PennTex Midstream Partners 10-Q 28 Oct 16 2016 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2016	Oct. 24, 2016
Document Information [Line Items]
Entity Registrant Name	PennTex Midstream Partners, LP
Entity Central Index Key	1,617,798
Current Fiscal Year End Date	--12-31
Entity Filer Category	Non-accelerated Filer
Document Type	10-Q
Document Period End Date	Sep. 30, 2016
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q3
Amendment Flag	false
Common Stock Units [Member]
Document Information [Line Items]
Entity Common Stock, Shares Outstanding (in shares)		20,184,020
Subordinated Units [Member]
Document Information [Line Items]
Entity Common Stock, Shares Outstanding (in shares)		20,000,000

UNAUDITED CONSOLIDATED BALANCE

UNAUDITED CONSOLIDATED BALANCE SHEET - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Current assets:
Cash and cash equivalents	$ 1,052	$ 7,760
Accounts receivable	13,133	161
Accounts receivable—related party	20	5,950
Other receivables	536	2,421
Materials and supplies	2,374	2,586
Prepaid and other current assets	477	668
Total current assets	17,592	19,546
Property, plant and equipment, net	361,881	366,061
Intangible assets, net	19,963	20,021
Total non-current assets	381,844	386,082
Total assets	399,436	405,628
Current liabilities:
Accounts payable	578	7,566
Accounts payable—related party	650	871
Other current liabilities	4,369	2,852
Total current liabilities	5,597	11,289
Long-term debt, net	150,136	150,699
Other non-current liabilities	14,321	91
Total liabilities	170,054	162,079
Limited Partners:
General partner	0	0
Total equity	229,382	243,549
Total liabilities and equity	399,436	405,628
Common Stock Units [Member]
Limited Partners:
Common and Subordinated units	220,664	226,386
Subordinated Units [Member]
Limited Partners:
Common and Subordinated units	$ 8,718	$ 17,163

UNAUDITED CONSOLIDATED BALANCE3

UNAUDITED CONSOLIDATED BALANCE SHEET (Parenthetical) - shares	Sep. 30, 2016	Dec. 31, 2015
Common Stock Units [Member]
Units issued (in shares)	20,184,020	20,000,000
Units outstanding (in shares)	20,184,020	20,000,000
Subordinated Units [Member]
Units issued (in shares)	20,000,000	20,000,000
Units outstanding (in shares)	20,000,000	20,000,000

UNAUDITED CONSOLIDATED STATEMEN

UNAUDITED CONSOLIDATED STATEMENT OF OPERATIONS - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Revenues	$ 22,184	$ 11,225	$ 58,986	$ 14,150
Operating expenses:
Cost of revenues	3,770	1,610	9,258	1,610
General and administrative expense	4,615	3,625	12,627	8,559
Operating and maintenance expense	2,857	1,903	7,860	3,363
Depreciation and amortization expense	3,390	1,608	10,117	2,665
Impairment of surplus assets	0	0	0	2,483
Taxes other than income taxes	147	(2)	600	135
Total operating expenses	14,779	8,744	40,462	18,815
Operating income (loss)	7,405	2,481	18,524	(4,665)
Interest expense, net	1,577	461	5,010	549
Net income (loss)	$ 5,828	$ 2,020	$ 13,514	$ (5,214)
Weighted average common and common equivalent units outstanding:
Basic (shares)	40,184,020	40,000,000	40,075,644	40,000,000
Diluted (shares)	40,184,020	40,000,000	40,075,644	40,000,000
Cash distribution declared per unit (USD per unit)	$ 0.2950	$ 0.2750	$ 0.8546	$ 0.3415
Common Stock Units [Member]
Earnings per common unit:
Basic (USD per share)	0.16	0.09	0.41	0.08
Diluted (USD per share)	$ 0.16	$ 0.09	$ 0.41	$ 0.08
Weighted average common and common equivalent units outstanding:
Basic (shares)	20,184,020	20,000,000	20,075,644	20,000,000
Diluted (shares)	20,184,020	20,000,000	20,075,644	20,000,000

UNAUDITED CONSOLIDATED STATEME5

UNAUDITED CONSOLIDATED STATEMENT OF CASH FLOWS - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015
Operating activities
Net income (loss)	$ 13,514	$ (5,214)
Adjustments to reconcile net income (loss) to cash used in operating activities:
Depreciation and amortization	10,117	2,665
Accretion of debt discount	1,002	541
Equity-based compensation expense	3,935	1,288
Non-cash contribution for general and administrative expense	3,011	1,908
Non-cash impairment	0	2,483
Changes in deferred revenue, net	13,818	416
Changes in operating assets and liabilities:
Accounts receivable	(12,972)	(255)
Accounts receivable - related party	5,930	(9,165)
Prepaid and other current assets	2,514	(2,514)
Accounts payable	(829)	(121)
Accounts payable - related party	85	(814)
Other liabilities	1,468	2
Cash provided by (used in) operating activities	41,593	(8,780)
Investing activities
Property, plant and equipment expenditures	(11,607)	(202,798)
Intangible assets expenditures	(503)	(9,526)
Cash used in investing activities	(12,110)	(212,324)
Financing activities
Proceeds from long-term debt	52,000	118,000
Payments on long-term debt	(53,500)	(60,500)
Payments for debt issuance costs	(65)	(4,662)
Proceeds from initial public offering	0	223,021
Contributions from predecessor’s members	0	103,750
Distributions to predecessor’s members	0	(165,838)
Distributions to unitholders	(34,013)	(2,702)
Phantom units surrendered to pay taxes	(613)	0
Costs of the Offering	0	(4,675)
Cash provided by (used in) financing activities	(36,191)	206,394
Net change in cash and cash equivalents	(6,708)	(14,710)
Cash and cash equivalents—beginning of period	7,760	17,471
Cash and cash equivalents—end of period	1,052	2,761
Supplemental cash flows:
Interest paid, net of capitalized interest	$ 4,543	$ 35

UNAUDITED STATEMENT OF CHANGES

UNAUDITED STATEMENT OF CHANGES IN EQUITY - USD ($) $ in Thousands	Total	PennTex NLA Holdings, LLC [Member]	MRD WHR LA Midstream LLC [Member]	General Partner [Member]	Limited Partner [Member]Common Units [Member]	Limited Partner [Member]Subordinated Units [Member]
Beginning balance (Predecessor [Member]) at Dec. 31, 2014		$ 95,984	$ (1,772)
Beginning balance at Dec. 31, 2014	$ 94,212			$ 0	$ 0	$ 0
Limited Liability Company (LLC) Members' Equity and Partners' Capital [Roll Forward]
Net income (loss)	(5,214)
Ending balance (Predecessor [Member]) at Sep. 30, 2015		0	0
Ending balance at Sep. 30, 2015	246,967			0	227,640	19,327
Beginning balance (Predecessor [Member]) at Dec. 31, 2015		0	0
Beginning balance at Dec. 31, 2015	243,549			0	226,386	17,163
Limited Liability Company (LLC) Members' Equity and Partners' Capital [Roll Forward]
Net income (loss)	13,514			(3,011)	8,278	8,247
Payments for distribution equivalents	(576)				(576)
Equity-based compensation expense	3,935				3,935
Phantom units surrendered to pay taxes	(613)				(613)
Non-cash contribution for general and administrative expenses	3,011			3,011
Distributions to unitholders	(33,438)				(16,746)	(16,692)
Ending balance (Predecessor [Member]) at Sep. 30, 2016		$ 0	$ 0
Ending balance at Sep. 30, 2016	$ 229,382			$ 0	$ 220,664	$ 8,718

Organization and Business Opera

Organization and Business Operations	9 Months Ended
	Sep. 30, 2016
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Organization and Business Operations	Organization and Business Operations Organization PennTex Midstream Partners, LP (the “Partnership”) is a growth oriented limited partnership formed by PennTex Midstream Partners, LLC (“PennTex Development”) to own, operate and develop midstream assets. On June 9, 2015, the Partnership completed its initial public offering (the “Offering”) of 11,250,000 common units representing limited partner interests at a price of $20.00 per unit, and the Partnership subsequently sold 644,462 common units pursuant to the partial exercise of the underwriters’ over-allotment option. The Partnership’s common units trade on the NASDAQ Global Select Market under the symbol “PTXP.” PennTex Development was formed by members of its management team and Natural Gas Partners (“NGP”) to develop multi-basin midstream growth platforms focused on organic growth projects in partnership with oil and natural gas producers. On March 17, 2014, PennTex NLA Holdings, LLC, a wholly-owned subsidiary of PennTex Development (“PennTex NLA”), entered into a joint venture, PennTex North Louisiana, LLC (“PennTex Operating”), with MRD WHR LA Midstream LLC, an affiliate of NGP (“MRD WHR LA”), to develop the Partnership’s initial assets. In connection with the closing of the Offering (and giving effect to the partial exercise of the underwriters’ over-allotment option), PennTex NLA and MRD WHR LA contributed their respective 62.5% and 37.5% membership interests in PennTex Operating to the Partnership in exchange for cash, common units and subordinated units. PennTex NLA subsequently distributed all of the cash, common units and subordinated units it received to PennTex Development. As of September 30, 2016 , PennTex Development holds 3,262,019 common units and 12,500,000 subordinated units in the Partnership. Additionally, in connection with the closing of the Offering, the Partnership issued 92.5% and 7.5% of its incentive distributions rights (“IDRs”) to PennTex Development and MRD WHR LA, respectively, and PennTex Development conveyed a 7.5% interest in the Partnership’s general partner (the “general partner”) to MRD WHR LA. MRD WHR LA subsequently distributed the IDRs and interests in the general partner to its members. On October 25, 2016, the Partnership announced that PennTex Development had entered into a Contribution Agreement (the “Contribution Agreement”) with certain affiliates of NGP, certain other contributors and Energy Transfer Partners, L.P. (“Energy Transfer”). Pursuant to, and subject to the terms and conditions of, the Contribution Agreement, Energy Transfer has agreed to acquire (i) 100% of the membership interests in PennTex Development; (ii) 6,301,596 common units representing limited partner interests in the Partnership and 20,000,000 subordinated units representing limited partner interests in the Partnership; (iii) 100% of the membership interests in the general partner; and (iv) 100% of the Partnership’s incentive distribution rights. The transactions contemplated by the Contribution Agreement are expected to close during the fourth quarter of 2016, subject to customary closing conditions. Upon the completion of the transactions contemplated by the Contribution Agreement, Energy Transfer will own the general partner of, and will control, the Partnership, and will own approximately 65% of the outstanding limited partner interests in the Partnership. Business The Partnership’s assets are located in the Terryville Complex in northern Louisiana and consist of a rich natural gas gathering system, two cryogenic natural gas processing plants with a combined design capacity of 400 MMcf/d and residue gas and NGL transportation pipelines. The Partnership’s assets were completed in 2015. In addition to these assets, the Partnership expects to pursue opportunities for organic development in the region. Range Louisiana Operating LLC (“RRC Operating”), formerly known as MRD Operating LLC, is the Partnership’s primary customer. On September 16, 2016, Range Resources Corporation (“Range Resources”) completed its previously announced acquisition of Memorial Resource Development Corp. (“Memorial Resource”), and RRC Operating became a wholly owned subsidiary of Range Resources. Prior to the completion of the acquisition, RRC Operating was a wholly owned subsidiary of Memorial Resource, an affiliate of NGP, and was a related party of the Partnership. In connection with the acquisition, MRD Operating LLC changed its name to Range Louisiana Operating LLC. As of September 16, 2016, RRC Operating ceased to be a related party. The Partnership operates and manages the business as one reportable segment. The accompanying unaudited consolidated financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business.

