Q4 2022 Delek Logistics Partners LP Earnings Call

Yes.

For the gathering and processing segment EBITDA this quarter was $48 million.

Compared with $34 million in the fourth quarter of 2012.

The increase was primarily driven from strong contributions by the Delek Permian gathering system as well as the three bear assets.

Wholesale marketing and Terminalling segment contributed $23 million of EBITDA, This fourth quarter compared with $19 million in the same period last year.

The main driver for the increase year over year was due to our west Texas wholesale business.

The storage and transportation segment, and EBITDA of $16 million. This fourth quarter in line with the fourth quarter of 'twenty one.

And lastly, the investments in pipeline joint venture segment contributed $9 million towards the fourth quarter of 2002, compared with $7 million in the fourth quarter and 21, primarily due to increased volumes at the Red River and Caddo Joint ventures.

Moving to capital expenditures for the full year 'twenty, two we spent $131 million, excluding the <unk> acquisition of <unk>.

$120 million was earmarked for growth.

For 2023, we have a capital budget of $81 million of which $66 million is earmarked for growth.

With that operator, we can open the call for questions.

Thank you we will now begin the question and answer session to ask a question you May Press Star then one on your Touchtone phone.

If youre using a speakerphone please pick up your handset before pressing the keys to withdraw your question. Please press Star then two.

At this time, we'll pause momentarily to assemble our roster.

Our first question comes from Doug Irwin from Citi. Please go ahead.

Hi, Thanks for the question.

I just wanted to start with the 'twenty three outlook and the Permian G&P segment.

If you have already achieved the prior target of doubling the legacy Permian volume I'm, just curious what your expectations are around.

Volume growth moving forward from here and then on <unk> I'm curious, if you're able to provide an update around where those assets are trending relative to the $100 million EBITDA.

Slide by the initial valuation multiple.

Yes, Doug.

Thank you for joining.

Joining us today, so the TPG is extremely good.

Good day, offset well very pleased.

We are seeing I am not going to give you a specific number for 2022, but I'm going to give you some highlights all of the assets.

We do have 325000 acreage with the lifecycle lifecycle mall, but just organically we see a decrease just talking to produce in a very nice percentage will exceed what the rest of the vitamin C.

We have 25 rigs on that acreage, which has been a nice in the holistic number.

Rest of the basin and we expect it to be very nice vehicles.

Exceed the average of the market doing here doing the rest of the year, probably the first quarter, we would like to give you more specific numbers around the growth, but the profit in dental work.

Yeah.

Extremely well and we are very fortunate we sit there with that asset in that investment.

<unk> I'll, just skip to a very clear.

Good day, and we see the integration phase complete we actually changed the name to Delaware gathering system to reflect the completion of the integration and we are well positioned to continue the trend to hit our target.

This is a simple if it could be.

Great that's helpful detail.

My second question I was just.

I'm wondering if you could talk about how youre thinking about the general partner kind of in the context of the sum of the parts review at the Dk level.

So the GP structure, something that you view as an obstacle to potentially being able to do consolidate the detailed debt on the balance sheet and if so could you maybe talk about some of the different options that are out there to potentially address that.

Yes, so let's be clear first every day.

We might.

<unk> put together is first and foremost we're so the benefit of the unitholders. We are very proud of having 40 quarters that we increased distribution time. After time after time and will take a lot of taking a lot of five and our ability to serve our unit holders. So we will stop with that consideration first what's the I think to do.

<unk>.

<unk> debt invest the investment community and then we'll understand what is that I think to do for the business.

I am sure when there is a window as a way and with this factor that I didn't write the competent government to it.

They allow us to the ideal for the investors and for the company.

Got it.

Thats all for me. Thanks for the time. Thank you. Thank you for joining us today.

There are no more questions in the queue. This concludes our question and answer session I would like to turn the conference back over to ethical Suresh <unk> for any closing remarks.

Yeah. So first of all I want to thank the.

The management team around the table of working hard to make the partnership as good as it can be to take the bulk of the rectal gel starting in us the investor community.

With us.

After an hour.

Performance in the first and for most of our dedicated employees that they were.

Walking days nights, and Hain and Sunny days. Thank you so much.

Conference has now concluded. Thank you for attending today's presentation you may now disconnect.

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Okay.

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