Document_and_Entity_Informatio
Document and Entity Information | 3 Months Ended | |
Mar. 31, 2015 | Apr. 29, 2015 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | MARTIN MIDSTREAM PARTNERS LP | |
Entity Central Index Key | 1176334 | |
Current Fiscal Year End Date | -19 | |
Entity Filer Category | Large Accelerated Filer | |
Document Type | 10-Q | |
Document Period End Date | 31-Mar-15 | |
Document Fiscal Year Focus | 2015 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | FALSE | |
Entity Common Stock, Shares Outstanding | 35,456,862 |
CONSOLIDATED_AND_CONDENSED_BAL
CONSOLIDATED AND CONDENSED BALANCE SHEETS (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Assets | ||
Cash | $37 | $42 |
Accounts and other receivables, less allowance for doubtful accounts of $2,260 and $1,620, respectively | 94,506 | 134,173 |
Product exchange receivables | 232 | 3,046 |
Inventories | 68,564 | 88,718 |
Due from affiliates | 12,269 | 14,512 |
Other current assets | 6,709 | 6,772 |
Assets held for sale | 700 | 40,488 |
Total current assets | 183,017 | 287,751 |
Property, plant and equipment, at cost | 1,361,491 | 1,343,674 |
Accumulated depreciation | -361,650 | -345,397 |
Property, plant and equipment, net | 999,841 | 998,277 |
Goodwill | 23,802 | 23,802 |
Investment in unconsolidated entities | 134,146 | 134,506 |
Note receivable - Martin Energy Trading LLC | 15,000 | 15,000 |
Other assets, net | 76,351 | 81,465 |
Total Assets | 1,432,157 | 1,540,801 |
Liabilities and Partners’ Capital | ||
Trade and other accounts payable | 82,954 | 125,332 |
Product exchange payables | 10,521 | 10,396 |
Due to affiliates | 6,492 | 4,872 |
Income taxes payable | 1,474 | 1,174 |
Other accrued liabilities | 8,997 | 21,801 |
Total current liabilities | 110,438 | 163,575 |
Long-term debt, net | 849,367 | 888,887 |
Other long-term obligations | 2,332 | 2,668 |
Total liabilities | 962,137 | 1,055,130 |
Commitments and contingencies | ||
Partners’ capital | 470,020 | 485,671 |
Total Liabilities and Partners' Capital | $1,432,157 | $1,540,801 |
CONSOLIDATED_AND_CONDENSED_BAL1
CONSOLIDATED AND CONDENSED BALANCE SHEETS (Parenthetical) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Statement of Financial Position [Abstract] | ||
Accounts and other receivables, allowance for doubtful accounts | $2,260 | $1,620 |
CONSOLIDATED_AND_CONDENSED_STA
CONSOLIDATED AND CONDENSED STATEMENTS OF OPERATIONS (USD $) | 3 Months Ended | |||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | ||
Revenues: | ||||
Terminalling and storage | $33,797 | [1] | $31,801 | [1] |
Marine transportation | 20,636 | [1] | 23,114 | [1] |
Natural gas services | 16,487 | 0 | ||
Sulfur services | 3,090 | 3,037 | ||
Product sales: | ||||
Natural gas services | 146,303 | [1] | 321,414 | [1] |
Sulfur services | 50,047 | [1] | 51,170 | [1] |
Terminalling and storage | 34,993 | [1] | 54,273 | [1] |
Total product sales | 231,343 | [1] | 426,857 | [1] |
Total revenues | 305,353 | 484,809 | ||
Cost of products sold: (excluding depreciation and amortization) | ||||
Natural gas services | 137,707 | [1] | 309,419 | [1] |
Sulfur services | 36,023 | [1] | 37,853 | [1] |
Terminalling and storage | 30,082 | [1] | 48,029 | [1] |
Total cost of products sold (excluding depreciation and amortization) | 203,812 | 395,301 | ||
Expenses: | ||||
Operating expenses | 45,306 | [1] | 42,900 | [1] |
Selling, general and administrative | 8,806 | [1] | 8,456 | [1] |
Depreciation and amortization | 22,717 | 13,609 | ||
Total costs and expenses | 280,641 | 460,266 | ||
Other operating loss | -10 | -45 | ||
Operating income | 24,702 | 24,498 | ||
Other income (expense): | ||||
Equity in earnings (loss) of unconsolidated entities | 1,740 | -296 | ||
Interest expense, net | 10,546 | 11,451 | ||
Other, net | 437 | -67 | ||
Total other expense | -8,369 | -11,814 | ||
Net income before taxes | 16,333 | 12,684 | ||
Income tax expense | -300 | -300 | ||
Income from continuing operations | 16,033 | 12,384 | ||
Income (loss) from discontinued operations, net of income taxes | 1,215 | -589 | ||
Net income | 17,248 | 11,795 | ||
Less general partner's interest in net income | -4,238 | -236 | ||
Less income allocable to unvested restricted units | -67 | -32 | ||
Limited partners' interest in net income (loss) | $12,943 | $11,527 | ||
[1] | *Related Party Transactions Shown Below*Related Party Transactions Included Above Three Months Ended March 31, 2015 2014Revenues: Terminalling and storage$20,474 $18,010Marine transportation6,745 5,849Product Sales1,589 1,892Costs and expenses: Cost of products sold: (excluding depreciation and amortization) Natural gas services6,918 8,453Sulfur services3,624 4,865Terminalling and storage5,402 9,844Expenses: Operating expenses20,400 18,239Selling, general and administrative5,994 5,384See accompanying notes to consolidated and condensed financial statements. |
CONSOLIDATED_AND_CONDENSED_STA1
CONSOLIDATED AND CONDENSED STATEMENTS OF OPERATIONS (Allocation of Net Income) (USD $) | 3 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Limited partner interest: | ||
Continuing operations | $12,031 | $12,103 |
Discontinued operations | 912 | -576 |
Limited partners' interest in net income (loss) | 12,943 | 11,527 |
General partner interest: | ||
Continuing operations | 3,939 | 248 |
Discontinued operations | 299 | -12 |
Net Income (Loss) Allocated to General Partners | $4,238 | $236 |
Basic: | ||
Continuing operations | $0.34 | $0.45 |
Discontinued operations | $0.03 | ($0.02) |
Net Income (Loss), Per Outstanding Limited Partnership Unit, Basic, Net of Tax | $0.37 | $0.43 |
Weighted average limited partner units - basic | 35,317,197 | 26,571,666 |
Diluted: | ||
Continuing operations | $0.34 | $0.45 |
Discontinued operations | $0.03 | ($0.02) |
Net Income (Loss), Net of Tax, Per Outstanding Limited Partnership Unit, Diluted | $0.37 | $0.43 |
Weighted average limited partner units - diluted | 35,360,000 | 26,605,000 |
CONSOLIDATED_AND_CONDENSED_STA2
CONSOLIDATED AND CONDENSED STATEMENTS OF OPERATIONS (Parenthetical) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Revenues: | ||
Terminalling and storage | $20,474 | $18,010 |
Marine transportation | 6,745 | 5,849 |
Product Sales | 1,589 | 1,892 |
Cost of products sold: (excluding depreciation and amortization) | ||
Natural gas services | 6,918 | 8,453 |
Sulfur services | 3,624 | 4,865 |
Terminalling and storage | 5,402 | 9,844 |
Expenses: | ||
Operating expenses | 20,400 | 18,239 |
Selling, general and administrative | $5,994 | $5,384 |
CONSOLIDATED_AND_CONDENSED_STA3
CONSOLIDATED AND CONDENSED STATEMENTS OF CAPITAL (USD $) | 3 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Increase (Decrease) in Partners' Capital [Roll Forward] | ||
Beginning Balance | $485,671 | $260,417 |
Net income | 17,248 | 11,795 |
Issuance of common units | -145 | 5,235 |
General partner contribution | 55 | 114 |
Cash distributions | -33,208 | -21,370 |
Unit-based compensation | 399 | 179 |
Purchase of treasury units | -277 | |
Ending Balance | 470,020 | 256,093 |
Limited Partner [Member] | ||
Increase (Decrease) in Partners' Capital [Roll Forward] | ||
Beginning Balance (in units) | 35,365,912 | 26,625,026 |
Beginning Balance | 470,943 | 254,028 |
Net income | 13,010 | 11,559 |
Issuance of common units (in units) | 132,580 | |
Issuance of common units | -145 | 5,235 |
Issuance of restricted units (in units) | 91,950 | 6,400 |
Forfeiture of restricted units (in units) | -1,000 | -2,750 |
Cash distributions | -28,803 | -20,898 |
Unit-based compensation | 399 | 179 |
Purchase of treasury units (in units) | -6,400 | |
Purchase of treasury units | -277 | |
Ending Balance (in units) | 35,456,862 | 26,754,856 |
Ending Balance | 455,404 | 249,826 |
General Partner [Member] | ||
Increase (Decrease) in Partners' Capital [Roll Forward] | ||
Beginning Balance | 14,728 | 6,389 |
Net income | 4,238 | 236 |
General partner contribution | 55 | 114 |
Cash distributions | -4,405 | -472 |
Ending Balance | $14,616 | $6,267 |
CONSOLIDATED_AND_CONDENSED_STA4
CONSOLIDATED AND CONDENSED STATEMENTS OF CASH FLOWS (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Cash flows from operating activities: | ||
Net income | $17,248 | $11,795 |
Less: (Income) loss from discontinued operations | -1,215 | 589 |
Income from continuing operations | 16,033 | 12,384 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 22,717 | 13,609 |
Amortization of deferred debt issuance costs | 868 | 810 |
Amortization of debt discount | 0 | 77 |
Amortization of premium on notes payable | -82 | 0 |
Loss on sale of property, plant and equipment | 12 | 45 |
Equity in (earnings) loss of unconsolidated entities | -1,740 | 296 |
Unit-based compensation | 399 | 179 |
Return on investment | 2,100 | 0 |
Change in current assets and liabilities, excluding effects of acquisitions and dispositions: | ||
Accounts and other receivables | 39,716 | 29,718 |
Product exchange receivables | 2,814 | 1,826 |
Inventories | 20,203 | 1,612 |
Due from affiliates | 2,243 | -4,349 |
Other current assets | 184 | -381 |
Trade and other accounts payable | -46,504 | -18,098 |
Product exchange payables | 125 | 7,909 |
Due to affiliates | 1,620 | 448 |
Income taxes payable | 300 | 300 |
Other accrued liabilities | -12,345 | -4,677 |
Change in other non-current assets and liabilities | -339 | -43 |
Net cash provided by continuing operating activities | 48,324 | 41,665 |
Net cash used in discontinued operating activities | -1,580 | -5,141 |
Net cash provided by operating activities | 46,744 | 36,524 |
Cash flows from investing activities: | ||
Payments for property, plant and equipment | -12,927 | -16,642 |
Payments for plant turnaround costs | -1,468 | -2,164 |
Proceeds from sale of property, plant and equipment | 0 | 245 |
Proceeds from involuntary conversion of property, plant and equipment | 0 | 2,475 |
Return of investments from unconsolidated entities | 0 | 225 |
Contributions to unconsolidated entities | 0 | -1,195 |
Net cash used in continuing investing activities | -14,395 | -17,056 |
Net cash provided by discontinued investing activities | 41,250 | 0 |
Net cash provided by (used in) investing activities | 26,855 | -17,056 |
Cash flows from financing activities: | ||
Payments of long-term debt | -72,000 | -91,000 |
Proceeds from long-term debt | 32,000 | 76,000 |
Proceeds from issuance of common units, net of issuance related costs | -145 | 5,235 |
General partner contribution | 55 | 114 |
Purchase of treasury units | 0 | -277 |
Payment of debt issuance costs | -306 | -341 |
Cash distributions paid | -33,208 | -21,370 |
Net cash used in financing activities | -73,604 | -31,639 |
Net decrease in cash | -5 | -12,171 |
Cash at beginning of period | 42 | 16,542 |
Cash at end of period | 37 | 4,371 |
Non-cash additions to property, plant and equipment | $4,901 | $4,833 |
General
General | 3 Months Ended |
Mar. 31, 2015 | |
Accounting Policies [Abstract] | |
General | General |
Martin Midstream Partners L.P. (the "Partnership") is a publicly traded limited partnership with a diverse set of operations focused primarily in the United States ("U.S.") Gulf Coast region. Its four primary business lines include: terminalling and storage services for petroleum products and by-products including the refining of naphthenic crude oil, blending and packaging of finished lubricants; natural gas services, including liquids transportation and distribution services and natural gas storage; sulfur and sulfur-based products processing, manufacturing, marketing and distribution; and marine transportation services for petroleum products and by-products. | |
The Partnership’s unaudited consolidated and condensed financial statements have been prepared in accordance with the requirements of Form 10-Q and United States Generally Accepted Accounting Principles ("U.S. GAAP") for interim financial reporting. Accordingly, these financial statements have been condensed and do not include all of the information and footnotes required by U.S. GAAP for annual audited financial statements of the type contained in the Partnership’s annual reports on Form 10-K. In the opinion of the management of the Partnership’s general partner, all adjustments and elimination of significant intercompany balances necessary for a fair presentation of the Partnership’s financial position, results of operations, and cash flows for the periods shown have been made. All such adjustments are of a normal recurring nature. Results for such interim periods are not necessarily indicative of the results of operations for the full year. These financial statements should be read in conjunction with the Partnership’s audited consolidated financial statements and notes thereto included in the Partnership’s annual report on Form 10-K for the year ended December 31, 2014, filed with the Securities and Exchange Commission (the "SEC") on March 2, 2015, as amended by Amendment No. 1 on Form 10-K/A for the year ended December 31, 2014 filed on March 5, 2015. | |
Management has made a number of estimates and assumptions relating to the reporting of assets and liabilities and the disclosure of contingent assets and liabilities to prepare these consolidated and condensed financial statements in conformity with U.S. GAAP. Actual results could differ from those estimates. |
New_Accounting_Pronouncements
New Accounting Pronouncements | 3 Months Ended |
Mar. 31, 2015 | |
Accounting Changes and Error Corrections [Abstract] | |
New Accounting Pronouncements | New Accounting Pronouncements |
In April 2015, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2015-03, Interest-Imputation of Interest, which simplifies presentation of debt issuance costs. The amended guidance requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. Early application is permitted under the retrospective transition method. The Partnership has elected to adopt this guidance effective January 1, 2015. The standard only affects presentation on the Partnership's Consolidated and Condensed Balance Sheets and does not affect any of the Partnership's other financial statements. The amount of debt issuance costs, net of accumulated amortization, from the December 31, 2014 audited balance sheet that were reclassified and shown as a reduction of the related long-term debt balances is $13,118. | |
In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers, which requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. The ASU will replace most existing revenue recognition guidance in U.S. GAAP when it becomes effective. The new standard is effective for the Partnership on January 1, 2018. The standard permits the use of either the retrospective or cumulative effect transition method. The Partnership is evaluating the effect that ASU 2014-09 will have on its consolidated and condensed financial statements and related disclosures. The Partnership has not yet selected a transition method nor has it determined the effect of the standard on its ongoing financial reporting. | |
In April 2014, the FASB issued No. ASU 2014-08, Presentation of Financial Statements and Property, Plant, and Equipment: Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity. The ASU changes the requirements for reporting discontinued operations. A discontinued operation may include a component of an entity or a group of components of an entity, or a business. A disposal of a component of an entity or a group of components of an entity is required to be reported in discontinued operations if the disposal represents a strategic shift that has (or will have) a major effect on an entity’s operations and financial results. Examples include a disposal of a major geographic area, a major line of business or a major equity method investment. Additionally, the update requires expanded disclosures about discontinued operations that will provide financial statement users with more information about the assets, liabilities, income and expenses of discontinued operations. This update has been adopted prospectively for the Partnership's fiscal year beginning January 1, 2015. The adoption did not have a material impact on the Partnership's financial condition, results of operations or cash flows. |
Acquisitions
Acquisitions | 3 Months Ended | |||
Mar. 31, 2015 | ||||
Business Combinations [Abstract] | ||||
Acquisitions | Acquisitions | |||
Cardinal Gas Storage Partners LLC | ||||