Summary of Significant Accounti

Summary of Significant Accounting Policies	9 Months Ended
	Sep. 30, 2016
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Summary of Significant Accounting Policies Basis of Presentation The accompanying unaudited consolidated financial statements have been prepared in accordance with United States generally accepted accounting principles (“GAAP”) for interim financial information and with the requirements of Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, these statements include all adjustments (consisting of only normal recurring accruals, unless otherwise disclosed in this quarterly report) necessary for their fair presentation. The accompanying unaudited interim consolidated financial statements do not include all notes that would be included in the Partnership’s annual financial statements and therefore should be read in conjunction with the historical audited financial statements of PennTex Operating and the footnotes thereto included in the Partnership’s Annual Report on Form 10-K for the year ended December 31, 2015 (the “2015 Form 10-K”). The statement of operations included in the accompanying unaudited consolidated financial statements also includes expense allocations for certain partnership functions performed by PennTex Development, including allocations of general corporate expenses related to executive oversight, accounting, treasury, tax, legal and procurement and information technology. These allocations are based primarily on specific identification of time and/or activities associated with pre-construction, construction and operating activities, employee headcount or capital expenditures. Management believes the assumptions underlying the financial statements, including the assumptions regarding allocating general and administrative expenses from PennTex Development, are reasonable. General and administrative expenses allocated to the Partnership for which the Partnership will reimburse PennTex Development are reflected as a payable due to a related party. These financial statements include the results of operations for PennTex Operating prior to the closing of the Offering on June 9, 2015. As PennTex Operating was under common control with the Partnership prior to the Offering and the Partnership acquired all of the membership interests of PennTex Operating in connection with the closing of the Offering, the contributed assets and liabilities of PennTex Operating were recorded in the consolidated financial statements of the Partnership at historical cost. Prior to the contribution, the Partnership had no operations and nominal assets and liabilities. Use of Estimates The financial statements have been prepared in conformity with GAAP, which requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the balance sheet date, the reported amounts of expense and disclosure of contingencies. This includes estimates made in the assessment of potential impairment of long-lived assets and estimates used to calculate allocation of expenses from PennTex Development. The Partnership’s valuation methodology for assessing impairment requires management to make judgments and assumptions based on historical experience and to rely on projections of future operating performance. Although management believes these estimates are reasonable, actual results could differ from such estimates. Revenue Recognition The Partnership earns revenue from gathering, processing and transportation services provided to its customers. Revenue is recognized when all of the following criteria are met: (i) persuasive evidence of an exchange arrangement exists, (ii) delivery has occurred or service obligations have been fulfilled, (iii) the price is fixed or determinable and (iv) collectability is reasonably assured. For commercial agreements that provide for specified minimum volume commitments and variable rates, the Partnership recognizes revenue based on a weighted average rate over the term of the agreements. Deferred Revenue The Partnership’s processing agreement with RRC Operating requires RRC Operating to pay a fee based on the volume of gas actually processed, subject to a cumulative minimum volume commitment that is measured as of the end of each quarterly period. To the extent that RRC Operating has not delivered the applicable cumulative minimum volume commitment as of the end of a quarterly period, RRC Operating is required to pay a deficiency fee to the Partnership. The amount paid to the Partnership as a deficiency fee is characterized as unearned revenue. The Partnership invoices RRC Operating based upon the applicable rates specified in the processing agreement for the services provided and recognizes revenue based on a weighted average rate over the term of the agreement. The excess of the fees invoiced under the processing agreement compared to the fees recognized as revenue are characterized as unearned revenue. Unearned revenue is reported as deferred revenue and included in other non-current liabilities in the Consolidated Balance Sheet. Deferred revenue is recognized as revenue once all contingencies or potential performance obligations associated with the related volumes have either been satisfied or expired. As of September 30, 2016 , the Partnership had deferred revenue included in other non-current liabilities of $14.3 million , of which $6.2 million was generated during the three months ended September 30, 2016 . See Note 9 “Commitments and Contingencies” for further discussion of the RRC Operating processing agreement. As of December 31, 2015, the Partnership had no deferred revenue. Accounting Policies The accounting policies followed by the Partnership are set forth in Note 2—Summary of Significant Accounting Policies in the 2015 Form 10-K. The accompanying unaudited consolidated financial statements include all of the Partnership’s accounts and the accounts of its subsidiaries. There were no significant changes to the Partnership’s accounting policies during the three months ended September 30, 2016 . Recent Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (“FASB”) amended its guidance on revenue recognition. The core principle of those accounting standards updates (“ASU”) is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. This guidance is effective for interim and annual reporting periods beginning after December 15, 2017, with earlier adoption permitted for interim and annual periods beginning after December 15, 2016. This guidance may be adopted either retrospectively to each prior reporting period presented or as a cumulative-effect adjustment as of the date of adoption. The Partnership anticipates adopting this guidance in fiscal 2018 and is currently evaluating the impact on its consolidated financial statements. In February 2016, the FASB issued authoritative guidance that requires the balance sheet recognition of lease assets and lease liabilities by lessees for leases previously classified as operating leases under prior GAAP. The lease assets recognized in the balance sheet will represent a right-of-use asset, which is an asset that represents the lessee’s right to use, or control the use of, a specified asset for the lease term. The lease liability recognized in the balance sheet will represent the lessee’s obligation to make lease payments arising from a lease, measured on a discounted basis. The Partnership will be required to adopt the new standard in annual and interim periods beginning January 1, 2019. Lessees and lessors will be required to recognize and measure leases at the beginning of the earliest period presented using a modified retrospective approach. The modified retrospective approach includes a number of optional practical expedients that entities may elect to apply. These practical expedients relate to the identification and classification of leases that commenced before the effective date, initial direct costs for leases that commenced before the effective date, and the ability to use hindsight in evaluating lessee options to extend or terminate a lease or to purchase the underlying asset. The Partnership is continuing to evaluate the new standard but has not yet determined the appropriate methodology for implementing the new standard or the expected impact adoption will have on its consolidated financial statements. In March 2016, the FASB issued authoritative guidance to simplify the accounting for equity-based payments awarded to employees. This guidance is effective for interim and annual periods beginning after December 15, 2016, with earlier adoption permitted. The Partnership adopted this guidance effective as of April 1, 2016, and the adoption had no material impact on the consolidated financial statements. In August 2016, the FASB issued authoritative guidance to reduce the diversity of reporting on statements of cash flows. This guidance is effective for annual periods beginning after December 15, 2017, with earlier adoption permitted. The Partnership is evaluating the impact on its consolidated statement of cash flows. In April 2015, the FASB issued authoritative guidance that requires debt issuance costs related to a recognized debt liability to be presented in the balance sheet as a direct deduction from the debt liability rather than as an asset. This guidance is effective for interim and annual reporting periods beginning after December 15, 2015, including interim periods within that reporting period, with earlier adoption permitted. In August 2015, the FASB issued guidance that further clarifies the measurement of debt issuance costs related to line-of-credit arrangements. This guidance was adopted and applied retrospectively to each prior reporting period presented in this quarterly report and resulted in an increase in the debt issuance costs and a corresponding decrease in long-term debt, net, and eliminating the debt issuance costs, in each case as presented in the Consolidated Balance Sheet. The amount that was reclassified in the prior period was $1.4 million .

Identifiable Intangible Assets

Identifiable Intangible Assets	9 Months Ended
	Sep. 30, 2016
Goodwill and Intangible Assets Disclosure [Abstract]
Identifiable Intangible Assets	Identifiable Intangible Assets Identifiable intangible assets, which are subject to amortization, consist of the following (in thousands): September 30, 2016 Useful Lives Gross Carrying Accumulated Net Rights-of-way 30 $ 20,828 $ 865 $ 19,963 Total $ 20,828 $ 865 $ 19,963 December 31, 2015 Useful Lives Gross Carrying Accumulated Net Rights-of-way 30 $ 20,373 $ 352 $ 20,021 Total $ 20,373 $ 352 $ 20,021 Amortization expense for the three months ended September 30, 2016 and 2015 was $0.2 million and $0.1 million , respectively. Amortization expense for the nine months ended September 30, 2016 and 2015 was $0.5 million and $0.2 million , respectively.

Property, Plant and Equipment

Property, Plant and Equipment	9 Months Ended
	Sep. 30, 2016
Property, Plant and Equipment [Abstract]
Property, Plant and Equipment	Property, Plant and Equipment Property, plant and equipment consists of the following (in thousands): Useful Lives September 30, 2016 December 31, 2015 Gathering, processing and transportation 30 $ 372,073 $ 366,910 Vehicles 5 644 572 Hardware and software 5 to 7 180 148 Other 3 to 7 2,233 1,963 Land N/A 1,666 1,666 Total 376,796 371,259 Less accumulated depreciation (15,348 ) (5,742 ) Net of accumulated depreciation 361,448 365,517 Construction in progress 433 544 Property, plant and equipment $ 361,881 $ 366,061 Depreciation expense for the three months ended September 30, 2016 and 2015 was $3.2 million and $1.5 million , respectively. Depreciation expense for the nine months ended September 30, 2016 and 2015 was $9.6 million and $2.5 million , respectively. For the three and nine months ended September 30, 2016 , no interest expense was capitalized. For the three and nine months ended September 30, 2015 , $1.1 million and $2.5 million , respectively, of interest expense related to the construction of the Partnership’s assets was capitalized and included in property, plant and equipment.

Long-term Debt

Long-term Debt	9 Months Ended
	Sep. 30, 2016
Debt Disclosure [Abstract]
Long-term Debt	Long-term Debt The Partnership’s debt obligations consisted of the following (in thousands) as of the below dates: September 30, 2016 December 31, 2015 $275 million MLP revolving credit facility $ 154,500 $ 156,000 Unamortized debt discount costs (4,364 ) (5,301 ) Total long-term debt $ 150,136 $ 150,699 $275 million MLP revolving credit facility On December 19, 2014, the Partnership entered into a senior secured revolving credit facility with Royal Bank of Canada, as administrative agent, and a syndicate of lenders that became effective upon the closing of the Offering and matures on December 19, 2019 (the “MLP revolving credit facility”). The agreement provides for a $275 million credit commitment that is expandable up to $400 million under certain conditions. The funds have been used for general purposes, including the funding of capital expenditures. The Partnership’s assets are pledged as collateral for this credit facility. The MLP revolving credit facility contains various covenants and restrictive provisions that, among other things, limit or restrict the Partnership’s ability to incur or guarantee additional debt, incur certain liens on assets, dispose of assets, make certain distributions (including distributions from available cash, if a default or event of default under the credit agreement then exists or would result from making such a distribution), change the nature of the Partnership’s business, engage in certain mergers or make certain investments and acquisitions, enter into non-arms-length transactions with affiliates and designate certain subsidiaries of the Partnership as “Unrestricted Subsidiaries” for purposes of the credit agreement. Currently, no subsidiaries have been designated as Unrestricted Subsidiaries. The Partnership is required to comply with a minimum consolidated interest coverage ratio of 2.50 x and a maximum consolidated leverage ratio of 4.75 x with respect to the fiscal quarter ending September 30, 2016 . As of September 30, 2016 , the Partnership had $119.5 million of available borrowing capacity under the MLP revolving credit facility. As of September 30, 2016 , the Partnership was in compliance with the covenants under the MLP revolving credit facility. The borrowed amounts are subject to interest based upon the current consolidated total leverage ratio at the time of the borrowing. At the Partnership’s discretion it can borrow utilizing either Eurodollar loans or Alternate Base Rate (“ABR”) loans. Interest on Eurodollar loans is based on the LIBOR plus an applicable margin that varies between 2.0% and 3.25% based on the consolidated total leverage ratio. Interest on ABR loans is equal to the greatest of (a) the Prime Rate in effect on such day, (b) the Federal Funds Effective Rate in effect on such day plus 1.5% and (c) the Adjusted LIBOR for a one-month interest period on such day plus 1.0% and plus an applicable margin that varies between 1.00% and 2.25% based on the consolidated total leverage ratio. The unused portion of the credit facility is subject to a commitment fee, which is 0.375% multiplied by the amount of the unused commitment. As of September 30, 2016 , the weighted average interest rate on outstanding borrowings was 2.8% . The fair value of the long-term debt approximates the carrying amount because the interest rate is variable and reflective of market rates. The following table sets forth the outstanding borrowings, letters of credit issued and available borrowing capacity under the MLP revolving credit facility as of September 30, 2016 (in thousands): Total borrowing capacity $ 275,000 Less: Outstanding borrowings 154,500 Less: Letters of credit issued 1,000 Available borrowing capacity $ 119,500 The Partnership capitalized debt origination fees of $6.4 million associated with the MLP revolving credit facility and the OpCo revolving credit facility described below, which are included on the Consolidated Balance Sheet as a contra long-term debt. These amounts reflect $1.4 million of debt issuance costs that were presented as a reduction of long-term debt based upon adoption of the applicable FASB guidance described in Note 2. These fees will be amortized over the life of the MLP revolving credit facility. The Partnership had unamortized debt discount costs of $4.4 million and $5.3 million as of September 30, 2016 and December 31, 2015 , respectively.

