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(Mark One)
|
|
☒
|
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
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☐
|
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
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|
Delaware
|
|
|
27-0005456
|
||
(State or other jurisdiction of
incorporation or organization)
|
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(I.R.S. Employer
Identification No.)
|
200 E. Hardin Street,
|
Findlay,
|
Ohio
|
|
45840
|
|
(Address of principal executive offices)
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(Zip code)
|
|
Securities Registered pursuant to Section 12(b) of the Act
|
||
Title of each class
|
Trading symbol(s)
|
Name of each exchange on which registered
|
Common Units Representing Limited Partnership Interests
|
MPLX
|
New York Stock Exchange
|
Large accelerated filer
|
x
|
Accelerated filer
|
☐
|
Non-accelerated filer
|
☐
|
Smaller reporting company
|
☐
|
|
|
Emerging growth company
|
☐
|
|
Page
|
|
|
|
|
|
|
|
|
ASC
|
Accounting Standards Codification
|
ASU
|
Accounting Standards Update
|
ATM Program
|
An at-the-market program for the issuance of common units
|
Barrel
|
One stock tank barrel, or 42 United States gallons of liquid volume, used in reference to crude oil or other liquid hydrocarbons
|
Bcf/d
|
One billion cubic feet per day
|
Btu
|
One British thermal unit, an energy measurement
|
Condensate
|
A natural gas liquid with a low vapor pressure mainly composed of propane, butane, pentane and heavier hydrocarbon fractions
|
DCF (a non-GAAP financial measure)
|
Distributable Cash Flow
|
EBITDA (a non-GAAP financial measure)
|
Earnings Before Interest, Taxes, Depreciation and Amortization
|
FASB
|
Financial Accounting Standards Board
|
GAAP
|
Accounting principles generally accepted in the United States of America
|
LIBOR
|
London Interbank Offered Rate
|
mbpd
|
Thousand barrels per day
|
Merger
|
MPLX acquisition by merger of Andeavor Logistics LP (“ANDX”) on July 30, 2019
|
MMBtu
|
One million British thermal units, an energy measurement
|
MMcf/d
|
One million cubic feet of natural gas per day
|
NGL
|
Natural gas liquids, such as ethane, propane, butanes and natural gasoline
|
NYSE
|
New York Stock Exchange
|
Predecessor
|
The related assets, liabilities and results of operations of Andeavor Logistics LP (“ANDX”) prior to the date of the acquisition, July 30, 2019, effective October 1, 2018
|
Realized derivative gain/loss
|
The gain or loss recognized when a derivative matures or is settled
|
SEC
|
United States Securities and Exchange Commission
|
SMR
|
Steam methane reformer, operated by a third party and located at the Javelina gas processing and fractionation complex in Corpus Christi, Texas
|
Unrealized derivative gain/loss
|
The gain or loss recognized on a derivative due to changes in fair value prior to the instrument maturing or settling
|
VIE
|
Variable interest entity
|
|
Three Months Ended
June 30, |
|
Six Months Ended
June 30, |
||||||||||||
(In millions, except per unit data)
|
2020
|
|
2019(1)
|
|
2020
|
|
2019(1)
|
||||||||
Revenues and other income:
|
|
|
|
|
|
|
|
||||||||
Service revenue
|
$
|
563
|
|
|
$
|
619
|
|
|
$
|
1,175
|
|
|
$
|
1,233
|
|
Service revenue - related parties
|
857
|
|
|
847
|
|
|
1,785
|
|
|
1,650
|
|
||||
Service revenue - product related
|
22
|
|
|
26
|
|
|
61
|
|
|
60
|
|
||||
Rental income
|
98
|
|
|
93
|
|
|
194
|
|
|
192
|
|
||||
Rental income - related parties
|
237
|
|
|
286
|
|
|
471
|
|
|
611
|
|
||||
Product sales
|
120
|
|
|
189
|
|
|
289
|
|
|
405
|
|
||||
Product sales - related parties
|
30
|
|
|
36
|
|
|
63
|
|
|
77
|
|
||||
Income/(loss) from equity method investments(2)
|
89
|
|
|
83
|
|
|
(1,095
|
)
|
|
160
|
|
||||
Other income
|
2
|
|
|
4
|
|
|
3
|
|
|
4
|
|
||||
Other income - related parties
|
63
|
|
|
27
|
|
|
127
|
|
|
53
|
|
||||
Total revenues and other income
|
2,081
|
|
|
2,210
|
|
|
3,073
|
|
|
4,445
|
|
||||
Costs and expenses:
|
|
|
|
|
|
|
|
||||||||
Cost of revenues (excludes items below)
|
315
|
|
|
353
|
|
|
683
|
|
|
692
|
|
||||
Purchased product costs
|
87
|
|
|
166
|
|
|
222
|
|
|
360
|
|
||||
Rental cost of sales
|
33
|
|
|
29
|
|
|
68
|
|
|
66
|
|
||||
Rental cost of sales - related parties
|
41
|
|
|
36
|
|
|
87
|
|
|
79
|
|
||||
Purchases - related parties
|
280
|
|
|
313
|
|
|
556
|
|
|
591
|
|
||||
Depreciation and amortization
|
321
|
|
|
313
|
|
|
646
|
|
|
614
|
|
||||
Impairment expense
|
—
|
|
|
—
|
|
|
2,165
|
|
|
—
|
|
||||
General and administrative expenses
|
96
|
|
|
90
|
|
|
193
|
|
|
191
|
|
||||
Other taxes
|
30
|
|
|
25
|
|
|
61
|
|
|
55
|
|
||||
Total costs and expenses
|
1,203
|
|
|
1,325
|
|
|
4,681
|
|
|
2,648
|
|
||||
Income/(loss) from operations
|
878
|
|
|
885
|
|
|
(1,608
|
)
|
|
1,797
|
|
||||
Related party interest and other financial costs
|
1
|
|
|
2
|
|
|
4
|
|
|
3
|
|
||||
Interest expense (net of amounts capitalized of $10 million, $12 million, $23 million and $23 million, respectively)
|
206
|
|
|
214
|
|
|
417
|
|
|
428
|
|
||||
Other financial costs
|
16
|
|
|
13
|
|
|
32
|
|
|
22
|
|
||||
Income/(loss) before income taxes
|
655
|
|
|
656
|
|
|
(2,061
|
)
|
|
1,344
|
|
||||
(Benefit)/provision for income taxes
|
—
|
|
|
(1
|
)
|
|
—
|
|
|
(2
|
)
|
||||
Net income/(loss)
|
655
|
|
|
657
|
|
|
(2,061
|
)
|
|
1,346
|
|
||||
Less: Net income attributable to noncontrolling interests
|
7
|
|
|
6
|
|
|
15
|
|
|
12
|
|
||||
Less: Net income attributable to Predecessor
|
—
|
|
|
169
|
|
|
—
|
|
|
349
|
|
||||
Net income/(loss) attributable to MPLX LP
|
648
|
|
|
482
|
|
|
(2,076
|
)
|
|
985
|
|
||||
Less: Series A preferred unit distributions
|
21
|
|
|
21
|
|
|
41
|
|
|
41
|
|
||||
Less: Series B preferred unit distributions
|
10
|
|
|
—
|
|
|
21
|
|
|
—
|
|
||||
Limited partners’ interest in net income/(loss) attributable to MPLX LP
|
$
|
617
|
|
|
$
|
461
|
|
|
$
|
(2,138
|
)
|
|
$
|
944
|
|
Per Unit Data (See Note 6)
|
|
|
|
|
|
|
|
||||||||
Net income/(loss) attributable to MPLX LP per limited partner unit:
|
|
|
|
|
|
|
|
||||||||
Common - basic
|
$
|
0.58
|
|
|
$
|
0.56
|
|
|
$
|
(2.02
|
)
|
|
$
|
1.16
|
|
Common - diluted
|
$
|
0.58
|
|
|
$
|
0.55
|
|
|
$
|
(2.02
|
)
|
|
$
|
1.16
|
|
Weighted average limited partner units outstanding:
|
|
|
|
|
|
|
|
||||||||
Common - basic
|
1,059
|
|
|
794
|
|
|
1,059
|
|
|
794
|
|
||||
Common - diluted
|
1,059
|
|
|
795
|
|
|
1,059
|
|
|
795
|
|
(1)
|
Financial information for the three and six months ended June 30, 2019 has been retrospectively adjusted for the acquisition of ANDX. See Notes 1 and 3.
|
(2)
|
The six months ended June 30, 2020 includes $1,264 million of impairment expense. See Note 4.
|
|
Three Months Ended
June 30, |
|
Six Months Ended
June 30, |
||||||||||||
(In millions)
|
2020
|
|
2019(1)
|
|
2020
|
|
2019(1)
|
||||||||
Net income/(loss)
|
$
|
655
|
|
|
$
|
657
|
|
|
$
|
(2,061
|
)
|
|
$
|
1,346
|
|
Other comprehensive income/(loss), net of tax:
|
|
|
|
|
|
|
|
||||||||
Remeasurements of pension and other postretirement benefits related to equity method investments, net of tax
|
—
|
|
|
—
|
|
|
(1
|
)
|
|
1
|
|
||||
Comprehensive income/(loss)
|
655
|
|
|
657
|
|
|
(2,062
|
)
|
|
1,347
|
|
||||
Less comprehensive income attributable to:
|
|
|
|
|
|
|
|
||||||||
Noncontrolling interests
|
7
|
|
|
6
|
|
|
15
|
|
|
12
|
|
||||
Income attributable to Predecessor
|
—
|
|
|
169
|
|
|
—
|
|
|
349
|
|
||||
Comprehensive income/(loss) attributable to MPLX LP
|
$
|
648
|
|
|
$
|
482
|
|
|
$
|
(2,077
|
)
|
|
$
|
986
|
|
(1)
|
Financial information for the three and six months ended June 30, 2019 has been retrospectively adjusted for the acquisition of ANDX. See Notes 1 and 3.
