ENLC - Earnings call transcript Q3 2021

Due to licensing restrictions, you must log in to view earnings call transcripts.

Operator

Good day, and welcome to EnLink Midstream's Third Quarter 2021 Earnings Conference Call. [Operator Instructions] Please note, this event is being recorded. I would now like to turn the conference over to Brian Brungardt, Director of Investor Relations. Please go ahead.

Brian Brungardt

Thank you and good morning, everyone. quarter earnings third EnLink's to of call. XXXX Welcome Executive are Chairman Executive Officer. and on Pablo President the Executive Davis, today call Mercado, and Officer; Lamb, Participating Chief Chief Barry Officer; Chief Operating President Vice and and Financial Vice Ben issued presentation the yesterday, release markets our website. and are those materials on earnings our closed We after and A website at our replay available made on of today's be call will also www.enlink.com. including Today's the expectations include discussion statements, and of laws. forward-looking the federal within securities predictions, meaning will only the of speak this of obligation we update and statements call forward-looking The as to date no undertake or revise. may from in to differ differ Actual SEC press and results results that found be and materially our a factors discussion of can actual release, projections, cause could presentation, our filings. to pertaining financial This includes certain call discussion measures. non-GAAP also as measures presentation. of available the these measures are release well our our appendix of of GAAP as in comparable press and reconciliations Definitions including our Risk made We and our encourage other and you filings, disclosures under statements to the release press cautionary those the in review SEC Factors. heading We'll remainder call and leave by then remarks Pablo, open and of Barry, the set start brief with the questions and Ben, call for answers. today's of prepared a I to to Davis. over like the call Barry would that, now turn With

Barry Davis

for and quarter Thank everyone. you, our joining good us discuss Thank XXXX Brian, to you today morning, third results.

we for energy EnLink that like transition is On future. financial results, industry our in the positioning EnLink's sustainable today, discuss companies the the call and strong transforming will role improving operating active environment, a and our

today. has with believe the focus the all to it's The takes inspired we have achieved XX it are As knows so months past navigate by to execute people what pandemic fire that on world. here to and And over I and I the EnLink season changed sit we team show this today, excellence. since where at EnLink our what I'm the EnLink cylinders or empowered up,

creating midstream are innovation by on vision our strongly entered XXXX with of a future focus become to and leading sustainable our We value. achieve in improving the flexibility. positioned We financial to

focus, us significantly commodity company's that will progress achieve helping areas those to this allowed on improved key addition plans environment our has With four vision. price are discuss plan. focus accelerate I In backdrop, execution the us that now and make our meaningful to

The on first relentless lower our excellence. operate and process the focus we we implementing and is have By innovations, and technology, operational structure. sustainable way a created cost improvements transformed

have examples technology this We while way. time debottleneck can are an the do at on Every our to leveraging expertise We save transforming time volumes, creating and hours real-time to accommodate manipulation, driving to team incremental just cross-functional of from value, of higher to call ones company-wide has better. pipelines These a and plant product look And data hours single they are and intense examples there been to make projects that long-term call, this recoveries more while a innovation. how robotic to be and purity optimize EnLink include how think giving recent and and implementing business. few utilizing for reducing than on empowered valuable this our we are think and a have automation us focus improvement current spreadsheet few employee things real improvements. and results inefficiencies process

customers capital them the high In are we're projects us in diversified ground unlock to we growth and with our of through strong well full last scale attractive and to second markets. which markets. miles growing through Venture large that to demand similar Permian, Phantom. have additional positions Horse connecting Louisiana, and we well War pipeline now on us This are with Global and solid scale year. we access to the Project taking strategically demand projects key EnLink's like downstream In efficient, Project The return with which basins, operators is of X,XXX growing aligned advantage positions and are Project over provide working in