On August 29, 2014, the Partnership acquired from Energy Capital Partners ("ECP") all of ECP’s approximate 57.8% Category A membership interest in Cardinal Gas Storage Partners LLC ("Cardinal") for cash consideration of approximately $120,973, subject to certain post-closing adjustments. Prior to the acquisition, the Partnership owned an approximate 42.2% Category A membership interest in Cardinal. Based on the application of purchase accounting, the Partnership reduced the carrying value of its existing investment in Cardinal at the acquisition date by $30,102, which was recognized in the Partnership's Consolidated and Condensed Statements of Operations in the third quarter of 2014. Concurrent with the closing of the transaction, the Partnership retired all of the project level financing of various Cardinal subsidiaries. The Partnership funded the acquisition and repayment of the project financings with borrowings under its revolving credit facility and the use of restricted cash acquired. | ||||
The total purchase price is as follows: | ||||
Cash payment for 57.8% interest in Cardinal | $ | 120,973 | ||
Fair value of the Partnership's previously owned 42.2% interest in Cardinal | 87,613 | |||
Total | $ | 208,586 | ||
Assets acquired and liabilities assumed were recorded in the Natural Gas Services segment at fair value in the following purchase price allocation which was finalized in the fourth quarter of 2014: | ||||
Restricted cash | $ | 17,566 | ||
Other current assets | 9,385 | |||
Property, plant and equipment | 390,895 | |||
Intangible and other assets | 80,135 | |||
Project level finance debt | (282,087 | ) | ||
Other current liabilities | (6,713 | ) | ||
Other non-current liabilities | (595 | ) | ||
Total | $ | 208,586 | ||
Intangible assets consist of above-market gas storage customer contracts which are amortized based upon the terms of the individual contracts. At the acquisition date, the weighted average life of these contracts, based upon contracted volumes, is 5.1 years. | ||||
The Partnership’s results of operations from the Cardinal acquisition include revenues of $16,487 and net income of $3,028 for the three months ended March 31, 2015. | ||||
Natural Gas Liquids ("NGL") Storage Assets | ||||
On May 31, 2014, the Partnership acquired certain NGL storage assets from a subsidiary of Martin Resource Management Corporation ("Martin Resource Management") for $7,388. This acquisition is considered a transfer of net assets between entities under common control. The acquisition of these assets was recorded at the historical carrying value of the assets at the acquisition date. The Partnership recorded the purchase in the following allocation: | ||||
Property, plant and equipment | $ | 2,453 | ||
Current liabilities | (13 | ) | ||
$ | 2,440 | |||
The excess of the purchase price over the carrying value of the assets of $4,948 was recorded as an adjustment to "Partners' capital." This transaction was funded with borrowings under the Partnership's revolving credit facility. As no individual line item of the historical financial statements of the assets was in excess of 3% of the Partnership's relative financial statement captions, the Partnership elected not to retrospectively recast the historical financial information of these assets. | ||||
West Texas LPG Pipeline Limited Partnership | ||||
On May 14, 2014, the Partnership acquired from a subsidiary of Atlas Pipeline Partners L.P. ("Atlas"), all of the outstanding membership interests in Atlas Pipeline NGL Holdings, LLC and Atlas Pipeline NGL Holdings II, LLC (collectively, "Atlas Holdings") for cash of approximately $134,400. The purchase price was subsequently reduced $501 due to a post-closing working capital adjustment. This transaction was recorded in "Investments in unconsolidated entities" in the Partnership's Consolidated and Condensed Balance Sheet through a purchase price allocation. Atlas Holdings owned a 19.8% limited partnership interest and a 0.2% general partnership interest in West Texas LPG Pipeline L.P. ("WTLPG"). At the time of the purchase, WTLPG was operated by Chevron Pipe Line Company. The 80.0% interest was subsequently sold to ONEOK Partners, L.P. who assumed operational responsibility. WTLPG owns an approximate 2,300 mile common-carrier pipeline system that transports NGLs from New Mexico and Texas to Mont Belvieu, Texas for fractionation. This acquisition will enable the Partnership to participate in the transportation of the growing NGL production of West Texas and other basins along the WTLPG pipeline route. This acquisition of the WTLPG business complements the Partnership's existing East Texas NGL pipeline that delivers Y-grade NGLs from East Texas production areas into Beaumont, Texas on a smaller scale. This transaction was funded with borrowings under the Partnership's revolving credit facility. | ||||
Pro Forma Financial Information for Cardinal and WTLPG | ||||
The following pro forma consolidated results of operations for the three months ended March 31, 2014 have been prepared as if the acquisition of Cardinal and WTLPG occurred at the beginning of fiscal 2014: | ||||
Revenue: | ||||
As reported | $ | 484,809 | ||
Pro forma | $ | 503,238 | ||
Net income from continuing operations attributable to limited partners: | ||||
As reported | $ | 12,103 | ||
Pro forma | $ | 2,882 | ||
Net loss from discontinued operations attributable to limited partners: | ||||
As reported | $ | (576 | ) | |
Pro forma | $ | (576 | ) | |
Net income from continuing operations per unit attributable to limited partners - basic: | ||||
As reported | $ | 0.45 | ||
Pro forma | $ | 0.11 | ||
Net loss from discontinued operations per unit attributable to limited partners - basic: | ||||
As reported | $ | (0.02 | ) | |
Pro forma | $ | (0.02 | ) | |
Net income from continuing operations per unit attributable to limited partners - diluted: | ||||
As reported | $ | 0.45 | ||
Pro forma | $ | 0.11 | ||
Net loss from discontinued operations per unit attributable to limited partners - diluted: | ||||
As reported | $ | (0.02 | ) | |
Pro forma | $ | (0.02 | ) |
Discontinued_operations_and_di
Discontinued operations and divestitures | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Discontinued Operations and Disposal Groups [Abstract] | ||||||||
Discontinued operations and divestitures | Discontinued operations and divestitures | |||||||
Floating Storage Assets. On February 12, 2015, the Partnership sold all six of its 16,101 barrel liquefied petroleum gas ("LPG") pressure barges, collectively referred to as the "Floating Storage Assets." These assets were acquired on February 28, 2013. On December 19, 2014, the Partnership made the decision to dispose of the Floating Storage Assets. As a result, the Partnership classified the Floating Storage Assets as held for sale at December 31, 2014 and has presented the results of operations and cash flows of the Floating Storage Assets as discontinued operations for the three months ended March 31, 2015 and 2014. The Partnership has retrospectively adjusted its prior period consolidated financial statements to comparably classify the amounts related to the operations and cash flows of the Floating Storage Assets as discontinued operations. The Floating Storage Assets were presented as discontinued operations under the guidance prior to the Partnership's adoption of ASU 2014-08 related to discontinued operations. The adoption of the amended guidance was effective for the Partnership January 1, 2015. | ||||||||
The Floating Storage Assets’ operating results, which are included in income from discontinued operations, were as follows: | ||||||||
Three Months Ended March 31, | ||||||||
2015 | 2014 | |||||||
Total revenues from third parties1 | $ | 791 | $ | 17,492 | ||||
Total costs and expenses and other, net, excluding depreciation and amortization | 1,038 | 17,698 | ||||||
Depreciation and amortization | — | 383 | ||||||
Other operating income2 | 1,462 | — | ||||||
Income (loss) from discontinued operations before income taxes | 1,215 | (589 | ) | |||||
Income tax expense | — | — | ||||||
Income (loss) from discontinued operations, net of income taxes | $ | 1,215 | $ | (589 | ) | |||
1 Total revenues from third parties excludes intercompany revenues of $0 and $5,273 for the three months ended March 31, 2015 and 2014, respectively. | ||||||||
2 Other operating income represents the gain on the disposition of the Floating Storage Assets. |
Inventories
Inventories | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Inventory Disclosure [Abstract] | ||||||||
Inventories | Inventories | |||||||
Components of inventories at March 31, 2015 and December 31, 2014 were as follows: | ||||||||
31-Mar-15 | December 31, 2014 | |||||||
Natural gas liquids | $ | 10,409 | $ | 27,820 | ||||
Sulfur | 12,634 | 12,231 | ||||||
Sulfur based products | 14,533 | 16,280 | ||||||
Lubricants | 27,812 | 29,096 | ||||||
Other | 3,176 | 3,291 | ||||||
$ | 68,564 | $ | 88,718 | |||||
Investments_in_Unconsolidated_
Investments in Unconsolidated Entities and Joint Ventures | 3 Months Ended | |||||||||||||||
Mar. 31, 2015 | ||||||||||||||||
Equity Method Investments and Joint Ventures [Abstract] | ||||||||||||||||
Investments in Unconsolidated Entities and Joint Ventures | Investments in Unconsolidated Entities and Joint Ventures | |||||||||||||||
On August 29, 2014, the Partnership acquired ECP’s approximate 57.8% Category A membership interest in Cardinal. Prior to the acquisition, the Partnership owned an approximate 42.2% Category A membership interest in Cardinal which was accounted for by the equity method. See Note 3 for discussion of the acquisition of the remaining membership interests. | ||||||||||||||||
On May 14, 2014, the Partnership acquired from a subsidiary of Atlas, all of the outstanding membership interests in Atlas Holdings for cash of approximately $134,400 at closing. The purchase price was subsequently reduced $501 due to a post-closing working capital adjustment. Atlas Holdings owned a 19.8% limited partnership interest and a 0.2% general partnership interest in WTLPG. At the time of the purchase, WTLPG was operated by Chevron Pipe Line Company. The 80% interest was subsequently sold to ONEOK Partners, L.P. who assumed operational responsibility. WTLPG owns an approximate 2,300 mile common-carrier pipeline system that transports NGLs from New Mexico and Texas to Mont Belvieu, Texas for fractionation. The Partnership recognizes its 20% interest in WTLPG as "Investment in unconsolidated entities" on its Consolidated and Condensed Balance Sheets. The Partnership accounts for its ownership interest in WTLPG under the equity method of accounting, with recognition of its ownership interest in the income of WTLPG as "Equity in earnings of unconsolidated entities" on its Consolidated and Condensed Statements of Operations. | ||||||||||||||||
During March 2013, the Partnership acquired 100% of the preferred interests in Martin Energy Trading LLC ("MET"), a subsidiary of Martin Resource Management, for $15,000. On August 31, 2014, MET converted its preferred equity to subordinated debt. The resulting $15,000 note receivable from MET bears an annual interest rate of 15% and matures August 31, 2026. MET may prepay any or all of the note balance on or after September 1, 2016. See Note 12. | ||||||||||||||||
The following tables summarize the components of the investment in unconsolidated entities on the Partnership’s Consolidated and Condensed Balance Sheets and the components of equity in earnings of unconsolidated entities included in the Partnership’s Consolidated and Condensed Statements of Operations: | ||||||||||||||||
31-Mar-15 | December 31, 2014 | |||||||||||||||
WTLPG | $ | 134,146 | $ | 134,506 | ||||||||||||
Total investment in unconsolidated entities | $ | 134,146 | $ | 134,506 | ||||||||||||
Three Months Ended March 31, | ||||||||||||||||
2015 | 2014 | |||||||||||||||
Equity in earnings of WTLPG | $ | 1,740 | $ | — | ||||||||||||
Equity in loss of Cardinal | — | (851 | ) | |||||||||||||
Equity in earnings of MET | — | 555 | ||||||||||||||
Equity in earnings (loss) of unconsolidated entities | $ | 1,740 | $ | (296 | ) | |||||||||||
Selected financial information for significant unconsolidated equity-method investees is as follows: | ||||||||||||||||
As of March 31, | Three Months Ended March 31, | |||||||||||||||
Total | Members' Equity | Revenues | Net Income (Loss) | |||||||||||||
Assets | ||||||||||||||||
2015 | ||||||||||||||||
WTLPG | $ | 831,502 | $ | 823,397 | $ | 22,154 | $ | 8,703 | ||||||||
As of December 31, | ||||||||||||||||
2014 | ||||||||||||||||
WTLPG | $ | 827,697 | $ | 818,546 | $ | — | $ | — | ||||||||
Cardinal | $ | — | $ | — | $ | 18,429 | $ | (2,017 | ) | |||||||
As of March 31, 2015 and December 31, 2014, the Partnership’s interest in cash of the unconsolidated equity-method investees was $1,867 and $10, respectively. |
Derivative_Instruments_and_Hed
Derivative Instruments and Hedging Activities | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |||||||||
Derivative Instruments and Hedging Activities | Derivative Instruments and Hedging Activities | ||||||||
The Partnership’s revenues and cost of products sold are materially impacted by changes in crude oil, natural gas and NGL prices. Additionally, the Partnership's results of operations are materially impacted by changes in interest rates. In an effort to manage its exposure to these risks, the Partnership periodically enters into various derivative instruments, including commodity and interest rate hedges. The Partnership is required to recognize all derivative instruments as either assets or liabilities at fair value on the Partnership’s Consolidated and Condensed Balance Sheets and to recognize certain changes in the fair value of derivative instruments on the Partnership’s Consolidated and Condensed Statements of Operations. | |||||||||
(a) Commodity Derivative Instruments | |||||||||
The Partnership from time to time has used derivatives to manage the risk of commodity price fluctuation. Commodity risk is the adverse effect on the value of a liability or future purchase that results from a change in commodity price. The Partnership has established a hedging policy and monitors and manages the commodity market risk associated with potential commodity risk exposure. In addition, the Partnership has focused on utilizing counterparties for these transactions whose financial condition is appropriate for the credit risk involved in each specific transaction. The Partnership did not have any commodity derivative instruments outstanding during the three months ended March 31, 2015 or 2014. | |||||||||
(b) Interest Rate Derivative Instruments | |||||||||
The Partnership is exposed to market risks associated with interest rates. Market risk is the adverse effect on the value of a financial instrument that results from a change in interest rates. We minimize this market risk by establishing and monitoring parameters that limit the types and degree of market risk that may be undertaken. The Partnership enters into interest rate swaps to manage interest rate risk associated with the Partnership’s variable rate credit facility and its fixed rate senior unsecured notes. All derivatives and hedging instruments are included on the balance sheet as an asset or a liability measured at fair value and changes in fair value are recognized currently in earnings. | |||||||||
During the three months ended March 31, 2015, the Partnership entered into contracts which provided the option to enter into swap contracts to hedge the Partnership's exposure to changes in the fair value of its senior unsecured notes | |||||||||
("interest rate swaptions") through March 31, 2015. In connection with the interest rate swaption contracts, the Partnership received premiums of $625, which represented their fair value on the date the transactions were initiated and were initially recorded as derivative liabilities on the Partnership's Consolidated and Condensed Balance Sheet. Each of the interest rate swaptions was fully amortized as of March 31, 2015. Interest rate swaption contract premiums received are amortized over the period from initiation of the contract through their termination date. For the three months ended March 31, 2015, the Partnership recognized $625 of premium in "Interest expense, net" on the Partnership's Consolidated and Condensed Statement of Operations related to the interest rate swaption contracts. | |||||||||
For information regarding gains and losses on interest rate derivative instruments, see "Tabular Presentation of Gains and Losses on Derivative Instruments" below. | |||||||||
(c) Tabular Presentation of Gains and Losses on Derivative Instruments | |||||||||
Effect of Derivative Instruments on the Consolidated and Condensed Statement of Operations | |||||||||
For the Three Months Ended March 31, 2015 and 2014 | |||||||||
Location of Gain | Amount of Gain Recognized in | ||||||||
Recognized in Income on | Income on Derivatives | ||||||||
Derivatives | |||||||||
