oil throughput of 192 MBbls/d for the first quarter, representing a 14-percent sequential-quarter increase
  • Processed record Delaware and DJ Basin gas throughput of 2.8 Bcf/d for the first quarter, representing a 9-percent sequential-quarter increase
  • Commenced operations of Latham Train II at the DJ Basin complex and Loving ROTF Train III at the DBM oil system
  • Repurchased $100 million of Senior Notes due 2021 and 2022 for an aggregate price of $90.1 million via open-market repurchases

 

       

(1) 

Please see the definitions of the Partnership's non-GAAP measures at the end of this release and reconciliation of GAAP to non-GAAP measures.

"WES's first-quarter results attest to the high-quality of our asset portfolio," said Chief Executive Officer, Michael Ure. "COVID-19 and the resulting precipitous decline in commodity prices have created significant near-to-medium-term uncertainty, but we remain steadfast in our belief that our high-quality assets and the contracts underpinning the financial stability of our portfolio position WES to manage through this unprecedented cycle. Our first-quarter results demonstrate the strength of our assets in a normalized environment, and our employees' ability to operate efficiently as a dedicated midstream workforce capable of producing improved results."

First-quarter 2020 total natural-gas throughput(1) averaged 4.5 Bcf/d, representing a 3-percent sequential-quarter increase and a 6-percent increase from first-quarter 2019. First-quarter 2020 total throughput for crude-oil and NGLs assets(1) averaged 760 MBbls/d, representing a 3-percent sequential-quarter decrease and a 28-percent increase from first-quarter 2019. First-quarter 2020 total throughput for produced-water assets averaged 717 MBbls/d, representing an 18-percent sequential-quarter increase and a 38-percent increase from first-quarter 2019.

First-quarter 2020 Free cash flow(2), which is calculated as net cash provided by operating activities less total capital expenditures and contributions to equity investments, plus distributions from equity investments in excess of cumulative earnings, totaled $214.6 million, representing nearly a fourfold increase to fourth-quarter 2019 Free cash flow. For the first quarter of 2020, WES declared a per-unit quarterly distribution of $0.3110, which represents a 50-percent decrease from the fourth-quarter 2019 per-unit distribution and an aggregate quarterly distribution of $140.9 million.

       

(1)

Represents total throughput attributable to WES, which excludes the 25% third-party interest in Chipeta and the 2.0% Occidental subsidiary-owned limited partner interest in WES Operating, which collectively represent WES's noncontrolling interests.

(2)

Please see the definitions of the Partnership's non-GAAP measures at the end of this release and reconciliation of GAAP to non-GAAP measures.

REVISED 2020 GUIDANCE

Our revised guidance is based on information obtained through direct discussions with a large majority of our customers. We will continue monitoring producer activity levels and may adjust our 2020 guidance and future distribution levels based on additional curtailments and other changes to producer-planned activities that may be communicated to us throughout the balance of 2020. Notwithstanding and based on known changes to producer activity, our updated guidance is as follows:

  • Adjusted EBITDA between $1.725 billion and $1.825 billion, which includes previously announced cost reductions of approximately $75 million attributable to estimated operating and maintenance and general and administrative expense cost savings
  • Total capital expenditures between $450 million and $550 million, representing a 45-percent reduction to prior guidance, including costs associated with approximately 15,000 horsepower of compression, over 65 miles of gathering, the completion of the second Latham train during first-quarter 2020, and the addition of two 30 MBbls/d oil-stabilization trains and approximately 120 MBbls/d of saltwater disposal capacity in the Delaware Basin by year-end 2020
  • 50-percent distribution decrease from fourth-quarter 2019 per-unit distribution of $0.622

"Our revised 2020 guidance demonstrates our continued focus on exercising capital discipline to create long-term value for stakeholders by generating positive free cash flow after distributions, while continuing to deliver exceptional customer service in a safe and responsible manner," said Chief Financial Officer, Mike Pearl. "Our timely and highly successful bond offering earlier this year coupled with our recent 50-percent distribution reduction results in no near-term need to access the capital markets. Although our largely undrawn $2.0 billion revolver provides us ample liquidity to manage through the current economic downturn, we expect that our full-year 2020 operational and financial performance and distribution reduction will result in the generation of meaningful 2020 Free cash flow after distributions. Our ability to generate near-term Free cash flow after distributions allows us to strengthen our balance sheet through leverage reduction so that we are positioned to be financially flexible and opportunistic as current market conditions abate."

