MPLX - Earnings call transcript Q3 2024

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Operator

Welcome to the MPLX Third Quarter 2024 Earnings Call. My name is Sheila, and I will be your operator for today's call. [Operator Instructions] Please note that this conference is being recorded.

I will now turn the call over to Kristina Kazarian. Kristina, you may begin.

Kristina Kazarian

to Quarter welcome Call. Earnings and morning, MPLX's XXXX Third Conference Good slides can under at call accompany the found tab. The this website be that on our Investor mplx.com

and call of members executive team. Maryann on and the today me Hagedorn, CFO; the Mannen, Joining President CEO; Kris other are

materially Actual We differ as to call session making differ be with forward-looking safe during results in the read harbor disclaimer question-and-answer and non-GAAP results Factors will that, invite Slide are that could today. Maryann. may to that with filings X. follows. from expected are we during I'll you what cause our and that over turn the the And actual on It's well to SEC. the statements there a reminder it included as statements

Maryann Mannen

and morning, you thank our for call. Good Kristina. Thanks, joining

We the through quarter. compared the over XX.X% the have first year EBITDA last distribution X decision year, MPLX grown when by the supported which increase to of X% adjusted to months this

While million communities $X.X to delivering $XXX of compared support adjusted MPLX of to and record assets, X% unitholders. our a return third operate, employees our and was operate nearly the the of generated safely health billion, to flow which which the protect last $X.X third safety we EBITDA in Distributable quarter, on increase year's quarter. billion, in our commitment cash supported the

but growing annual is are through to expected committed a of the this primarily buybacks. distribution, support level in distribution future. also We And to capital growing to returning unit through increases our portfolio unitholders

the and center driving outlook of hydrocarbons of the energy onshoring, electrification, to continues globe, remains through Turning producer robust. decade. natural end growth fuels low-cost and United Grid to the the States The demand forecast are data a macro. needed development gas for across the be near-shoring

grow, outpacing we refining increases remain rest fuels industry to additions. customers. are they near-term producer the Marathon's region to most believe demand the advantaged for is The plans Globally, transportation demand U.S. electricity, which positioned world, over we well to support natural each are is of the expected expected assets for in refining operate. in gas-powered structurally As development and of our the competitive capacity

these within future value provide growth operations opportunities. chains Our will refining

across capital its processing strategic and the over Permian grow expected growth Permian at NGL advanced integrated MPLX assets. Marcellus Utica our Basins. objectives footprint year. robust to with remains positions with billion partnership basins, spending in Marcellus, businesses, for the $X our gathering our the producer and the opportunities and gas natural Within and Anchored activity

plants online and We In are efficiencies production Northeast, and new bringing producers allowing drilling longer to hold costs basins. Permian are in demand steady gas customer growing while processing laterals the volumes. to increasing Marcellus meet the

targeting liquids-rich the advantaged Utica, acreage. producers In are economically

Producers' have volumes in MPLX increased processing working prior the year-to-date Our with strong. remains year. interest versus XX%

As new the increase throughput Utica wells are with spending. in placed online, to capital we are positioned minimal for

further with enhances feet of capacity project of we as building and fractionator a of Once barrels day. second Northeast. XXX,XXX is capacity have Northeast to MPLX of natural gas NGLs and billion of processing half in online XXXX, in X.X the expected cubic fractionation day the capacity and align per their Marcellus, plant processor MPLX's fractionation Harmon processing largest III position customers capacity Creek the In to plans. drilling with as work we expansion the are our adding the This

just intensity continuous XX Demonstrating demonstrates months. within processing costs years, by am the in Bluestone reduce facility at our to XX% share will I our at natural became achieve the our to Bluestone to XX% STAR. the and This accomplishment the requires gas achieved plant approach team of approximately an operating proud plant. intensity improvements reduction reducing This in first to recently energy X operational EPA's country ENERGY our and commitment U.S. excellence,

once in the Moving processing Secretariat in is began plant. Delaware II to processing X.X MPLX plant Basin to Bcf the in capacity Permian Preakness and the are July Permian, XXXX. the to production wellhead-to-water Permian the on constructing strong the create segment, operations is and natural processing of second expected we to gas our opportunities be In day in NGLs. across the in half the L&S Secretariat per execute continues online crude, strategy