In the to of today. the benefit in services for in generating in pipelines while corridor the we from existing are Oklahoma the strength us our addition, activity, prices. highest and in emitting cash capability provide position positioned which the natural COX meeting And commercial transportation along arrangements, and gives substantial lastly, NGL utilize United Texas increased Mississippi to flow our significant River given are positions areas existing continuing the North States, gas one well unique

and announced profit. decarbonization innovative path metric EnLink path a impact The to while a third to to of set create making out tons beverage use value per XXXX emissions. meaningful our net while we to of this area a us similar is Bridgeport for is our COX seeking XX-year in year in modest our Earlier by the transition. from zero carbon yesterday that committed we energy XXX,XXX unitholders, the emitted sell projects for food, active role year, advances applications. This be agreement agreement down plant purified our and reducing

our customers continues continue offering. Group a make progress solid potential to to capture, customers. transportation providing we Solutions build vision And opportunities on Carbon for sequestration complete Our with and

very cost-efficient potential billion a to to adjusted while equal excluding environmental over range pipeline then significantly to team involved. $X.XX parties locations us year, the on year-over-year by opportunity our the the now new to construction in Our end the We $X.XX solution unique our business the existing new to enabled to the June increased yield about delivering of X% guidance for at expect as of MVC. And expiring compared in in the to growth to EBITDA the initial prospects implied offer importance, environmentally all in provide free vision. sensitive guidance we'll and ability the end we impact cash and lastly, midpoint to transport have nearby financial the best-in-class utilize approximately this billion ground executes year areas. business. flow discipline transportation sequestration upper when excited midpoint the flat new reduce updates continue growing the We of remain XXXX. Entering for pipeline the that the And of COX at of us this impact allow has range,

this to are under midpoint today forecasting be times our arm's use our flow. times, which reach entered of enable X within free of to the guidance leverage approach also while near-term We goal of balanced year cash of X.X us more we at our to will take a leverage

$XXX we EBITDA allowed quarter internal our us impact to of approach XXXX. to results, capital-light distributions the in excluding quarter the and for of flow with to Hurricane Moving our free Ida the continue $XX cash exceeded forecast of quarter. EBITDA third achieved million third adjusted robust coupled generate of The after modest our million

for not begun of were continued cost but commodity XXXX supportive price to anticipate a operational by to business over quarter the XXXX clear efficiencies also Importantly discuss advantage third changer update. XXXX summary, the only driven activity that the beyond. Producers containment, takeaway commodity those With in to Ben as have for our continues focus game upside throughput showed take outlook there and a volume by only we our meaningful in turn modest systems. for uplift is and in In operations it and should potential strength operating solid on and our and the our The recently recent remainder to momentum results and environment across results of improve. view more we beyond. be solid that, our during investors I'll

Ben Lamb

$XX.X and million continues Thanks, generated see approximately expenses gain segment, everyone. Permian related million I'll Horse in in Segment unrealized included operating profit $X good of of which Barry, and robust to to the morning, War start million. and $XX activity Project profit. the segment with derivative approximately quarter

the quarter X% activity, of sequentially the XXXX and War profit XX% prior segment unrealized year Excluding and grew impressive third Horse in quarter. over OpEx derivative an

see segment from bringing third quarter second the quarter fourth gathering X% completed year by Oklahoma plant and cubic flow the second generated. $XX.X also consecutive Phantom, Thunderbird our quarter XX% to higher being to Midland move gas of will to start million add million third XXXX. increased quarter positive natural to Average plant, feet of quarter, day cubic plant approximately a about during underutilized marked gas XXXX compared and Tiger of fifth the Average natural were million and the per in plan with the relocation cash to plant volumes The of of half quarter XXXX higher to compared day. total capacity processing activity the XXXX to were feet of the expected online plant our increased day per the pace million is remains XXX picking plant XX of feet online the project in as the expansion quarter cost quarter the third Shifting prior and be came expected relocation Basin. XXXX. for second approximately will to capacity follow-on per fourth XXXX. the Project Project Horse announced to XX night, on we newbuild processing we Delaware, by up early XX% the cubic as quarter. during which expected volumes continue and XX% quarter, to be the over with at compared of The War Last

approximately negative second Segment $X the an derivative million. $X for XXXX of Hurricane the came approximately and profit where profit at Ida are unrealized $XX.X Louisiana, quarter from to included impact now and lower, of third million. quarters segment Turning in estimated of third losses seasonally million

impact XXXX. to of approximately derivative relative segment unrealized profit quarter the flat in second the of quarter Excluding the Ida, Hurricane XXXX and activity was third of

to and moment to strong their flow all efforts like assets. for Thankfully, damage forecast in $XX.X remainder of Hurricane incurred were In very employees continues XXXX the their and addition, thank to safe to strong families and reported our of in take Louisiana responding million I'd everyone our operations in involved continue year. we the a dedicated Ida. cash Louisiana with we no generate of cash our significant to to the quarter for third flow

pick in reported XXXX. of in quarter $XX.X two-rig to million Moving $XX.X cash up continues for in at Devon XXXX. JV $XX.X drilling Oklahoma, program momentum the activity, as second we customers of third with its planned to flow came million. also during the XXXX Dow for to increased continued profit Oklahoma This saw show segment to the significant the quarter segment The where quarter as million quarter. of progress compares