|
(In millions)
|
June 30, 2020
|
|
December 31, 2019
|
||||
Assets
|
|
|
|
||||
Current assets:
|
|
|
|
||||
Cash and cash equivalents
|
$
|
67
|
|
|
$
|
15
|
|
Receivables, net
|
562
|
|
|
593
|
|
||
Current assets - related parties
|
594
|
|
|
656
|
|
||
Inventories
|
115
|
|
|
110
|
|
||
Other current assets
|
48
|
|
|
110
|
|
||
Total current assets
|
1,386
|
|
|
1,484
|
|
||
Equity method investments
|
4,065
|
|
|
5,275
|
|
||
Property, plant and equipment, net
|
21,758
|
|
|
22,145
|
|
||
Intangibles, net
|
1,023
|
|
|
1,270
|
|
||
Goodwill
|
7,722
|
|
|
9,536
|
|
||
Right of use assets, net
|
341
|
|
|
365
|
|
||
Noncurrent assets - related parties
|
676
|
|
|
303
|
|
||
Other noncurrent assets
|
51
|
|
|
52
|
|
||
Total assets
|
37,022
|
|
|
40,430
|
|
||
Liabilities
|
|
|
|
||||
Current liabilities:
|
|
|
|
||||
Accounts payable
|
145
|
|
|
242
|
|
||
Accrued liabilities
|
138
|
|
|
187
|
|
||
Current liabilities - related parties
|
372
|
|
|
1,008
|
|
||
Accrued property, plant and equipment
|
154
|
|
|
283
|
|
||
Accrued interest payable
|
207
|
|
|
210
|
|
||
Operating lease liabilities
|
69
|
|
|
66
|
|
||
Other current liabilities
|
143
|
|
|
136
|
|
||
Total current liabilities
|
1,228
|
|
|
2,132
|
|
||
Long-term deferred revenue
|
261
|
|
|
217
|
|
||
Long-term liabilities - related parties
|
287
|
|
|
290
|
|
||
Long-term debt
|
20,556
|
|
|
19,704
|
|
||
Deferred income taxes
|
11
|
|
|
12
|
|
||
Long-term operating lease liabilities
|
274
|
|
|
302
|
|
||
Deferred credits and other liabilities
|
175
|
|
|
192
|
|
||
Total liabilities
|
22,792
|
|
|
22,849
|
|
||
Commitments and contingencies (see Note 21)
|
|
|
|
||||
Series A preferred units
|
968
|
|
|
968
|
|
||
Equity
|
|
|
|
||||
Common unitholders - public (393 million and 392 million units issued and outstanding)
|
9,469
|
|
|
10,800
|
|
||
Common unitholder - MPC (666 million and 666 million units issued and outstanding)
|
2,951
|
|
|
4,968
|
|
||
Series B preferred units (.6 million and .6 million units issued and outstanding)
|
611
|
|
|
611
|
|
||
Accumulated other comprehensive loss
|
(16
|
)
|
|
(15
|
)
|
||
Total MPLX LP partners’ capital
|
13,015
|
|
|
16,364
|
|
||
Noncontrolling interests
|
247
|
|
|
249
|
|
||
Total equity
|
13,262
|
|
|
16,613
|
|
||
Total liabilities, preferred units and equity
|
$
|
37,022
|
|
|
$
|
40,430
|
|
|
Six Months Ended
June 30, |
||||||
(In millions)
|
2020
|
|
2019(1)
|
||||
Increase/(decrease) in cash, cash equivalents and restricted cash
|
|
|
|
||||
Operating activities:
|
|
|
|
||||
Net (loss)/income
|
$
|
(2,061
|
)
|
|
$
|
1,346
|
|
Adjustments to reconcile net income/(loss) to net cash provided by operating activities:
|
|
|
|
||||
Amortization of deferred financing costs
|
29
|
|
|
19
|
|
||
Depreciation and amortization
|
646
|
|
|
614
|
|
||
Impairment expense
|
2,165
|
|
|
—
|
|
||
Deferred income taxes
|
(1
|
)
|
|
(2
|
)
|
||
Asset retirement expenditures
|
—
|
|
|
(1
|
)
|
||
Loss/(gain) on disposal of assets
|
1
|
|
|
(2
|
)
|
||
Loss/(income) from equity method investments(2)
|
1,095
|
|
|
(160
|
)
|
||
Distributions from unconsolidated affiliates
|
226
|
|
|
245
|
|
||
Changes in:
|
|
|
|
||||
Current receivables
|
31
|
|
|
75
|
|
||
Inventories
|
(7
|
)
|
|
—
|
|
||
Fair value of derivatives
|
(9
|
)
|
|
7
|
|
||
Current accounts payable and accrued liabilities
|
(102
|
)
|
|
(117
|
)
|
||
Current assets/current liabilities - related parties
|
27
|
|
|
(124
|
)
|
||
Right of use assets/operating lease liabilities
|
(1
|
)
|
|
1
|
|
||
Deferred revenue
|
49
|
|
|
46
|
|
||
All other, net
|
26
|
|
|
7
|
|
||
Net cash provided by operating activities
|
2,114
|
|
|
1,954
|
|
||
Investing activities:
|
|
|
|
||||
Additions to property, plant and equipment
|
(708
|
)
|
|
(1,136
|
)
|
||
Acquisitions, net of cash acquired
|
—
|
|
|
6
|
|
||
Disposal of assets
|
43
|
|
|
8
|
|
||
Investments in unconsolidated affiliates
|
(222
|
)
|
|
(323
|
)
|
||
Distributions from unconsolidated affiliates - return of capital
|
110
|
|
|
2
|
|
||
All other, net
|
—
|
|
|
4
|
|
||
Net cash used in investing activities
|
(777
|
)
|
|
(1,439
|
)
|
||
Financing activities:
|
|
|
|
||||
Long-term debt - borrowings
|
2,500
|
|
|
3,139
|
|
||
- repayments
|
(1,682
|
)
|
|
(2,272
|
)
|
||
Related party debt - borrowings
|
2,708
|
|
|
3,833
|
|
||
- repayments
|
(3,302
|
)
|
|
(3,789
|
)
|
||
Distributions to noncontrolling interests
|
(17
|
)
|
|
(12
|
)
|
||
Distributions to Series A preferred unitholders
|
(41
|
)
|
|
(40
|
)
|
||
Distributions to Series B preferred unitholders
|
(21
|
)
|
|
—
|
|
||
Distributions to unitholders and general partner
|
(1,445
|
)
|
|
(1,038
|
)
|
||
Distributions to common and Series B preferred unitholders from Predecessor
|
—
|
|
|
(502
|
)
|
||
Contributions from MPC
|
20
|
|
|
28
|
|
||
Contributions from noncontrolling interests
|
—
|
|
|
94
|
|
||
All other, net
|
(5
|
)
|
|
(9
|
)
|
||
Net cash used in financing activities
|
(1,285
|
)
|
|
(568
|
)
|
||
Net increase/(decrease) in cash, cash equivalents and restricted cash
|
52
|
|
|
(53
|
)
|
||
Cash, cash equivalents and restricted cash at beginning of period
|
15
|
|
|
85
|
|
||
Cash, cash equivalents and restricted cash at end of period
|
$
|
67
|
|
|
$
|
32
|
|
(1)
|
Financial information for the six months ended June 30, 2019 has been retrospectively adjusted for the acquisition of ANDX. See Notes 1 and 3.
|
(2)
|
The 2020 period includes $1,264 million of impairment expense. See Note 4.
|
|
Partnership
|
|
|
|
|
|
|
|
|
||||||||||||||||||
(In millions)
|
Common
Unit-holders Public |
|
Common
Unit-holder MPC |
|
Series B Preferred Unit-holders
|
|
Accumulated Other Comprehensive Loss
|
|
Non-controlling
Interests |
|
Equity of Predecessor
|
|
Total(1)
|
||||||||||||||
Balance at December 31, 2018
|
$
|
8,336
|
|
|
$
|
(1,612
|
)
|
|
$
|
—
|
|
|
$
|
(16
|
)
|
|
$
|
156
|
|
|
$
|
10,867
|
|
|
$
|
17,731
|
|
Net income (excludes amounts attributable to preferred units)
|
176
|
|
|
307
|
|
|
—
|
|
|
—
|
|
|
6
|
|
|
180
|
|
|
669
|
|
|||||||
Distributions to:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Unitholders
|
(188
|
)
|
|
(327
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(261
|
)
|
|
(776
|
)
|
|||||||
Noncontrolling interests
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(6
|
)
|
|
—
|
|
|
(6
|
)
|
|||||||
Contributions from:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
MPC
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
15
|
|
|
15
|
|
|||||||
Noncontrolling interests
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
94
|
|
|
—
|
|
|
94
|
|
|||||||
Other
|
2
|
|
|
—
|
|
|
—
|
|
|
1
|
|
|
—
|
|
|
—
|
|
|
3
|
|
|||||||
Balance at March 31, 2019
|
8,326
|
|
|
(1,632
|
)
|
|
—
|
|
|
(15
|
)
|
|
250
|
|
|
10,801
|
|
|
17,730
|
|
|||||||
Net income (excludes amounts attributable to preferred units)
|
168
|
|
|
293
|
|
|
—
|
|
|
—
|
|
|
6
|
|
|
169
|
|
|
636
|
|
|||||||
Distributions to:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Unitholders
|
(191
|
)
|
|
(332
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(241
|
)
|
|
(764
|
)
|
|||||||
Noncontrolling interests
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(6
|
)
|
|
—
|
|
|
(6
|
)
|
|||||||
Contributions from:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
MPC
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
13
|
|
|
13
|
|
|||||||
Other
|
2
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
2
|
|
|||||||
Balance at June 30, 2019
|
8,305
|
|
|
(1,671
|
)
|
|
—
|
|
|
(15
|
)
|
|
250
|
|
|
10,742
|
|
|
17,611
|
|
|||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Balance at December 31, 2019
|
10,800
|
|
|
4,968
|
|
|
611
|
|
|
(15
|
)
|
|
249
|
|
|
—
|
|
|
16,613
|
|
|||||||
Net (loss)/income (excludes amounts attributable to preferred units)
|
(1,022
|
)
|
|
(1,733
|
)
|
|
11
|
|
|
—
|
|
|
8
|
|
|
—
|
|
|
(2,736
|
)
|
|||||||
Distributions to:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Unitholders
|
(271
|
)
|
|
(446
|
)
|
|
(21
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(738
|
)
|
|||||||
Noncontrolling interests
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(9
|
)
|
|
—
|
|
|
(9
|
)
|
|||||||
Contributions from:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
MPC
|
—
|
|
|
225
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
225
|
|
|||||||
Other
|
2
|
|
|
—
|
|
|
—
|
|
|
(1
|
)
|
|
—
|
|
|
—
|
|
|
1
|
|
|||||||
Balance at March 31, 2020
|
9,509
|
|
|
3,014
|
|
|
601
|
|
|
(16
|
)
|
|
248
|
|
|
—
|
|
|
13,356
|
|
|||||||
Net income (excludes amounts attributable to preferred units)
|
229
|
|
|
388
|
|
|
10
|
|
|
—
|
|
|
7
|
|
|
—
|
|
|
634
|
|
|||||||
Distributions to:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Unitholders
|
(270
|
)
|
|
(458
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(728
|
)
|
|||||||
Noncontrolling interests
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(8
|
)
|
|
—
|
|
|
(8
|
)
|
|||||||
Contributions from:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
MPC
|
—
|
|
|
6
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
6
|
|
|||||||
Other
|
1
|
|
|
1
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
2
|
|
|||||||
Balance at June 30, 2020
|
$
|
9,469
|
|
|
$
|
2,951
|
|
|
$
|
611
|
|
|
$
|
(16
|
)
|
|
$
|
247
|
|
|
$
|
—
|
|
|
$
|
13,262
|
|
(1)
|
Financial information for the first and second quarters of 2019 has been retrospectively adjusted for the acquisition of ANDX. See Notes 1 and 3.
|
(In millions)
|
|
Impairment
|
|
Footnote Reference
|
||
Goodwill
|
|
$
|
1,814
|
|
|
12
|
Equity method investments
|
|
1,264
|
|
|
4
|
|
Intangibles, net
|
|
177
|
|
|
12
|
|
Property, plant and equipment, net
|
|
174
|
|
|
11
|
|
Total impairments
|
|
$
|
3,429
|
|
|
|
ASU
|
|
|
Effective Date
|
2018-13
|
Fair Value Measurement (Topic 820): Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement
|
|
January 1, 2020
|
2020-04
|
Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting
|
|
April 1, 2020
|
|
Ownership as of
|
|
Carrying value at
|
||||||
|
June 30,
|
|
June 30,
|
|
December 31,
|
||||
(In millions, except ownership percentages)
|
2020
|
|
2020
|
|
2019
|
||||
L&S
|
|
|
|
|
|
||||
MarEn Bakken Company LLC(1)
|
25%
|
|
$
|
477
|
|
|
$
|
481
|
|
Illinois Extension Pipeline Company, L.L.C.
|
35%
|
|
268
|
|
|
265
|
|
||
LOOP LLC
|
41%
|
|
242
|
|
|
238
|
|
||
Andeavor Logistics Rio Pipeline LLC(2)
|
67%
|
|
196
|
|
|
202
|
|
||
Minnesota Pipe Line Company, LLC
|
17%
|
|
190
|
|
|
190
|
|
||
Whistler Pipeline LLC(2)
|
38%
|
|
188
|
|
|
134
|
|
||
Explorer Pipeline Company
|
25%
|
|
79
|
|
|
83
|
|
||
W2W Holdings LLC(2)(3)
|
50%
|
|
77
|
|
|
—
|
|
||
Wink to Webster Pipeline LLC(2)(3)
|
15%
|
|
—
|
|
|
126
|
|
||
Other(2)
|
|
|
60
|
|
|
55
|
|
||
Total L&S
|
|
|
1,777
|
|
|
1,774
|
|
||
G&P
|
|
|
|
|
|
||||
MarkWest Utica EMG, L.L.C.(2)
|
57%
|
|
725
|
|
|
1,984
|
|
||
Sherwood Midstream LLC(2)
|
50%
|
|
560
|
|
|
537
|
|
||
MarkWest EMG Jefferson Dry Gas Gathering Company, L.L.C.(2)
|
67%
|
|
308
|
|
|
302
|
|
||
Rendezvous Gas Services, L.L.C.(2)
|
78%
|
|
166
|
|
|
170
|
|
||
Sherwood Midstream Holdings LLC(2)
|
51%
|
|
152
|
|
|
157
|
|
||
Centrahoma Processing LLC
|
40%
|
|
151
|
|
|
153
|
|
||
Other(2)
|
|
|
226
|
|
|
198
|
|
||
Total G&P
|
|
|
2,288
|
|
|
3,501
|
|
||
Total
|
|
|
$
|
4,065
|
|
|
$
|
5,275
|
|
(1)
|
The investment in MarEn Bakken Company LLC includes our 9.19 percent indirect interest in a joint venture (“Dakota Access”) that owns and operates the Dakota Access Pipeline and Energy Transfer Crude Oil Pipeline projects, collectively referred to as the Bakken Pipeline system or DAPL.
|
(2)
|
Investments deemed to be VIEs. Some investments included within “Other” have also been deemed to be VIEs.
|
(3)
|
During the six months ended June 30, 2020, we contributed our ownership in Wink to Webster Pipeline LLC to W2W Holdings LLC.
