What are Midstream Assets?
Midstream Assets include those assets and services that link the supply side of the value chain within the industry, to the demand side for for these energy commodities.
The Midstream Assets and the Midstream Oil and Gas sector is the bridge between the energy producers and the energy end-users and - therefore, can only be as strong as the weakest link or bridge within the midstream oil and gas sector.
Typical midstream assets include;
natural gas gathering
natural gas treating
natural gas processing
natural gas liquids
natural gas storage
natural gas transportation
natural gas pipelines
natural gas compression
terminalling and storage
vapor recovery units
is a Master
A Master Limited Partnership (MLPs) is a limited partnership that is publicly traded on a securities exchange.
combine the tax benefits of Limited Partnerships with the liquidity and
protection/oversight of a publicly traded security.
Master Limited Partnerships are limited by regulation to apply to specific businesses - most notably - natural resources, including; oil and natural gas extraction and transportation.
qualify for MLP status, a partnership must generate at least 90 percent of its
income from "qualifying" sources/resources. For many Master Limited
Partnerships, this includes activities related to the production, processing
or transportation of oil, natural gas and coal.
Limited Partnerships pay their investors through Quarterly Required
Distributions or QRDs. The amount of the QRDs is stated in the contract
between the Limited Partners (the investors) and the General Partner (the
managers). Failure of the General Partner to pay the quarterly required
distributions constitutes a default of the MLP Agreement.
to the stringent provisions on Master Limited Partnerships and the QRD, the
majority of all Master Limited Partnerships are pipeline businesses, and
natural gas companies engaged in the "midstream" oil and natural gas
sector, which generated a reliable and steady income from the oil and natural
MLPs are a partnership, there is no corporate income tax at either the state
or federal level. The Limited Partners (investors) are able to record a
pro-rated share of the investment in the Master Limited Partnership's
depreciation on their personal income tax filings which further reduces their
(that year's) tax liabilities. This is the primary benefit of Master Limited
Partnerships and provides MLPs relatively inexpensive funding and capital
most new Master Limited Partnerships, the General Partner starts out with a
small stake or position in the company - typically in the 2% to 5% range.
However, the MLP receives "incentive distributions" from the net
income after the Quarterly Required Distributions. As the incentive
distributions are normally paid in the form of increased equity claims this
allows the General Partner to attain an increasingly greater percentage of
ownership in the company over time.
What is "Midtream Oil and Gas"?
The midstream oil and gas sector provides initial gas processing and transports the oil and natural gas and natural gas liquids for further natural gas treating and desulfurization "downstream."
The natural gas may be processed or treated in the midstream sector through gas processing or natural gas treating facilities for producing "pipeline quality gas" for direct sale to an interstate or intrastate natural gas pipeline which would bypass the "downstream" oil and natural gas sector entirely.
The downstream sector usually refers to crude oil refineries and the selling and distribution of natural gas and products derived from crude oil. These products include Liquefied Petroleum Gas or "LPG," gasoline, jet fuel, diesel fuel, and other fuel oils, as well as asphalt and petroleum coke.
We have interests in gas gathering and midstream oil and gas and provide; acquisitions, business development, capital, divestments, emissions abatement, engineering, investments, marketing, public relations, sales and strategic marketing solutions.
We deliver solutions:
That produce results:
Greater market share
Increased shareholder value
American Energy Plan
3-5 million new jobs
Fuel Savings of > $1.50/gallon
American Energy Independence
Ends the worst economic depression of all time
Support America's Domestic Oil and Gas
resources and companies
hundreds and hundreds and hundreds of billions of dollars every year for
oil, much of it from the Middle East, is just about the single stupidest
thing that modern society could possibly do. It’s very difficult to think of anything
more idiotic than that.”
~ R. James Woolsey, Jr., former Director of the CIA
According to R. James Woolsey, for Director of the Central Intelligence Agency, “The basic insight is to realize that global warming, the geopolitics of oil, and warfare in the Persian Gulf are not separate problems — they are aspects of a single problem, the West’s dependence on oil.”
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