CONFERENCE CALL TOMORROW AT 1 P.M. CDT

WES will host a conference call on Wednesday, May 6, 2020, at 1:00 p.m. Central Daylight Time (2:00 p.m. Eastern Daylight Time) to discuss first-quarter 2020 results. To participate, individuals should dial 877-883-0383 (Domestic) or 412-902-6506 (International) 15 minutes before the scheduled conference call time and enter participant access code 2731323. To access the live audio webcast of the conference call, please visit the investor relations section of the Partnership's website at www.westernmidstream.com. A replay of the conference call also will be available on the website for two weeks following the call.

ABOUT WESTERN MIDSTREAM

Western Midstream Partners, LP ("WES") is a Delaware master limited partnership formed to acquire, own, develop, and operate midstream assets. With midstream assets located in the Rocky Mountains, North-central Pennsylvania, Texas, and New Mexico, WES is engaged in the business of gathering, compressing, treating, processing, and transporting natural gas; gathering, stabilizing, and transporting condensate, natural-gas liquids, and crude oil; and gathering and disposing of produced water for its customers. In its capacity as a natural-gas processor, WES also buys and sells natural gas, natural-gas liquids, and condensate on behalf of itself and as an agent for its customers under certain contracts.

For more information about Western Midstream Partners, LP, please visit www.westernmidstream.com.

This news release contains forward-looking statements. WES's management believes that its expectations are based on reasonable assumptions. No assurance, however, can be given that such expectations will prove correct. A number of factors could cause actual results to differ materially from the projections, anticipated results, or other expectations expressed in this news release. These factors include the ultimate impact of efforts to fight COVID-19 on the global economy and the timeline for a recovery in commodity demand and prices; our ability to meet financial guidance or distribution expectations; our ability to safely and efficiently operate WES's assets; the supply of, demand for, and price of oil, natural gas, NGLs, and related products or services; our ability to meet projected in-service dates for capital-growth projects; construction costs or capital expenditures exceeding estimated or budgeted costs or expenditures; and the other factors described in the "Risk Factors" section of WES's most-recent Form 10-K and Form 10-Q filed with the Securities and Exchange Commission and other public filings and press releases. WES undertakes no obligation to publicly update or revise any forward-looking statements.

WESTERN MIDSTREAM CONTACTS

Kristen S. Shults
Vice President, Investor Relations and Communications
Kristen.Shults@westernmidstream.com
832.636.6000