is pipeline, quarter, ownership our of and expansion XXXX pipeline XXX,XXX of be as of in the a this expected The development first In NGL progress acquisition this in our third interest the in strategic closed asset completed chain the to value of barrels bringing XX%. we additional wellhead-to-water strategy. interest the day to quarter we the to BANGL

assets. Rio progress smaller, Additionally, markets. remainder Gulf Permian and in export anticipated half Basin Coast Both of of capital the are The domestic pipelines will connect of higher-return which pipeline, to in and of continues Bravo plan comprised debottlenecking XXXX. existing on the service expansion targeted second is or Blackcomb at mostly supply our investments

to have of storage blending product third placement expanded fleet inland regional added crude size our serve parties. and enhance to growth we increased example, optimize demand the marine For for pipelines to flexibility,

our interest Utica additional We opportunities II, Harmon pipeline. Creek and Preakness from processing acquisition strategy to growth and Secretariat inorganic and the plants II execute cash like the in acquisition the have growth using like of BANGL been able and opportunities III Summit organic operations, our funding

to our generate confident supporting in MPLX opportunities growth return flow to durable unitholders. these commitment for cash are potential We capital the of to

turn operational quarter. results Now discuss our let to and to for the me Kris the over financial call

Carl Hagedorn

$XX higher year-over-year, primarily West the West and operating higher were offset primarily also Pipeline compared and driven were Coast. up record, Slide due impact lower the expenses. volumes XXXX. the higher including This from by X and to up rates year-over-year, from quarter million operational to volume equity was Terminal the a financial higher adjusted associated for third segment. quarter Maryann. and by performance Thanks, Logistics volumes throughputs, highlights Storage third to throughputs new segment set when L&S affiliates, on due maintenance throughputs growth Coast. outlines increasing refinery EBITDA on

volumes, compared X. of Processing a Slide acquired established driven third on $XX EBITDA the to the up and the including and This earlier acquired gathered -- year. to from by recently to in gas The was highlights XXXX. in due increase Moving adjusted also segment Basins. Permian increased Total as record G&P assets production quarter Utica Gathering year-over-year, were million -- addition of new X% volumes assets Utica increased the contributions Marcellus from and adjusted EBITDA to increased primarily our segment volumes dry this

Processing year-over-year, higher Southwest volumes up in the the X% Marcellus. primarily volumes from and Utica, were

volumes continue and reach recently have the Our placed service the XX II Preakness to increased increased highlighting are volumes and and months. Total In volumes within in grew Harmon Creek processed Marcellus next expected II seeing to value acreage. in Utica, the XX% see due the recoveries and fractionation volumes plants, primarily ethane year-over-year, producers liquids-rich capacity in year-over-year, Utica. processing to X% higher are the

of processing, processing processing the largest our operations, driven year-over-year quarter, ramp basin plant. growth. increases in by Harmon by our Marcellus, Creek production saw of Focusing far, volume utilization continued reflecting for was on XX% II Marcellus X% XX% the G&P of we and for gathering the

over per Processing recently record Bcf and gas produced States, over to and natural of processed business the having grow, handles day. of Gathering in United XX today, all MPLX new Our continues a XX% daily

billion quarter X% year. from $X.X of in and million billion distributable to and Moving and to distributions prior unit flow $XX Slide million X. MPLX the increased third our $XXX cash this unitholders on Total respectively X%, highlights quarter. financial of adjusted in $X.X repurchases returned EBITDA its

of by of distribution business, to XX.X% cash of Maryann discussed, per the we MPLX X.Xx. $X.XX quarter increased in balance the while distribution growth the As coverage based with the $X.X confidence unit billion. ended annualized, on strong our approximately a maintaining