2015 | 2014 | ||||||||
Derivatives not designated as hedging instruments: | |||||||||
Interest rate swaption contracts | Interest expense | $ | 625 | $ | — | ||||
Total derivatives not designated as hedging instruments | $ | 625 | $ | — | |||||
Fair_Value_Measurements
Fair Value Measurements | 3 Months Ended | |||||||||||||||
Mar. 31, 2015 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ||||||||||||||||
Fair Value Measurements | Fair Value Measurements | |||||||||||||||
The Partnership follows the provisions of ASC 820 related to fair value measurements and disclosures, which established a framework for measuring fair value and expanded disclosures about fair value measurements. The adoption of this guidance had no impact on the Partnership’s financial position or results of operations. | ||||||||||||||||
ASC 820 applies to all assets and liabilities that are being measured and reported on a fair value basis. This statement enables the reader of the financial statements to assess the inputs used to develop those measurements by establishing a hierarchy for ranking the quality and reliability of the information used to determine fair values. ASC 820 establishes a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value of each asset and liability carried at fair value into one of the following categories: | ||||||||||||||||
Level 1: Quoted market prices in active markets for identical assets or liabilities. | ||||||||||||||||
Level 2: Observable market based inputs or unobservable inputs that are corroborated by market data. | ||||||||||||||||
Level 3: Unobservable inputs that are not corroborated by market data. | ||||||||||||||||
The following items are measured at fair value on a recurring basis subject to the disclosure requirements of ASC 820 at March 31, 2015 and December 31, 2014: | ||||||||||||||||
Fair Value Measurements at Reporting Date Using | ||||||||||||||||
Quoted Prices in | Significant Other | Significant | ||||||||||||||
Active Markets for | Observable Inputs | Unobservable | ||||||||||||||
Identical Assets | Inputs | |||||||||||||||
Description | March 31, 2015 | (Level 1) | (Level 2) | (Level 3) | ||||||||||||
Assets | ||||||||||||||||
Note receivable - Martin Energy Trading | $ | 15,854 | $ | — | $ | — | $ | 15,854 | ||||||||
Total assets | $ | 15,854 | $ | — | $ | — | $ | 15,854 | ||||||||
Liabilities | ||||||||||||||||
2021 Senior unsecured notes | $ | 401,783 | $ | — | $ | 401,783 | $ | — | ||||||||
Total liabilities | $ | 401,783 | $ | — | $ | 401,783 | $ | — | ||||||||
Fair Value Measurements at Reporting Date Using | ||||||||||||||||
Quoted Prices in | Significant Other | Significant | ||||||||||||||
Active Markets for | Observable Inputs | Unobservable | ||||||||||||||
Identical Assets | Inputs | |||||||||||||||
Description | December 31, 2014 | (Level 1) | (Level 2) | (Level 3) | ||||||||||||
Assets | ||||||||||||||||
Note receivable - Martin Energy Trading | $ | 15,852 | $ | — | $ | — | $ | 15,852 | ||||||||
Total assets | $ | 15,852 | $ | — | $ | — | $ | 15,852 | ||||||||
Liabilities | ||||||||||||||||
2021 Senior unsecured notes | $ | 385,077 | $ | — | $ | 385,077 | $ | — | ||||||||
Total liabilities | $ | 385,077 | $ | — | $ | 385,077 | $ | — | ||||||||
FASB ASC 825-10-65, Disclosures about Fair Value of Financial Instruments, requires that the Partnership disclose estimated fair values for its financial instruments. Fair value estimates are set forth below for the Partnership’s financial instruments. The following methods and assumptions were used to estimate the fair value of each class of financial instrument: | ||||||||||||||||
• | Accounts and other receivables, trade and other accounts payable, accrued interest payable, other accrued liabilities, income taxes payable and due from/to affiliates: The carrying amounts approximate fair value due to the short maturity and highly liquid nature of these instruments, and as such these have been excluded from the table above. | |||||||||||||||
• | Note receivable and long-term debt including current portion: The carrying amount of the revolving credit facility approximates fair value due to the debt having a variable interest rate and is in Level 2. The estimated fair value of the senior unsecured notes is based on market prices of similar debt. The estimated fair value of the note receivable from Martin Energy Trading was determined by calculating the net present value of the interest payments over the life of the note. The note is considered Level 3 due to the lack of observable inputs for similar transactions between related parties. |
Supplemental_Balance_Sheet_Inf
Supplemental Balance Sheet Information | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Balance Sheet Related Disclosures [Abstract] | ||||||||
Supplemental Balance Sheet Information | Supplemental Balance Sheet Information | |||||||
Components of "Other assets, net" were as follows: | ||||||||
31-Mar-15 | 31-Dec-14 | |||||||
Customer contracts and relationships, net | $ | 66,669 | $ | 72,171 | ||||
Other intangible assets | 2,113 | 2,215 | ||||||
Other | 7,569 | 7,079 | ||||||
$ | 76,351 | $ | 81,465 | |||||
Components of "Other accrued liabilities" were as follows: | ||||||||
31-Mar-15 | December 31, 2014 | |||||||
Accrued interest | $ | 3,721 | $ | 10,996 | ||||
Property and other taxes payable | 3,523 | 7,524 | ||||||
Accrued payroll | 1,607 | 3,125 | ||||||
Other | 146 | 156 | ||||||
$ | 8,997 | $ | 21,801 | |||||
LongTerm_Debt
Long-Term Debt | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Debt Disclosure [Abstract] | ||||||||
Long-Term Debt | Long-Term Debt | |||||||
At March 31, 2015 and December 31, 2014, long-term debt consisted of the following: | ||||||||
March 31, | December 31, | |||||||
2015 | 2014 | |||||||
$900,000 Revolving credit facility at variable interest rate (2.93%1 weighted average at March 31, 2015), due March 2018 secured by substantially all of the Partnership’s assets, including, without limitation, inventory, accounts receivable, vessels, equipment, fixed assets and the interests in the Partnership’s operating subsidiaries and equity method investees, net of unamortized debt issuance costs of $8,276 and $8,656, respectively | $ | 451,724 | $ | 491,344 | ||||
$400,000 Senior notes, 7.250% interest, net of unamortized debt issuance costs of $4,280 and $4,462, respectively, including unamortized premium of $1,923 and $2,005, respectively, issued $250,000 February 2013 and $150,000 April 2014, due February 2021, unsecured | 397,643 | 397,543 | ||||||
Total long-term debt, net | 849,367 | 888,887 | ||||||
Less current installments | — | — | ||||||
Long-term debt, net of current installments | $ | 849,367 | $ | 888,887 | ||||
1 Interest rate fluctuates based on the LIBOR rate plus an applicable margin set on the date of each advance. The margin above LIBOR is set every three months. Indebtedness under the credit facility bears interest at LIBOR plus an applicable margin or the base prime rate plus an applicable margin. The applicable margin for revolving loans that are LIBOR loans ranges from 1.75% to 2.75% and the applicable margin for revolving loans that are base prime rate loans ranges from 0.75% to 1.75%. The applicable margin for existing LIBOR borrowings at March 31, 2015 is 2.75%. The credit facility contains various covenants which limit the Partnership’s ability to make certain investments and acquisitions; enter into certain agreements; incur indebtedness; sell assets; and make certain amendments to the Partnership's omnibus agreement with Martin Resource Management (the "Omnibus Agreement"). The Partnership is permitted to make quarterly distributions so long as no event of default exists. | ||||||||
The Partnership paid cash interest in the amount of $18,089 and $11,689 for the three months ended March 31, 2015 and 2014, respectively. Capitalized interest was $525 and $388 for the three months ended March 31, 2015 and 2014, respectively. |
Partners_Capital
Partners' Capital | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Partners' Capital Notes [Abstract] | ||||||||
Partners' Capital | Partners' Capital | |||||||
As of March 31, 2015, Partners’ capital consisted of 35,456,862 common limited partner units, representing a 98% partnership interest and a 2% general partner interest. Martin Resource Management, through subsidiaries, owned 6,264,532 of the Partnership's common limited partnership units representing approximately 17.7% of the Partnership's outstanding common limited partnership units. Martin Midstream GP LLC ("MMGP"), the Partnership's general partner, owns the 2% general partnership interest. Martin Resource Management controls the Partnership's general partner, by virtue of its 51% voting interest in Holdings, the sole member of the Partnership's general partner. | ||||||||
The partnership agreement of the Partnership (the "Partnership Agreement") contains specific provisions for the allocation of net income and losses to each of the partners for purposes of maintaining their respective partner capital accounts. | ||||||||
Issuance of Common Units | ||||||||
In March 2014, the Partnership entered into an equity distribution agreement with multiple underwriters (the "Sales Agents") for the ongoing distribution of the Partnership's common units. Pursuant to this program, the Partnership offered and sold common unit equity through the Sales Agents for proceeds of $0 and $5,654 during the three months ended March 31, 2015 and 2014, respectively. The Partnership paid $145 and $331 in equity issuance related costs for the three months ended March 31, 2015 and 2014, respectively. Under the the program, the Partnership issued 0 and 132,580 common units during the three months ended March 31, 2015 and 2014, respectively. Common units issued were at market prices prevailing at the time of the sale. Under the program, the Partnership also received capital contributions from the general partner of $0 and $114 during the three months ended March 31, 2015 and 2014, respectively, to maintain its 2% general partner interest in the Partnership. The net proceeds from the common unit issuances were used to pay down outstanding amounts under the Partnership's revolving credit facility. | ||||||||
Incentive Distribution Rights | ||||||||
MMGP holds a 2% general partner interest and certain incentive distribution rights ("IDRs") in the Partnership. IDRs are a separate class of non-voting limited partner interest that may be transferred or sold by the general partner under the terms of the Partnership Agreement, and represent the right to receive an increasing percentage of cash distributions after the minimum quarterly distribution and any cumulative arrearages on common units once certain target distribution levels have been achieved. The Partnership is required to distribute all of its available cash from operating surplus, as defined in the Partnership Agreement. On October 2, 2012, the Partnership Agreement was amended to provide that the general partner would forego the next $18,000 in incentive distributions that it would otherwise be entitled to receive. Additionally, on May 5, 2014, the owner of our general partner agreed to forego an additional $3,000 in incentive distributions. As of March 31, 2015, all incentive distributions the general partner agreed to forego were satisfied. The general partner received $3,738 in incentive distributions during the three months ended March 31, 2015. No incentive distributions were paid to the general partner during the three months ended March 31, 2014. | ||||||||
The target distribution levels entitle the general partner to receive 2% of quarterly cash distributions up to $0.55 per unit, 15% of quarterly cash distributions in excess of $0.55 per unit until all unitholders have received $0.625 per unit, 25% of quarterly cash distributions in excess of $0.625 per unit until all unitholders have received $0.75 per unit and 50% of quarterly cash distributions in excess of $0.75 per unit. | ||||||||
Distributions of Available Cash | ||||||||
The Partnership distributes all of its available cash (as defined in the Partnership Agreement) within 45 days after the end of each quarter to unitholders of record and to the general partner. Available cash is generally defined as all cash and cash equivalents of the Partnership on hand at the end of each quarter less the amount of cash reserves its general partner determines in its reasonable discretion is necessary or appropriate to: (i) provide for the proper conduct of the Partnership’s business; (ii) comply with applicable law, any debt instruments or other agreements; or (iii) provide funds for distributions to unitholders and the general partner for any one or more of the next four quarters, plus all cash on the date of determination of available cash for the quarter resulting from working capital borrowings made after the end of the quarter. | ||||||||
Net Income per Unit | ||||||||
The Partnership follows the provisions of the FASB ASC 260-10 related to earnings per share, which addresses the application of the two-class method in determining income per unit for master limited partnerships having multiple classes of securities that may participate in partnership distributions accounted for as equity distributions. Undistributed earnings are allocated to the general partner and limited partners utilizing the contractual terms of the Partnership Agreement. Distributions to the general partner pursuant to the IDRs are limited to available cash that will be distributed as defined in the Partnership Agreement. Accordingly, the Partnership does not allocate undistributed earnings to the general partner for the IDRs because the general partner's share of available cash is the maximum amount that the general partner would be contractually entitled to receive if all earnings for the period were distributed. When current period distributions are in excess of earnings, the excess distributions for the period are to be allocated to the general partner and limited partners based on their respective sharing of losses specified in the Partnership Agreement. Additionally, as required under FASB ASC 260-10-45-61A, unvested share-based payments that entitle employees to receive non-forfeitable distributions are considered participating securities, as defined in FASB ASC 260-10-20, for earnings per unit calculations. | ||||||||
For purposes of computing diluted net income per unit, the Partnership uses the more dilutive of the two-class and if-converted methods. Under the if-converted method, the weighted-average number of subordinated units outstanding for the period is added to the weighted-average number of common units outstanding for purposes of computing basic net income per unit and the resulting amount is compared to the diluted net income per unit computed using the two-class method. The following is a reconciliation of net income allocated to the general partner and limited partners for purposes of calculating net income attributable to limited partners per unit: | ||||||||
Three Months Ended March 31, | ||||||||
Continuing operations: | 2015 | 2014 | ||||||
Net income attributable to Martin Midstream Partners L.P. | $ | 16,033 | $ | 12,384 | ||||
Less general partner’s interest in net income: | ||||||||
Distributions payable on behalf of IDRs | 3,619 | — | ||||||
Distributions payable on behalf of general partner interest | 620 | 496 | ||||||
General partner interest in undistributed earnings | (299 | ) | (249 | ) | ||||
Less income allocable to unvested restricted units | 62 | 34 | ||||||
Limited partners’ interest in net income | $ | 12,031 | $ | 12,103 | ||||
Three Months Ended March 31, | ||||||||
Discontinued operations: | 2015 | 2014 | ||||||
Net income attributable to Martin Midstream Partners L.P. | $ | 1,215 | $ | (589 | ) | |||
Less general partner’s interest in net income: | ||||||||
Distributions payable on behalf of IDRs | 274 | — | ||||||
Distributions payable on behalf of general partner interest | 47 | (24 | ) | |||||
General partner interest in undistributed earnings | (23 | ) | 13 | |||||
Less income allocable to unvested restricted units | 5 | (2 | ) | |||||
Limited partners’ interest in net income | $ | 912 | $ | (576 | ) | |||
The weighted average units outstanding for basic net income per unit were 35,317,197 and 26,571,666 for the three months ended March 31, 2015 and 2014, respectively. All outstanding units were included in the computation of diluted earnings per unit and weighted based on the number of days such units were outstanding during the period presented. For diluted net income per unit, the weighted average units outstanding were increased by 42,892 and 33,301 for the three months ended March 31, 2015 and 2014, respectively, due to the dilutive effect of restricted units granted under the Partnership’s long-term incentive plan. |