|
|
Six Months Ended June 30, 2020
|
||||||||||
(In millions)
|
VIEs
|
|
Non-VIEs
|
|
Total
|
||||||
Revenues and other income
|
$
|
(43
|
)
|
|
$
|
640
|
|
|
$
|
597
|
|
Costs and expenses
|
202
|
|
|
274
|
|
|
476
|
|
|||
Income from operations
|
(245
|
)
|
|
366
|
|
|
121
|
|
|||
Net income
|
(283
|
)
|
|
332
|
|
|
49
|
|
|||
(Loss)/income from equity method investments(1)
|
$
|
(1,178
|
)
|
|
$
|
83
|
|
|
$
|
(1,095
|
)
|
(1)
|
Includes the impact of any basis differential amortization or accretion in addition to the impairment of $1,264 million.
|
|
Six Months Ended June 30, 2019(1)
|
||||||||||
(In millions)
|
VIEs
|
|
Non-VIEs
|
|
Total
|
||||||
Revenues and other income
|
$
|
306
|
|
|
$
|
724
|
|
|
$
|
1,030
|
|
Costs and expenses
|
159
|
|
|
295
|
|
|
454
|
|
|||
Income from operations
|
147
|
|
|
429
|
|
|
576
|
|
|||
Net income
|
127
|
|
|
383
|
|
|
510
|
|
|||
Income from equity method investments(2)
|
$
|
54
|
|
|
$
|
106
|
|
|
$
|
160
|
|
(1)
|
Financial information for the first six months of 2019 has been retrospectively adjusted for the acquisition of ANDX. See Notes 1 and 3.
|
(2)
|
Includes the impact of any basis differential amortization or accretion.
|
|
June 30, 2020
|
||||||||||
(In millions)
|
VIEs
|
|
Non-VIEs
|
|
Total
|
||||||
Current assets
|
$
|
357
|
|
|
$
|
317
|
|
|
$
|
674
|
|
Noncurrent assets
|
5,824
|
|
|
5,061
|
|
|
10,885
|
|
|||
Current liabilities
|
265
|
|
|
181
|
|
|
446
|
|
|||
Noncurrent liabilities
|
$
|
656
|
|
|
$
|
853
|
|
|
$
|
1,509
|
|
|
December 31, 2019
|
||||||||||
(In millions)
|
VIEs
|
|
Non-VIEs
|
|
Total
|
||||||
Current assets
|
$
|
534
|
|
|
$
|
330
|
|
|
$
|
864
|
|
Noncurrent assets
|
5,862
|
|
|
5,134
|
|
|
10,996
|
|
|||
Current liabilities
|
192
|
|
|
245
|
|
|
437
|
|
|||
Noncurrent liabilities
|
$
|
305
|
|
|
$
|
822
|
|
|
$
|
1,127
|
|
(In millions)
|
Six Months Ended June 30, 2020
|
|
Year Ended December 31, 2019
|
||||
Borrowings
|
$
|
2,708
|
|
|
$
|
8,540
|
|
Average interest rate of borrowings
|
2.733
|
%
|
|
3.441
|
%
|
||
Repayments
|
$
|
3,302
|
|
|
$
|
7,946
|
|
Outstanding balance at end of period(1)
|
$
|
—
|
|
|
$
|
594
|
|
(1)
|
Included in “Current liabilities - related parties” on the Consolidated Balance Sheets.
|
(In millions)
|
Year Ended December 31, 2019
|
||
Borrowings
|
$
|
773
|
|
Average interest rate of borrowings
|
4.249
|
%
|
|
Repayments
|
$
|
773
|
|
Outstanding balance at end of period
|
$
|
—
|
|
|
Three Months Ended June 30,
|
|
Six Months Ended June 30,
|
||||||||||||
(In millions)
|
2020
|
|
2019
|
|
2020
|
|
2019
|
||||||||
Service revenues - related parties
|
|
|
|
|
|
|
|
||||||||
MPC
|
$
|
857
|
|
|
$
|
847
|
|
|
$
|
1,784
|
|
|
$
|
1,650
|
|
Other
|
—
|
|
|
—
|
|
|
1
|
|
|
—
|
|
||||
Total Service revenue - related parties
|
857
|
|
|
847
|
|
|
1,785
|
|
|
1,650
|
|
||||
Rental income - related parties
|
|
|
|
|
|
|
|
||||||||
MPC
|
237
|
|
|
286
|
|
|
471
|
|
|
611
|
|
||||
Product sales - related parties(1)
|
|
|
|
|
|
|
|
||||||||
MPC
|
30
|
|
|
36
|
|
|
63
|
|
|
77
|
|
||||
Other income - related parties
|
|
|
|
|
|
|
|
||||||||
MPC
|
48
|
|
|
10
|
|
|
96
|
|
|
20
|
|
||||
Other
|
15
|
|
|
17
|
|
|
31
|
|
|
33
|
|
||||
Total Other income - related parties
|
$
|
63
|
|
|
$
|
27
|
|
|
$
|
127
|
|
|
$
|
53
|
|
(1)
|
There were additional product sales to MPC that net to zero within the consolidated financial statements as the transactions are recorded net due to the terms of the agreements under which such product was sold. For the three and six months ended June 30, 2020, these sales totaled $52 million and $225 million. For the three and six months ended June 30, 2019, these sales totaled $295 million and $518 million.
|
|
Three Months Ended June 30,
|
|
Six Months Ended June 30,
|
||||||||||||
(In millions)
|
2020
|
|
2019
|
|
2020
|
|
2019
|
||||||||
Rental cost of sales - related parties
|
|
|
|
|
|
|
|
||||||||
MPC
|
$
|
41
|
|
|
$
|
36
|
|
|
$
|
87
|
|
|
$
|
79
|
|
Purchases - related parties
|
|
|
|
|
|
|
|
||||||||
MPC
|
276
|
|
|
308
|
|
|
547
|
|
|
581
|
|
||||
Other
|
4
|
|
|
5
|
|
|
9
|
|
|
10
|
|
||||
Total Purchase - related parties
|
280
|
|
|
313
|
|
|
556
|
|
|
591
|
|
||||
General and administrative expenses
|
|
|
|
|
|
|
|
||||||||
MPC
|
$
|
68
|
|
|
$
|
53
|
|
|
$
|
132
|
|
|
$
|
115
|
|
(In millions)
|
June 30, 2020
|
|
December 31, 2019
|
||||
Current assets - related parties
|
|
|
|
||||
Receivables - MPC
|
$
|
547
|
|
|
$
|
621
|
|
Receivables - Other
|
7
|
|
|
22
|
|
||
Prepaid - MPC
|
11
|
|
|
9
|
|
||
Other - MPC
|
1
|
|
|
—
|
|
||
Lease Receivables - MPC
|
28
|
|
|
4
|
|
||
Total
|
594
|
|
|
656
|
|
||
Noncurrent assets - related parties
|
|
|
|
||||
Long-term receivables - MPC
|
30
|
|
|
21
|
|
||
Right of use assets - MPC
|
231
|
|
|
232
|
|
||
Long-term lease receivables - MPC
|
395
|
|
|
43
|
|
||
Unguaranteed residual asset - MPC
|
20
|
|
|
7
|
|
||
Total
|
676
|
|
|
303
|
|
||
Current liabilities - related parties
|
|
|
|
||||
Payables - MPC
|
260
|
|
|
911
|
|
||
Payables - Other
|
36
|
|
|
37
|
|
||
Operating lease liabilities - MPC
|
1
|
|
|
1
|
|
||
Deferred revenue - Minimum volume deficiencies - MPC
|
56
|
|
|
42
|
|
||
Deferred revenue - Project reimbursements - MPC
|
18
|
|
|
16
|
|
||
Deferred revenue - Project reimbursements - Other
|
1
|
|
|
1
|
|
||
Total
|
372
|
|
|
1,008
|
|
||
Long-term liabilities - related parties
|
|
|
|
||||
Long-term operating lease liabilities - MPC
|
230
|
|
|
230
|
|
||
Long-term deferred revenue - Project reimbursements - MPC
|
51
|
|
|
53
|
|
||
Long-term deferred revenue - Project reimbursements - Other
|
6
|
|
|
7
|
|
||
Total
|
$
|
287
|
|
|
$
|
290
|
|
|
Six Months Ended June 30,
|
||
|
2020
|
|
2019
|
Common Units
|
ü
|
|
ü
|
Equity-based compensation awards
|
ü
|
|
ü
|
Series A preferred units
|
ü
|
|
ü
|
Series B preferred units
|
ü
|
|
ü
|
|
Three Months Ended June 30,
|
|
Six Months Ended June 30,
|
||||||||||||
(In millions)
|
2020
|
|
2019
|
|
2020
|
|
2019
|
||||||||
Net income/(loss) attributable to MPLX LP
|
$
|
648
|
|
|
$
|
482
|
|
|
$
|
(2,076
|
)
|
|
$
|
985
|
|
Less: Distributions declared on Series A preferred units(1)
|
21
|
|
|
21
|
|
|
41
|
|
|
41
|
|
||||
Distributions declared on Series B preferred units(1)
|
10
|
|
|
21
|
|
|
21
|
|
|
21
|
|
||||
Limited partners’ distributions declared on MPLX common units (including common units of general partner)(1)(2)
|
715
|
|
|
692
|
|
|
1,443
|
|
|
1,215
|
|
||||
Undistributed net loss attributable to MPLX LP
|
$
|
(98
|
)
|
|
$
|
(252
|
)
|
|
$
|
(3,581
|
)
|
|
$
|
(292
|
)
|
(1)
|
See Note 7 for distribution information.
|
(2)
|
The three and six months ended June 30, 2019 amounts are net of $12.5 million of waived distributions with respect to units held by MPC and its affiliates.
|
|
Three Months Ended June 30, 2020
|
||||||||||||||
(In millions, except per unit data)
|
Limited Partners’
Common Units
|
|
Series A Preferred Units
|
|
Series B Preferred Units
|
|
Total
|
||||||||
Basic and diluted net income attributable to MPLX LP per unit
|
|
|
|
|
|
|
|
||||||||
Net income attributable to MPLX LP:
|
|
|
|
|
|
|
|
||||||||
Distributions declared
|
$
|
715
|
|
|
$
|
21
|
|
|
$
|
10
|
|
|
$
|
746
|
|
Undistributed net loss attributable to MPLX LP
|
(98
|
)
|
|
—
|
|
|
—
|
|
|
(98
|
)
|
||||
Net income attributable to MPLX LP(1)
|
$
|
617
|
|
|
$
|
21
|
|
|
$
|
10
|
|
|
$
|
648
|
|
Weighted average units outstanding:
|
|
|
|
|
|
|
|
||||||||
Basic
|
1,059
|
|
|
|
|
|
|
|
|||||||
Diluted
|
1,059
|
|
|
|
|
|
|
|
|||||||
Net income attributable to MPLX LP per limited partner unit:
|
|
|
|
|
|
|
|
||||||||
Basic
|
$
|
0.58
|
|
|
|
|
|
|
|
||||||
Diluted
|
$
|
0.58
|
|
|
|
|
|
|
|
(1)
|
Allocation of net income attributable to MPLX LP assumes all earnings for the period had been distributed based on the distribution priorities applicable to the period.
|
|
Three Months Ended June 30, 2019
|
||||||||||||||
(In millions, except per unit data)
|
Limited Partners’
Common Units
|
|
Series A Preferred Units
|
|
Series B Preferred Units
|
|
Total
|
||||||||
Basic and diluted net income attributable to MPLX LP per unit
|
|
|
|
|
|
|
|
||||||||
Net income attributable to MPLX LP:
|
|
|
|
|
|
|
|
||||||||
Distributions declared
|
$
|
692
|
|
|
$
|
21
|
|
|
$
|
21
|
|
|
$
|
734
|
|
Undistributed net loss attributable to MPLX LP
|
(252
|
)
|
|
—
|
|
|
—
|
|
|
(252
|
)
|
||||
Net income attributable to MPLX LP(1)
|
$
|
440
|
|
|
$
|
21
|
|
|
$
|
21
|
|
|
$
|
482
|
|
Weighted average units outstanding:
|
|
|
|
|
|
|
|
||||||||
Basic(2)
|
794
|
|
|
|
|
|
|
|
|||||||
Diluted(2)
|
795
|
|
|
|
|
|
|
|
|||||||
Net income attributable to MPLX LP per limited partner unit:
|
|
|
|
|
|
|
|
||||||||
Basic
|
$
|
0.56
|
|
|
|
|
|
|
|
|
|||||
Diluted
|
$
|
0.55
|
|
|
|
|
|
|
|
|
(1)
|
Allocation of net income attributable to MPLX LP assumes all earnings for the period had been distributed based on the distribution priorities applicable to the period.
|
(2)
|
The Series B preferred units and the MPLX common units issued in connection with the Merger were not outstanding during the three months ended June 30, 2019. See Notes 3 and 7 for additional information about the treatment of these units.