Equity-Based Awards

Equity-Based Awards	9 Months Ended
	Sep. 30, 2016
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Equity-Based Awards	Equity-Based Awards PennTex Midstream Partners, LP 2015 Long-Term Incentive Plan In connection with the Offering, the board of directors (the “Board”) of the Partnership’s general partner adopted the PennTex Midstream Partners, LP 2015 Long-Term Incentive Plan (“LTIP”) pursuant to which awards in the form of unrestricted units, restricted units, equity participation units, options, unit appreciation rights, phantom units or distribution equivalent rights may be granted to employees, consultants and directors of the general partner and its affiliates who perform services for or on behalf of the Partnership or its affiliates. Award amounts, vesting requirements and other terms are determined by the Board at the time of each grant. The LTIP limits the number of units that may be delivered pursuant to vested awards to 3,200,000 common units. LTIP awards that are subsequently canceled, forfeited or withheld to satisfy exercise prices or tax withholding obligations will be available for delivery pursuant to other awards. The LTIP is administered by the Board or a committee thereof, which is referred to as the plan administrator. The plan administrator may terminate or amend the LTIP at any time with respect to any units for which a grant has not yet been made. The plan administrator also has the right to alter or amend the LTIP or any part of the plan from time to time, including increasing the number of units that may be granted subject to the requirements of the exchange upon which the common units are listed at that time. However, no change in any outstanding grant may be made that would materially reduce the rights or benefits of a participant without the consent of such participant. The LTIP will expire upon termination by the plan administrator. Phantom Units Granted In June 2016, the Partnership granted an aggregate of 361,159 phantom units with a vesting period of three years and corresponding distribution equivalent rights (“DERs”) to employees and officers of the general partner and its affiliates. In connection with the completion of the Offering in June 2015, the Partnership granted an aggregate of 620,200 phantom units with a vesting period of three years and corresponding DERS to employees and officers of the general partner and its affiliates . A phantom unit entitles the grantee to receive a common unit upon the vesting date. Each phantom unit was granted in tandem with a corresponding DER that allows the holder to receive, for each phantom unit held, cash equal to any cash distribution paid on a common unit between the grant date and the date that the phantom units are settled or forfeited. The total value at grant date was $5.8 million and $12.2 million for the 2016 and 2015 grants, respectively, of which the Partnership recorded compensation expense of $1.5 million and $3.6 million during the three and nine months ended September 30, 2016 , respectively. The Partnership recorded compensation expense of $1.0 million and $1.2 million related to the 2015 LTIP grants to employees during the three and nine months ended September 30, 2015 , respectively. As of September 30, 2016 , the Partnership had $11.9 million of unrecognized expense related to these LTIP grants. During the nine months ended September 30, 2016 , 209,040 phantom units vested, and the Partnership withheld 40,020 of such phantom units to cover withholding taxes of $0.6 million for employees. In June 2016, the Partnership issued 27,222 phantom units with a vesting period of one year and corresponding DERs to the three independent directors of the general partner. The total value of those grants at the grant date was $0.4 million . In 2015, the Partnership granted 15,000 phantom units with a vesting period of approximately one year and corresponding DERs to the three independent directors of the general partner. The total value of those three grants at the grant dates was $0.3 million . As of September 30, 2016 , these units were fully vested. During the three and nine months ended September 30, 2016 , the Partnership recorded $0.1 million and $0.3 million , respectively, of compensation expense related to these grants, with $0.3 million of unrecognized expense as of September 30, 2016 . During the three and nine months ended September 30, 2015 , the Partnership recorded $40 thousand and $46 thousand , respectively, of compensation expense related to the 2015 LTIP grants to directors. The following table summarizes the changes in the phantom units outstanding for the nine months ended September 30, 2016 : Nine months ended September 30, 2016 Units Weighted Average Weighted Average Remaining Vesting Period Beginning of period 635,200 $ 19.63 1.4 years Granted 388,381 $ 16.09 1.6 years Vested 224,040 $ 19.55 — Forfeited 12,913 $ 18.16 — End of period 786,628 $ 17.92 1.4 years

Partnership and Equity Distribu

Partnership and Equity Distributions	9 Months Ended
	Sep. 30, 2016
Equity [Abstract]
Partnership and Equity Distributions	Partnership and Equity Distributions Quarterly Distribution The First Amended and Restated Agreement of Limited Partnership of the Partnership (the “Partnership Agreement”) provides for a minimum quarterly distribution of $0.2750 per unit for each quarter, or $1.10 per unit on an annualized basis. On October 25, 2016 , the Partnership announced a distribution of $0.2950 per unit for the third quarter of 2016 . This distribution will be paid on November 14, 2016 to unitholders of record on November 7, 2016 . The Partnership Agreement requires that distributions for each quarter will be paid to the extent there is sufficient cash after establishment of cash reserves and payment of fees and expenses, including payments to the general partner and its affiliates. The Partnership’s ability to pay the minimum quarterly distribution is subject to various restrictions and other factors. The Partnership Agreement generally provides for distributions of cash each quarter during the subordination period in the following manner: • first, to the holders of common units, until each common unit has received the minimum quarterly distribution of $0.2750 plus any arrearages from prior quarters; • second, to the holders of subordinated units, until each subordinated unit has received the minimum quarterly distribution of $0.2750 ; and • third, to the holders of common units and subordinated units, pro rata, until each has received a distribution of $0.3163 . If cash distributions to the unitholders exceed $0.3163 per common unit and subordinated unit in any quarter, the unitholders and the holders of the IDRs will receive distributions according to the following percentage allocations: Total Quarterly Distribution Marginal Percentage Interest in Distributions Target Amount Unitholders IDRs above $0.3163 up to $0.3438 85 % 15 % above $0.3438 up to $0.4125 75 % 25 % above $0.4125 50 % 50 % Subordinated Units The Partnership has 20,000,000 subordinated units outstanding, of which PennTex Development owns 12,500,000 subordinated units. The principal difference between the common units and subordinated units is that, for any quarter during the subordination period, holders of the subordinated units are not entitled to receive any distribution from operating surplus until the common units have received the minimum quarterly distribution from operating surplus for such quarter plus any arrearages in the payment of the minimum quarterly distribution from prior quarters. Subordinated units will not accrue arrearages. When the subordination period ends, all of the subordinated units will convert into an equal number of common units. Except as described below, the subordination period began on the closing date of the Offering (June 9, 2015) and extends until the first business day following the distribution of available cash in respect of any quarter beginning after September 30, 2018, provided the following tests are met: • distributions of available cash from operating surplus on each of the outstanding common units and subordinated units equaled or exceeded $1.10 (the annualized minimum quarterly distribution), for each of the three consecutive, non-overlapping four -quarter periods immediately preceding that date; • the adjusted operating surplus generated during each of the three consecutive, non-overlapping four -quarter periods immediately preceding that date equaled or exceeded the sum of $1.10 (the annualized minimum quarterly distribution) on all of the outstanding common units and subordinated units during those periods on a fully diluted basis; and • there are no arrearages in payment of the minimum quarterly distribution on the common units. Notwithstanding the foregoing, the subordination period will automatically terminate on the first business day following the distribution of available cash in respect of any quarter, beginning with the quarter ending September 30, 2016, provided the following tests are met: • distributions of available cash from operating surplus on each of the outstanding common units and subordinated units equaled or exceeded $1.65 ( 150% of the annualized minimum quarterly distribution), plus the related distributions on the incentive distribution rights, for the four -quarter period immediately preceding that date; • the adjusted operating surplus generated during the four-quarter period immediately preceding that date equaled or exceeded the sum of (1) $1.65 ( 150% of the annualized minimum quarterly distribution) on all of the outstanding common units and subordinated units during that period on a fully diluted basis and (2) the corresponding distributions on the incentive distribution rights; and • there are no arrearages in payment of the minimum quarterly distributions on the common units. To the extent there is cash available for distribution from operating surplus in any future quarter during the subordination period in excess of the amount necessary to pay the minimum quarterly distribution to holders of the common units, the Partnership will use this excess cash to pay any distribution arrearages on common units related to prior quarters before any cash distribution is made to holders of subordinated units. If the Partnership does not pay the minimum quarterly distribution on the common units for any quarter following the subordination period, the common unitholders will not be entitled to receive such arrearage payments.