Related_Party_Transactions
Related Party Transactions | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Related Party Transactions [Abstract] | ||||||||
Related Party Transactions | Related Party Transactions | |||||||
As of March 31, 2015, Martin Resource Management owned 6,264,532 of the Partnership’s common units representing approximately 17.7% of the Partnership’s outstanding limited partnership units. Martin Resource Management controls the Partnership's general partner by virtue of its 51% voting interest in Holdings, the sole member of the Partnership's general partner. The Partnership’s general partner, MMGP, owns a 2% general partner interest in the Partnership and the Partnership’s IDRs. The Partnership’s general partner’s ability, as general partner, to manage and operate the Partnership, and Martin Resource Management’s ownership as of March 31, 2015, of approximately 17.7% of the Partnership’s outstanding limited partnership units, effectively gives Martin Resource Management the ability to veto some of the Partnership’s actions and to control the Partnership’s management. | ||||||||
The following is a description of the Partnership’s material related party agreements and transactions: | ||||||||
Omnibus Agreement | ||||||||
Omnibus Agreement. The Partnership and its general partner are parties to the Omnibus Agreement dated November 1, 2002, with Martin Resource Management that governs, among other things, potential competition and indemnification obligations among the parties to the agreement, related party transactions, the provision of general administration and support services by Martin Resource Management and the Partnership’s use of certain Martin Resource Management trade names and trademarks. The Omnibus Agreement was amended on November 25, 2009, to include processing crude oil into finished products including naphthenic lubricants, distillates, asphalt and other intermediate cuts. The Omnibus Agreement was amended further on October 1, 2012, to permit the Partnership to provide certain lubricant packaging products and services to Martin Resource Management. | ||||||||
Non-Competition Provisions. Martin Resource Management has agreed for so long as it controls the general partner of the Partnership, not to engage in the business of: | ||||||||
• | providing terminalling and storage services for petroleum products and by-products including the refining, blending and packaging of finished lubricants; | |||||||
•providing marine transportation of petroleum products and by-products; | ||||||||
•distributing NGLs; and | ||||||||
•manufacturing and selling sulfur-based fertilizer products and other sulfur-related products. | ||||||||
This restriction does not apply to: | ||||||||
• | the ownership and/or operation on the Partnership’s behalf of any asset or group of assets owned by it or its affiliates; | |||||||
• | any business operated by Martin Resource Management, including the following: | |||||||
◦ | providing land transportation of various liquids; | |||||||
◦ | distributing fuel oil, sulfuric acid, marine fuel and other liquids; | |||||||
◦ | providing marine bunkering and other shore-based marine services in Alabama, Florida, Louisiana, Mississippi and Texas; | |||||||
◦ | operating a crude oil gathering business in Stephens, Arkansas; | |||||||
◦ | providing crude oil gathering, refining, and marketing services of base oils, asphalt, and distillate products in Smackover, Arkansas; | |||||||
◦ | providing crude oil marketing and transportation from the well head to the end market; | |||||||
◦ | operating an environmental consulting company; | |||||||
◦ | operating an engineering services company; | |||||||
◦ | supplying employees and services for the operation of the Partnership's business; | |||||||
◦ | operating a natural gas optimization business; and | |||||||
◦ | operating, solely for the Partnership's account, the asphalt facilities in Omaha, Nebraska, Port Neches, Texas and South Houston, Texas. | |||||||
• | any business that Martin Resource Management acquires or constructs that has a fair market value of less than $5,000; | |||||||
• | any business that Martin Resource Management acquires or constructs that has a fair market value of $5,000 or more if the Partnership has been offered the opportunity to purchase the business for fair market value and the Partnership declines to do so with the concurrence of the conflicts committee of the board of directors of the general partner of the Partnership (the "Conflicts Committee"); and | |||||||
• | any business that Martin Resource Management acquires or constructs where a portion of such business includes a restricted business and the fair market value of the restricted business is $5,000 or more and represents less than 20% of the aggregate value of the entire business to be acquired or constructed; provided that, following completion of the acquisition or construction, the Partnership will be provided the opportunity to purchase the restricted business. | |||||||
Services. Under the Omnibus Agreement, Martin Resource Management provides the Partnership with corporate staff, support services, and administrative services necessary to operate the Partnership’s business. The Omnibus Agreement requires the Partnership to reimburse Martin Resource Management for all direct expenses it incurs or payments it makes on the Partnership’s behalf or in connection with the operation of the Partnership’s business. There is no monetary limitation on the amount the Partnership is required to reimburse Martin Resource Management for direct expenses. In addition to the direct expenses, under the Omnibus Agreement, the Partnership is required to reimburse Martin Resource Management for indirect general and administrative and corporate overhead expenses. | ||||||||
Effective January 1, 2015, through December 31, 2015, the Conflicts Committee approved an annual reimbursement amount for indirect expenses of $13,679. The Partnership reimbursed Martin Resource Management for $3,420 and $3,190 of indirect expenses for the three months ended March 31, 2015 and 2014, respectively. The Conflicts Committee will review and approve future adjustments in the reimbursement amount for indirect expenses, if any, annually. | ||||||||
These indirect expenses are intended to cover the centralized corporate functions Martin Resource Management provides for the Partnership, such as accounting, treasury, clerical, engineering, legal, billing, information technology, administration of insurance, general office expenses and employee benefit plans and other general corporate overhead functions the Partnership shares with Martin Resource Management retained businesses. The provisions of the Omnibus Agreement regarding Martin Resource Management’s services will terminate if Martin Resource Management ceases to control the general partner of the Partnership. | ||||||||
Related Party Transactions. The Omnibus Agreement prohibits the Partnership from entering into any material agreement with Martin Resource Management without the prior approval of the Conflicts Committee. For purposes of the Omnibus Agreement, the term "material agreements" means any agreement between the Partnership and Martin Resource Management that requires aggregate annual payments in excess of the then-applicable agreed upon reimbursable amount of indirect general and administrative expenses. Please read "Services" above. | ||||||||
License Provisions. Under the Omnibus Agreement, Martin Resource Management has granted the Partnership a nontransferable, nonexclusive, royalty-free right and license to use certain of its trade names and marks, as well as the trade names and marks used by some of its affiliates. | ||||||||
Amendment and Termination. The Omnibus Agreement may be amended by written agreement of the parties; provided, however, that it may not be amended without the approval of the Conflicts Committee if such amendment would adversely affect the unitholders. The Omnibus Agreement was first amended on November 25, 2009, to permit the Partnership to provide refining services to Martin Resource Management. The Omnibus Agreement was amended further on October 1, 2012, to permit the Partnership to provide certain lubricant packaging products and services to Martin Resource Management. Such amendments were approved by the Conflicts Committee. The Omnibus Agreement, other than the indemnification provisions and the provisions limiting the amount for which the Partnership will reimburse Martin Resource Management for general and administrative services performed on its behalf, will terminate if the Partnership is no longer an affiliate of Martin Resource Management. | ||||||||
Motor Carrier Agreement | ||||||||
Motor Carrier Agreement. The Partnership is a party to a motor carrier agreement effective January 1, 2006, as amended, with Martin Transport, Inc., a wholly owned subsidiary of Martin Resource Management through which Martin Transport, Inc. operates its land transportation operations. Under the agreement, Martin Transport, Inc. agreed to transport the Partnership's NGLs as well as other liquid products. | ||||||||
Term and Pricing. The agreement has an initial term that expired in December 2007 but automatically renews for consecutive one year periods unless either party terminates the agreement by giving written notice to the other party at least 30 days prior to the expiration of the then-applicable term. The Partnership has the right to terminate this agreement at any time by providing 90 days prior notice. These rates are subject to any adjustments which are mutually agreed upon or in accordance with a price index. Additionally, during the term of the agreement, shipping charges are also subject to fuel surcharges determined on a weekly basis in accordance with the U.S. Department of Energy’s national diesel price list. | ||||||||
Indemnification. Martin Transport, Inc. has indemnified the Partnership against all claims arising out of the negligence or willful misconduct of Martin Transport, Inc. and its officers, employees, agents, representatives and subcontractors. The Partnership indemnified Martin Transport, Inc. against all claims arising out of the negligence or willful misconduct of the Partnership and its officers, employees, agents, representatives and subcontractors. In the event a claim is the result of the joint negligence or misconduct of Martin Transport, Inc. and the Partnership, indemnification obligations will be shared in proportion to each party’s allocable share of such joint negligence or misconduct. | ||||||||
Marine Agreements | ||||||||
Marine Transportation Agreement. The Partnership is a party to a marine transportation agreement effective January 1, 2006, as amended, under which the Partnership provides marine transportation services to Martin Resource Management on a spot-contract basis at applicable market rates. Effective each January 1, this agreement automatically renews for consecutive one year periods unless either party terminates the agreement by giving written notice to the other party at least 60 days prior to the expiration of the then applicable term. The fees the Partnership charges Martin Resource Management are based on applicable market rates. | ||||||||
Marine Fuel. The Partnership is a party to an agreement with Martin Resource Management dated November 1, 2002 under which Martin Resource Management provides the Partnership with marine fuel from its locations in the Gulf of Mexico at a fixed rate in excess of the Platt’s U.S. Gulf Coast Index for #2 Fuel Oil. Under this agreement, the Partnership agreed to purchase all of its marine fuel requirements that occur in the areas serviced by Martin Resource Management. | ||||||||
Terminal Services Agreements | ||||||||
Diesel Fuel Terminal Services Agreement. Effective January 1, 2015, the Partnership entered into a new terminalling services agreement under which the Partnership provides terminal services to Martin Resource Management for marine fuel distribution. This agreement replaced the prior agreement that was in place concerning the same services which was dated October 27, 2004 and consolidated it with the (i) terminalling services agreement entered into in connection with the acquisition of Talen's Marine & Fuel, LLC ("Talen's") and (ii) terminalling services agreement entered into in connection with the acquisition of L&L Holdings LLC ("L&L") into a single agreement. The minimum throughput requirements of the three superseded agreements were aggregated in the new agreement. The per gallon throughput fee the Partnership charges under this agreement may be adjusted annually based on a price index. | ||||||||
Miscellaneous Terminal Services Agreements. The Partnership is a party to several terminal services agreements and from time to time the Partnership may enter into other terminal service agreements for the purpose of providing terminal services to related parties. Individually, each of these agreements is immaterial but when considered in the aggregate they could be deemed material. These agreements are throughput based with a minimum volume commitment. Generally, the fees due under these agreements are adjusted annually based on a price index. | ||||||||
Other Agreements | ||||||||
Cross Tolling Agreement. The Partnership is a party to an amended and restated tolling agreement with Cross Oil Refining and Marketing, Inc. ("Cross"), dated October 28, 2014, under which the Partnership processes crude oil into finished products, including naphthenic lubricants, distillates, asphalt and other intermediate cuts for Cross. The tolling agreement expires November 25, 2031. Under this tolling agreement, Cross agreed to process a minimum of 6,500 barrels per day of crude oil at the facility at a fixed price per barrel. Any additional barrels are processed at a modified price per barrel. In addition, Cross agreed to pay a monthly reservation fee and a periodic fuel surcharge fee based on certain parameters specified in the tolling agreement. All of these fees (other than the fuel surcharge) are subject to escalation annually based upon the greater of 3% or the increase in the Consumer Price Index for a specified annual period. In addition, on the third, sixth and ninth anniversaries of the agreement, the parties can negotiate an upward or downward adjustment in the fees subject to their mutual agreement. | ||||||||
Sulfuric Acid Sales Agency Agreement. The Partnership is party to a second amended and restated sulfuric acid sales agency agreement dated August 5, 2013, under which Martin Resource Management purchases and markets the sulfuric acid produced by the Partnership’s sulfuric acid production plant at Plainview, Texas, that is not consumed by the Partnership’s internal operations. This agreement, as amended, will remain in place until the Partnership terminates it by providing 180 days written notice. Under this agreement, the Partnership sells all of its excess sulfuric acid to Martin Resource Management. Martin Resource Management then markets such acid to third parties and the Partnership shares in the profit of Martin Resource Management’s sales of the excess acid to such third parties. | ||||||||
Other Miscellaneous Agreements. From time to time the Partnership enters into other miscellaneous agreements with Martin Resource Management for the provision of other services or the purchase of other goods. | ||||||||
The tables below summarize the related party transactions that are included in the related financial statement captions on the face of the Partnership’s Consolidated and Condensed Statements of Operations. The revenues, costs and expenses reflected in these tables are tabulations of the related party transactions that are recorded in the corresponding captions of the consolidated and condensed financial statements and do not reflect a statement of profits and losses for related party transactions. | ||||||||
The impact of related party revenues from sales of products and services is reflected in the consolidated and condensed financial statements as follows: | ||||||||
Three Months Ended March 31, | ||||||||
2015 | 2014 | |||||||
Revenues: | ||||||||
Terminalling and storage | $ | 20,474 | $ | 18,010 | ||||
Marine transportation | 6,745 | 5,849 | ||||||
Product sales: | ||||||||
Natural gas services | 14 | 829 | ||||||
Sulfur services | 1,074 | 955 | ||||||
Terminalling and storage | 501 | 108 | ||||||
1,589 | 1,892 | |||||||
$ | 28,808 | $ | 25,751 | |||||