Abby Dempsey
Investor Relations
Abby.Dempsey@westernmidstream.com
832.636.6000

Western Midstream Partners, LP
RECONCILIATION OF GAAP TO NON-GAAP MEASURES

WES defines "Free cash flow" as net cash provided by operating activities less total capital expenditures and contributions to equity investments, plus distributions from equity investments in excess of cumulative earnings. In prior periods, management considered "Distributable cash flow," defined as Adjusted EBITDA attributable to Western Midstream Partners, LP ("Adjusted EBITDA"), plus (i) interest income and (ii) the net settlement amounts from the sale and/or purchase of natural gas, condensate, and NGLs under WES Operating's commodity-price swap agreements to the extent such amounts were not recognized as Adjusted EBITDA, less (i) Service revenues – fee based recognized in Adjusted EBITDA in excess of (less than) customer billings, (ii) net cash paid (or to be paid) for interest expense (including amortization of deferred debt issuance costs originally paid in cash and offset by non-cash capitalized interest), (iii) maintenance capital expenditures, (iv) income taxes, and (v) Distributable cash flow attributable to noncontrolling interests to the extent such amounts are not excluded from Adjusted EBITDA, as a viable performance-measurement and distribution-assessment tool. Although management continues to recognize Distributable cash flow as a useful metric for purposes of comparing our operating and financial performance against that of its peers, management considers Free cash flow as a superior and improved performance-measurement tool in light of an ongoing transition within the midstream industry that has shifted investor focus from distribution-growth to capital discipline, cost efficiency, and balance-sheet strength. Henceforth, Free cash flow will be the metric that we use to assess our ability to make distributions to our unitholders; however, this measure should not be viewed as indicative of the actual amount of cash that is available for distributions or planned for distributions for a given period. Instead, Free cash flow should be considered indicative of the amount of cash that is available for distributions, debt repayments, and other general partnership purposes.

WES defines Adjusted EBITDA as net income (loss), plus (i) distributions from equity investments, (ii) non-cash equity-based compensation expense, (iii) interest expense, (iv) income tax expense, (v) depreciation and amortization, (vi) impairments, and (vii) other expense (including lower of cost or market inventory adjustments recorded in cost of product), less (i) gain (loss) on divestiture and other, net, (ii) gain (loss) on early extinguishment of debt, (iii) income from equity investments, (iv) interest income, (v) income tax benefit, (vi) other income, and (vii) the noncontrolling interests owners' proportionate share of revenues and expenses.

WES defines Adjusted gross margin attributable to Western Midstream Partners, LP ("Adjusted gross margin") as total revenues and other (less reimbursements for electricity-related expenses recorded as revenue), less cost of product, plus distributions from equity investments, and excluding the noncontrolling interests owners' proportionate share of revenues and cost of product.

Below are reconciliations of (i) net cash provided by operating activities (GAAP) to Free cash flow (non-GAAP), (ii) net income (loss) (GAAP) and net cash provided by operating activities (GAAP) to Adjusted EBITDA (non-GAAP), and (iii) operating income (loss) (GAAP) to Adjusted gross margin (non-GAAP), as required under Regulation G of the Securities Exchange Act of 1934. Management believes that WES's Free cash flow, Adjusted EBITDA, and Adjusted gross margin are widely accepted financial indicators of WES's financial performance compared to other publicly traded partnerships and are useful in assessing WES's ability to incur and service debt, fund capital expenditures, and make distributions. Free cash flow, Adjusted EBITDA, and Adjusted gross margin as defined by WES, may not be comparable to similarly titled measures used by other companies. Therefore, WES's Free cash flow, Adjusted EBITDA, and Adjusted gross margin should be considered in conjunction with net income (loss) attributable to Western Midstream Partners, LP and other applicable performance measures, such as operating income (loss) or cash flows from operating activities.

Western Midstream Partners, LP

RECONCILIATION OF GAAP TO NON-GAAP MEASURES (CONTINUED)

 

Free Cash Flow

 
   

Three Months Ended
March 31,

thousands

 

2020

 

2019

Reconciliation of Net cash provided by operating activities to Free cash flow

       

Net cash provided by operating activities

 

$

393,311

   

$

343,073

 

Less:

       

Capital expenditures

 

172,816

   

386,144

 

Contributions to equity investments

 

10,960

   

36,543

 

Add:

       

Distributions from equity investments in excess of cumulative earnings

 

5,052

   

7,792

 

Free cash flow

 

$

214,587

   

$

(71,822)

 

Cash flow information

       

Net cash provided by operating activities

 

$

393,311

   

$

343,073

 

Net cash used in investing activities

 

(178,724)

   

(2,515,732)

 

Net cash provided by (used in) financing activities

 

(162,267)

   

2,180,564

 
     
     
   

Three Months Ended

thousands

 

June 30,
2019

 