Texas, on Wrapping momentum online come Oklahoma quarter, to third was segment see systems. of will XXXX. going the giving in operators, was quarter, during that reported private began volumes to all active Gathering and slightly will XXXX. quarter our to approximately the flow With quarter the the drilling to through activity, Oklahoma with well that for Consistent into were but now quarter. the profit volumes as come we to XXXX the this continue backdrop. be of customers, first for is the and approximately XXXX. last this in up $XX fourth us call, significant flat the advantage more of start year anticipate million take XXXX for wells improved this will volumes. second million our the great a between quarter activity flat quarter processing XXXX There prior of time approximately third lag price We time the commodity volumes and during for $XX.X that which half be be our expect look the more the flow we outlook North in particularly above in from they fourth The improved to

our and project. facility night our firm the XX-year agreement be carbon applications. sell re-stimulation our on Continental from goals also to Bridgeport rate customers advancement basin. To on activity mature similar purified entered the last see the in reduction system The on and on With commodity see new a to the to continue beverage backdrop, COX capture into with level a drilling it improved announced and of elaborate to captured to in recompletion We modest we recently food, basis of moderate we our to will COX use this emission in a focus price will Barry's comments, COX Products. Carbonic This XXXX. Bridgeport expect help expect and decline we for activities,

XXXX. in metric We over that, to will way online equivalent tons sell total expected project to of discuss per COX be early COX financial our to results. to approximately This a capture target XXX,XXX step is in reduction it on to intensity. Pablo XXXX taking significant XX% I'll pass our emissions achieve and our With year a

Pablo Mercado

with start and Ben, highlights. everyone. you, quarter Thank good I'll morning, the third

after $XX distributions, which As Barry segments positive million delivered impact free $X flow a EnLink quarter third our again cash and mentioned, of Ida. asset $XXX million of with cash contributions. forecast, our EnLink internal exceeded the a million EBITDA Hurricane of excluding achieved solid all adjusted approximately four delivering once

EBITDA MVC last timing with quarterly that always X% solid expenditures, impact there the free year, although of to at over approximately third EnLink of of continues from volatility the XXXX. cash the quarter end is million almost reported last flows the adjusted the deliver Also months. $XXX rolled off of the Excluding flow in due cash after distributions XX capital increased to

and industry Louisiana the continue EBITDA billion. on business to increased to the in seasonal billion end June we of upper the the in $X.XX months, winter be positive of backdrop the our Given in to pace that adjusted strength to XXXX end guidance range we $X.XX

and the being our period front. manage discussed after from environment, operating in pressures with approximately cost, work quarter Now some the War from inflationary doing continued the modest the XXXX of to Despite the growth is nine efficiency last the Project to were we team administrative with we first in adjusting respect and Uri. our inflationary XXXX, in Horse that noise months Winter expenses same Storm general flat and for and on

the based of majority an adjustors annual GMP overwhelming additional our to include extent inflation market inflationary we providing buffer. to see Additionally, pressures, the sustained continue contracts

as that operating a GAAP the Phantom, our for cost million asset our a our mentioned plant of expected great existing expenditures is Basin our On great use of do growing volumes The XX% $XX rapidly Ben classified team Thee expenses over to processing of an announcement illustrative with project front, from be base capital plant. savings $XX is to cost Midland Project purposes. returns high of our project with from capital-light and producers. now to Oklahoma approximately our million represents approximately continues approach. the to to newbuild total accommodate relocation job second

in to on and CapEx Project keeping significant visibility to generating business modest $XXX in This of War grow producer spending paybacks us free projects for cash Phantom, and of that with is flow and and quick greater we our CapEx the increase come With Horse allow focused us momentum now at while start year high expect around very expansion activity, will the the returns Project very the positive XXXX. next XXXX million.