Earnings per Unit

Earnings per Unit	9 Months Ended
	Sep. 30, 2016
Earnings Per Share [Abstract]
Earnings per Unit	Earnings per Unit The Partnership’s net income is allocated to the limited partners, including the holders of the subordinated units, in accordance with their respective ownership percentages. The Partnership’s net income allocated to the limited partners excludes incentive distributions and expenses incurred by the general partner and its affiliates on behalf of the Partnership that are not required to be reimbursed by the Partnership. These expenses are allocated solely to the general partner because the Partnership is not required to reimburse the general partner for these expenses. Accordingly, these expenses are disregarded in determining the limited partners’ share in earnings of the Partnership. The Partnership computes earnings per unit using the two-class method for master limited partnerships as prescribed in the guidance Accounting Standards Codification (“ASC”) 260. The two-class method requires that securities that meet the definition of a participating security be considered for inclusion in the computation of basic earnings per unit. Under the two-class method, earnings per unit is calculated as if all of the earnings for the period were distributed under the terms of the Partnership Agreement, regardless of whether the general partner has discretion over the amount of distributions to be made in any particular period, whether those earnings would actually be distributed during a particular period from an economic or practical perspective, or whether the general partner has other legal or contractual limitations on its ability to pay distributions that would prevent it from distributing all of the earnings for a particular period. The Partnership calculates net income available to limited partners based on the distributions pertaining to the current period’s net income. After adjusting for the appropriate period’s distributions, the remaining undistributed earnings or excess distributions over earnings, if any, are allocated to the general partner and limited partners in accordance with the contractual terms of the Partnership Agreement and as further prescribed in the guidance in ASC 260 under the two-class method. The two-class method does not impact the overall net income or other financial results; however, in periods in which aggregate net income exceeds the aggregate distributions for such period, it will have the impact of reducing net income per limited partner unit. This result occurs as a larger portion of the aggregate earnings, as if distributed, is allocated to the incentive distribution rights, even though the Partnership makes distributions on the basis of available cash and not earnings. In periods in which the aggregate net income does not exceed the aggregate distributions for such period, the two-class method does not have any impact on the calculation of earnings per limited partner unit. Basic earnings per unit is computed by dividing net earnings attributable to unitholders by the weighted average number of units outstanding during each period. Diluted earnings per unit reflects the potential dilution of common equivalent units that could occur if common equivalent units are converted into common units. As the Offering was completed on June 9, 2015, no income from the period from January 1, 2015 to June 9, 2015 is allocated to the common and subordinated units issued on June 9, 2015, and all income for such period was allocated to the general partner or predecessor operations. The following table illustrates the Partnership’s calculation of net income per unit for the three and nine months ended September 30, 2016 : Three months ended September 30, Nine months ended September 30, 2016 2015 2016 2015 (1) (in thousands, except unit and per unit amounts) Net income (loss) $ 5,828 $ 2,020 13,514 (5,214 ) Less: Net loss attributable to general partner (613 ) (1,500 ) (3,011 ) (8,592 ) Net income attributable to the Partnership 6,441 3,520 16,525 3,378 Less: General partner’s distribution — — — — Distribution declared on IDRs — — — — Payments for distribution equivalents (2)(3) 232 172 633 215 Limited partners’ distribution declared on common units (2) 5,954 5,500 17,199 6,830 Limited partners’ distribution declared on subordinated units (2) 5,900 5,500 17,092 6,830 Distribution in excess of net income attributable to the Partnership (5,645 ) (7,652 ) (18,399 ) (10,497 ) Distribution in excess of net income attributable to equity-based awards (107 ) (119 ) (349 ) (163 ) Distribution in excess of net income attributable to limited partners $ (5,538 ) $ (7,533 ) (18,050 ) (10,334 ) (1) For periods prior to the Offering on June 9, 2015, no net income is attributable to the Partnership. (2) Distribution declared on October 19, 2016 , attributable to the third quarter of 2016 . (3) Represents DERs to be paid in respect of phantom units. General Limited Limited Total (in thousands, except unit and per unit amounts) Three Months Ended September 30, 2016 Net income (loss) attributable to the limited partner unitholders: Distribution declared (1) $ — $ 5,954 $ 5,900 $ 11,854 Distribution less than (in excess of) net income attributable to the Partnership — (2,782 ) (2,756 ) (5,538 ) Net income attributable to limited partners $ — $ 3,172 $ 3,144 $ 6,316 Weighted average common units outstanding: Basic — 20,184,020 20,000,000 40,184,020 Diluted — 20,184,020 20,000,000 40,184,020 Net income per common unit: Basic $ 0.16 $ 0.16 Diluted $ 0.16 $ 0.16 (1) Distribution declared on October 19, 2016 attributable to the period indicated; includes distribution to be paid in respect of common units issued and outstanding as of the distribution record date of November 7, 2016 . General Limited Limited Total (in thousands, except unit and per unit amounts) Three months ended September 30, 2015 Net income (loss) attributable to the limited partner unitholders: Distribution declared $ — $ 5,500 $ 5,500 $ 11,000 Distribution in excess of net income attributable to the Partnership — (3,766 ) (3,767 ) (7,533 ) Net loss attributable to the partnership $ — $ 1,734 $ 1,733 $ 3,467 Weighted average common units outstanding: Basic — 20,000,000 20,000,000 40,000,000 Diluted — 20,000,000 20,000,000 40,000,000 Net income per common unit: Basic $ 0.09 $ 0.09 Diluted $ 0.09 $ 0.09 General Limited Limited Total (in thousands, except unit and per unit amounts) Nine months ended September 30, 2016 Net income (loss) attributable to the limited partner unitholders: Distribution declared (1) $ — $ 17,199 $ 17,092 $ 34,291 Distribution in excess of net income attributable to the Partnership — (9,063 ) (8,987 ) (18,050 ) Net income attributable to the partnership $ — $ 8,136 $ 8,105 $ 16,241 Weighted average common units outstanding: Basic — 20,075,644 20,000,000 40,075,644 Diluted — 20,075,644 20,000,000 40,075,644 Net income per common unit: Basic $ 0.41 $ 0.41 Diluted $ 0.41 $ 0.41 (1) Distribution declared attributable to the periods indicated; includes distribution declared on October 19, 2016 to be paid in respect of common units issued and outstanding as of the distribution record date of November 7, 2016 . General Limited Limited Total (in thousands, except unit and per unit amounts) Nine months ended September 30, 2015 Net income (loss) attributable to the limited partner unitholders: Distribution declared $ — $ 6,830 $ 6,830 $ 13,660 Distribution in excess of net income attributable to the Partnership — (5,167 ) (5,167 ) (10,334 ) Net loss attributable to the partnership $ — $ 1,663 $ 1,663 $ 3,326 Weighted average common units outstanding: Basic — 20,000,000 20,000,000 40,000,000 Diluted — 20,000,000 20,000,000 40,000,000 Net income per common unit: Basic $ 0.08 $ 0.08 Diluted $ 0.08 $ 0.08

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Sep. 30, 2016
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies Contractual Commitments Commercial Agreements with RRC Operating The Partnership has entered into 15 -year processing, gathering and residue gas and NGL transportation agreements with RRC Operating. The processing agreement contains a specified daily minimum volume threshold for RRC Operating, which increased to 460,000 MMBtu/d effective July 1, 2016. On July 1, 2026, RRC Operating’s daily minimum volume threshold will decrease to 345,000 MMBtu/d through May 31, 2030, and will then decrease to 115,000 MMBtu/d effective June 1, 2030 through the remainder of the initial term ending October 1, 2030. Any volumes of gas delivered up to the applicable daily minimum volume threshold are charged the firm fixed-commitment fee and any volumes delivered in excess of such threshold are charged the interruptible-service fixed fee. RRC Operating must pay a deficiency payment based on the firm-commitment fixed fee with respect to a particular quarterly period if the cumulative minimum volume commitment as of the end of such period exceeds the sum of (i) the cumulative volumes processed under the processing agreement as of the end of such period plus (ii) volumes corresponding to deficiency payments incurred prior to such period. RRC Operating may utilize these deficiency payments as a credit for fees owed to the Partnership only to the extent it has delivered the total minimum volume commitment under the processing agreement within the initial 15 -year term of the agreement. Additionally, all volumes delivered by RRC Operating in excess of the minimum volume commitment in a quarterly period apply against and reduce, on a one -for-one basis, the cumulative minimum volume commitment used to calculate deficiency payments for future quarterly periods. The processing agreement also requires RRC Operating to reimburse a portion of the Partnership’s electricity expenses for electric compression at the processing plants. The gathering agreement provides for the gathering of RRC Operating’s processable natural gas for delivery to the Partnership’s processing plants (or a third party as described below). The gathering agreement initially provides for a firm capacity reservation payment and a usage fee that is subject to a minimum volume commitment. For the period from June 1, 2015 through November 30, 2019, (i) the firm capacity reservation payment is based on a daily capacity of 460,000 MMBtu/d, calculated monthly, and (ii) the usage fee is based on volumes delivered into the gathering system, subject to a deficiency fee based on a specified minimum volume commitment that is calculated and paid on an annual basis. The specified minimum gathering volume commitment equals RRC Operating’s then applicable daily minimum volume threshold under the processing agreement (excluding any optional increases by RRC Operating). Accordingly, the specified minimum gathering volume commitment will not be less than 115,000 MMBtu/d nor more than 460,000 MMBtu/d. Beginning December 1, 2019 through the end of the gathering agreement term, all volumes will be subject to a usage fee, subject to the deficiency fee and minimum volume commitment described above, and no firm capacity reservation payment will apply. The gathering agreement also provides for the delivery of RRC Operating’s rich natural gas, on an interruptible basis, to facilities operated by a third party for a specified usage fee. The residue gas and NGL transportation agreements provide for the transportation of residue gas and NGLs produced at the Partnership’s processing plants to downstream markets. RRC Operating pays a usage fee for all volumes transported under the residue gas and NGL transportation agreements and also pays a monthly fee for priority firm service under the gas transportation agreement. Both transportation agreements include a plant tailgate dedication pursuant to which all of RRC Operating’s residue gas and NGLs produced from the Partnership’s processing plants are delivered for transportation on the Partnership’s residue gas and NGL pipelines. Services and Secondment Agreement The Partnership is party to a 10 -year services and secondment agreement with the general partner, PennTex Development and PennTex Midstream Management Company, LLC (“PennTex Management”) pursuant to which PennTex Management and PennTex Development provide operational, general and administrative services to the Partnership. See Note 10 “Related-Party Transactions”. Guarantees or Other Support The Partnership has letters of credit outstanding that are backed by the MLP revolving credit facility as collateral support. Legal Proceedings The Partnership may from time to time be involved as a party to various legal proceedings that are incidental to the ordinary course of business. The Partnership regularly analyzes current information and, as necessary, will provide accruals for probable liabilities on the eventual disposition of these matters. In the opinion of management, as of September 30, 2016 , there are no pending legal matters that would have a material impact on the results of operations, financial position or cash flows.

Related-Party Transactions

Related-Party Transactions	9 Months Ended
	Sep. 30, 2016
Related Party Transactions [Abstract]
Related-Party Transactions	Related-Party Transactions Commercial Contracts The Partnership has entered into commercial agreements with RRC Operating (formerly MRD Operating LLC) for the gathering, processing and transportation of natural gas and NGLs (see Note 9 “Com mitments and Contingencies”). The gathering agreement and the residue gas transportation agreement are expected to remain in effect until June 1, 2030, and the processing agreement and the NGL transportation agreement are expected to remain in effect until October 1, 2030. As of September 16, 2016, RRC Operating is no longer a related party. In addition, the Partnership has entered into an agreement with WildHorse Resources II LLC (“WHR II”), pursuant to which the Partnership provides gathering and/or processing and transportation services to WHR II on an interruptible basis. WHR II is an affiliate of NGP and is therefore a related party to the Partnership. For the three months ended September 30, 2016 and 2015 , the Partnership had revenue of $17.0 million and $11.2 million , respectively, from related-party commercial agreements. For the nine months ended September 30, 2016 and 2015 , the Partnership had revenue of $51.9 million and $14.1 million , respectively, from related-party commercial agreements. As of September 30, 2016 and December 31, 2015 , the Partnership had accounts receivable from related parties on the Consolidated Balance Sheet of $20.2 thousand and $5.9 million , respectively. Operational, General and Administrative Services The Partnership does not have employees, and the officers of the general partner, who are also officers of PennTex Development, manage the operations and activities of the Partnership. All operational, general and administrative responsibilities are performed by employees of PennTex Management pursuant to the services and secondment agreement and for which the Partnership reimburses or pays a specified administrative fee to PennTex Management, which is settled in cash monthly. The administrative fee was $250,000 per month during the first six months of the year ending December 31, 2016 and is $333,333 per month during the last six months of the year ending December 31, 2016. Beginning January 1, 2017, the administrative fee is subject to renegotiation. The Partnership is also required to reimburse PennTex Development and its affiliates for all other direct or allocated costs and expenses incurred by them on the Partnership’s behalf under the services and secondment agreement. In addition, the Partnership is allocated additional general and administrative expenses to the extent that the administrative fee paid under the services and secondment agreement is less than the Partnership’s share of PennTex Development’s overall general and administrative expenses, which allocation is not payable in cash and is recorded as a non-cash general and administrative expense of the Partnership. The non-cash general and administrative expense is recorded as a non-cash contribution to the Partnership by the general partner. The Partnership’s allocated general and administrative expenses and operating and maintenance expenses consist of the following (in thousands): Three months ended September 30, Nine months ended September 30, 2016 2015 2016 2015 Allocated general and administrative expenses: Cash $ 1,000 $ 250 $ 2,500 $ 3,842 Non-cash 613 1,500 3,011 1,908 Operating and maintenance expenses 1,336 1,002 3,765 2,236 Total $ 2,949 $ 2,752 $ 9,276 $ 7,986 The Partnership had outstanding accounts payable to PennTex Development of $0.7 million and $0.5 million as of September 30, 2016 and December 31, 2015 , respectively.