|
|
Six Months Ended June 30, 2020
|
||||||||||||||
(In millions, except per unit data)
|
Limited Partners’
Common Units
|
|
Series A Preferred Units
|
|
Series B Preferred Units
|
|
Total
|
||||||||
Basic and diluted net income attributable to MPLX LP per unit
|
|
|
|
|
|
|
|
||||||||
Net income attributable to MPLX LP:
|
|
|
|
|
|
|
|
||||||||
Distributions declared
|
$
|
1,443
|
|
|
$
|
41
|
|
|
$
|
21
|
|
|
$
|
1,505
|
|
Undistributed net loss attributable to MPLX LP
|
(3,581
|
)
|
|
—
|
|
|
—
|
|
|
(3,581
|
)
|
||||
Net (loss)/income attributable to MPLX LP(1)
|
$
|
(2,138
|
)
|
|
$
|
41
|
|
|
$
|
21
|
|
|
$
|
(2,076
|
)
|
Weighted average units outstanding:
|
|
|
|
|
|
|
|
||||||||
Basic
|
1,059
|
|
|
|
|
|
|
|
|||||||
Diluted
|
1,059
|
|
|
|
|
|
|
|
|||||||
Net income attributable to MPLX LP per limited partner unit:
|
|
|
|
|
|
|
|
||||||||
Basic
|
$
|
(2.02
|
)
|
|
|
|
|
|
|
||||||
Diluted
|
$
|
(2.02
|
)
|
|
|
|
|
|
|
(1)
|
Allocation of net income attributable to MPLX LP assumes all earnings for the period had been distributed based on the distribution priorities applicable to the period.
|
|
Six Months Ended June 30, 2019
|
||||||||||||||
(In millions, except per unit data)
|
Limited Partners’
Common Units
|
|
Series A Preferred Units
|
|
Series B Preferred Units
|
|
Total
|
||||||||
Basic and diluted net income attributable to MPLX LP per unit
|
|
|
|
|
|
|
|
||||||||
Net income attributable to MPLX LP:
|
|
|
|
|
|
|
|
||||||||
Distributions declared
|
$
|
1,215
|
|
|
$
|
41
|
|
|
$
|
21
|
|
|
$
|
1,277
|
|
Undistributed net loss attributable to MPLX LP
|
(292
|
)
|
|
—
|
|
|
—
|
|
|
(292
|
)
|
||||
Net income attributable to MPLX LP(1)
|
$
|
923
|
|
|
$
|
41
|
|
|
$
|
21
|
|
|
$
|
985
|
|
Weighted average units outstanding:
|
|
|
|
|
|
|
|
||||||||
Basic(2)
|
794
|
|
|
|
|
|
|
|
|||||||
Diluted(2)
|
795
|
|
|
|
|
|
|
|
|||||||
Net income attributable to MPLX LP per limited partner unit:
|
|
|
|
|
|
|
|
||||||||
Basic
|
$
|
1.16
|
|
|
|
|
|
|
|
||||||
Diluted
|
$
|
1.16
|
|
|
|
|
|
|
|
(1)
|
Allocation of net income attributable to MPLX LP assumes all earnings for the period had been distributed based on the distribution priorities applicable to the period.
|
(2)
|
The Series B preferred units and the MPLX common units issued in connection with the Merger were not outstanding during the six months ended June 30, 2019. See Notes 3 and 7 for additional information about the treatment of these units.
|
(In units)
|
Common
|
|
Balance at December 31, 2019
|
1,058,355,471
|
|
Unit-based compensation awards
|
253,291
|
|
Balance at June 30, 2020
|
1,058,608,762
|
|
(In millions)
|
Series B Preferred Units
|
||
Balance at December 31, 2019
|
$
|
611
|
|
Net income allocated
|
21
|
|
|
Distributions received by Series B preferred unitholders
|
(21
|
)
|
|
Balance at June 30, 2020
|
$
|
611
|
|
(Per common unit)
|
2020
|
|
2019
|
||||
March 31,
|
$
|
0.6875
|
|
|
$
|
0.6575
|
|
June 30,
|
$
|
0.6875
|
|
|
$
|
0.6675
|
|
|
Three Months Ended June 30,
|
|
Six Months Ended June 30,
|
||||||||||||
(In millions)
|
2020
|
|
2019
|
|
2020
|
|
2019
|
||||||||
Common and preferred unit distributions:
|
|
|
|
|
|
|
|
||||||||
Common unitholders, includes common units of general partner
|
$
|
715
|
|
|
$
|
692
|
|
|
$
|
1,443
|
|
|
$
|
1,215
|
|
Series A preferred unit distributions
|
21
|
|
|
21
|
|
|
41
|
|
|
41
|
|
||||
Series B preferred unit distributions
|
10
|
|
|
21
|
|
|
21
|
|
|
21
|
|
||||
Total cash distributions declared
|
$
|
746
|
|
|
$
|
734
|
|
|
$
|
1,505
|
|
|
$
|
1,277
|
|
(In millions)
|
Redeemable Series A Preferred Units
|
||
Balance at December 31, 2019
|
$
|
968
|
|
Net income allocated
|
41
|
|
|
Distributions received by Series A preferred unitholders
|
(41
|
)
|
|
Balance at June 30, 2020
|
$
|
968
|
|
•
|
L&S – transports, stores, distributes and markets crude oil, asphalt, refined petroleum products and water. Also includes an inland marine business, terminals, rail facilities, storage caverns and refining logistics.
|
•
|
G&P – gathers, processes and transports natural gas; and gathers, transports, fractionates, stores and markets NGLs.
|
(1)
|
Financial information for the three and six months ended June 30, 2019 has been retrospectively adjusted for the acquisition of ANDX. See Notes 1 and 3.
|
(2)
|
Within the total segment revenues and other income amounts presented above, third party revenues for the L&S segment were $146 million and $304 million for the three and six months ended June 30, 2020, respectively, and $163 million and $316 million for the three and six months ended June 30, 2019, respectively. Third party revenues for the G&P segment were $748 million and $323 million for the three and six months ended June 30, 2020, respectively, and $851 million and $1,738 million for the three and six months ended June 30, 2019, respectively.
|
(3)
|
See below for the reconciliation from Segment Adjusted EBITDA to net income.
|
(In millions)
|
June 30, 2020
|
|
December 31, 2019
|
||||
Segment assets
|
|
|
|
||||
Cash and cash equivalents
|
$
|
67
|
|
|
$
|
15
|
|
L&S
|
21,308
|
|
|
20,810
|
|
||
G&P
|
15,647
|
|
|
19,605
|
|
||
Total assets
|
$
|
37,022
|
|
|
$
|
40,430
|
|
|
Three Months Ended June 30,
|
|
Six Months Ended June 30,
|
||||||||||||
(In millions)
|
2020
|
|
2019(1)
|
|
2020
|
|
2019(1)
|
||||||||
Reconciliation to Net (loss)/income:
|
|
|
|
|
|
|
|
||||||||
L&S Segment Adjusted EBITDA
|
$
|
839
|
|
|
$
|
570
|
|
|
$
|
1,711
|
|
|
$
|
1,129
|
|
G&P Segment Adjusted EBITDA
|
388
|
|
|
350
|
|
|
810
|
|
|
721
|
|
||||
Total reportable segments
|
1,227
|
|
|
920
|
|
|
2,521
|
|
|
1,850
|
|
||||
Depreciation and amortization(2)
|
(321
|
)
|
|
(313
|
)
|
|
(646
|
)
|
|
(614
|
)
|
||||
Benefit for income taxes
|
—
|
|
|
1
|
|
|
—
|
|
|
2
|
|
||||
Amortization of deferred financing costs
|
(15
|
)
|
|
(12
|
)
|
|
(29
|
)
|
|
(19
|
)
|
||||
Non-cash equity-based compensation
|
(3
|
)
|
|
(5
|
)
|
|
(8
|
)
|
|
(12
|
)
|
||||
Impairment expense
|
—
|
|
|
—
|
|
|
(2,165
|
)
|
|
—
|
|
||||
Net interest and other financial costs
|
(208
|
)
|
|
(217
|
)
|
|
(424
|
)
|
|
(434
|
)
|
||||
Income/(loss) from equity method investments
|
89
|
|
|
83
|
|
|
(1,095
|
)
|
|
160
|
|
||||
Distributions/adjustments related to equity method investments
|
(115
|
)
|
|
(132
|
)
|
|
(239
|
)
|
|
(254
|
)
|
||||
Unrealized derivative (losses)/gains(3)
|
(6
|
)
|
|
—
|
|
|
9
|
|
|
(4
|
)
|
||||
Acquisition costs
|
—
|
|
|
(4
|
)
|
|
—
|
|
|
(5
|
)
|
||||
Other
|
(1
|
)
|
|
—
|
|
|
(2
|
)
|
|
—
|
|
||||
Adjusted EBITDA attributable to noncontrolling interests
|
8
|
|
|
7
|
|
|
17
|
|
|
14
|
|
||||
Adjusted EBITDA attributable to Predecessor(4)
|
—
|
|
|
329
|
|
|
—
|
|
|
662
|
|
||||
Net (loss)/income
|
$
|
655
|
|
|
$
|
657
|
|
|
$
|
(2,061
|
)
|
|
$
|
1,346
|
|
(1)
|
Financial information for the three and six months ended June 30, 2019 has been retrospectively adjusted for the acquisition of ANDX. See Notes 1 and 3.
|
(2)
|
Depreciation and amortization attributable to L&S was $138 million and $276 million for the three and six months ended June 30, 2020, respectively, and $134 million and $260 million for the three and six months ended June 30, 2019, respectively. Depreciation and amortization attributable to G&P was $183 million and $370 million for the three and six months ended June 30, 2020, respectively, and $179 million and $354 million for the three and six months ended June 30, 2019, respectively.
|
(3)
|
MPLX makes a distinction between realized and unrealized gains and losses on derivatives. During the period when a derivative contract is outstanding, changes in the fair value of the derivative are recorded as an unrealized gain or loss. When a derivative contract matures or is settled, the previously recorded unrealized gain or loss is reversed and the realized gain or loss of the contract is recorded.
|
(4)
|
The adjusted EBITDA adjustments related to Predecessor are excluded from adjusted EBITDA attributable to MPLX LP prior to the Merger.
|
(In millions)
|
June 30, 2020
|
|
December 31, 2019
|
||||
NGLs
|
$
|
2
|
|
|
$
|
5
|
|
Line fill
|
8
|
|
|
10
|
|
||
Spare parts, materials and supplies
|
105
|
|
|
95
|
|
||
Total inventories
|
$
|
115
|
|
|
$
|
110
|
|
(In millions)
|
Estimated Useful Lives
|
|
June 30, 2020
|
|
December 31, 2019
|
||||
L&S
|
|
|
|
|
|
||||
Pipelines
|
2-51 years
|
|
$
|
5,719
|
|
|
$
|
5,572
|
|
Refining Logistics
|
13-40 years
|
|
2,324
|
|
|
2,870
|
|
||
Terminals
|
4-40 years
|
|
1,281
|
|
|
1,109
|
|
||
Marine
|
15-20 years
|
|
960
|
|
|
906
|
|
||
Land, building and other
|
1-61 years
|
|
1,834
|
|
|
1,817
|
|
||
Construction-in progress
|
|
|
520
|
|
|
660
|
|
||
Total L&S property, plant and equipment
|
|
|
12,638
|
|
|
12,934
|
|
||
G&P
|
|
|
|
|
|
||||
Gathering and transportation
|
5-40 years
|
|
7,374
|
|
|
7,159
|
|
||
Processing and fractionation
|
15-40 years
|
|
5,923
|
|
|
5,545
|
|
||
Land, building and other
|
3-40 years
|
|
489
|
|
|
484
|
|
||
Construction-in-progress
|
|
|
368
|
|
|
745
|
|
||
Total G&P property, plant and equipment
|
|
|
14,154
|
|
|
13,933
|
|
||
Total property, plant and equipment
|
|
|
26,792
|
|
|
26,867
|
|
||
Less accumulated depreciation(1)
|
|
|
5,034
|
|
|
4,722
|
|
||
Property, plant and equipment, net
|
|
|
$
|
21,758
|
|
|
$
|
22,145
|
|
(1)
|
The June 30, 2020 balance includes property, plant and equipment impairment charges recorded during the first quarter of 2020 as discussed below.
