Partnerships

Interstate natural gas pipelines expressed support for the direction of FERC’s proposed policy statement that would allow the use of master limited partnerships (MLP) in proxy groups to determine oil and gas pipelines’ return on equity (ROE). But they had some concerns with the particulars. Local distribution companies (LDCs), on the other hand, urged FERC to move cautiously, while major producers viewed the policy statement as a short-term patch..

Interstate natural gas pipelines expressed support for the direction of FERC’s proposed policy statement that would allow the use of master limited partnerships (MLP) in proxy groups to determine oil and gas pipelines’ return on equity (ROE). But they had some concerns with the particulars. Local distribution companies (LDC), on the other hand, urged FERC to move cautiously.

Despite turmoil in the debt markets that has cooled interest in master limited partnerships (MLP) among some investors, Southern Union Co. remains “committed to an MLP transaction involving our midstream assets,” a company vice president told financial analysts recently.

Despite turmoil in the debt markets that has cooled interest in master limited partnerships (MLP) among some investors, Southern Union Co. remains “committed to an MLP transaction involving our midstream assets,” a company vice president told financial analysts last week.

In light of the decline in publicly traded companies with substantial pipeline assets and the rise in master limited partnerships (MLP) in the pipe sector, FERC last Thursday issued a draft policy statement that would allow the use of MLPs in proxy groups to determine oil and natural gas pipelines’ returns on equity (ROE) for ratemaking purposes.

In light of the decline in publicly traded companies with substantial pipeline assets and the rise in master limited partnerships (MLP) in the pipe sector, FERC Thursday issued a draft policy statement that would allow the use of MLPs in proxy groups to determine oil and natural gas pipelines’ returns on equity (ROE) for ratemaking purposes.

The proliferation of midstream master limited partnerships (MLP) and their pursuit of gathering, processing, pipeline and storage have driven asset valuations to exceptional heights and made compelling deals harder to find.

The proliferation of midstream master limited partnerships (MLP) and their pursuit of gathering, processing, pipeline and storage have driven asset valuations to exceptional heights and made compelling deals harder to find.

Secretary of Energy Samuel Bodman last Tuesday said he expects to see “more mergers and partnerships among power providers that are driven by strong business rationales and that do not depend necessarily on geographic proximity.”