The impact of related party cost of products sold is reflected in the consolidated and condensed financial statements as follows: | ||||||||
Cost of products sold: | ||||||||
Natural gas services | $ | 6,918 | $ | 8,453 | ||||
Sulfur services | 3,624 | 4,865 | ||||||
Terminalling and storage | 5,402 | 9,844 | ||||||
$ | 15,944 | $ | 23,162 | |||||
The impact of related party operating expenses is reflected in the consolidated and condensed financial statements as follows: | ||||||||
Operating Expenses: | ||||||||
Marine transportation | $ | 8,560 | $ | 9,664 | ||||
Natural gas services | 2,163 | 606 | ||||||
Sulfur services | 1,663 | 1,486 | ||||||
Terminalling and storage | 8,014 | 6,483 | ||||||
$ | 20,400 | $ | 18,239 | |||||
The impact of related party selling, general and administrative expenses is reflected in the consolidated and condensed financial statements as follows: | ||||||||
Selling, general and administrative: | ||||||||
Marine transportation | $ | 8 | $ | 8 | ||||
Natural gas services | 1,163 | 958 | ||||||
Sulfur services | 796 | 843 | ||||||
Terminalling and storage | 607 | 385 | ||||||
Indirect overhead allocation, net of reimbursement | 3,420 | 3,190 | ||||||
$ | 5,994 | $ | 5,384 | |||||
Other Related Party Transactions | ||||||||
As discussed in Note 6, during March 2013, the Partnership acquired 100% of the preferred interests in MET, a subsidiary of Martin Resource Management, for $15,000. On August 31, 2014, MET converted its preferred equity to subordinated debt. The resulting $15,000 note receivable from MET bears an annual interest rate of 15% and matures August 31, 2026. MET may prepay any or all of the note balance on or after September 1, 2016. The note is recorded in "Note receivable - Martin Energy Trading LLC" on the Partnership's Consolidated and Condensed Balance Sheet. Interest income for the three months ended March 31, 2015 was $555 and is included in "Interest expense, net" in the Consolidated and Condensed Statements of Operations. |
Income_Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2015 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes |
The operations of the Partnership are generally not subject to income taxes because its income is taxed directly to its partners. | |
The Partnership is subject to the Texas margin tax which is included in income tax expense on the Consolidated and Condensed Statements of Operations. The Texas margin tax restructured the state business tax by replacing the taxable capital and earned surplus components of the existing franchise tax with a new "taxable margin" component. Since the tax base on the Texas margin tax is derived from an income-based measure, the margin tax is construed as an income tax and, therefore, the recognition of deferred taxes applies to the margin tax. The impact on deferred taxes as a result of this provision is immaterial. State income taxes attributable to the Texas margin tax of $300 and $300 were recorded in income tax expense for the three months ended March 31, 2015 and 2014, respectively. |
Business_Segments
Business Segments | 3 Months Ended | |||||||||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||||||||
Segment Reporting [Abstract] | ||||||||||||||||||||||||
Business Segments | Business Segments | |||||||||||||||||||||||
The Partnership has four reportable segments: terminalling and storage, natural gas services, sulfur services and marine transportation. The Partnership’s reportable segments are strategic business units that offer different products and services. The operating income of these segments is reviewed by the chief operating decision maker to assess performance and make business decisions. | ||||||||||||||||||||||||
The accounting policies of the operating segments are the same as those described in Note 2 in the Partnership’s Annual Report on Form 10-K for the year ended December 31, 2014, filed with the SEC on March 2, 2015, as amended, by Amendment No. 1 on Form 10-K/A filed on March 5, 2015. The Partnership evaluates the performance of its reportable segments based on operating income. There is no allocation of administrative expenses or interest expense. | ||||||||||||||||||||||||
Three Months Ended March 31, 2015 | Operating Revenues | Intersegment Revenues Eliminations | Operating Revenues after Eliminations | Depreciation and Amortization | Operating Income (Loss) after Eliminations | Capital Expenditures | ||||||||||||||||||
Terminalling and storage | $ | 70,034 | $ | (1,244 | ) | $ | 68,790 | $ | 9,789 | $ | 7,687 | $ | 8,206 | |||||||||||
Natural gas services | 162,790 | — | 162,790 | 8,402 | 8,887 | 8,715 | ||||||||||||||||||
Sulfur services | 53,137 | — | 53,137 | 2,126 | 8,122 | 214 | ||||||||||||||||||
Marine transportation | 21,946 | (1,310 | ) | 20,636 | 2,400 | 4,816 | 694 | |||||||||||||||||
Indirect selling, general and administrative | — | — | — | — | (4,810 | ) | — | |||||||||||||||||
Total | $ | 307,907 | $ | (2,554 | ) | $ | 305,353 | $ | 22,717 | $ | 24,702 | $ | 17,829 | |||||||||||
Three Months Ended March 31, 2014 | Operating Revenues | Intersegment Revenues Eliminations | Operating Revenues after Eliminations | Depreciation and Amortization | Operating Income (Loss) after Eliminations | Capital Expenditures | ||||||||||||||||||
Terminalling and storage | $ | 87,297 | $ | (1,223 | ) | $ | 86,074 | $ | 8,975 | $ | 8,311 | $ | 15,600 | |||||||||||
Natural gas services | 321,414 | — | 321,414 | 121 | 10,054 | 500 | ||||||||||||||||||
Sulfur services | 54,207 | — | 54,207 | 1,983 | 8,068 | 1,447 | ||||||||||||||||||
Marine transportation | 24,114 | (1,000 | ) | 23,114 | 2,530 | 2,962 | 3,928 | |||||||||||||||||
Indirect selling, general and administrative | — | — | — | — | (4,897 | ) | — | |||||||||||||||||
Total | $ | 487,032 | $ | (2,223 | ) | $ | 484,809 | $ | 13,609 | $ | 24,498 | $ | 21,475 | |||||||||||
The Partnership's assets by reportable segment as of March 31, 2015 and December 31, 2014, are as follows: | ||||||||||||||||||||||||
31-Mar-15 | December 31, 2014 | |||||||||||||||||||||||
Total assets: | ||||||||||||||||||||||||
Terminalling and storage | $ | 441,127 | $ | 446,313 | ||||||||||||||||||||
Natural gas services | 696,154 | 795,462 | ||||||||||||||||||||||
Sulfur services | 147,960 | 145,852 | ||||||||||||||||||||||
Marine transportation | 146,916 | 153,174 | ||||||||||||||||||||||
Total assets | $ | 1,432,157 | $ | 1,540,801 | ||||||||||||||||||||
Unit_Based_Awards
Unit Based Awards | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||||||||
Unit Based Awards | Unit Based Awards | |||||||
The Partnership recognizes compensation cost related to unit-based awards to employees in its consolidated financial statements in accordance with certain provisions of ASC 718. The Partnership recognizes compensation costs related to unit-based awards to directors under certain provisions of ASC 505-50-55 related to equity-based payments to non-employees. Amounts recognized in selling, general, and administrative expense in the consolidated and condensed financial statements with respect to these plans are as follows: | ||||||||
Three Months Ended March 31, | ||||||||
2015 | 2014 | |||||||
Employees | $ | 311 | $ | 122 | ||||
Non-employee directors | 88 | 57 | ||||||
Total unit-based compensation expense | $ | 399 | $ | 179 | ||||
Long-Term Incentive Plans | ||||||||
The Partnership's general partner has a long term incentive plan for employees and directors of the general partner and its affiliates who perform services for the Partnership. | ||||||||
The plan consists of two components, restricted units and unit options. The plan currently permits the grant of awards covering an aggregate of 725,000 common units, 241,667 of which may be awarded in the form of restricted units and 483,333 of which may be awarded in the form of unit options. The plan is administered by the compensation committee of the general partner’s board of directors (the "Compensation Committee"). | ||||||||
Restricted Units. A restricted unit is a unit that is granted to grantees with certain vesting restrictions. Once these restrictions lapse, the grantee is entitled to full ownership of the unit without restrictions. In addition, the restricted units will vest upon a change of control of the Partnership, the general partner or Martin Resource Management or if the general partner ceases to be an affiliate of Martin Resource Management. The Partnership intends the issuance of the common units upon vesting of the restricted units under the plan to serve as a means of incentive compensation for performance and not primarily as an opportunity to participate in the equity appreciation of the common units. Therefore, plan participants will not pay any consideration for the common units they receive, and the Partnership will receive no remuneration for the units. The restricted units issued to directors generally vest in equal annual installments over a four-year period. Restricted units issued to employees generally cliff vest after three years of service. | ||||||||
The restricted units are valued at their fair value at the date of grant which is equal to the market value of common units on such date. A summary of the restricted unit activity for the three months ended March 31, 2015 is provided below: | ||||||||
Number of Units | Weighted Average Grant-Date Fair Value Per Unit | |||||||
Non-vested, beginning of period | 63,824 | $ | 31.98 | |||||
Granted | 91,950 | $ | 29.04 | |||||
Vested | (3,550 | ) | $ | 35.99 | ||||
Forfeited | (1,000 | ) | $ | 31.06 | ||||
Non-Vested, end of period | 151,224 | $ | 30.11 | |||||
Aggregate intrinsic value, end of period | $ | 5,288 | ||||||
A summary of the restricted units’ aggregate intrinsic value (market value at vesting date) and fair value of units vested (market value at date of grant) during the three months ended March 31, 2015 and 2014 is provided below: | ||||||||
Three Months Ended March 31, | ||||||||
2015 | 2014 | |||||||
Aggregate intrinsic value of units vested | $ | 110 | $ | 249 | ||||
Fair value of units vested | $ | 113 | $ | 247 | ||||
As of March 31, 2015, there was $3,116 of unrecognized compensation cost related to non-vested restricted units. That cost is expected to be recognized over a weighted-average period of 2.12 years. | ||||||||
In conjunction with restricted unit issuances during the three months ended March 31, 2015, the Partnership received $55 in capital contributions from its general partner to maintain its 2% general partnership interest in the Partnership. | ||||||||
Unit Options. The plan currently permits the grant of options covering common units. As of March 31, 2015, the Partnership has not granted any common unit options to directors or employees of the Partnership's general partner, or its affiliates. In the future, the Compensation Committee may determine to make grants under the plan to employees and directors containing such terms as the Compensation Committee shall determine. Unit options will have an exercise price that, in the discretion of the Compensation Committee, may not be less than the fair market value of the units on the date of grant. In addition, the unit options will become exercisable upon a change in control of the Partnership's general partner, Martin Resource Management or if the general partner ceases to be an affiliate of Martin Resource Management or upon the achievement of specified financial objectives. |
Condensed_Consolidating_Financ
Condensed Consolidating Financial Information | 3 Months Ended |
Mar. 31, 2015 | |
Consolidating Financial Statements [Abstract] | |
Condensed Consolidating Financial Information | Condensed Consolidating Financial Information |
Martin Operating Partnership L.P. (the "Operating Partnership"), the Partnership’s wholly-owned subsidiary, has issued in the past, and may issue in the future, unconditional guarantees of senior or subordinated debt securities of the Partnership in the event that the Partnership issues such securities from time to time. The guarantees that have been issued are full, irrevocable and unconditional. In addition, the Operating Partnership may also issue senior or subordinated debt securities which, if issued, will be fully, irrevocably and unconditionally guaranteed by the Partnership. Substantially all of the Partnership's operating subsidiaries are subsidiary guarantors of its outstanding senior unsecured notes. |
Commitments_and_Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies |
From time to time, the Partnership is subject to various claims and legal actions arising in the ordinary course of business. In the opinion of management, the ultimate disposition of these matters will not have a material adverse effect on the Partnership. | |
Pursuant to a Purchase Price Reimbursement agreement between the Partnership and Martin Resource Management related to the Partnership’s acquisition of the Redbird Gas Storage LLC ("Redbird") Class A interests on October 2, 2012, beginning in the second quarter of 2015, Martin Resource Management will reimburse the Partnership $750 each quarter for four consecutive quarters as a reduction in the purchase price of the Redbird Class A interests. These payments are a result of Cardinal not achieving certain financial targets set forth in the Purchase Price Reimbursement Agreement. These payments are considered a reduction excess of the purchase price over the carrying value of the assets transferred to the Partnership from Martin Resource Management and will be recorded as an adjustment to "Partners' capital" in each quarter the payments are made. The agreement further provides for purchase price reimbursements of up to $4,500 in 2016 in the event certain financial conditions are not met. Currently, the Partnership has made no determination if certain conditions are expected to be met in 2016. |
Subsequent_Events
Subsequent Events | 3 Months Ended |
Mar. 31, 2015 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events |
Quarterly Distribution. On April 23, 2015, the Partnership declared a quarterly cash distribution of $0.8125 per common unit for the first quarter of 2015, or $3.25 per common unit on an annualized basis, which will be paid on May 15, 2015 to unitholders of record as of May 8, 2015. Additionally, the Partnership expects to pay a distribution to its general partner in the amount of $4,560. Of this amount, $667 is related to the base general partner distribution and $3,893 represents incentive distribution rights paid to the general partner. |
Acquisitions_Tables
Acquisitions (Tables) | 3 Months Ended | |||
Mar. 31, 2015 | ||||
Business Combinations [Abstract] | ||||
Schedule of Business Acquisitions | The total purchase price is as follows: | |||
Cash payment for 57.8% interest in Cardinal | $ | 120,973 | ||
Fair value of the Partnership's previously owned 42.2% interest in Cardinal | 87,613 | |||
Total | $ | 208,586 | ||
Assets and Liabilities Acquired in Acquisition | The Partnership recorded the purchase in the following allocation: | |||
Property, plant and equipment | $ | 2,453 | ||
Current liabilities | (13 | ) | ||
$ | 2,440 | |||
Assets acquired and liabilities assumed were recorded in the Natural Gas Services segment at fair value in the following purchase price allocation which was finalized in the fourth quarter of 2014: | ||||
Restricted cash | $ | 17,566 | ||
Other current assets | 9,385 | |||
Property, plant and equipment | 390,895 | |||
Intangible and other assets | 80,135 | |||
Project level finance debt | (282,087 | ) | ||
Other current liabilities | (6,713 | ) | ||
Other non-current liabilities | (595 | ) | ||
Total | $ | 208,586 | ||
Schedule Pro Forma Information | The following pro forma consolidated results of operations for the three months ended March 31, 2014 have been prepared as if the acquisition of Cardinal and WTLPG occurred at the beginning of fiscal 2014: | |||
Revenue: | ||||
As reported | $ | 484,809 | ||
Pro forma | $ | 503,238 | ||
Net income from continuing operations attributable to limited partners: | ||||
As reported | $ | 12,103 | ||
Pro forma | $ | 2,882 | ||
Net loss from discontinued operations attributable to limited partners: | ||||
As reported | $ | (576 | ) | |
Pro forma | $ | (576 | ) | |
Net income from continuing operations per unit attributable to limited partners - basic: | ||||
As reported | $ | 0.45 | ||
Pro forma | $ | 0.11 | ||
Net loss from discontinued operations per unit attributable to limited partners - basic: | ||||
As reported | $ | (0.02 | ) | |
Pro forma | $ | (0.02 | ) | |
Net income from continuing operations per unit attributable to limited partners - diluted: | ||||
As reported | $ | 0.45 | ||
Pro forma | $ | 0.11 | ||
