Sentiment Analysis of the earnings transcript to help figure out if there are any bullish or bearish sentiments that could be gathered from it. We're doing ML and AI based analysis on the earnings call to get some more insights.
Please consider a small donation if you think this website provides you with relevant information
| Statement |
|---|
| And we're also excited about what the future holds |
| Thanks to that transaction, along with the strong first quarter EBITDA |
| And NuStar results will also benefit from provisions of our pipeline tariffs and contracts that provide for annual rate escalations linked to the preceding year's PPI or the FERC Index |
| I'm also pleased to report on our continued progress in reducing our debt and building our financial strength and flexibility |
| And for our Fuels Marketing segment, EBITDA was $7 million comparable to the first quarter '22, driven by strong butane blending and bunker margins in both periods |
| Our refined product systems and our ammonia system continue to deliver solid dependable revenue contributions in the first quarter of '23, with throughput up 6% over the first quarter of '22, reflecting the strength of these assets and our position in the markets we serve in the Mid-Continent and throughout Texas |
| Our Central West Pipeline systems, particularly our McKee System, performed well last quarter with higher revenues and throughputs versus the same period last year |
| Our West Coast region delivered another strong quarter, driven in large part by our West Coast renewable strategy with revenues up about 33% over first quarter '22 |
| In South Texas, we're pleased that our Corpus Christi Crude System throughputs averaged 369,000 barrels per day in the first quarter, which is above our MVCs for that system and 8% higher than our first quarter 2022 volumes |
| Thanks in large part to our McKee System Pipelines and Permian Crude System, but also from robust increases in EBITDA and throughputs across most of our Pipeline systems |
| We're on track to deliver another solid year |
| I'm excited to tell you about our great first quarter as well as our positive outlook for the rest of 2023 |
| After a near record breaking 2022, our fuels marketing segment kicked off 2023 with a strong first quarter, generating $7 million of EBITDA comparable to the segment's strong first quarter '22 results |
| This growing interest in ammonia to reduce emissions and supply the globe is generating opportunities for attractive return, low spend projects that we are confident will increase our system utilization significantly across our footprint over the next several years |
| As you've heard, we had a strong first quarter |
| We expect this healthy return, low capital project will meaningfully increase utilization of our system starting in 2024 |
| Our Pipeline segment EBITDA was up in the first quarter of '23 by 16% over the same period in 2022 |
| But it's been very positive for storage |
| Let's get started with a few highlights from our strong first quarter '23 results |
| Our Pipeline segment was up, and our Fuels Marketing segment kept pace with its near record-breaking 2022 results |
| As Brad mentioned our first quarter adjusted EBITDA was up $14 million or 8% over the first quarter of '22 |
| We generated $187 million of total adjusted EBITDA in the first quarter of '23, which is 8% higher than adjusted EBITDA in the first quarter of 2022 |
| We're seeing growing interest in lower carbon ammonia from the company's developing production facilities seeking market access, from the company's interest in supply of lower carbon ammonia to make fertilizer DES and other important products, and from potential customers who are looking at new uses for lower carbon ammonia, including as a low-cost, safe way to transport hydrogen for fuel |
| Additionally, our Permian crude systems volumes averaged 543,000 barrels per day, which is up 6% over the same quarter last year |
| Rates are very healthy |
| By doing so, we were able to deploy the proceeds to reduce debt, which facilitates our redemption of another portion of the Series D units later this year |
| spread basket in the Midwest, primarily with domestically produced ammonia, but growing interest and export capabilities could drive additional utilization of not only our ammonia system but also potentially our St |
| In the first quarter '23, our Pipeline segment generated $163 million of EBITDA, up $23 million or 16% over first quarter '22 EBITDA of $141 million |
| EBITDA was up, DCF was up |
| In addition to the greening of ammonia expanding the market domestically, international demand is also driving interest in ammonia export |
| Statement |
|---|
| Our EBITDA for first quarter '23 was $41 million, which is about $8 million lower than the first quarter of '22 adjusted EBITDA |
| So I think volumes were down sequentially about 7% |
| That's the lowest it's been since 2005 |
| But depending on how quickly they're able to do so, we could see our 2023 exit rate slightly lower than we forecasted |
| As we mentioned on our previous call, we've seen some lumpiness in some of our producer schedules so far this year |
| Were there any weather impacts either in refined product usage for the quarter or in the Permian or anything? Daniel Oliver We had a little weather impact in January in the Permian |
| So our out-of-pocket is less than it would have been |
| Brad Barron What you may have heard is some of the big producers talked about the lumpiness in production |
Please consider a small donation if you think this website provides you with relevant information