|
(In millions)
|
L&S
|
|
G&P
|
|
Total
|
||||||
Gross goodwill as of December 31, 2018
|
$
|
7,234
|
|
|
$
|
2,912
|
|
|
$
|
10,146
|
|
Accumulated impairment losses
|
—
|
|
|
(130
|
)
|
|
(130
|
)
|
|||
Balance as of December 31, 2018
|
7,234
|
|
|
2,782
|
|
|
10,016
|
|
|||
Impairment losses
|
—
|
|
|
(1,197
|
)
|
|
(1,197
|
)
|
|||
Acquisitions
|
488
|
|
|
229
|
|
|
717
|
|
|||
Balance as of December 31, 2019
|
7,722
|
|
|
1,814
|
|
|
9,536
|
|
|||
Impairment losses
|
—
|
|
|
(1,814
|
)
|
|
(1,814
|
)
|
|||
Balance as of June 30, 2020
|
7,722
|
|
|
—
|
|
|
7,722
|
|
|||
|
|
|
|
|
|
||||||
Gross goodwill as of June 30, 2020
|
7,722
|
|
|
3,141
|
|
|
10,863
|
|
|||
Accumulated impairment losses
|
—
|
|
|
(3,141
|
)
|
|
(3,141
|
)
|
|||
Balance as of June 30, 2020
|
$
|
7,722
|
|
|
$
|
—
|
|
|
$
|
7,722
|
|
|
|
|
|
June 30, 2020
|
|
December 31, 2019
|
||||||||||||||||||||
(In millions)
|
|
Useful Life
|
|
Gross
|
|
Accumulated Amortization(1)(2)
|
|
Net
|
|
Gross
|
|
Accumulated Amortization
|
|
Net
|
||||||||||||
L&S
|
|
6 - 8 years
|
|
$
|
283
|
|
|
$
|
(63
|
)
|
|
$
|
220
|
|
|
$
|
283
|
|
|
$
|
(45
|
)
|
|
$
|
238
|
|
G&P
|
|
6 - 25 years
|
|
1,288
|
|
|
(485
|
)
|
|
803
|
|
|
1,288
|
|
|
(256
|
)
|
|
1,032
|
|
||||||
|
|
|
|
$
|
1,571
|
|
|
$
|
(548
|
)
|
|
$
|
1,023
|
|
|
$
|
1,571
|
|
|
$
|
(301
|
)
|
|
$
|
1,270
|
|
(1)
|
Amortization expense attributable to the G&P and L&S segments for the six months ended June 30, 2020 was $52 million and $18 million, respectively.
|
(2)
|
Impairment charge of $177 million is included within the G&P accumulated amortization.
|
|
June 30, 2020
|
|
December 31, 2019
|
||||||||||||
(In millions)
|
Assets
|
|
Liabilities
|
|
Assets
|
|
Liabilities
|
||||||||
Significant unobservable inputs (Level 3)
|
|
|
|
|
|
|
|
||||||||
Embedded derivatives in commodity contracts
|
$
|
—
|
|
|
$
|
(51
|
)
|
|
$
|
—
|
|
|
$
|
(60
|
)
|
Total carrying value on Consolidated Balance Sheets
|
$
|
—
|
|
|
$
|
(51
|
)
|
|
$
|
—
|
|
|
$
|
(60
|
)
|
|
Three Months Ended June 30, 2020
|
|
Three Months Ended June 30, 2019
|
||||||||||||
(In millions)
|
Commodity Derivative Contracts (net)
|
|
Embedded Derivatives in Commodity Contracts (net)
|
|
Commodity Derivative Contracts (net)
|
|
Embedded Derivatives in Commodity Contracts (net)
|
||||||||
Fair value at beginning of period
|
$
|
—
|
|
|
$
|
(45
|
)
|
|
$
|
—
|
|
|
$
|
(65
|
)
|
Total (losses)/gains (realized and unrealized) included in earnings(1)
|
—
|
|
|
(7
|
)
|
|
—
|
|
|
(1
|
)
|
||||
Settlements
|
—
|
|
|
1
|
|
|
—
|
|
|
1
|
|
||||
Fair value at end of period
|
—
|
|
|
(51
|
)
|
|
—
|
|
|
(65
|
)
|
||||
The amount of total (losses)/gains for the period included in earnings attributable to the change in unrealized gains/(losses) relating to liabilities still held at end of period
|
$
|
—
|
|
|
$
|
(6
|
)
|
|
$
|
—
|
|
|
$
|
(2
|
)
|
|
Six Months Ended June 30, 2020
|
|
Six Months Ended June 30, 2019
|
||||||||||||
(In millions)
|
Commodity Derivative Contracts (net)
|
|
Embedded Derivatives in Commodity Contracts (net)
|
|
Commodity Derivative Contracts (net)
|
|
Embedded Derivatives in Commodity Contracts (net)
|
||||||||
Fair value at beginning of period
|
$
|
—
|
|
|
$
|
(60
|
)
|
|
$
|
—
|
|
|
$
|
(61
|
)
|
Total gains/(losses) (realized and unrealized) included in earnings(1)
|
—
|
|
|
7
|
|
|
—
|
|
|
(7
|
)
|
||||
Settlements
|
—
|
|
|
2
|
|
|
—
|
|
|
3
|
|
||||
Fair value at end of period
|
—
|
|
|
(51
|
)
|
|
—
|
|
|
(65
|
)
|
||||
The amount of total gains/(losses) for the period included in earnings attributable to the change in unrealized gains/(losses) relating to liabilities still held at end of period
|
$
|
—
|
|
|
$
|
7
|
|
|
$
|
—
|
|
|
$
|
(5
|
)
|
(1)
|
Gains and losses on commodity derivative contracts classified as Level 3 are recorded in “Product sales” on the Consolidated Statements of Income. Gains and losses on derivatives embedded in commodity contracts are recorded in “Purchased product costs” and “Cost of revenues” on the Consolidated Statements of Income.
|
|
June 30, 2020
|
|
December 31, 2019
|
||||||||||||
(In millions)
|
Fair Value
|
|
Carrying Value
|
|
Fair Value
|
|
Carrying Value
|
||||||||
Long-term debt
|
$
|
21,919
|
|
|
$
|
20,646
|
|
|
$
|
21,054
|
|
|
$
|
19,800
|
|
SMR liability
|
$
|
88
|
|
|
$
|
78
|
|
|
$
|
90
|
|
|
$
|
80
|
|
(In millions)
|
June 30, 2020
|
|
December 31, 2019
|
||||||||||||
Derivative contracts not designated as hedging instruments and their balance sheet location
|
Asset
|
|
Liability
|
|
Asset
|
|
Liability
|
||||||||
Commodity contracts(1)
|
|
|
|
|
|
|
|
||||||||
Other current assets / Other current liabilities
|
$
|
—
|
|
|
$
|
(3
|
)
|
|
$
|
—
|
|
|
$
|
(5
|
)
|
Other noncurrent assets / Deferred credits and other liabilities
|
—
|
|
|
(48
|
)
|
|
—
|
|
|
(55
|
)
|
||||
Total
|
$
|
—
|
|
|
$
|
(51
|
)
|
|
$
|
—
|
|
|
$
|
(60
|
)
|
(1)
|
Includes embedded derivatives in commodity contracts as discussed above.
|
|
Three Months Ended June 30,
|
|
Six Months Ended June 30,
|
||||||||||||
(In millions)
|
2020
|
|
2019
|
|
2020
|
|
2019
|
||||||||
Purchased product costs
|
|
|
|
|
|
|
|
||||||||
Realized (loss)/gain
|
$
|
(1
|
)
|
|
$
|
(1
|
)
|
|
$
|
(2
|
)
|
|
$
|
(3
|
)
|
Unrealized (loss)/gain
|
(6
|
)
|
|
—
|
|
|
9
|
|
|
(4
|
)
|
||||
Purchased product costs derivative (loss)/gain
|
(7
|
)
|
|
(1
|
)
|
|
7
|
|
|
(7
|
)
|
||||
|
|
|
|
|
|
|
|
||||||||
Total derivative (loss)/gain
|
$
|
(7
|
)
|
|
$
|
(1
|
)
|
|
$
|
7
|
|
|
$
|
(7
|
)
|
(In millions)
|
June 30, 2020
|
|
December 31, 2019
|
||||
MPLX LP:
|
|
|
|
||||
Bank revolving credit facility
|
$
|
825
|
|
|
$
|
—
|
|
Term loan facility
|
1,000
|
|
|
1,000
|
|
||
Floating rate senior notes
|
2,000
|
|
|
2,000
|
|
||
Fixed rate senior notes
|
16,887
|
|
|
16,887
|
|
||
Consolidated subsidiaries:
|
|
|
|
||||
MarkWest
|
23
|
|
|
23
|
|
||
ANDX
|
190
|
|
|
190
|
|
||
Financing lease obligations(1)
|
13
|
|
|
19
|
|
||
Total
|
20,938
|
|
|
20,119
|
|
||
Unamortized debt issuance costs
|
(100
|
)
|
|
(106
|
)
|
||
Unamortized discount/premium
|
(279
|
)
|
|
(300
|
)
|
||
Amounts due within one year
|
(3
|
)
|
|
(9
|
)
|
||
Total long-term debt due after one year
|
$
|
20,556
|
|
|
$
|
19,704
|
|
|
Three Months Ended June 30, 2020
|
||||||||||
(In millions)
|
L&S
|
|
G&P
|
|
Total
|
||||||
Revenues and other income:
|
|
|
|
|
|
||||||
Service revenue
|
$
|
77
|
|
|
$
|
486
|
|
|
$
|
563
|
|
Service revenue - related parties
|
854
|
|
|
3
|
|
|
857
|
|
|||
Service revenue - product related
|
—
|
|
|
22
|
|
|
22
|
|
|||
Product sales
|
17
|
|
|
103
|
|
|
120
|
|
|||
Product sales - related parties
|
4
|
|
|
26
|
|
|
30
|
|
|||
Total revenues from contracts with customers
|
$
|
952
|
|
|
$
|
640
|
|
|
1,592
|
|
|
Non-ASC 606 revenue(1)
|
|
|
|
|
489
|
|
|||||
Total revenues and other income
|
|
|
|
|
$
|
2,081
|
|
|
Three Months Ended June 30, 2019(2)
|
||||||||||
(In millions)
|
L&S
|
|
G&P
|
|
Total
|
||||||
Revenues and other income:
|
|
|
|
|
|
||||||
Service revenue
|
$
|
79
|
|
|
$
|
540
|
|
|
$
|
619
|
|
Service revenue - related parties
|
843
|
|
|
4
|
|
|
847
|
|
|||
Service revenue - product related
|
—
|
|
|
26
|
|
|
26
|
|
|||
Product sales
|
15
|
|
|
174
|
|
|
189
|
|
|||
Product sales - related parties
|
5
|
|
|
31
|
|
|
36
|
|
|||
Total revenues from contracts with customers
|
$
|
942
|
|
|
$
|
775
|
|
|
1,717
|
|
|
Non-ASC 606 revenue(1)
|
|
|
|
|
493
|
|
|||||
Total revenues and other income
|
|
|
|
|
$
|
2,210
|
|
|
Six Months Ended June 30, 2020
|
||||||||||
(In millions)
|
L&S
|
|
G&P
|
|
Total
|
||||||
Revenues and other income:
|
|
|
|
|
|
||||||
Service revenue
|
$
|
161
|
|
|
$
|
1,014
|
|
|
$
|
1,175
|
|
Service revenue - related parties
|
1,774
|
|
|
11
|
|
|
1,785
|
|
|||
Service revenue - product related
|
—
|
|
|
61
|
|
|
61
|
|
|||
Product sales
|
32
|
|
|
257
|
|
|
289
|
|
|||
Product sales - related parties
|
8
|
|
|
55
|
|
|
63
|
|
|||
Total revenues from contracts with customers
|
$
|
1,975
|
|
|
$
|
1,398
|
|
|
3,373
|
|
|
Non-ASC 606 loss(1)
|
|
|
|
|
(300
|
)
|
|||||
Total revenues and other income
|
|
|
|
|
$
|
3,073
|
|
|
Six Months Ended June 30, 2019(2)
|
||||||||||
(In millions)
|
L&S
|
|
G&P
|
|
Total
|
||||||
Revenues and other income:
|
|
|
|
|
|
||||||
Service revenue
|
$
|
165
|
|
|
$
|
1,068
|
|
|
$
|
1,233
|
|
Service revenue - related parties
|
1,646
|
|
|
4
|
|
|
1,650
|
|
|||
Service revenue - product related
|
—
|
|
|
60
|
|
|
60
|
|
|||
Product sales
|
26
|
|
|
379
|
|
|
405
|
|
|||
Product sales - related parties
|
9
|
|
|
68
|
|
|
77
|
|
|||
Total revenues from contracts with customers
|
$
|
1,846
|
|
|
$
|
1,579
|
|
|
3,425
|
|
|
Non-ASC 606 revenue(1)
|
|
|
|
|
1,020
|
|
|||||
Total revenues and other income
|
|
|
|
|
$
|
4,445
|
|
(1)
|
Non-ASC 606 Revenue includes rental income, income/(loss) from equity method investments, derivative gains and losses, mark-to-market adjustments, and other income.
|
(2)
|
Financial information for the three and six months ended June 30, 2019 has been retrospectively adjusted for the acquisition of ANDX. See Notes 1 and 3.