XXXX XXXX. our in the was of At MPLX As notes to February the leverage reminder, of expects senior and $X.XX X.Xx. a billion quarter, retire end maturing December

hand Now final back let thoughts. for Maryann me some it to

Maryann Mannen

Kris. Thanks,

X% X% basis. compound and We adjusted growth have under delivered growth a DCF EBITDA X-year over annual on just

robust, position of flow. executing In growth and growth are processing and opportunities natural these NGL remains activity footprint. continue supporting fractionation opportunities gathering, our cash our projects us in high-return to We we Utica, Permian, chains. value our In across value gas, growth chain. crude producer our grow our strategy and see Advancing Marcellus growth the the to and advancing

decision for the of enhanced. pursue growth provides both distribution expects strategic is this The annually combined our low $X.X the financial value MPC MPLX billion MPLX, this driving quarter. increase, to by nearly And increase now investment and flows the cash strategic Marathon. distribution the to value illustrating flexibility, of further is relationship growth coverage as And portfolio. durability with with the MPLX considerable of strategic and XX.X% opportunities, leverage MPLX strong from receive a MPC's within

future. the us Our increase level and commitment our opportunities of annual to financial to position operational this distribution in our excellence, flexibility support growth

call me let Kristina. Now to turn over the back

Kristina Kazarian

Maryann. Thanks,

questions you one As follow-up. may we're we the that, time ask questions. question plus questions, ready open for Sheila, for to we the that additional permits. for yourself as a With call We limit reprompt

Operator

[Operator Sachs. Instructions] come from John Mackay question Goldman Our with will first

John Mackay

I appreciate increase. around the all distribution comments the

prior? Just think a the here? little the from should this drove more increase about year frame curious what distribution versus how XX.X% of if could growth And you up forward for XX% we pace

Maryann Mannen

question. John, thanks for the

of talked completing have as the look, years say, the our distribution announced XX%. strategy. a about. them really recently. We're impetus and mentioned comments executing well. a decision the durability at been my to identifying increase our versus our as here them cash few few of I'd few flows We've the in projects First, prior XX.X% for we've We're I of growth

we're assets example. look reinvest an capabilities the We in continue to business. our of at portfolio when Utica our you in as the utilizing And

announced we're X-year over out really right we've grow nat to to at ability under EBITDA X%. opportunities and to our wellhead-to-water commitment through distributable term. We We cash of using We've you buyback to about our just And in appropriately of distribution the and couple the the last trying then our demonstrated NGL what return talked see our well. strategies gas do is think unitholders to X%, growth quarters, We as continue flows we this in strategy. talked that over short capital think last share period the build as our range We've here responsibly hope about that. well.

for look the share that us so XX% that increase to give visibility into growth gives the some you the we as future, future. out And confidence to opportunity strength mid-single-digit the and that distribution of

John Mackay

a kind the be future? side. is the kind of there just what one up up this from of while. turning Maybe larger maybe nicely. the if It Harmon say, in Curious is you just some incremental to of on just on And there Obviously, let's the set in like that. the announced this a Marcellus. III there? you're more projects opportunity growth would seeing be Utica or looks has one-off, Appreciate you've frame broader the recovered Marcellus Yes, can could

Maryann Mannen

Sure, John.

one As the know, trying the strategy, Permian, of advancing convey we've been and you is the of Marcellus things Utica. to

mentioned, then I think I'm Secretariat late another As is more the bit the And was producer III, I a you our just-in-time. That in Marcellus. customers pass processing to Harmon the as how Creek we'll unfolding the gas seventh think Greg be going of plant. with example working completing our this he'll opportunities provide in share with to sees because to I he XXXX.

Gregory Floerke

X It's day the cubic process our cubic John, it's XX day. we largest of every billion our we area. total Marcellus, at feet a look that feet billion

declines just on brought high That And to drop sweet rich is we're terms driven We're new You NGLs a and and longer XX% we earlier of by utilization it temporarily Creek saw this spot Harmon year. But gas utilization towards a the ramp, flatter in it's online at there in laterals, II down. of the before heart utilization continues plant productivity. up lot wells. there.

with big us there for out, gathering processing with needs drive to in continue is work and will work forecasts. and a customers. well as this them may We be incrementally terms understanding but their to help fractionation. forward certainly we'll of And as that So volume opportunities our our their regularly on and build project liquid

Operator

with we will Jeremy hear Tonet JPMorgan. Next, from

Jeremy Tonet

good quite list a of initiatives. growth listed organic You

opportunity same or peers even guess, set was I organic, that's you these for relates M&A of we've be to front how probably other curious, the it some realize I your center. the moves so of recently seen some bolt-ons on this you some larger out to And bolt-ons as and make future at as time, you've And and some done just there. said, growth, there. going see But

you wondering of about how Just right all balancing that think now?