balance financial so the our a On position. side, or over put actions the past XX in sheet strong have team's months us

repay we $XXX term billion our an million remaining given well additional million our generation are of by the we quarter, down During paid strong $XXX cash year-end, our undrawn loan and and to positioned the $X.XX revolver.

facility improved extending Additionally, $XX and during the quarter, million million we expanded our September $XXX pricing while another to the by XXXX. the AR maturity to of

us adjusted close our ratio that was near-term times facility at under and credit our times. of leverage end, debt Our goal to below just quarter under X puts very EBITDA X.X to

well continue capital in our discussed, balance employ we million modest common common have us With may allows unitholders. This the the continued on more that in To buybacks. $XX.X unit to return third sheet, progress as during we but to include more we that distribution unit a quarter. the balanced as end, intend mixes sheet, capital repurchased to to common of units approach increases allocation balance delever as

to completions closer momentum activity get to to game to we for price and about current year higher and changer portfolio. as exiting improved our improve. very pricing. expect drilling we outlook and the feel XXXX, benefit volumes Now we good both is commodity continues our strong, for finishing beyond And XXXX realized and a The continued in from

Midland activity seen in Basin. Our growth segment this the primarily Permian tremendous driven by year, has the

ramping and expect year. Delaware now next also nicely see continue, that we We to the

are expect to gas Oklahoma volumes frac prices, NGL XXXX. robust and and benefiting gas in from now natural combo In deliver we and plays addition, natural

capital of to With price future that, turn forward is market. we as which next the commodity guidance within the We're believe XXXX bull result a I'll will producer this all Importantly, context back our plans. continued in and finalize discipline, providing year specific to it longer about early we Barry. look excited

Barry Davis

you, continues continues Thank to and to team our results deliver In outlook our summary, solid improve. Pablo.

we industry future open may positioned the we environment, sustainable upon more value of building to beyond are our unitholders. momentum now We XXXX for our creating a create call continue become from innovation and in of by midstream while and well to supportive With questions. to the the work leading very value. for And that, in benefit vision sustainable you

Operator

And Instructions] [Operator Reynolds with ahead. from Please the first Brian question comes go UBS.

Brian Reynolds

in Phantom Maybe you be and some looks expansions to the the in where the start-off growth and is in amount Project the capacity [TVs] and Permian, the Thanks. you're XXXX and and to footprint of the about War growth whether XXXX, Permian tight. of new volumes attract Delaware process Tiger EnLink or Midland, the growth plants is tight organic supports on it from marks seeing capacity processing existing potential Horse perhaps like customers Permian combining looks un-idled areas a the Could for the significant capacity system the in existing with businesses in talk on whether region? of towards processing

BenLamb

Brian. morning, each about the good I'll Ben. Yes, basin. side talk This of is

have XXXX. Midland Basin in seen and that sets very success up group commercial we us the XXXX a On a diverse of lot this side, customers of for we've year

for coming already a And success that Plant is little XXXX. Midland into us customers year the really room And growth. relocation beyond the also serve growth XXXX. of the to of bit that in on additional It's so and that growth we to from some Basin executed Phantom the we the have had commercial leaves

in about whole On the basin. Delaware the tide rising the Basin side, more it's

or plans acreages involve production book the And restart we've along year. And other plant be Tiger XTO significant driving that Mobil's business business run of diverse increased is was effectively Exxon of on expect one though all XTO's before that in and acknowledged major amount I the a as have the start us. of also a customers the there some plant. We January that our to to what's will and of with plans dedicated

Brian Reynolds

we a free way buybacks to as we think capital just starts tick if options and And positive, talk pref about of leverage times there EnLink below remains reduction should dividends a or about or thinking could about return cash as allocation follow-up, for we be is a XXXX? minute, capital in X flow as

Pablo Mercado

what the changed that it's and over Yes. pointed we It quarter. Brian, strong last we thinking hasn't free of optionality. last flow our the capital posture lot Look cash Pablo. on $XXX from a months, discussed us we're generating as allocation Hey, out or side, starts with XX the really that gives million