September 30,
2019

 

December 31,
2019

Reconciliation of Net cash provided by operating activities to Free cash flow

           

Net cash provided by operating activities

 

$

343,458

   

$

340,154

   

$

297,415

 

Less:

           

Capital expenditures

 

318,281

   

242,841

   

241,563

 

Contributions to equity investments

 

40,790

   

30,785

   

20,275

 

Add:

           

Distributions from equity investments in excess of cumulative earnings

 

9,260

   

4,151

   

9,053

 

Free cash flow

 

$

(6,353)

   

$

70,679

   

$

44,630

 

Cash flow information

           

Net cash provided by operating activities

 

$

343,458

   

$

340,154

   

$

297,415

 

Net cash used in investing activities

 

(349,436)

   

(269,475)

   

(253,210)

 

Net cash provided by (used in) financing activities

 

1,726

   

(49,044)

   

(61,673)

 

 

Western Midstream Partners, LP

RECONCILIATION OF GAAP TO NON-GAAP MEASURES (CONTINUED)

 

Adjusted EBITDA

 
   

Three Months Ended
March 31,

thousands

 

2020

 

2019

Reconciliation of Net income (loss) to Adjusted EBITDA

       

Net income (loss)

 

$

(289,400)

   

$

211,979

 

Add:

       

Distributions from equity investments

 

65,920

   

62,013

 

Non-cash equity-based compensation expense

 

5,234

   

1,798

 

Interest expense

 

88,586

   

65,876

 

Income tax expense

 

   

10,092

 

Depreciation and amortization

 

132,319

   

113,946

 

Impairments (1)

 

596,802

   

390

 

Other expense

 

4,048

   

35,213

 

Less:

       

Gain (loss) on divestiture and other, net

 

(40)

   

(590)

 

Gain (loss) on early extinguishment of debt

 

7,345

   

 

Equity income, net – related parties

 

61,347

   

57,992

 

Interest income – related parties

 

4,225

   

4,225

 

Income tax benefit

 

4,280

   

 

Adjusted EBITDA attributable to noncontrolling interests (2)

 

12,765

   

11,350

 

Adjusted EBITDA

 

$

513,587

   

$

428,330

 

Reconciliation of Net cash provided by operating activities to Adjusted EBITDA

       

Net cash provided by operating activities

 

$

393,311

   

$

343,073

 

Interest (income) expense, net

 

84,361

   

61,651

 

Uncontributed cash-based compensation awards

 

   

(570)

 

Accretion and amortization of long-term obligations, net

 

(2,100)

   

(1,511)

 

Current income tax (benefit) expense

 

(2,112)

   

6,027

 

Other (income) expense, net (3)

 

1,761

   

(432)

 

Distributions from equity investments in excess of cumulative earnings – related parties

 

5,052

   

7,792

 

Changes in assets and liabilities:

       

Accounts receivable, net

 

(7,702)

   

(9,486)

 

Accounts and imbalance payables and accrued liabilities, net

 

28,924

   

55,529

 

Other items, net

 

24,857

   

(22,393)

 

Adjusted EBITDA attributable to noncontrolling interests (2)

 

(12,765)

   

(11,350)

 

Adjusted EBITDA

 

$

513,587

   

$

428,330

 

Cash flow information

       

Net cash provided by operating activities

 

$

393,311

   

$

343,073

 

Net cash used in investing activities

 

(178,724)

   

(2,515,732)

 

Net cash provided by (used in) financing activities

 

(162,267)

   

2,180,564

 
   

(1)

Includes goodwill impairment for the three months ended March 31, 2020.

(2) 

For all periods presented, includes (i) the 25% third-party interest in Chipeta and (ii) the 2.0% Occidental subsidiary-owned limited partner interest in WES Operating, which collectively represent WES's noncontrolling interests.

(3) 

Excludes the non-cash loss on interest-rate swaps of $35.6 million for the three months ended March 31, 2019.