Maryann Mannen

Yes, Jeremy, thanks.

say with would here's what set. I So opportunity to our respect

that to continue will of We opportunities deliver growth We've shared bolt-on see JV mid-single-digit allow really us organic a growth. types. to smaller couple

not a year, to program. program, there. capital at are and capital our to JVs expand spending about $X of of opportunities how our or that we'll take, As you look Those know, on give JVs those not you We've part are billion look for part been opportunities that. depending continue

know, year, quick We provided growth that we of we knew first recent out did well. where JV a partner, bought this as quarter JV you EBITDA one, Utica us a in think Summit fairly a

So capabilities We've bit we taken incremental opportunities. position for growth been believe We've some there talking are well. an wellhead-to-water in sufficient strategy about organic our us That future. BANGL. gives as the a

talk about us well. heard You that closing as

So our focus that will that is organic we allow that to. maintain growth to are opportunities here committing us mid-single-digit

Jeremy Tonet

given this I forward That's just specifically point, the do to on project guess, guess or And -- that project that this L&G DC side towards, think I wanted now pivot progression Rio Circuit venture. kind steps more in authorization, it. there. a vacated then helpful FERC this little pipeline And about Got you the joint Bravo really setback? at how the Court of bit

Maryann Mannen

Yes.

project moving at necessarily happen. DC abnormal is So first of forward DC happening. is terms Circuit rehearing on activity that This the while a of activities Court. in all, request the is for filed all of been schedule, not a that There's

the would So you, project activity as forward. we'll tell that rehearing right results now, continue to around to as incremental We'll and moving you provide I of come of well. as fruition, that update

Operator

will Manav with Our come question next UBS. from Gupta

Manav Gupta

comments, -- in incremental electricity mentioned by natural do In for demand will data you role you your opening play that and expect natural it. gas centers gas the driven

to been generation have Can in in multiple if it. win suddenly peers MPLX ways -- help about do to of natural you X Bcf the by you vocal gas can your XXXX, U.S.? support understand X more us Some to which electricity need incremental

Maryann Mannen

to Manav, you support speak thank we demand uniquely given would this, that as I we're think positioned have stand level the in supply fruition. our ready heard producer, comes We you. say customers capability about to the to that region. of us we

of the amount support centers, data got it's processing, see you we to to around pass the incremental cetera, we're et ready of producer stand on Greg and activity ready. technically customers, and it he's our gas I'll plans any XX%. development that You thoughts We're see continue for to about that. we'll monitor the if

Gregory Floerke

XX% lean positioned also gather say I would I'd Northeast. total the support of and we're our well that in what processing, says, Maryann there. we It's and gas very dry

molecules area. So look positioned, the generation closer player initially, be we think on touch, rich by our to whether data even could at the facilities if is eventually you and or demand we're far co-location largest facilities data or the of residue downstream all I there, well further centers of we're lines whether center and in of gas very some the the

be So we're customers We'll prepared opportunity. excited our to the as about required. there follow

Manav Gupta

frac and we can is, Texas here project? City the follow-up update Quick the get an on storage

David Heppner

at side as and wellhead our pipes, this long-haul strategy, the from all NGL update Manav, G&P we of both down give And Gulf Texas and through look the our an the BANGL to the the dock look build water that continue the we evaluating Dave. is happy to chain. you Coast, there. that and as way we're Yes, chain, the at storage frac and to City options to out one value value terminal

investments strategic any to capital that with alternatives. that want and do we make is as We So process discipline, sure, continuing. commercial flexibility evaluating strict is

So as when clarity, more we continue update that and some we'll we have you can.

doing the in to forward look So future. that

Operator

will Stanley hear Wolfe Keith from with you Next Research.

Keith Stanley

guidepost what coverage or look that sustainable, distribution that's commentary apply follow of up just on time the the how you for comment First, Can leverage sense XX.X% would to growth or period give long to at in whether wanted of thresholds continuing future. it's to or the anything any I else?