So we're X to very pivot to key allocation leverage approach. balanced opportunity balanced. an times close it. to ratio to more that that's below us that really a It's target of the gives capital And

a will in the equity of see returns an We bit increase to holders.

us and is seen do the light buyback be at plan also You've to to program, the distribution. employ we pretty but touch look side, think that we on it time

be So we'll that near the the in with doing term. Board here

less so as You the of a some sheet. units control as tools. That mentioned the of like would an to and in said, We overall part program, there is over not and to the balance certainly much reduce within that view productive reduce buying repurchase toolkit. those way market other than time our the say are we common preferreds, that liquid open as on leverage

Operator

Michael go from The ahead. Please with comes Heikkinen Cusimano Energy. next question

Michael Cusimano

to I XQ Louisiana. my in realizations you with the questions. want any typically think we taking in hedged, hedge start color about understand and the you realized how should XQ way but beyond? for can in the hedge Thanks provide those on I losses

BenLamb

Michael, it's Hey, Ben. Yes.

that try bit. to a little unpack me Let

all butane the sell going winter Specifically some market. is The item we products things the but have them all market we in summer long, on. particularly than of you there year that's a seasonally, produce because Louisiana, purity of is biggest of couple a stronger

sell store it. roll so hedges for is the the the side basis, realize product, we And through of basis, on monthly And a we gain on butane the the we physical don't winter sale on product, to negative it. those portion summer so you hedge oftentimes, the there of that you monthly our in may but get and realize hedge a you until the a

why quarter we - a we And seasonal we stronger so that have quarter first that's big than and have fourth business. in second third a and quarter reason why

exacerbated activity quarters. some market the risen quickly second is reasons. numbers year larger gets particular absolute normal the because the because would sell quarter. prior so than one And in for in the in loss. the by you the hedging hedging downtime, gain has And we'll the that it realized to that storage product we have this fractionate was the had say offsets Now put is, that price will side, two Hurricane, exacerbated storage, Number fourth during then of done, thing just the a realize it we during downtime. our we products Y-grade the in And and hurricane product that physical that physical

generate see the quite represents My does the that physical positive that will into a and that that realized me, pardon offsets you of loss. - it So quarter results. bit is in unrealized noise of third the gain that the year derivative quarter in fourth derivative next offset first a expectation quarter significant

Michael Cusimano

follow-up, guess the forward you Phantom any I you had some should the like Or like to And current looking that attributable projects maybe backlog? and to in going some increase or projects are in is could million, that you then if seeing I mostly had say cost at the projects? creep $XXX CapEx timing I previous increase

BenLamb

overwhelmingly in activity. is CapEx by increase driven overall The producer Yes.

So several of the the plant. million the increase first Phantom is dollars

that, to Oklahoma, in more Permian. connects compression in addition In the in projects connects more well well

peers. point of that has realities question great team capital exposed in picture of us overall some done very that chain But minor our work are at of relatively still to we our those pressures spending. help there inflation, are lot Now here is a the a to have a price prices And of on supply from proactive relative that insulate there some out all driver we like to. this steel the

Operator

question Securities. next with Mizuho Christopher ahead. Please comes go from The Jeffrey

Christopher Jeffrey

experience deal of similar on I curious the was kind have its wondering with with well? be or place Continental. would COX previous just they first as in them was if this deals the I for

BenLamb

very is what now Yes, Continental in line does. much this with

you of only If it. is conglomerate they Tri-Gas, part is wide a gases. COX small which Matheson And Nippon of Japan. based national they then take global look very go part one their to more are of Sanso range are a name industrial a a at want and organization, of provider broadly, part Group in of

sale, theirs. with So now first this our not is COX but certainly capture rodeo and

Christopher Jeffrey

And allocation should up following something then on we it's we or a that more $XXX expect million CapEx, saw maybe in 'XX little what basins similar by Oklahoma?