|
(In millions)
|
Balance at December 31, 2019(1)
|
|
Additions/ (Deletions)
|
|
Revenue Recognized(2)
|
|
Balance at
June 30, 2020
|
||||||||
Contract assets
|
$
|
39
|
|
|
$
|
(20
|
)
|
|
$
|
(1
|
)
|
|
$
|
18
|
|
Deferred revenue
|
23
|
|
|
8
|
|
|
(5
|
)
|
|
26
|
|
||||
Deferred revenue - related parties
|
53
|
|
|
48
|
|
|
(29
|
)
|
|
72
|
|
||||
Long-term deferred revenue
|
90
|
|
|
11
|
|
|
—
|
|
|
101
|
|
||||
Long-term deferred revenue - related parties
|
$
|
55
|
|
|
$
|
(2
|
)
|
|
$
|
—
|
|
|
$
|
53
|
|
(In millions)
|
Balance at December 31, 2018(1)
|
|
Additions/ (Deletions)(3)
|
|
Revenue Recognized(2)(3)
|
|
Balance at
June 30, 2019(3)
|
||||||||
Contract assets
|
$
|
36
|
|
|
$
|
(8
|
)
|
|
$
|
(1
|
)
|
|
$
|
27
|
|
Deferred revenue
|
13
|
|
|
4
|
|
|
(3
|
)
|
|
14
|
|
||||
Deferred revenue - related parties
|
65
|
|
|
18
|
|
|
(30
|
)
|
|
53
|
|
||||
Long-term deferred revenue
|
56
|
|
|
14
|
|
|
—
|
|
|
70
|
|
||||
Long-term deferred revenue - related parties
|
$
|
52
|
|
|
$
|
(2
|
)
|
|
$
|
—
|
|
|
$
|
50
|
|
(1)
|
Balance represents ASC 606 portion of each respective line item.
|
(2)
|
No significant revenue was recognized related to past performance obligations in the current periods.
|
(3)
|
Financial information for the six months ended June 30, 2019 has been retrospectively adjusted for the acquisition of ANDX. See Notes 1 and 3.
|
(In millions)
|
|
||
2020
|
$
|
938
|
|
2021
|
1,790
|
|
|
2022
|
1,759
|
|
|
2023
|
1,673
|
|
|
2024 and thereafter
|
5,915
|
|
|
Total revenue on remaining performance obligations(1),(2),(3)
|
$
|
12,075
|
|
(1)
|
All fixed consideration from contracts with customers is included in the amounts presented above. Variable consideration that is constrained or not required to be estimated as it reflects our efforts to perform is excluded.
|
(2)
|
Arrangements deemed implicit leases are included in “Rental income” and are excluded from this table.
|
(3)
|
Only minimum volume commitments that are deemed fixed are included in the table above. MPLX has various minimum volume commitments in processing arrangements that vary based on the actual Btu content of the gas received. These amounts are deemed variable consideration and are excluded from the table above.
|
|
Six Months Ended June 30,
|
||||||
(In millions)
|
2020
|
|
2019
|
||||
Net cash provided by operating activities included:
|
|
|
|
||||
Interest paid (net of amounts capitalized)
|
$
|
423
|
|
|
$
|
402
|
|
Income taxes paid
|
1
|
|
|
—
|
|
||
Non-cash investing and financing activities:
|
|
|
|
||||
Net transfers of property, plant and equipment (to)/from materials and supplies inventories
|
$
|
(1
|
)
|
|
$
|
1
|
|
|
Six Months Ended June 30,
|
||||||
(In millions)
|
2020
|
|
2019
|
||||
(Decrease)/increase in capital accruals
|
$
|
(172
|
)
|
|
$
|
(77
|
)
|
(In millions)
|
Pension
Benefits |
|
Other
Post-Retirement Benefits |
|
Total
|
||||||
Balance at December 31, 2019(1)
|
$
|
(14
|
)
|
|
$
|
(1
|
)
|
|
$
|
(15
|
)
|
Other comprehensive loss - remeasurements(2)
|
—
|
|
|
(1
|
)
|
|
(1
|
)
|
|||
Balance at June 30, 2020(1)
|
$
|
(14
|
)
|
|
$
|
(2
|
)
|
|
$
|
(16
|
)
|
(In millions)
|
Pension
Benefits |
|
Other
Post-Retirement Benefits |
|
Total
|
||||||
Balance at December 31, 2018(1)
|
$
|
(14
|
)
|
|
$
|
(2
|
)
|
|
$
|
(16
|
)
|
Other comprehensive income - remeasurements(2)
|
—
|
|
|
1
|
|
|
1
|
|
|||
Balance at June 30, 2019(1)
|
$
|
(14
|
)
|
|
$
|
(1
|
)
|
|
$
|
(15
|
)
|
(1)
|
These components of “Accumulated other comprehensive loss” are included in the computation of net periodic benefit cost by LOOP and Explorer and are therefore included on the Consolidated Statements of Income under the caption “Income/(loss) from equity method investments.”
|
(2)
|
Components of other comprehensive income/loss - remeasurements relate to actuarial gains and losses as well as amortization of prior service costs. MPLX records an adjustment to “Comprehensive income” in accordance with its ownership interest in LOOP and Explorer.
|
|
Number
of Units |
|
Weighted
Average Fair Value |
|||
Outstanding at December 31, 2019
|
1,109,568
|
|
|
$
|
35.97
|
|
Granted
|
195,461
|
|
|
19.43
|
|
|
Settled
|
(323,884
|
)
|
|
35.67
|
|
|
Forfeited
|
(4,627
|
)
|
|
36.40
|
|
|
Outstanding at June 30, 2020
|
976,518
|
|
|
$
|
32.76
|
|
|
Number of
Units |
|
Outstanding at December 31, 2019
|
2,157,347
|
|
Granted
|
2,147,211
|
|
Settled
|
(1,169,354
|
)
|
Forfeited
|
(31,668
|
)
|
Outstanding at June 30, 2020
|
3,103,536
|
|
|
Three Months Ended June 30, 2020
|
|
Three Months Ended June 30, 2019
|
||||||||||||
(In millions)
|
Related Party
|
|
Third Party
|
|
Related Party
|
|
Third Party
|
||||||||
Operating leases:
|
|
|
|
|
|
|
|
||||||||
Operating lease revenue(1)(2)
|
$
|
195
|
|
|
$
|
66
|
|
|
$
|
246
|
|
|
$
|
68
|
|
|
|
|
|
|
|
|
|
||||||||
Sales-type leases:
|
|
|
|
|
|
|
|
||||||||
Profit/(loss) recognized at the commencement date
|
—
|
|
|
—
|
|
|
N/A
|
|
|
N/A
|
|
||||
Interest income (Sales-type lease revenue- fixed minimum)
|
38
|
|
|
—
|
|
|
N/A
|
|
|
N/A
|
|
||||
Interest income (Revenue from variable lease payments)
|
$
|
—
|
|
|
$
|
—
|
|
|
N/A
|
|
|
N/A
|
|
|
Six Months Ended June 30, 2020
|
|
Six Months Ended June 30, 2019
|
||||||||||||
(In millions)
|
Related Party
|
|
Third Party
|
|
Related Party
|
|
Third Party
|
||||||||
Operating leases:
|
|
|
|
|
|
|
|
||||||||
Operating lease revenue(1)(2)
|
$
|
381
|
|
|
$
|
129
|
|
|
$
|
525
|
|
|
$
|
133
|
|
|
|
|
|
|
|
|
|
||||||||
Sales-type leases:
|
|
|
|
|
|
|
|
||||||||
Profit/(loss) recognized at the commencement date
|
—
|
|
|
—
|
|
|
N/A
|
|
|
N/A
|
|
||||
Interest income (Sales-type lease revenue- fixed minimum)
|
76
|
|
|
—
|
|
|
N/A
|
|
|
N/A
|
|
||||
Interest income (Revenue from variable lease payments)
|
$
|
—
|
|
|
$
|
—
|
|
|
N/A
|
|
|
N/A
|
|
(1)
|
These amounts are presented net of executory costs.
|
(2)
|
Financial information for the three and six months ended June 30, 2019 has been retrospectively adjusted for the acquisition of ANDX. See Notes 1 and 3.
|
(In millions)
|
Related Party
|
||
2020
|
$
|
78
|
|
2021
|
157
|
|
|
2022
|
157
|
|
|
2023
|
158
|
|
|
2024
|
158
|
|
|
2025 and thereafter
|
473
|
|
|
Total minimum future rentals
|
1,181
|
|
|
Less: present value discount
|
758
|
|
|
Lease receivable
|
$
|
423
|
|
•
|
future levels of revenues and other income, income from operations, net income attributable to MPLX LP, earnings per unit, Adjusted EBITDA or DCF (see the Non-GAAP Financial Information section below for the definitions of Adjusted EBITDA and DCF);
|
•
|
future levels of capital, environmental or maintenance expenditures, general and administrative and other expenses;
|
•
|
the success or timing of completion of ongoing or anticipated capital or maintenance projects;
|
•
|
the amount and timing of future distributions; and
|
•
|
the anticipated effects of actions of third parties such as competitors, activist investors or federal, foreign, state or local regulatory authorities or plaintiffs in litigation.
|
•
|
the effects of the outbreak of COVID-19 and the adverse impact thereof on our business, financial condition, results of operations and cash flows, including our growth, operating costs, labor availability, logistical capabilities, customer demand for our services and industry demand generally, cash position, taxes, the price of our securities and trading markets with respect thereto, our ability to access capital markets, and the global economy and financial markets generally;
|
•
|
Marathon Petroleum Corporation’s (“MPC”) ability to achieve its strategic objectives and the effects of those strategic decisions on us;
|
•
|
the risk that anticipated opportunities and any other synergies from or anticipated benefits of the Andeavor Logistics LP (“ANDX”) acquisition may not be fully realized or may take longer to realize than expected, including whether the transaction will be accretive within the expected timeframe or at all;
|
•
|
disruption from the ANDX acquisition making it more difficult to maintain relationships with customers, employees or suppliers;
|
•
|
risks relating to any unforeseen liabilities of ANDX;
|
•
|
further impairments;
|
•
|
negative capital market conditions, including an increase of the current yield on common units;
|
•
|
the ability to achieve strategic and financial objectives, including with respect to distribution coverage, future distribution levels, proposed projects and completed transactions;
|
•
|
the success of MPC’s portfolio optimization, including the ability to complete any divestitures on commercially reasonable terms and/or within the expected timeframe, and the effects of any such divestitures on the business, financial condition, results of operations and cash flows;
|
•
|
adverse changes in laws including with respect to tax and regulatory matters;
|
•
|
the adequacy of capital resources and liquidity, including the availability of sufficient cash flow to pay distributions and access to debt on commercially reasonable terms, and the ability to successfully execute business plans, growth strategies and self-funding models;
|
•
|
the timing and extent of changes in commodity prices and demand for crude oil, refined products, feedstocks or other hydrocarbon-based products;
|
•
|
volatility in or degradation of market and industry conditions as a result of the COVID-19 pandemic, other infectious disease outbreaks or otherwise;
|
•
|
changes to the expected construction costs and timing of projects and planned investments, and the ability to obtain regulatory and other approvals with respect thereto;
|
•
|
completion of midstream infrastructure by competitors;
|
•
|
disruptions due to equipment interruption or failure, including electrical shortages and power grid failures;
|
•
|
the suspension, reduction or termination of MPC’s obligations under MPLX’s commercial agreements;
|
•
|
modifications to financial policies, capital budgets, and earnings and distributions;
|
•
|
the ability to manage disruptions in credit markets or changes to credit ratings;
|
•
|
compliance with federal and state environmental, economic, health and safety, energy and other policies and regulations or enforcement actions initiated thereunder;
|
•
|
adverse results in litigation;
|
•
|
the reliability of processing units and other equipment;
|
•
|
the effect of restructuring or reorganization of business components;
|
•
|
the potential effects of changes in tariff rates on our business, financial condition, results of operations and cash flows;
|
•
|
foreign imports and exports of crude oil, refined products, natural gas and NGLs;
|
•
|
changes in producer customers’ drilling plans or in volumes of throughput of crude oil, natural gas, NGLs, refined products or other hydrocarbon-based products;
|
•
|
non-payment or non-performance by our producer and other customers;
|
•
|
changes in the cost or availability of third-party vessels, pipelines, railcars and other means of transportation for crude oil, natural gas, NGLs, feedstocks and refined products;
|
•
|
the price, availability and acceptance of alternative fuels and alternative-fuel vehicles and laws mandating such fuels or vehicles;
|
•
|
actions taken by our competitors, including pricing adjustments and the expansion and retirement of pipeline capacity, processing, fractionation and treating facilities in response to market conditions;
|
•
|
expectations regarding joint venture arrangements and other acquisitions or divestitures of assets;
|
•
|
midstream and refining industry overcapacity or under capacity;
|
•
|
accidents or other unscheduled shutdowns affecting our machinery, pipelines, processing, fractionation and treating facilities or equipment, or those of our suppliers or customers;
|
•
|
acts of war, terrorism or civil unrest that could impair our ability to gather, process, fractionate or transport crude oil, natural gas, NGLs or refined products; and
|
•
|
political pressure and influence of environmental groups upon policies and decisions related to the production, gathering, refining, processing, fractionation, transportation and marketing of crude oil or other feedstocks, refined products, natural gas, NGLs or other hydrocarbon-based products.