 

Western Midstream Partners, LP

RECONCILIATION OF GAAP TO NON-GAAP MEASURES (CONTINUED)

 

Adjusted Gross Margin

   

Three Months Ended
March 31,

thousands

 

2020

 

2019

Reconciliation of Operating income (loss) to Adjusted gross margin

       

Operating income (loss)

 

$

(214,903)

   

$

318,928

 

Add:

       

Distributions from equity investments

 

65,920

   

62,013

 

Operation and maintenance

 

159,191

   

142,829

 

General and administrative

 

40,465

   

22,844

 

Property and other taxes

 

18,476

   

16,285

 

Depreciation and amortization

 

132,319

   

113,946

 

Impairments (1)

 

596,802

   

390

 

Less:

       

Gain (loss) on divestiture and other, net

 

(40)

   

(590)

 

Equity income, net – related parties

 

61,347

   

57,992

 

Reimbursed electricity-related charges recorded as revenues

 

19,223

   

16,589

 

Adjusted gross margin attributable to noncontrolling interests (2)

 

16,425

   

15,550

 

Adjusted gross margin

 

$

701,315

   

$

587,694

 

Adjusted gross margin for natural-gas assets

 

$

471,366

   

$

412,428

 

Adjusted gross margin for crude-oil and NGLs assets

 

167,828

   

131,370

 

Adjusted gross margin for produced-water assets

 

62,121

   

43,896

 
   

(1) 

Includes goodwill impairment for the three months ended March 31, 2020.

(2) 

For all periods presented, includes (i) the 25% third-party interest in Chipeta and (ii) the 2.0% Occidental subsidiary-owned limited partner interest in WES Operating, which collectively represent WES's noncontrolling interests.

 

Western Midstream Partners, LP

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited)

 
   

Three Months Ended
March 31,

thousands except per-unit amounts

 

2020

 

2019

Revenues and other

       

Service revenues – fee based

 

$

701,396

   

$

579,974

 

Service revenues – product based

 

15,921

   

19,379

 

Product sales

 

56,649

   

72,133

 

Other

 

347

   

397

 

Total revenues and other

 

774,313

   

671,883

 

Equity income, net – related parties

 

61,347

   

57,992

 

Operating expenses

       

Cost of product

 

103,270

   

114,063

 

Operation and maintenance

 

159,191

   

142,829

 

General and administrative

 

40,465

   

22,844

 

Property and other taxes

 

18,476

   

16,285

 

Depreciation and amortization

 

132,319

   

113,946

 

Long-lived asset impairments

 

155,785

   

390

 

Goodwill impairment

 

441,017

   

 

Total operating expenses

 

1,050,523

   

410,357

 

Gain (loss) on divestiture and other, net

 

(40)

   

(590)

 

Operating income (loss)

 

(214,903)

   

318,928

 

Interest income – related parties

 

4,225

   

4,225

 

Interest expense

 

(88,586)

   

(65,876)

 

Gain (loss) on early extinguishment of debt

 

7,345

   

 

Other income (expense), net (1)

 

(1,761)

   

(35,206)

 

Income (loss) before income taxes

 

(293,680)

   

222,071

 

Income tax expense (benefit)

 

(4,280)

   

10,092

 

Net income (loss)

 

(289,400)

   

211,979

 

Net income (loss) attributable to noncontrolling interests

 

(32,873)

   

93,319

 

Net income (loss) attributable to Western Midstream Partners, LP

 

$

(256,527)

   

$

118,660

 

Limited partners' interest in net income (loss):

       

Net income (loss) attributable to Western Midstream Partners, LP

 

$

(256,527)

   

$

118,660

 

Pre-acquisition net (income) loss allocated to Anadarko

 

   

(29,116)

 

General partner interest in net income (loss)

 

5,131

   

 

Limited partners' interest in net income (loss)

 

$

(251,396)

   

$

89,544

 

Net income (loss) per common unit – basic and diluted

 

$

(0.57)

   

$

0.30

 

Weighted-average common units outstanding – basic and diluted

 

443,971

   

299,556

 
   

(1) 

Includes losses associated with the interest-rate swap agreements for the three months ended March 31, 2019.