Maryann Mannen

Yes, Keith, sure.

continue quite you our trying ratios. distribution debt-to-EBITDA at commitment financial our about and to the below duration got at at looking growth. strength bit We've importantly, as probably flexibility. we've we as most we around as know, been increase, that But look we convey, cash ability So in think we've Xx, sheet, said balance to and comfortable of those look we're flow we we're the think a about that. of we're One, the of

last So seen flow X you've X%. years, under as I that mentioned over distributable right, just the cash

that give work, extremely at horizon. look you projects long of putting we mentioned of very we I XX.X% that few tough to are them the will EBITDA we period grow As 'XX, to It's 'XX, to a a time where our doable. an see is

do. XX.X% I certainly to for potential, time. we as notwithstanding well about that things be as period of that convey at a all you distribution we are know the talked to that of trying that, But has You durable the to

Keith Stanley

just is drop-down question concept. wanted to revisit Second the

cash into consider down have year been Marathon's assets line obviously targets? cash MPLX the MPLX if Marathon to a is capital because robust. growth come Should you more of acquisitions lot their by balance, is help very return to we MPC time that So or past for at meet has needing out it think MPLX the buybacks needs tied over more take the drop-downs of targets driven cash its to

Maryann Mannen

Yes, Keith, capital strict MPLX with capital what first say discipline. we you all, that the of we to about to way maintain think respect allocation, would I

are of sure that do discipline. to through work, lens put So we all capital where be is strict you to generating work, when that that our We when putting that we capital we're returns capital need capital the evaluating to to expect.

we to MPLX, them. priority. that of employ are EBITDA to if to to have and drop-downs, question we've other they sense said at your a we continue one grow certainly that them. around relates make will look versus things is when the organic it We'll And they the specifically of As opportunities not continue the

be that. whether Certainly, to to will several last follow But you're strict is And you the that work commitment our versus not yields do capital buyback. to we about not and discipline cash putting cash growth seen required over another that made a drop-down via continued a expect. balance to quarters returning continue committed returns meet comment MPC capital the cash. or have You evaluate as we've we we'll right. all for MPLX opportunities of And share that all otherwise alternative the

Operator

hear Chen with Next, you Barclays. from will Theresa

Theresa Chen

that since should follow-up it project your a of about Texas the should the when NGL question, in in related As terms contracts think to tandem City clearly that frac, we long of transportation right as processing gathering, frac long-haul [ come to that up Permian renewal timing maybe be have come for and TNF sense your to doesn't more now for ] facility up prior. and short make it

And of to chain you molecule up wellhead-to-water keep would time your process? same in thought, along as so same then value of or bring would be the own step it export the vein likely at that a more

Maryann Mannen

for thanks Theresa, question. your

NGL around in -- value trying the you think looking alternatives the wellhead-to-water a continue focuses to to to gas accomplish about at we nat of me we potential, Let we the some frac and that our When how strategy. MPLX. try and City and in about Both series are try both of Permian Texas really progress the for piece strategy the insight are a integrated wellhead-to-water to with what to really that. really the we as as important on start approach strategies talk they're chain give we really

to we that to complete MPLX. of important trying we're progressing So going and you to maintain all that growth through color very to a as work we chain that Dave more strategy. give value opportunity we as for through are opportunities flexibility I'm little ask see the

David Heppner

Maryann. Thanks,

the a integrated throw strategies quite we word chain bit. Theresa, wellhead-to-water So around value

you starts starts how I and MPLX. expect, all back at we And the wellhead. at about it about it as would the So all -- back chains maybe think if value step talk

day over So coming few Basin. Bcf on XXXX, in touched processing of capacity as producer total of earlier have plant heard, second a natural which to we've we of you've Permian Secretariat online, And a best incrementally the the to the gas serve expect I of years X.X half grown capacity. processing in the last with some customers

first in the part the out of step ability customers and and of process basin. the the the the gas, very to our While integral the that serving NGLs this is gas also resid is clear

of us That long-haul into leads that the volumes our the Gulf which is course, to in chain, pipelines, markets. basin the value piece the which, is Coast move second investment of of of out