Pablo Mercado

Yes.

was is this Ben by as Pablo So way. - saying the

Permian Ben And And was so connecting wells. producer start we're of to Phantom As have most more saying, in an activity with strongest the then increase Permian the the has Plant uptick also well. and that's in Basin will of obviously be in Oklahoma, we the as do Basin. where the

Operator

ahead. comes Please go The Markets. RBC Schultz TJ with question Capital next from

TJ Schultz

current prices activity you are? the activity stays Oklahoma on and for for consistent volumes private staying given gas there, think system? the of do on rig NGL public mix levels And for customer for this that where current the Thanks. pretty difference you what's private Just or versus all operators versus public your

BenLamb

rigs days, as from system. or Ben. Of in as XX many operators. this is many seen on those, seven XX recent as as in five to the have been we've TJ, Yes, Oklahoma, public operating anywhere

expect operators eight that's a from investor the different do are or continue JV than the the publics, operators than from own a because and I public investor operators, have to their Devon ramp-up only and are think flexibility what seven from privates the to operators to we're the activity that more Dow the have have see public base may they is two activity. bit private rigs, little different them do more which hearing I think, priorities activity of public because I than base. today

or that to just environment. public customers it's in the predominates the whether point of diverse a activity And group private a such activity I so in benefit think that having given of goes Oklahoma, of

that We have and rewarded the exposure that we're who operates everyone for to in being basin today.

TJ Schultz

question a downstream And on then just for in projects Louisiana. potential the

could You Global type be to transaction. Venture of mentioned that similar

you're repurpose? you're of for here, gas you're natural more looking the focused, require larger Just assets And to looking of capital NGL other types on any at or looking at? amounts just are projects Thanks. there that color anything are that looking more projects

Barry Davis

Yes, is TJ. Thank Barry. you. This

this is there just consistent said of that Louisiana. with say basically X,XXX demand with have the we've of that what great traversing we always about the center base asset me through over miles Let pipe

So are that all by across the type nature pipeline, we delivery focused on downstream projects products. the of

NGL multiple like for corridors Conversion gas for service the in expanded we've got year, Venture projects that, last and pipelines is in most so types also of have and And Project of we that remarks, things there. prepared are as a option Global service. the cited we pipe always we an more for example is that the good of the have us because

completed. made of look in to natural progress, CCUS we lots again able at being good so business projects. business, And the and I they're and as noted they relatively be gas prepared are I those We've when they business. we're to the on existing When the because are projects. to optionality progress Good NGL capital-light, they going the you to building communicate forward of are, going look infrastructure be to high-return off remarks.

area for good opportunity. us, of So lots

Operator

with Please Colton next The Bean comes go Holt. question from Pickering Instructions] Tudor ahead. [Operator

Colton Bean

any expectations transportation on just project, magnitude capture any so, then utilization if back And maybe be preliminary and out on EnLink carbon funding the one, build and I the timing? will infrastructure? guess So

Barry Davis

is Yes, Barry. Colton, this

in continue space. Let start we the we're saying the me to that by be really CCUS encouraged work doing by

months on us, I We're know, relatively bigger we've mean seeing picture. been of start is that all - legislative focused by great of for time what kind we're standpoint. you this new with As I'll it's we've but a amount now, the made measured right because from the progress. is in encouraged of

I think many we're meeting unlike support. we're other seeing capture will in of good decarbonization seeing important things everyone part global Washington, We're the recognize seeing objectives. that - carbon be an bipartisan

think the are we evidenced bill I the being that things And very really has by which helpful. discussed, helpful in So to that's business. it three looking that's think current at that's CCUS

the and of capture First both XXQ and sequestration to EOR for credits. XX% the increase all, Basically increase a of removal carbon.

thing of more the gives second importantly bill. projects. then lastly, in XXXX to from the which that And the is develop to does, construction maybe is included and these direct eligible aspect pay most The time it XXXX us extends it it

And things direction. that so in good happening

what solution sequestration we in we has to transportation total and Our basically to the And be it. I any focus of aspects a infrastructure, place right by is providing now to want have the market. been a capture customer able on mean the provide that but

And very independently, that. do has We be so that skill that and it set with do approach would focused think to who on today. a expertise we are could we better doing someone but

partners And we downstream with what to the sequestration of and we would that's said, But we're then fees. the is all transportation best on the think focused so could it, on the do approach as bring working capture table but upstream and don't I the we

Colton Bean

minimum the dedication the have of Maybe that XX-year EnLink does term, duration just volumes clarifying the is over or contract? as a structured to deliver

BenLamb

Ben. is this Colton, Hey, Yes.