Net loss from discontinued operations per unit attributable to limited partners - diluted: | ||||
As reported | $ | (0.02 | ) | |
Pro forma | $ | (0.02 | ) |
Discontinued_operations_and_di1
Discontinued operations and divestitures (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Discontinued Operations and Disposal Groups [Abstract] | ||||||||
Schedule of operating results from discontinued operations | The Floating Storage Assets’ operating results, which are included in income from discontinued operations, were as follows: | |||||||
Three Months Ended March 31, | ||||||||
2015 | 2014 | |||||||
Total revenues from third parties1 | $ | 791 | $ | 17,492 | ||||
Total costs and expenses and other, net, excluding depreciation and amortization | 1,038 | 17,698 | ||||||
Depreciation and amortization | — | 383 | ||||||
Other operating income2 | 1,462 | — | ||||||
Income (loss) from discontinued operations before income taxes | 1,215 | (589 | ) | |||||
Income tax expense | — | — | ||||||
Income (loss) from discontinued operations, net of income taxes | $ | 1,215 | $ | (589 | ) | |||
1 Total revenues from third parties excludes intercompany revenues of $0 and $5,273 for the three months ended March 31, 2015 and 2014, respectively. | ||||||||
2 Other operating income represents the gain on the disposition of the Floating Storage Assets. |
Inventories_Tables
Inventories (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Inventory Disclosure [Abstract] | ||||||||
Components of inventory | Components of inventories at March 31, 2015 and December 31, 2014 were as follows: | |||||||
31-Mar-15 | December 31, 2014 | |||||||
Natural gas liquids | $ | 10,409 | $ | 27,820 | ||||
Sulfur | 12,634 | 12,231 | ||||||
Sulfur based products | 14,533 | 16,280 | ||||||
Lubricants | 27,812 | 29,096 | ||||||
Other | 3,176 | 3,291 | ||||||
$ | 68,564 | $ | 88,718 | |||||
Investments_in_Unconsolidated_1
Investments in Unconsolidated Entities and Joint Ventures (Tables) | 3 Months Ended | |||||||||||||||
Mar. 31, 2015 | ||||||||||||||||
Equity Method Investments and Joint Ventures [Abstract] | ||||||||||||||||
Summary of components of investment in unconsolidated entities and components of equity in earnings of unconsolidated entities | The following tables summarize the components of the investment in unconsolidated entities on the Partnership’s Consolidated and Condensed Balance Sheets and the components of equity in earnings of unconsolidated entities included in the Partnership’s Consolidated and Condensed Statements of Operations: | |||||||||||||||
31-Mar-15 | December 31, 2014 | |||||||||||||||
WTLPG | $ | 134,146 | $ | 134,506 | ||||||||||||
Total investment in unconsolidated entities | $ | 134,146 | $ | 134,506 | ||||||||||||
Three Months Ended March 31, | ||||||||||||||||
2015 | 2014 | |||||||||||||||
Equity in earnings of WTLPG | $ | 1,740 | $ | — | ||||||||||||
Equity in loss of Cardinal | — | (851 | ) | |||||||||||||
Equity in earnings of MET | — | 555 | ||||||||||||||
Equity in earnings (loss) of unconsolidated entities | $ | 1,740 | $ | (296 | ) | |||||||||||
Select financial information for significant unconsolidated equity-method investees | Selected financial information for significant unconsolidated equity-method investees is as follows: | |||||||||||||||
As of March 31, | Three Months Ended March 31, | |||||||||||||||
Total | Members' Equity | Revenues | Net Income (Loss) | |||||||||||||
Assets | ||||||||||||||||
2015 | ||||||||||||||||
WTLPG | $ | 831,502 | $ | 823,397 | $ | 22,154 | $ | 8,703 | ||||||||
As of December 31, | ||||||||||||||||
2014 | ||||||||||||||||
WTLPG | $ | 827,697 | $ | 818,546 | $ | — | $ | — | ||||||||
Cardinal | $ | — | $ | — | $ | 18,429 | $ | (2,017 | ) | |||||||
Derivative_Instruments_and_Hed1
Derivative Instruments and Hedging Activities (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |||||||||
Effect of derivative instruments on the Consolidated Statement of Operations | Effect of Derivative Instruments on the Consolidated and Condensed Statement of Operations | ||||||||
For the Three Months Ended March 31, 2015 and 2014 | |||||||||
Location of Gain | Amount of Gain Recognized in | ||||||||
Recognized in Income on | Income on Derivatives | ||||||||
Derivatives | |||||||||
2015 | 2014 | ||||||||
Derivatives not designated as hedging instruments: | |||||||||
Interest rate swaption contracts | Interest expense | $ | 625 | $ | — | ||||
Total derivatives not designated as hedging instruments | $ | 625 | $ | — | |||||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 3 Months Ended | |||||||||||||||
Mar. 31, 2015 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ||||||||||||||||
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis | The following items are measured at fair value on a recurring basis subject to the disclosure requirements of ASC 820 at March 31, 2015 and December 31, 2014: | |||||||||||||||
Fair Value Measurements at Reporting Date Using | ||||||||||||||||
Quoted Prices in | Significant Other | Significant | ||||||||||||||
Active Markets for | Observable Inputs | Unobservable | ||||||||||||||
Identical Assets | Inputs | |||||||||||||||
Description | March 31, 2015 | (Level 1) | (Level 2) | (Level 3) | ||||||||||||
Assets | ||||||||||||||||
Note receivable - Martin Energy Trading | $ | 15,854 | $ | — | $ | — | $ | 15,854 | ||||||||
Total assets | $ | 15,854 | $ | — | $ | — | $ | 15,854 | ||||||||
Liabilities | ||||||||||||||||
2021 Senior unsecured notes | $ | 401,783 | $ | — | $ | 401,783 | $ | — | ||||||||
Total liabilities | $ | 401,783 | $ | — | $ | 401,783 | $ | — | ||||||||
Fair Value Measurements at Reporting Date Using | ||||||||||||||||
Quoted Prices in | Significant Other | Significant | ||||||||||||||
Active Markets for | Observable Inputs | Unobservable | ||||||||||||||
Identical Assets | Inputs | |||||||||||||||
Description | December 31, 2014 | (Level 1) | (Level 2) | (Level 3) | ||||||||||||
Assets | ||||||||||||||||
Note receivable - Martin Energy Trading | $ | 15,852 | $ | — | $ | — | $ | 15,852 | ||||||||
Total assets | $ | 15,852 | $ | — | $ | — | $ | 15,852 | ||||||||
Liabilities | ||||||||||||||||
2021 Senior unsecured notes | $ | 385,077 | $ | — | $ | 385,077 | $ | — | ||||||||
Total liabilities | $ | 385,077 | $ | — | $ | 385,077 | $ | — | ||||||||
Supplemental_Balance_Sheet_Inf1
Supplemental Balance Sheet Information (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Balance Sheet Related Disclosures [Abstract] | ||||||||
Schedule of Other Assets | Components of "Other assets, net" were as follows: | |||||||
31-Mar-15 | 31-Dec-14 | |||||||
Customer contracts and relationships, net | $ | 66,669 | $ | 72,171 | ||||
Other intangible assets | 2,113 | 2,215 | ||||||
Other | 7,569 | 7,079 | ||||||
$ | 76,351 | $ | 81,465 | |||||
Schedule of Other Accrued Liabilities | Components of "Other accrued liabilities" were as follows: | |||||||
31-Mar-15 | December 31, 2014 | |||||||
Accrued interest | $ | 3,721 | $ | 10,996 | ||||
Property and other taxes payable | 3,523 | 7,524 | ||||||
Accrued payroll | 1,607 | 3,125 | ||||||
Other | 146 | 156 | ||||||
$ | 8,997 | $ | 21,801 | |||||
LongTerm_Debt_Tables
Long-Term Debt (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Debt Disclosure [Abstract] | ||||||||
Schedule of long-term debt | At March 31, 2015 and December 31, 2014, long-term debt consisted of the following: | |||||||
March 31, | December 31, | |||||||
2015 | 2014 | |||||||
$900,000 Revolving credit facility at variable interest rate (2.93%1 weighted average at March 31, 2015), due March 2018 secured by substantially all of the Partnership’s assets, including, without limitation, inventory, accounts receivable, vessels, equipment, fixed assets and the interests in the Partnership’s operating subsidiaries and equity method investees, net of unamortized debt issuance costs of $8,276 and $8,656, respectively | $ | 451,724 | $ | 491,344 | ||||
$400,000 Senior notes, 7.250% interest, net of unamortized debt issuance costs of $4,280 and $4,462, respectively, including unamortized premium of $1,923 and $2,005, respectively, issued $250,000 February 2013 and $150,000 April 2014, due February 2021, unsecured | 397,643 | 397,543 | ||||||
Total long-term debt, net | 849,367 | 888,887 | ||||||
Less current installments | — | — | ||||||
Long-term debt, net of current installments | $ | 849,367 | $ | 888,887 | ||||
1 Interest rate fluctuates based on the LIBOR rate plus an applicable margin set on the date of each advance. The margin above LIBOR is set every three months. Indebtedness under the credit facility bears interest at LIBOR plus an applicable margin or the base prime rate plus an applicable margin. The applicable margin for revolving loans that are LIBOR loans ranges from 1.75% to 2.75% and the applicable margin for revolving loans that are base prime rate loans ranges from 0.75% to 1.75%. The applicable margin for existing LIBOR borrowings at March 31, 2015 is 2.75%. The credit facility contains various covenants which limit the Partnership’s ability to make certain investments and acquisitions; enter into certain agreements; incur indebtedness; sell assets; and make certain amendments to the Partnership's omnibus agreement with Martin Resource Management (the "Omnibus Agreement"). The Partnership is permitted to make quarterly distributions so long as no event of default exists. |
Partners_Capital_Tables
Partners' Capital (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Partners' Capital Notes [Abstract] | ||||||||
Reconciliation of net income to partners interest in net income | The following is a reconciliation of net income allocated to the general partner and limited partners for purposes of calculating net income attributable to limited partners per unit: | |||||||
Three Months Ended March 31, | ||||||||
Continuing operations: | 2015 | 2014 | ||||||
Net income attributable to Martin Midstream Partners L.P. | $ | 16,033 | $ | 12,384 | ||||
Less general partner’s interest in net income: | ||||||||
Distributions payable on behalf of IDRs | 3,619 | — | ||||||
Distributions payable on behalf of general partner interest | 620 | 496 | ||||||
General partner interest in undistributed earnings | (299 | ) | (249 | ) | ||||
Less income allocable to unvested restricted units | 62 | 34 | ||||||
Limited partners’ interest in net income | $ | 12,031 | $ | 12,103 | ||||
Three Months Ended March 31, | ||||||||
Discontinued operations: | 2015 | 2014 | ||||||
Net income attributable to Martin Midstream Partners L.P. | $ | 1,215 | $ | (589 | ) | |||
Less general partner’s interest in net income: | ||||||||
Distributions payable on behalf of IDRs | 274 | — | ||||||
Distributions payable on behalf of general partner interest | 47 | (24 | ) | |||||
General partner interest in undistributed earnings | (23 | ) | 13 | |||||
Less income allocable to unvested restricted units | 5 | (2 | ) | |||||
Limited partners’ interest in net income | $ | 912 | $ | (576 | ) | |||
Related_Party_Transactions_Tab
Related Party Transactions (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Related Party Transactions [Abstract] | ||||||||
The impact of Related Party Transactions | The impact of related party revenues from sales of products and services is reflected in the consolidated and condensed financial statements as follows: | |||||||
Three Months Ended March 31, | ||||||||
2015 | 2014 | |||||||
Revenues: | ||||||||
Terminalling and storage | $ | 20,474 | $ | 18,010 | ||||
Marine transportation | 6,745 | 5,849 | ||||||
Product sales: | ||||||||
Natural gas services | 14 | 829 | ||||||
Sulfur services | 1,074 | 955 | ||||||
Terminalling and storage | 501 | 108 | ||||||
1,589 | 1,892 | |||||||
$ | 28,808 | $ | 25,751 | |||||
The impact of related party cost of products sold is reflected in the consolidated and condensed financial statements as follows: | ||||||||
Cost of products sold: | ||||||||
Natural gas services | $ | 6,918 | $ | 8,453 | ||||
Sulfur services | 3,624 | 4,865 | ||||||
Terminalling and storage | 5,402 | 9,844 | ||||||
$ | 15,944 | $ | 23,162 | |||||
The impact of related party operating expenses is reflected in the consolidated and condensed financial statements as follows: | ||||||||
Operating Expenses: | ||||||||
Marine transportation | $ | 8,560 | $ | 9,664 | ||||
Natural gas services | 2,163 | 606 | ||||||
Sulfur services | 1,663 | 1,486 | ||||||
Terminalling and storage | 8,014 | 6,483 | ||||||
$ | 20,400 | $ | 18,239 | |||||
The impact of related party selling, general and administrative expenses is reflected in the consolidated and condensed financial statements as follows: | ||||||||
Selling, general and administrative: | ||||||||
Marine transportation | $ | 8 | $ | 8 | ||||
Natural gas services | 1,163 | 958 | ||||||
Sulfur services | 796 | 843 | ||||||
Terminalling and storage | 607 | 385 | ||||||
Indirect overhead allocation, net of reimbursement | 3,420 | 3,190 | ||||||
$ | 5,994 | $ | 5,384 | |||||
Business_Segments_Tables
Business Segments (Tables) | 3 Months Ended | |||||||||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||||||||
Segment Reporting [Abstract] | ||||||||||||||||||||||||
Schedule of Segment Reporting Information, by Segment [Table Text Block] | ||||||||||||||||||||||||
Three Months Ended March 31, 2015 | Operating Revenues | Intersegment Revenues Eliminations | Operating Revenues after Eliminations | Depreciation and Amortization | Operating Income (Loss) after Eliminations | Capital Expenditures | ||||||||||||||||||
Terminalling and storage | $ | 70,034 | $ | (1,244 | ) | $ | 68,790 | $ | 9,789 | $ | 7,687 | $ | 8,206 | |||||||||||
Natural gas services | 162,790 | — | 162,790 | 8,402 | 8,887 | 8,715 | ||||||||||||||||||
Sulfur services | 53,137 | — | 53,137 | 2,126 | 8,122 | 214 | ||||||||||||||||||
Marine transportation | 21,946 | (1,310 | ) | 20,636 | 2,400 | 4,816 | 694 | |||||||||||||||||
Indirect selling, general and administrative | — | — | — | — | (4,810 | ) | — | |||||||||||||||||
Total | $ | 307,907 | $ | (2,554 | ) | $ | 305,353 | $ | 22,717 | $ | 24,702 | $ | 17,829 | |||||||||||
Three Months Ended March 31, 2014 | Operating Revenues | Intersegment Revenues Eliminations | Operating Revenues after Eliminations | Depreciation and Amortization | Operating Income (Loss) after Eliminations | Capital Expenditures | ||||||||||||||||||
Terminalling and storage | $ | 87,297 | $ | (1,223 | ) | $ | 86,074 | $ | 8,975 | $ | 8,311 | $ | 15,600 | |||||||||||
Natural gas services | 321,414 | — | 321,414 | 121 | 10,054 | 500 | ||||||||||||||||||
Sulfur services | 54,207 | — | 54,207 | 1,983 | 8,068 | 1,447 | ||||||||||||||||||
Marine transportation | 24,114 | (1,000 | ) | 23,114 | 2,530 | 2,962 | 3,928 | |||||||||||||||||
Indirect selling, general and administrative | — | — | — | — | (4,897 | ) | — | |||||||||||||||||
Total | $ | 487,032 | $ | (2,223 | ) | $ | 484,809 | $ | 13,609 | $ | 24,498 | $ | 21,475 | |||||||||||
Assets by segment | The Partnership's assets by reportable segment as of March 31, 2015 and December 31, 2014, are as follows: | |||||||||||||||||||||||
31-Mar-15 | December 31, 2014 | |||||||||||||||||||||||
Total assets: | ||||||||||||||||||||||||
Terminalling and storage | $ | 441,127 | $ | 446,313 | ||||||||||||||||||||
Natural gas services | 696,154 | 795,462 | ||||||||||||||||||||||
Sulfur services | 147,960 | 145,852 | ||||||||||||||||||||||
Marine transportation | 146,916 | 153,174 | ||||||||||||||||||||||
Total assets | $ | 1,432,157 | $ | 1,540,801 | ||||||||||||||||||||
Unit_Based_Awards_Tables
Unit Based Awards (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||||||||
Schedule of compensation costs related to unit based plan | Amounts recognized in selling, general, and administrative expense in the consolidated and condensed financial statements with respect to these plans are as follows: | |||||||
Three Months Ended March 31, | ||||||||
2015 | 2014 | |||||||
Employees | $ | 311 | $ | 122 | ||||
Non-employee directors | 88 | 57 | ||||||
Total unit-based compensation expense | $ | 399 | $ | 179 | ||||
Summary of restricted unit activity | A summary of the restricted unit activity for the three months ended March 31, 2015 is provided below: | |||||||
Number of Units | Weighted Average Grant-Date Fair Value Per Unit | |||||||
Non-vested, beginning of period | 63,824 | $ | 31.98 | |||||
Granted | 91,950 | $ | 29.04 | |||||
Vested | (3,550 | ) | $ | 35.99 | ||||
Forfeited | (1,000 | ) | $ | 31.06 | ||||
Non-Vested, end of period | 151,224 | $ | 30.11 | |||||
Aggregate intrinsic value, end of period | $ | 5,288 | ||||||
Summary of aggregate intrinsic value and fair value of units vested | A summary of the restricted units’ aggregate intrinsic value (market value at vesting date) and fair value of units vested (market value at date of grant) during the three months ended March 31, 2015 and 2014 is provided below: | |||||||