Concentrations of Risk

Concentrations of Risk	9 Months Ended
	Sep. 30, 2016
Risks and Uncertainties [Abstract]
Concentrations of Risk	Concentrations of Risk Financial instruments that potentially subject the Partnership to concentrations of credit risk consist of cash and cash equivalents and accounts receivable. The Partnership maintains cash in bank deposit accounts that, at times, may exceed federally insured limits. The Partnership has not experienced any losses in such accounts to date and does not believe it is exposed to any significant risk. Accounts receivable are from natural gas producers for which the Partnership will gather, process and transport natural gas and transport natural gas liquids. This industry concentration has the potential to impact the Partnership’s overall exposure to credit risk, either positively or negatively, in that the Partnership’s customers may be similarly affected by changes in economic, industry or other conditions. Management monitors the creditworthiness of counterparties. As discussed in Note 9 Commitments and Contingencies, the Partnership has entered into long-term commercial agreements with RRC Operating. RRC Operating accounted for 94% and 100% of the Partnership’s total revenues for the three and nine months ended September 30, 2016 and 2015 , respectively. The Partnership is potentially exposed to concentration of business and credit risk primarily through the Partnership’s commercial agreements with RRC Operating. Management monitors the creditworthiness of RRC Operating, and the Partnership has not experienced any collectability issues with RRC Operating.

Summary of Significant Accoun18

Summary of Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2016
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The accompanying unaudited consolidated financial statements have been prepared in accordance with United States generally accepted accounting principles (“GAAP”) for interim financial information and with the requirements of Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, these statements include all adjustments (consisting of only normal recurring accruals, unless otherwise disclosed in this quarterly report) necessary for their fair presentation. The accompanying unaudited interim consolidated financial statements do not include all notes that would be included in the Partnership’s annual financial statements and therefore should be read in conjunction with the historical audited financial statements of PennTex Operating and the footnotes thereto included in the Partnership’s Annual Report on Form 10-K for the year ended December 31, 2015 (the “2015 Form 10-K”). The statement of operations included in the accompanying unaudited consolidated financial statements also includes expense allocations for certain partnership functions performed by PennTex Development, including allocations of general corporate expenses related to executive oversight, accounting, treasury, tax, legal and procurement and information technology. These allocations are based primarily on specific identification of time and/or activities associated with pre-construction, construction and operating activities, employee headcount or capital expenditures. Management believes the assumptions underlying the financial statements, including the assumptions regarding allocating general and administrative expenses from PennTex Development, are reasonable. General and administrative expenses allocated to the Partnership for which the Partnership will reimburse PennTex Development are reflected as a payable due to a related party. These financial statements include the results of operations for PennTex Operating prior to the closing of the Offering on June 9, 2015. As PennTex Operating was under common control with the Partnership prior to the Offering and the Partnership acquired all of the membership interests of PennTex Operating in connection with the closing of the Offering, the contributed assets and liabilities of PennTex Operating were recorded in the consolidated financial statements of the Partnership at historical cost. Prior to the contribution, the Partnership had no operations and nominal assets and liabilities.
Use of Estimates	Use of Estimates The financial statements have been prepared in conformity with GAAP, which requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the balance sheet date, the reported amounts of expense and disclosure of contingencies. This includes estimates made in the assessment of potential impairment of long-lived assets and estimates used to calculate allocation of expenses from PennTex Development. The Partnership’s valuation methodology for assessing impairment requires management to make judgments and assumptions based on historical experience and to rely on projections of future operating performance. Although management believes these estimates are reasonable, actual results could differ from such estimates.
Revenue Recognition	Revenue Recognition The Partnership earns revenue from gathering, processing and transportation services provided to its customers. Revenue is recognized when all of the following criteria are met: (i) persuasive evidence of an exchange arrangement exists, (ii) delivery has occurred or service obligations have been fulfilled, (iii) the price is fixed or determinable and (iv) collectability is reasonably assured. For commercial agreements that provide for specified minimum volume commitments and variable rates, the Partnership recognizes revenue based on a weighted average rate over the term of the agreements.
Deferred Revenue	Deferred Revenue The Partnership’s processing agreement with RRC Operating requires RRC Operating to pay a fee based on the volume of gas actually processed, subject to a cumulative minimum volume commitment that is measured as of the end of each quarterly period. To the extent that RRC Operating has not delivered the applicable cumulative minimum volume commitment as of the end of a quarterly period, RRC Operating is required to pay a deficiency fee to the Partnership. The amount paid to the Partnership as a deficiency fee is characterized as unearned revenue. The Partnership invoices RRC Operating based upon the applicable rates specified in the processing agreement for the services provided and recognizes revenue based on a weighted average rate over the term of the agreement. The excess of the fees invoiced under the processing agreement compared to the fees recognized as revenue are characterized as unearned revenue. Unearned revenue is reported as deferred revenue and included in other non-current liabilities in the Consolidated Balance Sheet. Deferred revenue is recognized as revenue once all contingencies or potential performance obligations associated with the related volumes have either been satisfied or expired.
Recent Accounting Pronouncements	Recent Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (“FASB”) amended its guidance on revenue recognition. The core principle of those accounting standards updates (“ASU”) is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. This guidance is effective for interim and annual reporting periods beginning after December 15, 2017, with earlier adoption permitted for interim and annual periods beginning after December 15, 2016. This guidance may be adopted either retrospectively to each prior reporting period presented or as a cumulative-effect adjustment as of the date of adoption. The Partnership anticipates adopting this guidance in fiscal 2018 and is currently evaluating the impact on its consolidated financial statements. In February 2016, the FASB issued authoritative guidance that requires the balance sheet recognition of lease assets and lease liabilities by lessees for leases previously classified as operating leases under prior GAAP. The lease assets recognized in the balance sheet will represent a right-of-use asset, which is an asset that represents the lessee’s right to use, or control the use of, a specified asset for the lease term. The lease liability recognized in the balance sheet will represent the lessee’s obligation to make lease payments arising from a lease, measured on a discounted basis. The Partnership will be required to adopt the new standard in annual and interim periods beginning January 1, 2019. Lessees and lessors will be required to recognize and measure leases at the beginning of the earliest period presented using a modified retrospective approach. The modified retrospective approach includes a number of optional practical expedients that entities may elect to apply. These practical expedients relate to the identification and classification of leases that commenced before the effective date, initial direct costs for leases that commenced before the effective date, and the ability to use hindsight in evaluating lessee options to extend or terminate a lease or to purchase the underlying asset. The Partnership is continuing to evaluate the new standard but has not yet determined the appropriate methodology for implementing the new standard or the expected impact adoption will have on its consolidated financial statements. In March 2016, the FASB issued authoritative guidance to simplify the accounting for equity-based payments awarded to employees. This guidance is effective for interim and annual periods beginning after December 15, 2016, with earlier adoption permitted. The Partnership adopted this guidance effective as of April 1, 2016, and the adoption had no material impact on the consolidated financial statements. In August 2016, the FASB issued authoritative guidance to reduce the diversity of reporting on statements of cash flows. This guidance is effective for annual periods beginning after December 15, 2017, with earlier adoption permitted. The Partnership is evaluating the impact on its consolidated statement of cash flows. In April 2015, the FASB issued authoritative guidance that requires debt issuance costs related to a recognized debt liability to be presented in the balance sheet as a direct deduction from the debt liability rather than as an asset. This guidance is effective for interim and annual reporting periods beginning after December 15, 2015, including interim periods within that reporting period, with earlier adoption permitted. In August 2015, the FASB issued guidance that further clarifies the measurement of debt issuance costs related to line-of-credit arrangements. This guidance was adopted and applied retrospectively to each prior reporting period presented in this quarterly report and resulted in an increase in the debt issuance costs and a corresponding decrease in long-term debt, net, and eliminating the debt issuance costs, in each case as presented in the Consolidated Balance Sheet. The amount that was reclassified in the prior period was $1.4 million .

Identifiable Intangible Assets

Identifiable Intangible Assets (Tables)	9 Months Ended
	Sep. 30, 2016
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Finite-Lived Intangible Assets	Identifiable intangible assets, which are subject to amortization, consist of the following (in thousands): September 30, 2016 Useful Lives Gross Carrying Accumulated Net Rights-of-way 30 $ 20,828 $ 865 $ 19,963 Total $ 20,828 $ 865 $ 19,963 December 31, 2015 Useful Lives Gross Carrying Accumulated Net Rights-of-way 30 $ 20,373 $ 352 $ 20,021 Total $ 20,373 $ 352 $ 20,021

Property, Plant and Equipment (

Property, Plant and Equipment (Tables)	9 Months Ended
	Sep. 30, 2016
Property, Plant and Equipment [Abstract]
Schedule of Property, Plant and Equipment	Property, plant and equipment consists of the following (in thousands): Useful Lives September 30, 2016 December 31, 2015 Gathering, processing and transportation 30 $ 372,073 $ 366,910 Vehicles 5 644 572 Hardware and software 5 to 7 180 148 Other 3 to 7 2,233 1,963 Land N/A 1,666 1,666 Total 376,796 371,259 Less accumulated depreciation (15,348 ) (5,742 ) Net of accumulated depreciation 361,448 365,517 Construction in progress 433 544 Property, plant and equipment $ 361,881 $ 366,061

Long-term Debt (Tables)

Long-term Debt (Tables)	9 Months Ended
	Sep. 30, 2016
Debt Disclosure [Abstract]
Schedule of Partnership's Debt Obligations	The Partnership’s debt obligations consisted of the following (in thousands) as of the below dates: September 30, 2016 December 31, 2015 $275 million MLP revolving credit facility $ 154,500 $ 156,000 Unamortized debt discount costs (4,364 ) (5,301 ) Total long-term debt $ 150,136 $ 150,699
Line of Credit Borrowing Capacity	The following table sets forth the outstanding borrowings, letters of credit issued and available borrowing capacity under the MLP revolving credit facility as of September 30, 2016 (in thousands): Total borrowing capacity $ 275,000 Less: Outstanding borrowings 154,500 Less: Letters of credit issued 1,000 Available borrowing capacity $ 119,500

Equity-Based Awards (Tables)

Equity-Based Awards (Tables)	9 Months Ended
	Sep. 30, 2016
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Schedule of Changes in EPUs	The following table summarizes the changes in the phantom units outstanding for the nine months ended September 30, 2016 : Nine months ended September 30, 2016 Units Weighted Average Weighted Average Remaining Vesting Period Beginning of period 635,200 $ 19.63 1.4 years Granted 388,381 $ 16.09 1.6 years Vested 224,040 $ 19.55 — Forfeited 12,913 $ 18.16 — End of period 786,628 $ 17.92 1.4 years