EnLink. it's skill do CCUS about just we in Barry already a the it that talking COX that you're goes to the show have I Bridgeport project And broad that at It's today is talking about vent So our that vision at work into a and in just stop within to set that liquid gets the Products. already COX we you think Louisiana. was where it the for the will What for there they the pipeline ice. capture atmosphere to COX to We're on They dry XX years. convert deliver about it to a do to And Did atmosphere. and site of Continental going our term purify a partner, Bridgeport will term? there plant it question that and venting Carbonic it specific the instead today. have

Colton Bean

or XX to Yes. dedication Carbonic is the structured you that's Effectively the goes just over have long-term entirety risk produced COX about where thinking any do as of deliver a years? there, a volumes it to is minimum all

BenLamb

we Today, tons handle to metric excess produce and is there are year. volume Yes, of minimum in no significantly that. their commitment, constructing they XXX,XXX plant per

Colton Bean

for maybe the And the you mentioned Perfect. Delaware all a in just next growth expect you me final here, year. one

passed JV. just Basin of we Delaware anniversary five-year think the I the

whether how So on can the could us road? and consolidation option platform you you the strategically be just an down view update

Brian Brungardt

It say partnership let well. me has has first this. of Colton, worked. The worked Yes, all,

partner where that Shortly us. but to might a all we a at years we might You do the time our decision for partner. own. for have in five been sense ago, a way, moment that thereafter, on us by great had financial a different were recall It just make has we didn't NGP of needed

continue with with about foresee different would do than in think I but area. continuing that partnership say, this long-term, the the with we We at that there's future XX-XX would be to what point, that near in nothing we NGP

Operator

JPMorgan. Chitteti go from question Please comes next The with ahead. Vinay

Vinay Chitteti

and keeping XXXX unhedged. rest on My commodity first down, the volumes of And question thoughts different on you we the is in open just you - the are some want and basins? industry contracts. in exposure Can exposure for is also break the the how how Maybe towards POP/POL to see you the of year? about moving seeing your to exposure how

BenLamb

second Hello, the of Vinay, half take Pablo Ben. the to question. your of it's address then, want question. first will probably And I'll half your

mix, XX% Midland start it overall in our are contract of POP/POL our by the POP/POL Even terms exposure, in particular Basin. contracts. everyone is exposure, of there, have we that it's based Permian where In and in not majority reminding I'll we fee Basin, in our the the about

part a question. your rise, does like but good a second prices which of us half environments the is tailwind of it's give a these, small commodity the into lead relatively business it in as mix, So overall

Pablo Mercado

it's Vinay, Pablo. Yes. hey, Yes,

in hedging way give program it's So flow cash additional is designed, our us the near to stability built the look term.

So on the on volumes we hedges layer expected equity near term. in

quarter So that well one And four out. steps quarter it to XX% about we're out. pretty hedged down then

hedge then that you've what as you in price commodity front high price two, exposure down good does into and end have rising got is prices; one, stability commodity in that prices you've term, can, price and the got So the you at higher environment, that near move timeline. realized the

we terms hedge sort forecast cash of the believe able for all the be business to of the that in. approach, and the here flow In that or to budget against provide to or guidance is goal stability overall

Vinay Chitteti

the up Phantom. War Maybe just and following Project on projects Horse here, Project

processing the go So but assuming details share on facility there, given Permian, you I'm margins profit on shifting the gross the could how definitely be a up new are you would does in if per plants? unit the

BenLamb

your the keep segment that I the Permian for growing. relocation understood correctly, right question to allows you're Phantom if of certainly, Yes, plant the

up the profit up. fills Permian segment the as go And so in the plant will

to serve I in seeing don't that same the the unit to In I plant different margins, of with, have business being unit is we of earlier, XXXX. from along we're today, place commercial success the it in terms some mentioned relocated of be margins because very had today as we book that the expect the

Operator

session. concludes to the I our over will Davis remarks. for back This question-and-answer closing conference now turn any Barry

Barry Davis

for in interest our call your everyone for great your a morning, Thank investment and this and the you for today and always. And thank Tom, We facilitating Thank have day. EnLink. you, being continued as appreciate you you. we call on hope support

Operator

conference Thank concluded. you now attending is presentation. for today's The

You may now disconnect.

EnLink Midstream (ENLC) 3 Nov 212021 Q3 Earnings call transcript