Three Months Ended March 31, | ||||||||
2015 | 2014 | |||||||
Aggregate intrinsic value of units vested | $ | 110 | $ | 249 | ||||
Fair value of units vested | $ | 113 | $ | 247 | ||||
General_Details
General (Details) | 3 Months Ended |
Mar. 31, 2015 | |
segment | |
Accounting Policies [Abstract] | |
Number of primary business lines | 4 |
New_Accounting_Pronouncements_
New Accounting Pronouncements (Details) (New Accounting Pronouncement, Early Adoption, Effect [Member], USD $) | Dec. 31, 2014 |
New Accounting Pronouncement, Early Adoption, Effect [Member] | |
New Accounting Pronouncement, Early Adoption [Line Items] | |
Deferred financing cost, net | $13,118 |
Acquisitions_Cardinal_Gas_Stor
Acquisitions (Cardinal Gas Storage Partners LLC) (Details) (USD $) | 3 Months Ended | 0 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Aug. 29, 2014 | Aug. 28, 2014 |
Business Acquisition [Line Items] | ||||
Revenue | $305,353 | $484,809 | ||
Net income (loss) | 17,248 | 11,795 | ||
Cardinal Gas Storage Partners LLC [Member] | ||||
Business Acquisition [Line Items] | ||||
Weighted average useful life | 5 years 1 month 12 days | |||
Additional voting interests acquired | 57.80% | |||
Cash consideration of acquisition | 120,973 | |||
Ownership percentage by parent | 42.20% | |||
Reduced carrying value of existing investment | -30,102 | |||
Revenue | 16,487 | |||
Net income (loss) | $3,028 |
Acquisitions_Schedule_of_Purch
Acquisitions (Schedule of Purchase Price) (Details) (Cardinal Gas Storage Partners LLC [Member], USD $) | 0 Months Ended |
In Thousands, unless otherwise specified | Aug. 29, 2014 |
Cardinal Gas Storage Partners LLC [Member] | |
Business Acquisition [Line Items] | |
Cash payment for 57.8% interest in Cardinal | $120,973 |
Fair value of the Partnership's previously owned 42.2% interest in Cardinal | 87,613 |
Total | $208,586 |
Schedule_of_Assets_and_Liabili
(Schedule of Assets and Liabilities Assumed) (Details) (USD $) | Aug. 29, 2014 | 31-May-14 |
In Thousands, unless otherwise specified | ||
Cardinal Gas Storage Partners LLC [Member] | ||
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net [Abstract] | ||
Restricted cash | $17,566 | |
Other current assets | 9,385 | |
Property, plant and equipment | 390,895 | |
Intangible and other assets | 80,135 | |
Project level finance debt | -282,087 | |
Other current liabilities | -6,713 | |
Other non-current liabilities | -595 | |
Total | 208,586 | |
Martin Resource Management [Member] | ||
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net [Abstract] | ||
Property, plant and equipment | 2,453 | |
Current liabilities | -13 | |
Total | $2,440 |
Acquisitions_Natural_Gas_Liqui
Acquisitions (Natural Gas Liquids Storage Assets) (Details) (Martin Resource Management [Member], USD $) | 0 Months Ended |
In Thousands, unless otherwise specified | 31-May-14 |
Business Acquisition [Line Items] | |
Purchase price of acquisition | $7,388 |
Partners' Capital [Member] | |
Business Acquisition [Line Items] | |
Excess of the purchase price over the carrying value of the assets | $4,948 |
Excess of the purchase price over the carrying value of the assets, percentage | 3.00% |
Acquisitions_West_Texas_LPG_Pi
Acquisitions (West Texas LPG Pipeline Limited Partnership) (Details) (USD $) | 0 Months Ended |
In Thousands, unless otherwise specified | 14-May-14 |
Atlas Holdings [Member] | |
Business Acquisition [Line Items] | |
Payments to acquire unconsolidated entities | $134,400 |
Post-closing working capital adjustment | ($501) |
West Texas LPG Pipeline L.P. [Member] | |
Business Acquisition [Line Items] | |
Ownership percentage | 20.00% |
Length of common-carrier pipeline system | 2,300 |
West Texas LPG Pipeline L.P. [Member] | Limited Partner [Member] | |
Business Acquisition [Line Items] | |
Ownership percentage | 19.80% |
West Texas LPG Pipeline L.P. [Member] | General Partner [Member] | |
Business Acquisition [Line Items] | |
Ownership percentage | 0.20% |
ONEOK Partners, L.P. [Member] | West Texas LPG Pipeline L.P. [Member] | |
Business Acquisition [Line Items] | |
Ownership percentage by parent | 80.00% |
Acquisitions_Schedule_of_Pro_F
Acquisitions (Schedule of Pro Forma Consolidated Results of Operations) (Details) (USD $) | 3 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Revenues: | ||
As reported | $305,353 | $484,809 |
Net income from continuing operations attributable to limited partners: | ||
As reported | 12,031 | 12,103 |
Net loss from discontinued operations attributable to limited partners: | ||
As reported | 912 | -576 |
Net income from continuing operations per unit attributable to limited partners - basic: | ||
As reported | $0.34 | $0.45 |
Net loss from discontinued operations per unit attributable to limited partners - basic: | ||
As reported | $0.03 | ($0.02) |
Net income from continuing operations per unit attributable to limited partners - diluted: | ||
As reported | $0.34 | $0.45 |
Net loss from discontinued operations per unit attributable to limited partners - diluted: | ||
As reported | $0.03 | ($0.02) |
Limited Partner [Member] | Cardinal and West Texas Pipeline Limited Partnership [Member] | ||
Revenues: | ||
As reported | 484,809 | |
Pro forma | 503,238 | |
Net income from continuing operations attributable to limited partners: | ||
As reported | 12,103 | |
Pro forma | 2,882 | |
Net loss from discontinued operations attributable to limited partners: | ||
As reported | -576 | |
Pro forma | ($576) | |
Net income from continuing operations per unit attributable to limited partners - basic: | ||
As reported | $0.45 | |
Pro forma | $0.11 | |
Net loss from discontinued operations per unit attributable to limited partners - basic: | ||
As reported | ($0.02) | |
Pro forma | ($0.02) | |
Net income from continuing operations per unit attributable to limited partners - diluted: | ||
As reported | $0.45 | |
Pro forma | $0.11 | |
Net loss from discontinued operations per unit attributable to limited partners - diluted: | ||
As reported | ($0.02) | |
Pro forma | ($0.02) |
Discontinued_operations_and_di2
Discontinued operations and divestitures (Details) (Floating Storage Assets, USD $) | 3 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Feb. 12, 2015 |
barge | |||
bbl | |||
Floating Storage Assets | |||
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | |||
Number of pressure barges disposed of | 6 | ||
Volume of pressure barges disposed of | 16,101 | ||
Intercompany revenues | $0 | $5,273 |
Discontinued_operations_and_di3
Discontinued operations and divestitures (Operating Results) (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Total costs and expenses and other, net, excluding depreciation and amortization | $280,641 | $460,266 |
Depreciation and amortization | 22,717 | 13,609 |
Other operating loss | -10 | -45 |
Income (loss) from discontinued operations, net of income taxes | 1,215 | -589 |
Floating Storage Assets | ||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Total revenues from third parties | 791 | 17,492 |
Total costs and expenses and other, net, excluding depreciation and amortization | 1,038 | 17,698 |
Depreciation and amortization | 0 | 383 |
Other operating loss | 1,462 | 0 |
Income (loss) from discontinued operations before income taxes | 1,215 | -589 |
Income tax expense | 0 | 0 |
Income (loss) from discontinued operations, net of income taxes | $1,215 | ($589) |
Inventories_Details
Inventories (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Inventory Disclosure [Abstract] | ||
Natural gas liquids | $10,409 | $27,820 |
Sulfur | 12,634 | 12,231 |
Sulfur based products | 14,533 | 16,280 |
Lubricants | 27,812 | 29,096 |
Other | 3,176 | 3,291 |
Inventories | $68,564 | $88,718 |
Investments_in_Unconsolidated_2
Investments in Unconsolidated Entities and Joint Ventures (Details) (USD $) | 0 Months Ended | 1 Months Ended | 0 Months Ended | ||||
In Thousands, unless otherwise specified | Aug. 31, 2014 | Mar. 31, 2013 | Aug. 29, 2014 | 14-May-14 | Mar. 31, 2015 | Dec. 31, 2014 | Aug. 28, 2014 |
Schedule of Equity Method Investments [Line Items] | |||||||
Partnership's interest in cash of the unconsolidated equity-method investees | $1,867 | $10 | |||||
Note receivable | 15,000 | 15,000 | |||||
West Texas LPG Pipeline L.P. [Member] | |||||||
Schedule of Equity Method Investments [Line Items] | |||||||
Unconsolidated interest ownership | 20.00% | ||||||
Length of common-carrier pipeline system | 2,300 | ||||||
Martin Energy Trading LLC [Member] | |||||||
Schedule of Equity Method Investments [Line Items] | |||||||
Unconsolidated interest ownership | 100.00% | ||||||
Proceeds from sale of equity method investment | 15,000 | ||||||
Annual interest rate of note receivable | 15.00% | ||||||
Limited Partner [Member] | West Texas LPG Pipeline L.P. [Member] | |||||||
Schedule of Equity Method Investments [Line Items] | |||||||
Unconsolidated interest ownership | 19.80% | ||||||
General Partner [Member] | West Texas LPG Pipeline L.P. [Member] | |||||||
Schedule of Equity Method Investments [Line Items] | |||||||
Unconsolidated interest ownership | 0.20% | ||||||
Cardinal Gas Storage Partners LLC [Member] | |||||||
Schedule of Equity Method Investments [Line Items] | |||||||
Additional voting interests acquired | 57.80% | ||||||
Remaining ownership percentage in investment | 42.20% | ||||||
Atlas Holdings [Member] | |||||||
Schedule of Equity Method Investments [Line Items] | |||||||
Amount of cash to acquire outstanding interest | 134,400 | ||||||
Post-closing working capital adjustment | -501 | ||||||
Notes Receivable [Member] | Martin Energy Trading LLC [Member] | |||||||
Schedule of Equity Method Investments [Line Items] | |||||||
Note receivable | 15,000 |
Investments_in_Unconsolidated_3
Investments in Unconsolidated Entities and Joint Ventures (Components of Investment in Unconsolidated Entities) (Details) (USD $) | 3 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 |
Schedule of Equity Method Investments [Line Items] | |||
Investment in unconsolidated entities | $134,146 | $134,506 | |
Equity in earnings (loss) of unconsolidated entities | 1,740 | -296 | |
West Texas LPG Pipeline L.P. [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Investment in unconsolidated entities | 134,146 | 134,506 | |
Equity in earnings (loss) of unconsolidated entities | 1,740 | 0 | |
Cardinal Gas Storage Partners LLC [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity in earnings (loss) of unconsolidated entities | 0 | -851 | |
Martin Energy Trading LLC [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity in earnings (loss) of unconsolidated entities | $0 | $555 |
Investments_in_Unconsolidated_4
Investments in Unconsolidated Entities and Joint Ventures (Selected Financial Information for Equity Method Investees) (Details) (USD $) | 3 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 |
West Texas LPG Pipeline L.P. [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Total Assets | $831,502 | $827,697 | |
Members' Equity | 823,397 | 818,546 | |
Revenues | 22,154 | ||
Net Income (Loss) | 8,703 | ||
Cardinal Gas Storage Partners LLC [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Total Assets | 0 | ||
Members' Equity | 0 | ||
Revenues | 18,429 | ||
Net Income (Loss) | ($2,017) |
Derivative_Instruments_and_Hed2
Derivative Instruments and Hedging Activities (Details) (Interest Rate Swap [Member], USD $) | 3 Months Ended |
In Thousands, unless otherwise specified | Mar. 31, 2015 |
Derivatives, Fair Value [Line Items] | |
Premiums received | $625 |
Interest Expense [Member] | |
Derivatives, Fair Value [Line Items] | |
Premiums received | $625 |
Derivative_Instruments_and_Hed3
Derivative Instruments and Hedging Activities (Statement of Operations Derivatives) (Details) (Not Designated as Hedging Instrument [Member], USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of gain or (loss) recognized in income on derivatives | $625 | $0 |
Interest Rate Contract [Member] | Interest Expense [Member] | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of gain or (loss) recognized in income on derivatives | $625 | $0 |
Fair_Value_Measurements_Detail
Fair Value Measurements (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Note receivable - Martin Energy Trading | $15,854 | $15,852 |
Total assets | 15,854 | 15,852 |
Total liabilities | 401,783 | 385,077 |
Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Note receivable - Martin Energy Trading | 0 | 0 |
Total assets | 0 | 0 |
Total liabilities | 0 | 0 |
Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Note receivable - Martin Energy Trading | 0 | 0 |
Total assets | 0 | 0 |
Total liabilities | 401,783 | 385,077 |
Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Note receivable - Martin Energy Trading | 15,854 | 15,852 |
Total assets | 15,854 | 15,852 |
Total liabilities | 0 | 0 |
2021 Senior unsecured notes [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Senior unsecured notes | 401,783 | 385,077 |
2021 Senior unsecured notes [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Senior unsecured notes | 0 | 0 |
2021 Senior unsecured notes [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Senior unsecured notes | 401,783 | 385,077 |
2021 Senior unsecured notes [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Senior unsecured notes | $0 | $0 |
Supplemental_Balance_Sheet_Inf2
Supplemental Balance Sheet Information (Other Assets) (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Balance Sheet Related Disclosures [Abstract] | ||
Customer contracts and relationships, net | $66,669 | $72,171 |
Other intangible assets | 2,113 | 2,215 |
Other | 7,569 | 7,079 |
Other assets, net | $76,351 | $81,465 |
Supplemental_Balance_Sheet_Inf3
Supplemental Balance Sheet Information (Other Accrued Liabilities) (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Balance Sheet Related Disclosures [Abstract] | ||
Accrued interest | $3,721 | $10,996 |
Property and other taxes payable | 3,523 | 7,524 |
Accrued payroll | 1,607 | 3,125 |
Other | 146 | 156 |
Total Other Accrued Liabilities | $8,997 | $21,801 |
LongTerm_Debt_Details
Long-Term Debt (Details) (USD $) | 3 Months Ended | ||||
Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 | Apr. 30, 2014 | Feb. 28, 2013 | |
Debt Instrument [Line Items] | |||||
Total long-term debt, net | $849,367,000 | $888,887,000 | |||
Less current installments | 0 | 0 | |||
Long-term debt, net of current installments | 849,367,000 | 888,887,000 | |||
Cash paid for interest | 18,089,000 | 11,689,000 | |||
Capitalized interest | 525,000 | 388,000 | |||
Revolving Loan Facility [Member] | |||||
Debt Instrument [Line Items] | |||||
Total long-term debt, net | 451,724,000 | 491,344,000 | |||
Face amount | 900,000,000 | ||||
Unamortized debt issuance costs | 8,276,000 | 8,656,000 | |||
Weighted average interest rate | 2.93% | ||||
LIBOR [Member] | Revolving Loan Facility [Member] | |||||
Debt Instrument [Line Items] | |||||
Applicable margins | 2.75% | ||||
LIBOR [Member] | Revolving Loan Facility [Member] | Minimum [Member] | |||||
Debt Instrument [Line Items] | |||||
Applicable margins | 1.75% | ||||
LIBOR [Member] | Revolving Loan Facility [Member] | Maximum [Member] | |||||
Debt Instrument [Line Items] | |||||
Applicable margins | 2.75% | ||||
Prime Rate [Member] | Revolving Loan Facility [Member] | Minimum [Member] | |||||
Debt Instrument [Line Items] | |||||
Applicable margins | 0.75% | ||||
Prime Rate [Member] | Revolving Loan Facility [Member] | Maximum [Member] | |||||
Debt Instrument [Line Items] | |||||
Applicable margins | 1.75% | ||||
Senior Notes 7.250% [Member] | Senior Notes [Member] | |||||
Debt Instrument [Line Items] | |||||
Total long-term debt, net | 397,643,000 | 397,543,000 | |||
Face amount | 400,000,000 | 150,000,000 | 250,000,000 | ||
Stated interest rate | 7.25% | ||||
Unamortized debt issuance costs | 4,280,000 | 4,462,000 | |||
Unamortized premium | $1,923,000 | $2,005,000 |
Partners_Capital_Details
Partners' Capital (Details) | 1 Months Ended | 3 Months Ended |
Mar. 31, 2014 | Mar. 31, 2015 | |
Limited Partners' Capital Account [Line Items] | ||
Common limited partner units | 35,456,862 | |
Ownership percentage | 98.00% | |
General partner interest percentage | 2.00% | 2.00% |
Martin Resource Management [Member] | ||
Limited Partners' Capital Account [Line Items] | ||
Voting interest | 51.00% | |
Martin Resource Management [Member] | ||
Limited Partners' Capital Account [Line Items] | ||
Common limited partner units | 6,264,532 | |
Ownership percentage | 17.70% | |
General partner interest percentage | 2.00% | |
Voting interest | 17.70% |