Partnership and Equity Distri23

Partnership and Equity Distributions (Tables)	9 Months Ended
	Sep. 30, 2016
Equity [Abstract]
Schedule of Distributions Made to Limited Partner	If cash distributions to the unitholders exceed $0.3163 per common unit and subordinated unit in any quarter, the unitholders and the holders of the IDRs will receive distributions according to the following percentage allocations: Total Quarterly Distribution Marginal Percentage Interest in Distributions Target Amount Unitholders IDRs above $0.3163 up to $0.3438 85 % 15 % above $0.3438 up to $0.4125 75 % 25 % above $0.4125 50 % 50 %
Schedule of Distributions Made to General Partner	If cash distributions to the unitholders exceed $0.3163 per common unit and subordinated unit in any quarter, the unitholders and the holders of the IDRs will receive distributions according to the following percentage allocations: Total Quarterly Distribution Marginal Percentage Interest in Distributions Target Amount Unitholders IDRs above $0.3163 up to $0.3438 85 % 15 % above $0.3438 up to $0.4125 75 % 25 % above $0.4125 50 % 50 %

Earnings per Unit (Tables)

Earnings per Unit (Tables)	9 Months Ended
	Sep. 30, 2016
Earnings Per Share [Abstract]
Schedule of Earnings Per Unit	The following table illustrates the Partnership’s calculation of net income per unit for the three and nine months ended September 30, 2016 : Three months ended September 30, Nine months ended September 30, 2016 2015 2016 2015 (1) (in thousands, except unit and per unit amounts) Net income (loss) $ 5,828 $ 2,020 13,514 (5,214 ) Less: Net loss attributable to general partner (613 ) (1,500 ) (3,011 ) (8,592 ) Net income attributable to the Partnership 6,441 3,520 16,525 3,378 Less: General partner’s distribution — — — — Distribution declared on IDRs — — — — Payments for distribution equivalents (2)(3) 232 172 633 215 Limited partners’ distribution declared on common units (2) 5,954 5,500 17,199 6,830 Limited partners’ distribution declared on subordinated units (2) 5,900 5,500 17,092 6,830 Distribution in excess of net income attributable to the Partnership (5,645 ) (7,652 ) (18,399 ) (10,497 ) Distribution in excess of net income attributable to equity-based awards (107 ) (119 ) (349 ) (163 ) Distribution in excess of net income attributable to limited partners $ (5,538 ) $ (7,533 ) (18,050 ) (10,334 ) (1) For periods prior to the Offering on June 9, 2015, no net income is attributable to the Partnership. (2) Distribution declared on October 19, 2016 , attributable to the third quarter of 2016 . (3) Represents DERs to be paid in respect of phantom units. General Limited Limited Total (in thousands, except unit and per unit amounts) Three Months Ended September 30, 2016 Net income (loss) attributable to the limited partner unitholders: Distribution declared (1) $ — $ 5,954 $ 5,900 $ 11,854 Distribution less than (in excess of) net income attributable to the Partnership — (2,782 ) (2,756 ) (5,538 ) Net income attributable to limited partners $ — $ 3,172 $ 3,144 $ 6,316 Weighted average common units outstanding: Basic — 20,184,020 20,000,000 40,184,020 Diluted — 20,184,020 20,000,000 40,184,020 Net income per common unit: Basic $ 0.16 $ 0.16 Diluted $ 0.16 $ 0.16 (1) Distribution declared on October 19, 2016 attributable to the period indicated; includes distribution to be paid in respect of common units issued and outstanding as of the distribution record date of November 7, 2016 . General Limited Limited Total (in thousands, except unit and per unit amounts) Three months ended September 30, 2015 Net income (loss) attributable to the limited partner unitholders: Distribution declared $ — $ 5,500 $ 5,500 $ 11,000 Distribution in excess of net income attributable to the Partnership — (3,766 ) (3,767 ) (7,533 ) Net loss attributable to the partnership $ — $ 1,734 $ 1,733 $ 3,467 Weighted average common units outstanding: Basic — 20,000,000 20,000,000 40,000,000 Diluted — 20,000,000 20,000,000 40,000,000 Net income per common unit: Basic $ 0.09 $ 0.09 Diluted $ 0.09 $ 0.09 General Limited Limited Total (in thousands, except unit and per unit amounts) Nine months ended September 30, 2016 Net income (loss) attributable to the limited partner unitholders: Distribution declared (1) $ — $ 17,199 $ 17,092 $ 34,291 Distribution in excess of net income attributable to the Partnership — (9,063 ) (8,987 ) (18,050 ) Net income attributable to the partnership $ — $ 8,136 $ 8,105 $ 16,241 Weighted average common units outstanding: Basic — 20,075,644 20,000,000 40,075,644 Diluted — 20,075,644 20,000,000 40,075,644 Net income per common unit: Basic $ 0.41 $ 0.41 Diluted $ 0.41 $ 0.41 (1) Distribution declared attributable to the periods indicated; includes distribution declared on October 19, 2016 to be paid in respect of common units issued and outstanding as of the distribution record date of November 7, 2016 . General Limited Limited Total (in thousands, except unit and per unit amounts) Nine months ended September 30, 2015 Net income (loss) attributable to the limited partner unitholders: Distribution declared $ — $ 6,830 $ 6,830 $ 13,660 Distribution in excess of net income attributable to the Partnership — (5,167 ) (5,167 ) (10,334 ) Net loss attributable to the partnership $ — $ 1,663 $ 1,663 $ 3,326 Weighted average common units outstanding: Basic — 20,000,000 20,000,000 40,000,000 Diluted — 20,000,000 20,000,000 40,000,000 Net income per common unit: Basic $ 0.08 $ 0.08 Diluted $ 0.08 $ 0.08

Related-Party Transactions (Tab

Related-Party Transactions (Tables)	9 Months Ended
	Sep. 30, 2016
Related Party Transactions [Abstract]
Schedule of Related Party Transactions	The Partnership’s allocated general and administrative expenses and operating and maintenance expenses consist of the following (in thousands): Three months ended September 30, Nine months ended September 30, 2016 2015 2016 2015 Allocated general and administrative expenses: Cash $ 1,000 $ 250 $ 2,500 $ 3,842 Non-cash 613 1,500 3,011 1,908 Operating and maintenance expenses 1,336 1,002 3,765 2,236 Total $ 2,949 $ 2,752 $ 9,276 $ 7,986

Organization and Business Ope26

Organization and Business Operations - Additional Information (Details)	Oct. 25, 2016shares	Jun. 09, 2015$ / sharesshares	Sep. 30, 2016MMcf / dsegmentplantshares
Subsidiary, Sale of Stock [Line Items]
Number of reportable segments | segment			1
Lincoln Parish Plant [Member]
Subsidiary, Sale of Stock [Line Items]
Number of natural gas processing plants | plant			2
Daily production (in MMcf/d) | MMcf / d			400
PennTex NLA Holdings, LLC [Member]
Subsidiary, Sale of Stock [Line Items]
Ownership percentage by PennTex		62.50%
MRD WHR LA [Member]
Subsidiary, Sale of Stock [Line Items]
Ownership percentage by PennTex		37.50%
Marginal percentage interest in distributions		7.50%
PennTex Development [Member]
Subsidiary, Sale of Stock [Line Items]
Marginal percentage interest in distributions		92.50%
PennTex Development [Member] | Common Stock Units [Member]
Subsidiary, Sale of Stock [Line Items]
Distributions, units distributed (in shares)			3,262,019
PennTex Development [Member] | Subordinated Units [Member]
Subsidiary, Sale of Stock [Line Items]
Distributions, units distributed (in shares)			12,500,000
Limited Partner [Member] | IPO [Member]
Subsidiary, Sale of Stock [Line Items]
Price per unit (in dollars per share) | $ / shares		$ 20
Limited Partner [Member] | Common Stock Units [Member] | IPO [Member]
Subsidiary, Sale of Stock [Line Items]
Units sold in IPO (in shares)		11,250,000
Limited Partner [Member] | Common Stock Units [Member] | Underwriters' Over-Allotment Option [Member]
Subsidiary, Sale of Stock [Line Items]
Units sold in IPO (in shares)		644,462
General Partner [Member] | MRD WHR LA [Member]
Subsidiary, Sale of Stock [Line Items]
General partner, ownership interest		7.50%
Subsequent Event [Member] | General Partner [Member]
Subsidiary, Sale of Stock [Line Items]
Percentage of voting interests acquired	100.00%
Subsequent Event [Member] | Limited Partner [Member]
Subsidiary, Sale of Stock [Line Items]
Percentage of voting interests acquired	65.00%
Subsequent Event [Member] | PennTex Development [Member]
Subsidiary, Sale of Stock [Line Items]
Percentage of voting interests acquired	100.00%
Distribution percentage rights	100.00%
Subsequent Event [Member] | Common Stock Units [Member] | Limited Partner [Member]
Subsidiary, Sale of Stock [Line Items]
Equity interest Issued or issuable, number of shares	6,301,596
Subsequent Event [Member] | Subordinated Units [Member] | Limited Partner [Member]
Subsidiary, Sale of Stock [Line Items]
Equity interest Issued or issuable, number of shares	20,000,000

Summary of Significant Accoun27

Summary of Significant Accounting Policies - Deferred Revenue (Details) - USD ($)	3 Months Ended
	Sep. 30, 2016	Dec. 31, 2015
Summary of Significant Accounting Policies [Line Items]
Deferred revenue incurred during the period	$ 6,200,000
Other Noncurrent Liabilities [Member]
Summary of Significant Accounting Policies [Line Items]
Deferred revenue	$ 14,300,000	$ 0

Summary of Significant Accoun28

Summary of Significant Accounting Policies - Recent Accounting Pronouncements (Details) - Accounting Standards Update 2015-03 [Member] $ in Millions	12 Months Ended
	Dec. 31, 2015USD ($)
Deferred Finance Costs, Noncurrent, Net [Member]
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Debt issuance cost reclassified	$ (1.4)
Long-term Debt [Member]
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Debt issuance cost reclassified	$ 1.4

Identifiable Intangible Asset29

Identifiable Intangible Assets - Finite Lived Intangible Assets (Details) - USD ($) $ in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2016	Dec. 31, 2015
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 20,828	$ 20,373
Accumulated Amortization	865	352
Net	$ 19,963	$ 20,021
Rights of Way [Member]
Finite-Lived Intangible Assets [Line Items]
Useful Lives (in years)	30 years	30 years
Gross Carrying Amount	$ 20,828	$ 20,373
Accumulated Amortization	865	352
Net	$ 19,963	$ 20,021

Identifiable Intangible Asset30

Identifiable Intangible Assets - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Goodwill and Intangible Assets Disclosure [Abstract]
Amortization expense	$ 0.2	$ 0.1	$ 0.5	$ 0.2