 

Western Midstream Partners, LP

CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited)

 

thousands except number of units

 

March 31,
2020

 

December 31,
2019

Total current assets

 

$

490,548

   

$

402,412

 

Note receivable – Anadarko

 

257,885

   

260,000

 

Net property, plant, and equipment

 

8,986,731

   

9,064,931

 

Other assets

 

2,173,834

   

2,619,110

 

Total assets

 

$

11,908,998

   

$

12,346,453

 

Total current liabilities

 

$

449,725

   

$

485,954

 

Long-term debt

 

8,088,761

   

7,951,565

 

Asset retirement obligations

 

339,454

   

336,396

 

Other liabilities

 

238,773

   

227,245

 

Total liabilities

 

9,116,713

   

9,001,160

 

Equity and partners' capital

       

Common units (443,971,409 units issued and outstanding at March 31, 2020, and December 31, 2019)

 

2,684,136

   

3,209,947

 

General partner units (9,060,641 units issued and outstanding at March 31, 2020, and December 31, 2019)

 

(24,990)

   

(14,224)

 

Noncontrolling interests

 

133,139

   

149,570

 

Total liabilities, equity, and partners' capital

 

$

11,908,998

   

$

12,346,453

 

 

Western Midstream Partners, LP

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

 
   

Three Months Ended
March 31,

thousands

 

2020

 

2019

Cash flows from operating activities

       

Net income (loss)

 

$

(289,400)

   

$

211,979

 

Adjustments to reconcile net income (loss) to net cash provided by operating activities and changes in assets and liabilities:

       

Depreciation and amortization

 

132,319

   

113,946

 

Long-lived asset impairments

 

155,785

   

390

 

Goodwill impairment

 

441,017

   

 

(Gain) loss on divestiture and other, net

 

40

   

590

 

(Gain) loss on early extinguishment of debt

 

(7,345)

   

 

(Gain) loss on interest-rate swaps

 

   

35,638

 

Change in other items, net

 

(39,105)

   

(19,470)

 

Net cash provided by operating activities

 

$

393,311

   

$

343,073

 

Cash flows from investing activities

       

Capital expenditures

 

$

(172,816)

   

$

(386,144)

 

Acquisitions from related parties

 

   

(2,007,501)

 

Acquisitions from third parties

 

   

(93,303)

 

Contributions to equity investments - related parties

 

(10,960)

   

(36,543)

 

Distributions from equity investments in excess of cumulative earnings – related parties

 

5,052

   

7,792

 

Proceeds from the sale of assets to third parties

 

   

(33)

 

Net cash used in investing activities

 

$

(178,724)

   

$

(2,515,732)

 

Cash flows from financing activities

       

Borrowings, net of debt issuance costs

 

$

3,586,173

   

$

2,430,750

 

Repayments of debt

 

(3,470,139)

   

(467,595)

 

Increase (decrease) in outstanding checks

 

(7,308)

   

(5,890)

 

Registration expenses related to the issuance of Partnership common units

 

   

(855)

 

Distributions to Partnership unitholders

 

(281,786)

   

(131,910)

 

Distributions to Chipeta noncontrolling interest owner

 

(1,738)

   

(1,935)

 

Distributions to noncontrolling interest owners of WES Operating

 

(5,807)

   

(100,999)

 

Net contributions from (distributions to) related parties

 

20,489

   

451,591

 

Above-market component of swap agreements with Anadarko

 

   

7,407

 

Finance lease payments

 

(2,151)

   

 

Net cash provided by (used in) financing activities

 

$

(162,267)

   

$

2,180,564

 

Net increase (decrease) in cash and cash equivalents

 