Partners_Capital_Issuance_of_C
Partners' Capital (Issuance of Common Units) (Details) (USD $) | 1 Months Ended | 3 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2015 | Mar. 31, 2014 |
Subsidiary, Sale of Stock [Line Items] | |||
Proceeds from the public offering | $0 | $5,654 | |
Compensation expense | 145 | 331 | |
Common units sold in private equity sale | 0 | 132,580 | |
General partner contribution to maintain GP interest | 55 | 114 | |
General partner interest percentage | 2.00% | 2.00% | |
General Partner [Member] | |||
Subsidiary, Sale of Stock [Line Items] | |||
General partner contribution to maintain GP interest | $0 | $114 |
Partners_Capital_Incentive_Dis
Partners' Capital (Incentive Distribution Rights and Distributions of Available Cash) (Details) (USD $) | 1 Months Ended | 3 Months Ended | |||
Mar. 31, 2014 | Mar. 31, 2015 | Mar. 31, 2014 | 5-May-14 | Oct. 02, 2012 | |
Limited Partners' Capital Account [Line Items] | |||||
General partner interest percentage | 2.00% | 2.00% | |||
Distribution period | 45 days | ||||
Martin Midstream GP LLC [Member] | |||||
Limited Partners' Capital Account [Line Items] | |||||
General partner interest percentage | 2.00% | ||||
Incentive distribution foregone | $3,000,000 | $18,000,000 | |||
Incentive distribution | 3,738,000 | $0 | |||
Target Level 1 [Member] | Martin Midstream GP LLC [Member] | |||||
Limited Partners' Capital Account [Line Items] | |||||
Target cash distribution, percent | 2.00% | ||||
Target cash distribution (in dollars per share) | 0.55 | ||||
Target Level 2 [Member] | Martin Midstream GP LLC [Member] | |||||
Limited Partners' Capital Account [Line Items] | |||||
Target cash distribution, percent | 15.00% | ||||
Target cash distribution (in dollars per share) | 0.625 | ||||
Target Level 3 [Member] | Martin Midstream GP LLC [Member] | |||||
Limited Partners' Capital Account [Line Items] | |||||
Target cash distribution, percent | 25.00% | ||||
Target cash distribution (in dollars per share) | 0.75 | ||||
Target Level 4 [Member] | Martin Midstream GP LLC [Member] | |||||
Limited Partners' Capital Account [Line Items] | |||||
Target cash distribution, percent | 50.00% |
Partners_Capital_Reconciliatio
Partners' Capital (Reconciliation of Net Income) (Details) (USD $) | 3 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | |
Reconciliation of Net Income from Continuing and Discontinued Operations [Line Items] | ||
Net income attributable to Martin Midstream Partners L.P. | $17,248,000 | $11,795,000 |
Less general partner’s interest in net income: | ||
Less income allocable to unvested restricted units | 67,000 | 32,000 |
Limited partners' interest in net income (loss) | 12,943,000 | 11,527,000 |
Weighted average limited partner units - basic | 35,317,197 | 26,571,666 |
Increase in units outstanding due to the dilutive effect of restricted units granted (in units) | 42,892 | 33,301 |
Continuing Operations [Member] | ||
Reconciliation of Net Income from Continuing and Discontinued Operations [Line Items] | ||
Net income attributable to Martin Midstream Partners L.P. | 16,033,000 | 12,384,000 |
Less general partner’s interest in net income: | ||
Distributions payable on behalf of IDRs | 3,619,000 | 0 |
Distributions payable on behalf of general partner interest | 620,000 | 496,000 |
General partner interest in undistributed earnings | -299,000 | -249,000 |
Less income allocable to unvested restricted units | 62,000 | 34,000 |
Limited partners' interest in net income (loss) | 12,031,000 | 12,103,000 |
Discontinued Operations [Member] | ||
Reconciliation of Net Income from Continuing and Discontinued Operations [Line Items] | ||
Net income attributable to Martin Midstream Partners L.P. | 1,215,000 | -589,000 |
Less general partner’s interest in net income: | ||
Distributions payable on behalf of IDRs | 274,000 | 0 |
Distributions payable on behalf of general partner interest | 47,000 | -24,000 |
General partner interest in undistributed earnings | -23,000 | 13,000 |
Less income allocable to unvested restricted units | 5,000 | -2,000 |
Limited partners' interest in net income (loss) | $912,000 | ($576,000) |
Related_Party_Transactions_Nar
Related Party Transactions (Narrative) (Details) (USD $) | 1 Months Ended | 3 Months Ended | 0 Months Ended | 1 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2015 | Aug. 31, 2014 | Mar. 31, 2013 | Dec. 31, 2014 |
Related Party Transaction [Line Items] | |||||
General partner interest percentage | 2.00% | 2.00% | |||
Note receivable | $15,000 | $15,000 | |||
Martin Resource Management [Member] | |||||
Related Party Transaction [Line Items] | |||||
Number of shares owned (in units) | 6,264,532 | ||||
Ownership percentage | 17.70% | ||||
General partner interest percentage | 2.00% | ||||
Martin Resource Management [Member] | MMGP Holdings, LLC [Member] | |||||
Related Party Transaction [Line Items] | |||||
General partner interest percentage | 51.00% | ||||
Martin Energy Trading LLC [Member] | |||||
Related Party Transaction [Line Items] | |||||
Ownership percentage | 100.00% | ||||
Proceeds from sale of equity method investment | 15,000 | ||||
Annual interest rate of note receivable | 15.00% | ||||
Notes Receivable [Member] | Martin Energy Trading LLC [Member] | |||||
Related Party Transaction [Line Items] | |||||
Note receivable | 15,000 | ||||
Interest Expense, Net [Member] | Martin Energy Trading LLC [Member] | |||||
Related Party Transaction [Line Items] | |||||
Interest income | $555 |
Related_Party_Transactions_Omn
Related Party Transactions (Omnibus Agreement) (Details) (Omnibus Agreement [Member], Martin Resource Management [Member], USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Omnibus Agreement [Member] | Martin Resource Management [Member] | ||
Related Party Transaction [Line Items] | ||
Noncompete restriction threshold | $5,000 | |
Noncompete restriction ownership option opportunity threshold minimum | 5,000 | |
Noncompete restriction ownership option opportunity threshold minimum with equity limitation | 5,000 | |
Equity limitation on ownership restriction percentage | 20.00% | |
Approved annual reimbursements for indirect expenses | 13,679 | |
Indirect expenses reimbursed | $3,420 | $3,190 |
Related_Party_Transactions_Mot
Related Party Transactions (Motor Carrier Agreement) (Details) (Motor Carrier Agreement [Member], Martin Resource Management [Member]) | 3 Months Ended |
Mar. 31, 2015 | |
Motor Carrier Agreement [Member] | Martin Resource Management [Member] | |
Related Party Transaction [Line Items] | |
Automatic consecutive term renewal period | 1 year |
Termination written notice, minimum | 30 days |
Partnership notice period to terminate agreement | 90 days |
Related_Party_Transactions_Mar
Related Party Transactions (Marine Agreements) (Details) (Marine Transportation Agreement [Member], Martin Resource Management [Member]) | 3 Months Ended |
Mar. 31, 2015 | |
Marine Transportation Agreement [Member] | Martin Resource Management [Member] | |
Related Party Transaction [Line Items] | |
Automatic consecutive term renewal period | 1 year |
Termination written notice, minimum | 60 days |
Related_Party_Transactions_Oth
Related Party Transactions (Other Agreements) (Details) (Martin Resource Management [Member]) | 3 Months Ended |
Mar. 31, 2015 | |
Cross Tolling Agreement [Member] | |
Related Party Transaction [Line Items] | |
Production minimum per day (in bbl) | 6,500 |
Annual escalation benchmark | 3.00% |
Sulfuric Acid Sales Agency Agreement [Member] | |
Related Party Transaction [Line Items] | |
Partnership notice period to terminate agreement | 180 days |
Related_Party_Transactions_Det
Related Party Transactions (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Revenues: | ||
Terminalling and storage | $20,474 | $18,010 |
Marine transportation | 6,745 | 5,849 |
Product sales: | ||
Product Sales Related Party | 1,589 | 1,892 |
Revenue from Related Parties | 28,808 | 25,751 |
Cost of products sold: | ||
Natural gas services | 6,918 | 8,453 |
Sulfur services | 3,624 | 4,865 |
Terminalling and storage | 5,402 | 9,844 |
Cost of products sold | 15,944 | 23,162 |
Operating Expenses: | ||
Operating expenses | 20,400 | 18,239 |
Selling, general and administrative: | ||
Selling, general and administrative | 5,994 | 5,384 |
Related Party [Member] | ||
Cost of products sold: | ||
Natural gas services | 6,918 | 8,453 |
Sulfur services | 3,624 | 4,865 |
Terminalling and storage | 5,402 | 9,844 |
Related Party [Member] | Terminalling and storage [Member] | ||
Revenues: | ||
Terminalling and storage | 20,474 | 18,010 |
Product sales: | ||
Product Sales Related Party | 501 | 108 |
Operating Expenses: | ||
Operating expenses | 8,014 | 6,483 |
Selling, general and administrative: | ||
Selling, general and administrative | 607 | 385 |
Related Party [Member] | Marine transportation [Member] | ||
Revenues: | ||
Marine transportation | 6,745 | 5,849 |
Operating Expenses: | ||
Operating expenses | 8,560 | 9,664 |
Selling, general and administrative: | ||
Selling, general and administrative | 8 | 8 |
Related Party [Member] | Natural gas services [Member] | ||
Product sales: | ||
Product Sales Related Party | 14 | 829 |
Operating Expenses: | ||
Operating expenses | 2,163 | 606 |
Selling, general and administrative: | ||
Selling, general and administrative | 1,163 | 958 |
Related Party [Member] | Sulfur services [Member] | ||
Product sales: | ||
Product Sales Related Party | 1,074 | 955 |
Operating Expenses: | ||
Operating expenses | 1,663 | 1,486 |
Selling, general and administrative: | ||
Selling, general and administrative | 796 | 843 |
Related Party [Member] | Indirect overhead allocation, net of reimbursement [Member] | ||
Selling, general and administrative: | ||
Selling, general and administrative | $3,420 | $3,190 |
Income_Taxes_Details
Income Taxes (Details) (State and Local Jurisdiction [Member], Texas [Member], USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
State and Local Jurisdiction [Member] | Texas [Member] | ||
Income Tax Contingency [Line Items] | ||
State income taxes | $300 | $300 |
Business_Segments_Details
Business Segments (Details) (USD $) | 3 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 |
segment | |||
Segment Reporting [Abstract] | |||
Number of Reportable Segments | 4 | ||
Segment Reporting Information [Line Items] | |||
Operating Revenues | $307,907 | $487,032 | |
Intersegment Revenues Eliminations | -2,554 | -2,223 | |
Total revenues | 305,353 | 484,809 | |
Depreciation and amortization | 22,717 | 13,609 | |
Operating Income (Loss) after Eliminations | 24,702 | 24,498 | |
Capital Expenditures | 17,829 | 21,475 | |
Total assets: | |||
Total assets | 1,432,157 | 1,540,801 | |
Terminalling and storage [Member] | |||
Segment Reporting Information [Line Items] | |||
Operating Revenues | 70,034 | 87,297 | |
Intersegment Revenues Eliminations | -1,244 | -1,223 | |
Total revenues | 68,790 | 86,074 | |
Depreciation and amortization | 9,789 | 8,975 | |
Operating Income (Loss) after Eliminations | 7,687 | 8,311 | |
Capital Expenditures | 8,206 | 15,600 | |
Total assets: | |||
Total assets | 441,127 | 446,313 | |
Natural gas services [Member] | |||
Segment Reporting Information [Line Items] | |||
Operating Revenues | 162,790 | 321,414 | |
Intersegment Revenues Eliminations | 0 | 0 | |
Total revenues | 162,790 | 321,414 | |
Depreciation and amortization | 8,402 | 121 | |
Operating Income (Loss) after Eliminations | 8,887 | 10,054 | |
Capital Expenditures | 8,715 | 500 | |
Total assets: | |||
Total assets | 696,154 | 795,462 | |
Sulfur services [Member] | |||
Segment Reporting Information [Line Items] | |||
Operating Revenues | 53,137 | 54,207 | |
Intersegment Revenues Eliminations | 0 | 0 | |
Total revenues | 53,137 | 54,207 | |
Depreciation and amortization | 2,126 | 1,983 | |
Operating Income (Loss) after Eliminations | 8,122 | 8,068 | |
Capital Expenditures | 214 | 1,447 | |
Total assets: | |||
Total assets | 147,960 | 145,852 | |
Marine transportation [Member] | |||
Segment Reporting Information [Line Items] | |||
Operating Revenues | 21,946 | 24,114 | |
Intersegment Revenues Eliminations | -1,310 | -1,000 | |
Total revenues | 20,636 | 23,114 | |
Depreciation and amortization | 2,400 | 2,530 | |
Operating Income (Loss) after Eliminations | 4,816 | 2,962 | |
Capital Expenditures | 694 | 3,928 | |
Impairment of long-lived assets | 0 | ||
Total assets: | |||
Total assets | 146,916 | 153,174 | |
Indirect selling, general and administrative [Member] | |||
Segment Reporting Information [Line Items] | |||
Operating Revenues | 0 | 0 | |
Intersegment Revenues Eliminations | 0 | 0 | |
Total revenues | 0 | 0 | |
Depreciation and amortization | 0 | 0 | |
Operating Income (Loss) after Eliminations | -4,810 | -4,897 | |
Capital Expenditures | $0 | $0 |
Unit_Based_Awards_Schedule_of_
Unit Based Awards (Schedule of Compensation Costs) (Details) (Selling, General and Administrative Expenses [Member], USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Total unit-based compensation expense | $399 | $179 |
Employees [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Total unit-based compensation expense | 311 | 122 |
Non-employee Directors [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Total unit-based compensation expense | $88 | $57 |
Unit_Based_Awards_Details
Unit Based Awards (Details) (USD $) | 1 Months Ended | 3 Months Ended |
In Thousands, except Share data, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2015 |
plan_component | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of plan components | 2 | |
Number of shares authorized | 725,000 | |
General partner capital contributions | $55 | |
General partner interest percentage | 2.00% | 2.00% |
Unit Options | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares authorized | 483,333 | |
Restricted Units | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares authorized | 241,667 | |
Unrecognized compensation cost related to non-vested restricted units | $3,116 | |
Weighted average period for recognition | 2 years 1 month 14 days | |
Restricted Units | Non-employee Directors [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Vesting period | 4 years | |
Restricted Units | Employees [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Vesting period | 3 years |
Unit_Based_Awards_Restricted_U
Unit Based Awards (Restricted Unit Activity) (Details) (Restricted Units, USD $) | 3 Months Ended |
Mar. 31, 2015 | |
Restricted Units | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |
Non-vested, beginning of period, Number of Units | 63,824 |
Granted, Number of Units | 91,950 |
Vested, Number of Units | -3,550 |
Forfeited, Number of Units | -1,000 |
Non-vested, end of period, Number of Units | 151,224 |
Non-vested, beginning of period, Weighted Average Grant-Date Fair Value Per Unit | $31.98 |
Granted, Weighted Average Grant-Date Fair Value Per Unit | $29.04 |
Vested, Weighted Average Grant-Date Fair Value Per Unit | $35.99 |
Forfeited, Weighted Average Grant-Date Fair Value Per Unit | $31.06 |
Non-vested, end of period, Weighted Average Grant-Date Fair Value Per Unit | $30.11 |
Aggregate intrinsic value, end of period | $5,288,000 |
Unit_Based_Awards_Intrinsic_an
Unit Based Awards (Intrinsic and Fair Value) (Details) (Restricted Units, USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Restricted Units | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Aggregate intrinsic value of units vested | $110 | $249 |
Fair value of units vested | $113 | $247 |
Commitments_and_Contingencies_
Commitments and Contingencies (Details) (Details) (Martin Resource Management [Member], USD $) | 3 Months Ended |
In Thousands, unless otherwise specified | Mar. 31, 2015 |
Martin Resource Management [Member] | |
Loss Contingencies [Line Items] | |
Quarterly Purchase Price Reimbursement Payment for Non Compliance of Financial Condition | $750 |
Maximum Purchase Price Reimbursement Payment for Non Compliance of Financial Condition | $4,500 |
Subsequent_Events_Details
Subsequent Events (Details) (USD $) | 3 Months Ended | 0 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | Apr. 23, 2015 | |
Subsequent Event [Line Items] | |||
Distribution to general partner | $33,208,000 | $21,370,000 | |
General Partner [Member] | |||
Subsequent Event [Line Items] | |||
Distribution to general partner | 4,405,000 | 472,000 | |
Subsequent Event [Member] | |||
Subsequent Event [Line Items] | |||
Dividends declared | $0.81 | ||
Estimated annualized dividends | $3.25 | ||
Subsequent Event [Member] | General Partner [Member] | |||
Subsequent Event [Line Items] | |||
Distribution to general partner | 4,560,000 | ||
Base general partner distribution | 667,000 | ||
Incentive distribution | $3,893,000 |