So touched touched strategic we we key BANGL And earlier, earlier, third do for stake on that. we in NGLs, our the asset in as that. is quarter, to as increased, on

a in So not we the you And progress continues the first barrels increased too quarter down XXXX, on so service it in to XXX,XXX expect which day, expansion be XX%. of far road.

in strong we're volumes, confident that of asset. with seeing So the growth and that, profile we're

really side, around NGL gas strategy side, well. the on Whistler JV the So we're And anchored very platform. feeling our nat is our

in to of which main quarter, that that is Gulf the Permian Basin for to service the we while, Coast. will in line, So which Blackcomb, last FID a addition been the announced pipeline has Whistler connect the XX-inch additional

strategy is focused The volumes stage the comments you connecting while that's optionality for wellhead-to-water our final the of in touched the water. at And shippers. our customers on down what on really creating your to is

be in touched NGL last [ we docks and sorry, that strategy second which touched year side, in service Rio as this our and in year, on examples gas ] on side, of bit. pipeline, look July Texas So Bravo -- And nat (sic) which the as put came on the City that that half on a of the I'm pipeline, in fracs, earlier expect Grande little Maryann I service we are at we've service we XXXX, already to of terminals. the ADCC apologize. some And

of chain NGL. bring evaluate We of last those link value to continue to the options that that

hopefully, over Basin chains Gulf a recent and see been how the can Permian you NGL and the water. the those to strong the access from past, we've gas to nat perspective, Coast value out So both from building

So hopefully, that gives you additional color.

Theresa Chen

does manner? sure year. announced your Phillips' on implications MPC you the and refinery And closure today. later either for your indirect Coast, the its turning logistics next But for assets direct year West at from call I'm will flows California of MPLX, into later following this or this to utilization change or of touch Southern a

Shawn Lyon

Shawn. your from this here. water we've refinery out the Theresa, and logistics chain It's question the near-term basin all any the see it around Really, value an I'll we of down integrated to is to get there. really touch don't way -- there. -- on change gate the the move got

we So see there. term you And look don't pretty there, there. out the supply near demand any out tight all if it's and at

consider to the but as we that's So we see refinery supply effect. we the in make timely those any out decisions with meet needed and work a that don't sure there make manner, near-term

Operator

[Operator Instructions] comes with Our next question Fargo. Michael Blum from Wells

Michael Blum

you Creek to III. about ask on there. return point to wanted I slide, the I noticed XX% a Harmon

So I'm higher is would is this that Or is would say that normal? kind rate? that return now like -- on than say you a incremental a investments, new wondering you -- hurdle of

Gregory Floerke

on any is projects. return rate would of that new we this our I of target Greg. type say Michael,

with incremental relationships contractual project customers, strong we strong these have decisions. We when organic make our support

we strongly about excited feel and we're So it. about the project,

Michael Blum

Great. I ask beyond. wanted just And out then Obviously, of new a and laying projects. XXXX about you're in CapEx to high-return lot

Just run think over Or is billion of $X.X roughly you've $X wondering Is the rate? to that on, kind kind you still do right of which if of time? -- CapEx. higher billion to trend that's been going cadence total that the

Maryann Mannen

for thanks the Michael, question.

You're right.

billion work grow enterprise. $X to Over to on few putting been the the last we've years, about average,

billion what spend beyond for into continue EBITDA yet. growing need you in earnings that that, good we're order on to little But EBITDA. the growth we growth call. would to We'll size a would the about $X mid-single-digit of color it's and give take you maintain our for above as to increase a XXXX it As head mid-single-digit capital early next think possible

we'll look producer certainly, at But at continue the opportunities, that capital when the that those of to we're When helps we you think, project to ability you mentioned, like maintaining into deliver you return 'XX in head you, that Creek the look grow into strict that growth. the kind allow relationship, outlook. insight time amount and customer III. project, I just our capital that about, hope talking to you look growth will But see we look putting in we have of on Michael. you to to Harmon mid-single-digit organic EBITDA for discipline you greater us work the the in as capital again, at give