$

52,320

   

$

7,905

 

Cash and cash equivalents at beginning of period

 

99,962

   

92,142

 

Cash and cash equivalents at end of period

 

$

152,282

   

$

100,047

 

 

 

 

Western Midstream Partners, LP

OPERATING STATISTICS

(Unaudited)

 
   

Three Months Ended
 March 31,

   

2020

 

2019

Throughput for natural-gas assets (MMcf/d)

       

Gathering, treating, and transportation

 

539

   

527

 

Processing

 

3,649

   

3,471

 

Equity investment (1)

 

444

   

377

 

Total throughput

 

4,632

   

4,375

 

Throughput attributable to noncontrolling interests (2)

 

166

   

176

 

Total throughput attributable to WES for natural-gas assets

 

4,466

   

4,199

 

Throughput for crude-oil and NGLs assets (MBbls/d)

       

Gathering, treating, and transportation

 

361

   

302

 

Equity investment (3)

 

414

   

304

 

Total throughput

 

775

   

606

 

Throughput attributable to noncontrolling interests (2)

 

15

   

12

 

Total throughput attributable to WES for crude-oil and NGLs assets

 

760

   

594

 

Throughput for produced-water assets (MBbls/d)

       

Gathering and disposal

 

717

   

518

 

Throughput attributable to noncontrolling interests (2)

 

14

   

10

 

Total throughput attributable to WES for produced-water assets

 

703

   

508

 

Per-Mcf Adjusted gross margin for natural-gas assets (4)

 

$

1.16

   

$

1.09

 

Per-Bbl Adjusted gross margin for crude-oil and NGLs assets (5)

 

2.43

   

2.46

 

Per-Bbl Adjusted gross margin for produced-water assets (6)

 

0.97

   

0.96

 
                 

(1)

Represents the 14.81% share of average Fort Union throughput, 22% share of average Rendezvous throughput, 50% share of average Mi Vida and Ranch Westex throughput, and 30% share of average Red Bluff Express throughput.

(2) 

For all periods presented, includes (i) the 25% third-party interest in Chipeta and (ii) the 2.0% Occidental subsidiary-owned limited partner interest in WES Operating, which collectively represent WES's noncontrolling interests.

(3) 

Represents the 10% share of average White Cliffs throughput; 25% share of average Mont Belvieu JV throughput; 20% share of average TEG, TEP, Whitethorn, and Saddlehorn throughput; 33.33% share of average FRP throughput; and 15% share of average Panola and Cactus II throughput.

(4) 

Average for period. Calculated as Adjusted gross margin for natural-gas assets, divided by total throughput (MMcf/d) attributable to WES for natural-gas assets.

(5) 

Average for period. Calculated as Adjusted gross margin for crude-oil and NGLs assets, divided by total throughput (MBbls/d) attributable to WES for crude-oil and NGLs assets.

(6) 

Average for period. Calculated as Adjusted gross margin for produced-water assets, divided by total throughput (MBbls/d) attributable to WES for produced-water assets.

 

Western Midstream Partners, LP

OPERATING STATISTICS (CONTINUED)

(Unaudited)

 
   

Three Months Ended March 31,

   

2020

 

2019

 

2020

 

2019

 

2020

 

2019

   

Natural gas
(MMcf/d)

 

Crude oil & NGLs
(MBbls/d)

 

Produced water
(MBbls/d)

Delaware Basin

 

1,389

   

1,178

   

192

   

145

   

717

   

518

 

DJ Basin

 

1,407

   

1,258

   

128

   

102

   

   

 

Equity investments

 

444

   

377

   

414

   

304

   

   

 

Other

 

1,392

   

1,562

   

41

   

55

   

   

 

Total throughput

 

4,632

   

4,375

   

775

   

606

   

717

   

518

 

 

(PRNewsfoto/Western Midstream Partners, LP)

 

 

SOURCE Western Midstream Partners, LP


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