Property, Plant and Equipment -

Property, Plant and Equipment - (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2016	Dec. 31, 2015
Property, Plant and Equipment [Line Items]
Less accumulated depreciation	$ (15,348)	$ (5,742)
Property, plant and equipment, net	361,881	366,061
Depreciable Property, Plant and Equipment [Member]
Property, Plant and Equipment [Line Items]
Property, plant and equipment	376,796	371,259
Property, plant and equipment, net	$ 361,448	365,517
Gathering, processing and transportation [Member]
Property, Plant and Equipment [Line Items]
Useful Lives (in years)	30 years
Property, plant and equipment	$ 372,073	366,910
Vehicles [Member]
Property, Plant and Equipment [Line Items]
Useful Lives (in years)	5 years
Property, plant and equipment	$ 644	572
Hardware and Software [Member]
Property, Plant and Equipment [Line Items]
Property, plant and equipment	$ 180	148
Hardware and Software [Member] | Minimum [Member]
Property, Plant and Equipment [Line Items]
Useful Lives (in years)	5 years
Hardware and Software [Member] | Maximum [Member]
Property, Plant and Equipment [Line Items]
Useful Lives (in years)	7 years
Other [Member]
Property, Plant and Equipment [Line Items]
Property, plant and equipment	$ 2,233	1,963
Other [Member] | Minimum [Member]
Property, Plant and Equipment [Line Items]
Useful Lives (in years)	3 years
Other [Member] | Maximum [Member]
Property, Plant and Equipment [Line Items]
Useful Lives (in years)	7 years
Land [Member]
Property, Plant and Equipment [Line Items]
Property, plant and equipment	$ 1,666	1,666
Construction in Progress [Member]
Property, Plant and Equipment [Line Items]
Property, plant and equipment	$ 433	$ 544

Property, Plant and Equipment32

Property, Plant and Equipment - Additonal Information (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Property, Plant and Equipment [Abstract]
Depreciation expense	$ 3,200,000	$ 1,500,000	$ 9,600,000	$ 2,500,000
Interest expense on credit facilities	$ 0	$ 1,100,000	$ 0	$ 2,500,000

Long-term Debt - Schedule of Pa

Long-term Debt - Schedule of Partnership's Debt Obligations (Details) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Debt Instrument [Line Items]
Unamortized debt discount costs	$ (4,364)	$ (5,301)
Total long-term debt	150,136	150,699
Revolving Credit Facility [Member] | Line of Credit [Member] | $275 Million MLP Revolving Credit Facility [Member]
Debt Instrument [Line Items]
Long-term debt, gross	$ 154,500	$ 156,000

Long-term Debt - $275 Million M

Long-term Debt - $275 Million MLP Revolving Credit Facility (Details) - Line of Credit [Member]	Dec. 19, 2014USD ($)	Sep. 30, 2016USD ($)	Sep. 30, 2016USD ($)	Dec. 31, 2015USD ($)
$275 Million MLP Revolving Credit Facility [Member]
Debt Instrument [Line Items]
Amount available under revolving credit facility		$ 119,500,000	$ 119,500,000
Revolving Credit Facility [Member] | Royal Bank of Canada [Member] | $275 Million MLP Revolving Credit Facility [Member]
Debt Instrument [Line Items]
Maximum borrowing capacity	$ 275,000,000	275,000,000	275,000,000
Additional borrowing capacity (up to)	$ 400,000,000
Amount available under revolving credit facility		119,500,000	119,500,000
Commitment fee percentage	0.375%
Debt origination fees	$ 6,400,000
Debt issuance cost				$ 1,400,000
Unamortized debt discount		$ 4,400,000	$ 4,400,000	$ 5,300,000
Revolving Credit Facility [Member] | Royal Bank of Canada [Member] | $275 Million MLP Revolving Credit Facility [Member] | Federal Funds Effective Rate [Member]
Debt Instrument [Line Items]
Basis spread on variable rate	1.50%		2.80%
Revolving Credit Facility [Member] | Royal Bank of Canada [Member] | $275 Million MLP Revolving Credit Facility [Member] | LIBOR [Member]
Debt Instrument [Line Items]
Basis spread on variable rate	1.00%
Revolving Credit Facility [Member] | Royal Bank of Canada [Member] | $275 Million MLP Revolving Credit Facility [Member] | Minimum [Member]
Debt Instrument [Line Items]
Interest coverage ratio		2.50
Revolving Credit Facility [Member] | Royal Bank of Canada [Member] | $275 Million MLP Revolving Credit Facility [Member] | Maximum [Member]
Debt Instrument [Line Items]
Interest coverage ratio		4.75
Revolving Credit Facility [Member] | Royal Bank of Canada [Member] | Revolving Credit Facility Due June 2020, Eurodollar Loan [Member] | Minimum [Member]
Debt Instrument [Line Items]
Basis spread on variable rate	2.00%
Revolving Credit Facility [Member] | Royal Bank of Canada [Member] | Revolving Credit Facility Due June 2020, Eurodollar Loan [Member] | Maximum [Member]
Debt Instrument [Line Items]
Basis spread on variable rate	3.25%
Revolving Credit Facility [Member] | Royal Bank of Canada [Member] | Revolving Credit Facility Due June 2020, Alternate Base Rate Loan [Member] | Minimum [Member] | LIBOR [Member]
Debt Instrument [Line Items]
Basis spread on variable rate	1.00%
Revolving Credit Facility [Member] | Royal Bank of Canada [Member] | Revolving Credit Facility Due June 2020, Alternate Base Rate Loan [Member] | Maximum [Member] | LIBOR [Member]
Debt Instrument [Line Items]
Basis spread on variable rate	2.25%

Long-term Debt - Credit Facilit

Long-term Debt - Credit Facility Schedule (Details) - $275 Million MLP Revolving Credit Facility [Member] - Line of Credit [Member] - USD ($)	Sep. 30, 2016	Dec. 19, 2014
Line of Credit Facility [Line Items]
Available borrowing capacity	$ 119,500,000
Revolving Credit Facility [Member]
Line of Credit Facility [Line Items]
Less: Outstanding borrowings	154,500,000
Letter of Credit [Member]
Line of Credit Facility [Line Items]
Less: Letters of credit issued	1,000,000
Royal Bank of Canada [Member] | Revolving Credit Facility [Member]
Line of Credit Facility [Line Items]
Total borrowing capacity	275,000,000	$ 275,000,000
Available borrowing capacity	$ 119,500,000

Equity-Based Awards - PennTex M

Equity-Based Awards - PennTex Midstream Partners, LP 2015 Long-term Incentive Plan (Details)	Sep. 30, 2016shares
Common Stock Units [Member] | LTIP [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
LTIP, maximum number of units that may be delivered (in shares)	3,200,000

Equity-Based Awards - Phantom U

Equity-Based Awards - Phantom Units Granted (Details) $ in Thousands	Jun. 09, 2015USD ($)shares	Jun. 30, 2016USD ($)directorshares	Sep. 30, 2016USD ($)	Sep. 30, 2015USD ($)	Sep. 30, 2016USD ($)shares	Sep. 30, 2015USD ($)	Dec. 31, 2015USD ($)directorshares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense					$ 3,935	$ 1,288
Taxes withheld in period					$ 613
Phantom Units [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of units granted (in shares) | shares					388,381
Vested (in shares) | shares					224,040
General Partner [Member] | Phantom Units [Member] | Employees [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of units granted (in shares) | shares	620,200	361,159
Vesting period (in years)	3 years	3 years
Value of grant	$ 12,200	$ 5,800
Compensation expense			$ 1,500		$ 3,600
Unrecognized compensation			11,900		$ 11,900
Vested (in shares) | shares					209,040
Phantom units withheld in period (in shares) | shares					40,020
Taxes withheld in period					$ 600
General Partner [Member] | Phantom Units [Member] | Non-employee Director [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of units granted (in shares) | shares		27,222					15,000
Vesting period (in years)		1 year					1 year
Value of grant		$ 400					$ 300
Compensation expense			100		300
Unrecognized compensation			$ 300		$ 300
Number of non-employee directors | director		3					3
LTIP [Member] | General Partner [Member] | Phantom Units [Member] | Employees [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense				$ 1,000		1,200
LTIP [Member] | General Partner [Member] | Phantom Units [Member] | Non-employee Director [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense				$ 40		$ 46

Equity-Based Awards - Phantom38

Equity-Based Awards - Phantom Units Outstanding (Details) - Phantom Units [Member] - $ / shares	9 Months Ended	12 Months Ended
	Sep. 30, 2016	Dec. 31, 2015
Units
Beginning of period (in shares)	635,200
Granted (in shares)	388,381
Vested (in shares)	224,040
Forfeited (in shares)	12,913
End of period (in shares)	786,628	635,200
Weighted Average Grant Date Fair Value
Beginning of period (USD per share)	$ 19.63
Granted (USD per share)	16.09
Vested (USD per share)	19.55
Forfeited (USD per share)	18.16
End of period (USD per share)	$ 17.92	$ 19.63
Weighted Average Remaining Vesting Period
Weighted average contractual term outstanding (in years)	1 year 5 months 10 days	1 year 5 months 10 days
Weighted average contractual term granted in period (in years)	1 year 7 months 10 days

Partnership and Equity Distri39

Partnership and Equity Distributions - Quarterly Distribution (Details) - $ / shares	Oct. 25, 2016	Sep. 30, 2016	Sep. 30, 2016
Distribution Made to Limited Partner [Line Items]
Minimum distribution, per unit, per quarter (in dollars per share)		$ 0.2750
Minimum distribution, per unit, per year (in dollars per share)			$ 1.10
Common Stock Units [Member]
Distribution Made to Limited Partner [Line Items]
Minimum distribution, per unit, per quarter (in dollars per share)			0.2750
Subordinated Units [Member]
Distribution Made to Limited Partner [Line Items]
Minimum distribution, per unit, per quarter (in dollars per share)			0.2750
Common Units and Subordinated Units [Member]
Distribution Made to Limited Partner [Line Items]
Threshold of distribution per unit (in dollars per share)			$ 0.3163
Subsequent Event [Member]
Distribution Made to Limited Partner [Line Items]
Distributions declared, per unit (in dollars per share)	$ 0.295

Partnership and Equity Distri40

Partnership and Equity Distributions - Total Quarterly Distribution (Details)	9 Months Ended
	Sep. 30, 2016$ / shares
above $0.3163 up to $0.3438 [Member]
Total Quarterly Distribution
Unitholders (as a percentage)	85.00%
IDRs (as a percentage)	15.00%
above $0.3163 up to $0.3438 [Member] | Minimum [Member]
Total Quarterly Distribution
Target Amount (in dollars per share)	$ 0.3163
above $0.3163 up to $0.3438 [Member] | Maximum [Member]
Total Quarterly Distribution
Target Amount (in dollars per share)	$ 0.3438
above $0.3438 up to $0.4125 [Member]
Total Quarterly Distribution
Unitholders (as a percentage)	75.00%
IDRs (as a percentage)	25.00%
above $0.3438 up to $0.4125 [Member] | Minimum [Member]
Total Quarterly Distribution
Target Amount (in dollars per share)	$ 0.3438
above $0.3438 up to $0.4125 [Member] | Maximum [Member]
Total Quarterly Distribution
Target Amount (in dollars per share)	$ 0.4125
above $0.4125 [Member]
Total Quarterly Distribution
Unitholders (as a percentage)	50.00%
IDRs (as a percentage)	50.00%
above $0.4125 [Member] | Maximum [Member]
Total Quarterly Distribution
Target Amount (in dollars per share)	$ 0.4125

Partnership and Equity Distri41

Partnership and Equity Distribution - Subordinated Units (Details)	9 Months Ended
	Sep. 30, 2016quarterperiod$ / sharesshares	Dec. 31, 2015shares
Distribution Made to Limited Partner [Line Items]
Minimum distribution, per unit, per year (in dollars per share) | $ / shares	$ 1.10
Number of consecutive periods | period	3
Number of quarters in period | quarter	4
Subordinated Units [Member]
Distribution Made to Limited Partner [Line Items]
Units outstanding (in shares) | shares	20,000,000	20,000,000
Distribution annual threshold for termination of units (dollars per share) | $ / shares	$ 1.65
Distribution annual threshold for termination of units (as a percentage)	150.00%
PennTex Development [Member] | Subordinated Units [Member]
Distribution Made to Limited Partner [Line Items]
Units outstanding (in shares) | shares	12,500,000