|
(1)
|
Q2 2019 includes Adjusted EBITDA attributable to Predecessor and portion of DCF adjustments attributable to Predecessor.
|
•
|
On July 31, MPLX entered into a Redemption Agreement with WRSW, a wholly owned subsidiary of MPC, in which MPLX agreed to transfer the Western wholesale distribution business that it acquired as a result of its acquisition of ANDX to MPC in exchange for the redemption of $340 million of MPLX common units held by WRSW. The Redemption Agreement was approved by the MPLX board of directors following the approval of the terms of the transaction by its independent conflicts committee. The transaction closed on July 31.
|
•
|
Announced a second quarter distribution rate of $0.6875 per common unit.
|
•
|
Canceling or delaying certain capital expenditures that we had expected to make in 2020.
|
•
|
Taking actions to reduce operating expenses across the business.
|
•
|
Continuing to evaluate and high-grade our capital portfolio
|
|
Three Months Ended June 30,
|
|
Six Months Ended June 30,
|
||||||||||||||||||||
(In millions)
|
2020
|
|
2019
|
|
Variance
|
|
2020
|
|
2019
|
|
Variance
|
||||||||||||
Total revenues and other income(1)
|
$
|
2,081
|
|
|
$
|
2,210
|
|
|
$
|
(129
|
)
|
|
$
|
3,073
|
|
|
$
|
4,445
|
|
|
$
|
(1,372
|
)
|
Costs and expenses:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Cost of revenues (excludes items below)
|
315
|
|
|
353
|
|
|
(38
|
)
|
|
683
|
|
|
692
|
|
|
(9
|
)
|
||||||
Purchased product costs
|
87
|
|
|
166
|
|
|
(79
|
)
|
|
222
|
|
|
360
|
|
|
(138
|
)
|
||||||
Rental cost of sales
|
33
|
|
|
29
|
|
|
4
|
|
|
68
|
|
|
66
|
|
|
2
|
|
||||||
Rental cost of sales - related parties
|
41
|
|
|
36
|
|
|
5
|
|
|
87
|
|
|
79
|
|
|
8
|
|
||||||
Purchases - related parties
|
280
|
|
|
313
|
|
|
(33
|
)
|
|
556
|
|
|
591
|
|
|
(35
|
)
|
||||||
Depreciation and amortization
|
321
|
|
|
313
|
|
|
8
|
|
|
646
|
|
|
614
|
|
|
32
|
|
||||||
Impairment expense
|
—
|
|
|
—
|
|
|
—
|
|
|
2,165
|
|
|
—
|
|
|
2,165
|
|
||||||
General and administrative expenses
|
96
|
|
|
90
|
|
|
6
|
|
|
193
|
|
|
191
|
|
|
2
|
|
||||||
Other taxes
|
30
|
|
|
25
|
|
|
5
|
|
|
61
|
|
|
55
|
|
|
6
|
|
||||||
Total costs and expenses
|
1,203
|
|
|
1,325
|
|
|
(122
|
)
|
|
4,681
|
|
|
2,648
|
|
|
2,033
|
|
||||||
Income/(loss) from operations
|
878
|
|
|
885
|
|
|
(7
|
)
|
|
(1,608
|
)
|
|
1,797
|
|
|
(3,405
|
)
|
||||||
Related party interest and other financial costs
|
1
|
|
|
2
|
|
|
(1
|
)
|
|
4
|
|
|
3
|
|
|
1
|
|
||||||
Interest expense, net of amounts capitalized
|
206
|
|
|
214
|
|
|
(8
|
)
|
|
417
|
|
|
428
|
|
|
(11
|
)
|
||||||
Other financial costs
|
16
|
|
|
13
|
|
|
3
|
|
|
32
|
|
|
22
|
|
|
10
|
|
||||||
Income/(loss) before income taxes
|
655
|
|
|
656
|
|
|
(1
|
)
|
|
(2,061
|
)
|
|
1,344
|
|
|
(3,405
|
)
|
||||||
(Benefit)/provision for income taxes
|
—
|
|
|
(1
|
)
|
|
1
|
|
|
—
|
|
|
(2
|
)
|
|
2
|
|
||||||
Net income/(loss)
|
655
|
|
|
657
|
|
|
(2
|
)
|
|
(2,061
|
)
|
|
1,346
|
|
|
(3,407
|
)
|
||||||
Less: Net income attributable to noncontrolling interests
|
7
|
|
|
6
|
|
|
1
|
|
|
15
|
|
|
12
|
|
|
3
|
|
||||||
Less: Net income attributable to Predecessor
|
—
|
|
|
169
|
|
|
(169
|
)
|
|
—
|
|
|
349
|
|
|
(349
|
)
|
||||||
Net income/(loss) attributable to MPLX LP
|
648
|
|
|
482
|
|
|
166
|
|
|
(2,076
|
)
|
|
985
|
|
|
(3,061
|
)
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Adjusted EBITDA attributable to MPLX LP (excluding Predecessor results)(2)
|
1,227
|
|
|
920
|
|
|
307
|
|
|
2,521
|
|
|
1,850
|
|
|
671
|
|
||||||
Adjusted EBITDA attributable to MPLX LP (including Predecessor results)(3)
|
N/A
|
|
|
1,249
|
|
|
N/A
|
|
|
N/A
|
|
|
2,512
|
|
|
N/A
|
|
||||||
DCF attributable to GP and LP unitholders (including Predecessor results)(3)
|
$
|
996
|
|
|
$
|
975
|
|
|
$
|
21
|
|
|
$
|
2,043
|
|
|
$
|
1,966
|
|
|
$
|
77
|
|
(1)
|
The six months ended June 30, 2020 includes impairment expense of approximately $1.3 billion related to three equity method investments.
|
(2)
|
Non-GAAP measure. See reconciliation below to the most directly comparable GAAP measures. Excludes adjusted EBITDA and DCF adjustments attributable to Predecessor.
|
(3)
|
Non-GAAP measure. See reconciliation below to the most directly comparable GAAP measures. Includes adjusted EBITDA and DCF adjustments attributable to Predecessor.
|
|
Three Months Ended June 30,
|
|
Six Months Ended June 30,
|
||||||||||||||||||||
(In millions)
|
2020
|
|
2019
|
|
Variance
|
|
2020
|
|
2019
|
|
Variance
|
||||||||||||
Reconciliation of Adjusted EBITDA attributable to MPLX LP and DCF attributable to GP and LP unitholders from Net income:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Net income
|
$
|
655
|
|
|
$
|
657
|
|
|
$
|
(2
|
)
|
|
$
|
(2,061
|
)
|
|
$
|
1,346
|
|
|
$
|
(3,407
|
)
|
Provision for income taxes
|
—
|
|
|
(1
|
)
|
|
1
|
|
|
—
|
|
|
(2
|
)
|
|
2
|
|
||||||
Amortization of deferred financing costs
|
15
|
|
|
12
|
|
|
3
|
|
|
29
|
|
|
19
|
|
|
10
|
|
||||||
Net interest and other financial costs
|
208
|
|
|
217
|
|
|
(9
|
)
|
|
424
|
|
|
434
|
|
|
(10
|
)
|
||||||
Income from operations
|
878
|
|
|
885
|
|
|
(7
|
)
|
|
(1,608
|
)
|
|
1,797
|
|
|
(3,405
|
)
|
||||||
Depreciation and amortization
|
321
|
|
|
313
|
|
|
8
|
|
|
646
|
|
|
614
|
|
|
32
|
|
||||||
Non-cash equity-based compensation
|
3
|
|
|
5
|
|
|
(2
|
)
|
|
8
|
|
|
12
|
|
|
(4
|
)
|
||||||
Impairment expense
|
—
|
|
|
—
|
|
|
—
|
|
|
2,165
|
|
|
—
|
|
|
2,165
|
|
||||||
(Income)/loss from equity method investments
|
(89
|
)
|
|
(83
|
)
|
|
(6
|
)
|
|
1,095
|
|
|
(160
|
)
|
|
1,255
|
|
||||||
Distributions/adjustments related to equity method investments
|
115
|
|
|
132
|
|
|
(17
|
)
|
|
239
|
|
|
254
|
|
|
(15
|
)
|
||||||
Unrealized derivative losses/(gains)(1)
|
6
|
|
|
—
|
|
|
6
|
|
|
(9
|
)
|
|
4
|
|
|
(13
|
)
|
||||||
Acquisition costs
|
—
|
|
|
4
|
|
|
(4
|
)
|
|
—
|
|
|
5
|
|
|
(5
|
)
|
||||||
Other
|
1
|
|
|
—
|
|
|
1
|
|
|
2
|
|
|
—
|
|
|
2
|
|
||||||
Adjusted EBITDA
|
1,235
|
|
|
1,256
|
|
|
(21
|
)
|
|
2,538
|
|
|
2,526
|
|
|
12
|
|
||||||
Adjusted EBITDA attributable to noncontrolling interests
|
(8
|
)
|
|
(7
|
)
|
|
(1
|
)
|
|
(17
|
)
|
|
(14
|
)
|
|
(3
|
)
|
||||||
Adjusted EBITDA attributable to Predecessor(2)
|
—
|
|
|
(329
|
)
|
|
329
|
|
|
—
|
|
|
(662
|
)
|
|
662
|
|
||||||
Adjusted EBITDA attributable to MPLX LP(3)
|
1,227
|
|
|
920
|
|
|
307
|
|
|
2,521
|
|
|
1,850
|
|
|
671
|
|
||||||
Deferred revenue impacts
|
40
|
|
|
22
|
|
|
18
|
|
|
63
|
|
|
31
|
|
|
32
|
|
||||||
Net interest and other financial costs
|
(208
|
)
|
|
(217
|
)
|
|
9
|
|
|
(424
|
)
|
|
(434
|
)
|
|
10
|
|
||||||
Maintenance capital expenditures
|
(33
|
)
|
|
(62
|
)
|
|
29
|
|
|
(67
|
)
|
|
(99
|
)
|
|
32
|
|
||||||
Maintenance capital expenditures reimbursements
|
6
|
|
|
9
|
|
|
(3
|
)
|
|
20
|
|
|
16
|
|
|
4
|
|
||||||
Equity method investment capital expenditures paid out
|
(4
|
)
|
|
(4
|
)
|
|
—
|
|
|
(11
|
)
|
|
(8
|
)
|
|
(3
|
)
|
||||||
Other
|
(1
|
)
|
|
10
|
|
|
(11
|
)
|
|
3
|
|
|
10
|
|
|
(7
|
)
|
||||||
Portion of DCF adjustments attributable to Predecessor(2)
|
—
|
|
|
63
|
|
|
(63
|
)
|
|
—
|
|
|
132
|
|
|
(132
|
)
|
||||||
DCF
|
1,027
|
|
|
741
|
|
|
286
|
|
|
2,105
|
|
|
1,498
|
|
|
607
|
|
||||||
Preferred unit distributions
|
(31
|
)
|
|
(32
|
)
|
|
1
|
|
|
(62
|
)
|
|
(62
|
)
|
|
—
|
|
||||||
DCF attributable to GP and LP unitholders
|
996
|
|
|
709
|
|
|
287
|
|
|
2,043
|
|
|
1,436
|
|
|
607
|
|
||||||
Adjusted EBITDA attributable to Predecessor(2)
|
—
|
|
|
329
|
|
|
(329
|
)
|
|
—
|
|
|
662
|
|
|
(662
|
)
|
||||||
Portion of DCF adjustments attributable to Predecessor(2)
|
—
|
|
|
(63
|
)
|
|
63
|
|
|
—
|
|
|
(132
|
)
|
|
132
|
|
||||||
DCF attributable to GP and LP unitholders (including Predecessor results)
|
$
|
996
|
|
|
$
|
975
|
|
|
$
|
21
|
|
|
$
|
2,043
|
|
|
$
|
1,966
|
|
|
$
|
77
|
|
(1)
|
MPLX makes a distinction between realized and unrealized gains and losses on derivatives. During the period when a derivative contract is outstanding, changes in the fair value of the derivative are recorded as an unrealized gain or loss. When a derivative contract matures or is settled, the previously recorded unrealized gain or loss is reversed and the realized gain or loss of the contract is recorded.
|
(2)
|
The adjusted EBITDA and DCF adjustments related to Predecessor are excluded from adjusted EBITDA attributable to MPLX LP and DCF attributable to GP and LP unitholders prior to the acquisition date.