Operator

with Our question Truist comes Neal from next Securities. Dingmann

Neal Dingmann

got first my organic your question on I've activity. Marcellus just

a impact of was adjustments, surprise just a does few they're no E&Ps to DUCs going minor these number And improve. plans? existing defer that there Appalachian Specifically, wondering week public of type I'm future last things with or of near-term that until either mentioned just more this sort your

Gregory Floerke

around impact Neal, economics producers, don't Greg We The various see volumes. around any plans material their whether again. current this wells. is our and impact -- it's depending different or -- on -- producers on lean gas rich have gas

an see issue there. don't we So

Neal Dingmann

And follow-up as well. your just quick on a response. then Great Great. Marcellus

go the boost your continuing seen just Mobley ramp help plan it been you I'm specifically on wondering, the forward. Just the all wondering as continue yours? a processing processing, continued seems MVP you wondering, to to like -- just have have Marcellus I'm this there's of from -- seen continues

Gregory Floerke

Yes.

I entire excuse region. the boost that MPC Anything is residue a boost. think -- that for me, gas provides MVP a takeaway more is

think I our which the fractionation that is spot. versus higher there's sweet pads that in see lean volume come processing the because of is gas online Northeast the of rich higher a that we a sweet thing is and spot other ours well proportion gas,

well versus up opens gas lean. existing residue as production lower the capacity basin see actually That out on lines of You other MVP. than

Operator

America. with come our Bank from of Neel And Mitra question last will

Indraneel Mitra

how Can Belvieu active your as to Texas to very possibly continue City the logistics NGL the to been facility? talking with you frac. operations, alternative about fractionation and and in an there downstream the You've Sweeny just and export producers and opportunity how talk your use an expanding see you about grow Mont

Gregory Floerke

Greg. This is

NGLs. In started continued to optionality to we'd their we And solid them that. to they've grown And Obviously, plant we've terms built on first various outlets have customers for we've of for and rely gas our residue producer customers, as us with end as to used much we that possible. find Southwest options. capacity, incrementally, when and on we've that our like the do for continued as

customers. So the the access just to some area get into optionality to -- for opportunity Belvieu down going have storage of and more to and is Galveston, Houston into is and provide our that there much the

So we all continue to focus of the above. on

Indraneel Mitra

how you've be or from Oak infrastructure. how you in gas a crude out that Perfect. time gas I active I to you a longer and building natural or Permian. period in understand Okay. now And business drop the whether LOOP curious very MPC and that you in wanted of a view that down short NGLs? possibly was just NGL have term with with infrastructure viewed Gray been pipelines crude JV

Maryann Mannen

Yes, It's thanks. Maryann. Neel,

Just foremost, that. about think were you and I asking drop-downs, when first about think think of we we sort how

mid-single-digit to We growth our have to growth. that continue opportunities the organically our believe support opportunity

give you're remain largely of lower and the we've But him a asking they let I'll the some it are Dave other to and for. So specifics you priority evaluating. pass that got than projects that

David Heppner

in value and to and we time you lot forget pretty value NGL a nat there. Permian up touched a And talking about and chains, crude yes, chains. platform don't Neel, we spent gathering for on of our have about sizable gas want benefits -- we our crude blending the

the space, recent M&A activity in a -- side of so been of on and there's the past in seen as equation. lot you've the the And

continue we've out So look at earlier, touched we to platform NGL. very that opportunities very grown similar to we gas how grow and to out nat the similar, on

the risk, buying assets very but is partners, know because out Sometimes low JV very well. we

at little single more looking maybe a Sometimes opportunity. bolt-on M&A it sometimes be it's and may maybe buying sizable assets

of space. that a in So lot activity

We don't we you because third I them, appreciate that to the continue of and about leg up crude to the bringing our at look of want equation. chain the forget value is side

appreciate that. I So

Operator

showing this time. are We further no at questions

Kristina Kazarian

with questions calls. any for additional Perfect. the will this your like your IR Should Well, have thank of on and to team discussed help today any you morning, MPLX. for interest or in members the of us you all available be joining today clarification topics

Operator

Thank conference. today's conclude does participating. for That you

time. this at disconnect may You

MPLX (MPLX) 5 Nov 242024 Q3 Earnings call transcript