Earnings per Unit (Details)

Earnings per Unit (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		4 Months Ended	5 Months Ended	9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2015	Jun. 08, 2015	Sep. 30, 2016	Sep. 30, 2015
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items]
Net income (loss)	$ 5,828	$ 2,020	$ 1,470	$ (6,684)	$ 13,514	$ (5,214)
Less: Net loss attributable to general partner	(613)	(1,500)			(3,011)	(8,592)
Net income attributable to the Partnership	6,441	3,520			16,525	3,378
Less:
General partner’s distribution	0	0			0	0
Distribution declared on IDRs	0	0			0	0
Distributions declared	11,854	11,000			34,291	13,660
Distribution less than (in excess of) net income attributable to the Partnership/Limited partners	(5,645)	(7,652)			(18,399)	(10,497)
Distribution in excess of net income attributable to equity-based awards	(107)	(119)			(349)	(163)
Net income (loss) attributable to limited partners	$ 6,316	$ (3,467)			$ 16,241	$ (3,326)
Weighted average common units outstanding:
Basic (shares)	40,184,020	40,000,000			40,075,644	40,000,000
Diluted (shares)	40,184,020	40,000,000			40,075,644	40,000,000
General Partner Units [Member]
Weighted average common units outstanding:
Basic (shares)	0	0			0	0
Diluted (shares)	0	0			0	0
Common Stock Units [Member]
Weighted average common units outstanding:
Basic (shares)	20,184,020	20,000,000			20,075,644	20,000,000
Diluted (shares)	20,184,020	20,000,000			20,075,644	20,000,000
Net income per common unit:
Basic (USD per share)	$ 0.16	$ 0.09			$ 0.41	$ 0.08
Diluted (USD per share)	$ 0.16	$ 0.09			$ 0.41	$ 0.08
Subordinated Units [Member]
Weighted average common units outstanding:
Basic (shares)	20,000,000	20,000,000			20,000,000	20,000,000
Diluted (shares)	20,000,000	20,000,000			20,000,000	20,000,000
Net income per common unit:
Basic (USD per share)	$ 0.16	$ 0.09			$ 0.41	$ 0.08
Diluted (USD per share)	$ 0.16	$ 0.09			$ 0.41	$ 0.08
General Partner [Member]
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items]
Net income (loss)			(1,908)		$ (3,011)
General Partner [Member] | General Partner Units [Member]
Less:
Distributions declared	$ 0	$ 0			0	$ 0
Distribution less than (in excess of) net income attributable to the Partnership/Limited partners	0	0			0	0
Net income (loss) attributable to limited partners	0	0			0	0
Limited Partner [Member]
Less:
Distribution less than (in excess of) net income attributable to the Partnership/Limited partners	(5,538)	(7,533)			(18,050)	(10,334)
Limited Partner [Member] | Common Stock Units [Member]
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items]
Net income (loss)			1,689		8,278
Less:
Distributions declared	5,954	5,500			17,199	6,830
Limited partners' distribution declared	5,954	5,500			17,199	6,830
Distribution less than (in excess of) net income attributable to the Partnership/Limited partners	(2,782)	(3,766)			(9,063)	(5,167)
Net income (loss) attributable to limited partners	3,172	(1,734)			8,136	(1,663)
Limited Partner [Member] | Subordinated Units [Member]
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items]
Net income (loss)			$ 1,689		8,247
Less:
Distributions declared	5,900	5,500			17,092	6,830
Limited partners' distribution declared	5,900	5,500			17,092	6,830
Distribution less than (in excess of) net income attributable to the Partnership/Limited partners	(2,756)	(3,767)			(8,987)	(5,167)
Net income (loss) attributable to limited partners	3,144	(1,733)			8,105	(1,663)
Phantom Units [Member]
Less:
Distributions declared	$ 232	$ 172			$ 633	$ 215

Commitments and Contingencies -

Commitments and Contingencies - Commercial Agreements with RRC Operating (Details) - Affiliated Entity [Member]	9 Months Ended
	Sep. 30, 2016MMBTU / d
Oil and Gas Delivery Commitments and Contracts [Line Items]
Agreement term	15 years
Ratio for cumulative volume commitment	1
July 1, 2016 through June 30, 2026 [Member]
Oil and Gas Delivery Commitments and Contracts [Line Items]
Daily production (in MMcf/d and MMBtu/d)	460,000
July 1, 2030 [Member]
Oil and Gas Delivery Commitments and Contracts [Line Items]
Daily production (in MMcf/d and MMBtu/d)	345,000
Remainder of initial term [Member]
Oil and Gas Delivery Commitments and Contracts [Line Items]
Daily production (in MMcf/d and MMBtu/d)	115,000
PennTex Gathering Pipeline, June 1, 2015 through November 30, 2019 [Member]
Oil and Gas Delivery Commitments and Contracts [Line Items]
Daily production (in MMcf/d and MMBtu/d)	460,000
PennTex Gathering Pipeline, December 1, 2019 Through End of Tern [Member] | Minimum [Member]
Oil and Gas Delivery Commitments and Contracts [Line Items]
Daily production (in MMcf/d and MMBtu/d)	115,000
PennTex Gathering Pipeline, December 1, 2019 Through End of Tern [Member] | Maximum [Member]
Oil and Gas Delivery Commitments and Contracts [Line Items]
Daily production (in MMcf/d and MMBtu/d)	460,000

Commitments and Contingencies44

Commitments and Contingencies - Services and Secondment Agreement (Details)	9 Months Ended
	Sep. 30, 2016
Services and Secondment [Member]
Other Commitments [Line Items]
Services and secondment term	10 years

Related-Party Transactions - Co

Related-Party Transactions - Commercial Contracts (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Allocated general and administrative expenses:
Revenues	$ 22,184,000	$ 11,225,000	$ 58,986,000	$ 14,150,000
Accounts receivable—related party	20,000		20,000		$ 5,950,000
RRC Operating [Member] | Affiliated Entity [Member]
Allocated general and administrative expenses:
Accounts receivable—related party	20,200		20,200		$ 5,900,000
RRC Operating [Member] | Affiliated Entity [Member] | Commercial Contract [Member]
Allocated general and administrative expenses:
Revenues	$ 17,000,000	$ 11,200,000	$ 51,900,000	$ 14,100,000

Related-Party Transactions - Op

Related-Party Transactions - Operational, General and Administrative Services (Details) - PennTex Development [Member] - USD ($)	Sep. 30, 2016	Dec. 31, 2015
Allocated general and administrative expenses:
Administrative fee per month during the first six months of the year	$ 250,000
Administrative fee per month during the last six months of the year	333,333
Outstanding payable	$ 700,000	$ 500,000

Related-Party Transaction - Sch

Related-Party Transaction - Schedule of General and Administrative Expenses (Details) - PennTex Development [Member] - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Allocated general and administrative expenses:
Expenses	$ 2,949	$ 2,752	$ 9,276	$ 7,986
Cash [Member]
Allocated general and administrative expenses:
Expenses	1,000	250	2,500	3,842
Non-Cash [Member]
Allocated general and administrative expenses:
Expenses	613	1,500	3,011	1,908
Operating and Maintenance Expenses [Member]
Allocated general and administrative expenses:
Expenses	$ 1,336	$ 1,002	$ 3,765	$ 2,236

Concentrations of Risk (Details

Concentrations of Risk (Details)	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
RRC Operating [Member] | Affiliated Entity [Member] | Sales Revenue, Net [Member]
Concentration Risk [Line Items]
Percentage of concentration risk	94.00%	100.00%	95.00%	100.00%

Uncategorized Items - ptxp-2016

Label	Element	Value
Partners' Capital Account, Exchanges and Conversions	us-gaap_PartnersCapitalAccountExchangesAndConversions	$ 0
Noncash Contribution By General Partner	ptxp_NoncashContributionByGeneralPartner	1,908,000
Partners' Capital Account, Contributions	us-gaap_PartnersCapitalAccountContributions	104,967,000
Partners' Capital Account, Units Issued, Issuance Costs	ptxp_PartnersCapitalAccountUnitsIssuedIssuanceCosts	4,675,000
Partners' Capital, Initial Public Offering, Distributions	ptxp_PartnersCapitalInitialPublicOfferingDistributions	165,838,000
Partners' Capital, Equity Based Compensation	ptxp_PartnersCapitalEquityBasedCompensation	(2,660,000)
Partners' Capital Account, Public Sale of Units	us-gaap_PartnersCapitalAccountPublicSaleOfUnits	223,021,000
Partners' Capital Account, Unit-based Compensation	us-gaap_PartnersCapitalAccountUnitBasedCompensation	1,288,000
Partners' Capital Account, Assets Retained, Net	ptxp_PartnersCapitalAccountAssetsRetainedNet	42,000
General Partner [Member]
Noncash Contribution By General Partner	ptxp_NoncashContributionByGeneralPartner	1,908,000
Common Stock Units [Member] | Limited Partner [Member]
Partners' Capital Account, Exchanges and Conversions	us-gaap_PartnersCapitalAccountExchangesAndConversions	7,689,000
Partners' Capital Account, Units Issued, Issuance Costs	ptxp_PartnersCapitalAccountUnitsIssuedIssuanceCosts	4,675,000
Partners' Capital, Equity Based Compensation	ptxp_PartnersCapitalEquityBasedCompensation	(1,330,000)
Partners' Capital Account, Public Sale of Units	us-gaap_PartnersCapitalAccountPublicSaleOfUnits	223,021,000
Partners' Capital Account, Unit-based Compensation	us-gaap_PartnersCapitalAccountUnitBasedCompensation	1,288,000
Partners' Capital Account, Assets Retained, Net	ptxp_PartnersCapitalAccountAssetsRetainedNet	42,000
Subordinated Units [Member] | Limited Partner [Member]
Partners' Capital Account, Exchanges and Conversions	us-gaap_PartnersCapitalAccountExchangesAndConversions	18,968,000
Partners' Capital, Equity Based Compensation	ptxp_PartnersCapitalEquityBasedCompensation	(1,330,000)
MRD WHR LA Midstream LLC [Member] | Predecessor [Member]
Partners' Capital Account, Exchanges and Conversions	us-gaap_PartnersCapitalAccountExchangesAndConversions	28,648,000
Net Income (Loss) Attributable to Parent	us-gaap_NetIncomeLoss	(2,507,000)
Partners' Capital Account, Contributions	us-gaap_PartnersCapitalAccountContributions	35,345,000
Partners' Capital, Initial Public Offering, Distributions	ptxp_PartnersCapitalInitialPublicOfferingDistributions	59,714,000
PennTex NLA Holdings, LLC [Member] | Predecessor [Member]
Partners' Capital Account, Exchanges and Conversions	us-gaap_PartnersCapitalAccountExchangesAndConversions	(55,305,000)
Net Income (Loss) Attributable to Parent	us-gaap_NetIncomeLoss	(4,177,000)
Partners' Capital Account, Contributions	us-gaap_PartnersCapitalAccountContributions	69,622,000
Partners' Capital, Initial Public Offering, Distributions	ptxp_PartnersCapitalInitialPublicOfferingDistributions	$ 106,124,000