|
(3)
|
For the three months ended June 30, 2020, the L&S and G&P segments made up $839 million and $388 million of Adjusted EBITDA attributable to MPLX LP, respectively. For the three months ended June 30, 2019, the L&S and G&P segments made up $570 million and $350 million of Adjusted EBITDA attributable to MPLX LP, respectively. For the six months ended June 30, 2020, the L&S and G&P segments made up $1,711 million and $810
|
|
Six Months Ended June 30,
|
||||||||||
(In millions)
|
2020
|
|
2019
|
|
Variance
|
||||||
Reconciliation of Adjusted EBITDA attributable to MPLX LP and DCF attributable to GP and LP unitholders from Net cash provided by operating activities:
|
|
|
|
|
|
||||||
Net cash provided by operating activities
|
$
|
2,114
|
|
|
$
|
1,954
|
|
|
$
|
160
|
|
Changes in working capital items
|
12
|
|
|
112
|
|
|
(100
|
)
|
|||
All other, net
|
(26
|
)
|
|
(7
|
)
|
|
(19
|
)
|
|||
Non-cash equity-based compensation
|
8
|
|
|
12
|
|
|
(4
|
)
|
|||
Net (loss)/gain on disposal of assets
|
(1
|
)
|
|
2
|
|
|
(3
|
)
|
|||
Net interest and other financial costs
|
424
|
|
|
434
|
|
|
(10
|
)
|
|||
Current income taxes
|
1
|
|
|
—
|
|
|
1
|
|
|||
Asset retirement expenditures
|
—
|
|
|
1
|
|
|
(1
|
)
|
|||
Unrealized derivative (gains)/losses(1)
|
(9
|
)
|
|
4
|
|
|
(13
|
)
|
|||
Acquisition costs
|
—
|
|
|
5
|
|
|
(5
|
)
|
|||
Other adjustments to equity method investment distributions
|
13
|
|
|
9
|
|
|
4
|
|
|||
Other
|
2
|
|
|
—
|
|
|
2
|
|
|||
Adjusted EBITDA
|
2,538
|
|
|
2,526
|
|
|
12
|
|
|||
Adjusted EBITDA attributable to noncontrolling interests
|
(17
|
)
|
|
(14
|
)
|
|
(3
|
)
|
|||
Adjusted EBITDA attributable to Predecessor(2)
|
—
|
|
|
(662
|
)
|
|
662
|
|
|||
Adjusted EBITDA attributable to MPLX LP(3)
|
2,521
|
|
|
1,850
|
|
|
671
|
|
|||
Deferred revenue impacts
|
63
|
|
|
31
|
|
|
32
|
|
|||
Net interest and other financial costs
|
(424
|
)
|
|
(434
|
)
|
|
10
|
|
|||
Maintenance capital expenditures
|
(67
|
)
|
|
(99
|
)
|
|
32
|
|
|||
Maintenance capital expenditures reimbursements
|
20
|
|
|
16
|
|
|
4
|
|
|||
Equity method investment capital expenditures paid out
|
(11
|
)
|
|
(8
|
)
|
|
(3
|
)
|
|||
Other
|
3
|
|
|
10
|
|
|
(7
|
)
|
|||
Portion of DCF adjustments attributable to Predecessor(2)
|
—
|
|
|
132
|
|
|
(132
|
)
|
|||
DCF
|
2,105
|
|
|
1,498
|
|
|
607
|
|
|||
Preferred unit distributions
|
(62
|
)
|
|
(62
|
)
|
|
—
|
|
|||
DCF attributable to GP and LP unitholders
|
2,043
|
|
|
1,436
|
|
|
607
|
|
|||
Adjusted EBITDA attributable to Predecessor(2)
|
—
|
|
|
662
|
|
|
(662
|
)
|
|||
Portion of DCF adjustments attributable to Predecessor(2)
|
—
|
|
|
(132
|
)
|
|
132
|
|
|||
DCF attributable to GP and LP unitholders (including Predecessor results)
|
$
|
2,043
|
|
|
$
|
1,966
|
|
|
$
|
77
|
|
(1)
|
MPLX makes a distinction between realized and unrealized gains and losses on derivatives. During the period when a derivative contract is outstanding, changes in the fair value of the derivative are recorded as an unrealized gain or loss. When a derivative contract matures or is settled, the previously recorded unrealized gain or loss is reversed and the realized gain or loss of the contract is recorded.
|
(2)
|
The adjusted EBITDA and DCF adjustments related to Predecessor are excluded from adjusted EBITDA attributable to MPLX LP and DCF attributable to GP and LP unitholders prior to the acquisition date.
|
(3)
|
For the six months ended June 30, 2020, the L&S and G&P segments made up $1,711 million and $810 million of Adjusted EBITDA attributable to MPLX LP, respectively. For the six months ended June 30, 2019, the L&S and G&P segments made up $1,129 million and $721 million of Adjusted EBITDA attributable to MPLX LP, respectively.
|
(1)
|
Includes adjusted EBITDA attributable to Predecessor.
|
|
Three Months Ended June 30,
|
|
Six Months Ended June 30,
|
||||||||||||||||||||
(In millions)
|
2020
|
|
2019
|
|
Variance
|
|
2020
|
|
2019
|
|
Variance
|
||||||||||||
Service revenue
|
$
|
931
|
|
|
$
|
922
|
|
|
$
|
9
|
|
|
$
|
1,935
|
|
|
$
|
1,811
|
|
|
$
|
124
|
|
Rental income
|
246
|
|
|
296
|
|
|
(50
|
)
|
|
488
|
|
|
631
|
|
|
(143
|
)
|
||||||
Product related revenue
|
21
|
|
|
20
|
|
|
1
|
|
|
40
|
|
|
35
|
|
|
5
|
|
||||||
Income from equity method investments
|
40
|
|
|
54
|
|
|
(14
|
)
|
|
90
|
|
|
99
|
|
|
(9
|
)
|
||||||
Other income
|
52
|
|
|
16
|
|
|
36
|
|
|
103
|
|
|
28
|
|
|
75
|
|
||||||
Total segment revenues and other income
|
1,290
|
|
|
1,308
|
|
|
(18
|
)
|
|
2,656
|
|
|
2,604
|
|
|
52
|
|
||||||
Cost of revenues
|
190
|
|
|
219
|
|
|
(29
|
)
|
|
428
|
|
|
445
|
|
|
(17
|
)
|
||||||
Purchases - related parties
|
211
|
|
|
227
|
|
|
(16
|
)
|
|
410
|
|
|
417
|
|
|
(7
|
)
|
||||||
Depreciation and amortization
|
138
|
|
|
134
|
|
|
4
|
|
|
276
|
|
|
260
|
|
|
16
|
|
||||||
General and administrative expenses
|
52
|
|
|
42
|
|
|
10
|
|
|
104
|
|
|
93
|
|
|
11
|
|
||||||
Other taxes
|
18
|
|
|
11
|
|
|
7
|
|
|
34
|
|
|
27
|
|
|
7
|
|
||||||
Segment income from operations
|
681
|
|
|
675
|
|
|
6
|
|
|
1,404
|
|
|
1,362
|
|
|
42
|
|
||||||
Depreciation and amortization
|
138
|
|
|
134
|
|
|
4
|
|
|
276
|
|
|
260
|
|
|
16
|
|
||||||
Income from equity method investments
|
(40
|
)
|
|
(54
|
)
|
|
14
|
|
|
(90
|
)
|
|
(99
|
)
|
|
9
|
|
||||||
Distributions/adjustments related to equity method investments
|
57
|
|
|
60
|
|
|
(3
|
)
|
|
114
|
|
|
114
|
|
|
—
|
|
||||||
Acquisition costs
|
—
|
|
|
4
|
|
|
(4
|
)
|
|
—
|
|
|
5
|
|
|
(5
|
)
|
||||||
Non-cash equity-based compensation
|
2
|
|
|
2
|
|
|
—
|
|
|
5
|
|
|
7
|
|
|
(2
|
)
|
||||||
Other
|
1
|
|
|
—
|
|
|
1
|
|
|
2
|
|
|
—
|
|
|
2
|
|
||||||
Adjusted EBITDA attributable to Predecessor
|
—
|
|
|
(251
|
)
|
|
251
|
|
|
—
|
|
|
(520
|
)
|
|
520
|
|
||||||
Segment adjusted EBITDA(1)
|
839
|
|
|
570
|
|
|
269
|
|
|
1,711
|
|
|
1,129
|
|
|
582
|
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Capital expenditures
|
108
|
|
|
230
|
|
|
(122
|
)
|
|
292
|
|
|
428
|
|
|
(136
|
)
|
||||||
Investments in unconsolidated affiliates
|
$
|
74
|
|
|
$
|
61
|
|
|
$
|
13
|
|
|
$
|
128
|
|
|
$
|
68
|
|
|
$
|
60
|
|
(1)
|
See the Reconciliation of Adjusted EBITDA attributable to MPLX LP and DCF attributable to GP and LP unitholders from Net income table for the reconciliation to the most directly comparable GAAP measure.
|
(1)
|
Includes adjusted EBITDA attributable to Predecessor.
|
|
Three Months Ended June 30,
|
|
Six Months Ended June 30,
|
||||||||||||||||||||
(In millions)
|
2020
|
|
2019
|
|
Variance
|
|
2020
|
|
2019
|
|
Variance
|
||||||||||||
Service revenue
|
$
|
489
|
|
|
$
|
544
|
|
|
$
|
(55
|
)
|
|
$
|
1,025
|
|
|
$
|
1,072
|
|
|
$
|
(47
|
)
|
Rental income
|
89
|
|
|
83
|
|
|
6
|
|
|
177
|
|
|
172
|
|
|
5
|
|
||||||
Product related revenue
|
151
|
|
|
231
|
|
|
(80
|
)
|
|
373
|
|
|
507
|
|
|
(134
|
)
|
||||||
Income/(loss) from equity method investments
|
49
|
|
|
29
|
|
|
20
|
|
|
(1,185
|
)
|
|
61
|
|
|
(1,246
|
)
|
||||||
Other income
|
13
|
|
|
15
|
|
|
(2
|
)
|
|
27
|
|
|
29
|
|
|
(2
|
)
|
||||||
Total segment revenues and other income/(loss)
|
791
|
|
|
902
|
|
|
(111
|
)
|
|
417
|
|
|
1,841
|
|
|
(1,424
|
)
|
||||||
Cost of revenues
|
199
|
|
|
199
|
|
|
—
|
|
|
410
|
|
|
392
|
|
|
18
|
|
||||||
Purchased product costs
|
87
|
|
|
166
|
|
|
(79
|
)
|
|
222
|
|
|
360
|
|
|
(138
|
)
|
||||||
Purchases - related parties
|
69
|
|
|
86
|
|
|
(17
|
)
|
|
146
|
|
|
174
|
|
|
(28
|
)
|
||||||
Depreciation and amortization
|
183
|
|
|
179
|
|
|
4
|
|
|
370
|
|
|
354
|
|
|
16
|
|
||||||
Impairment expense
|
—
|
|
|
—
|
|
|
—
|
|
|
2,165
|
|
|
—
|
|
|
2,165
|
|
||||||
General and administrative expenses
|
44
|
|
|
48
|
|
|
(4
|
)
|
|
89
|
|
|
98
|
|
|
(9
|
)
|
||||||
Other taxes
|
12
|
|
|
14
|
|
|
(2
|
)
|
|
27
|
|
|
28
|
|
|
(1
|
)
|
||||||
Segment income/(loss) from operations
|
197
|
|
|
210
|
|
|
(13
|
)
|
|
(3,012
|
)
|
|
435
|
|
|
(3,447
|
)
|
||||||
Depreciation and amortization
|
183
|
|
|
179
|
|
|
4
|
|
|
370
|
|
|
354
|
|
|
16
|
|
||||||
Impairment expense
|
—
|
|
|
—
|
|
|
—
|
|
|
2,165
|
|
|
—
|
|
|
2,165
|
|
||||||
(Income)/loss from equity method investments
|
(49
|
)
|
|
(29
|
)
|
|
(20
|
)
|
|
1,185
|
|
|
(61
|
)
|
|
1,246
|
|
||||||
Distributions/adjustments related to equity method investments
|
58
|
|
|
72
|
|
|
(14
|
)
|
|
125
|
|
|
140
|
|
|
(15
|
)
|
||||||
Unrealized derivative losses/(gains)(1)
|
6
|
|
|
—
|
|
|
6
|
|
|
(9
|
)
|
|
4
|
|
|
(13
|
)
|
||||||
Non-cash equity-based compensation
|
1
|
|
|
3
|
|
|
(2
|
)
|
|
3
|
|
|
5
|
|
|
(2
|
)
|
||||||
Adjusted EBITDA attributable to Predecessor
|
—
|
|
|
(78
|
)
|
|
78
|
|
|
—
|
|
|
(142
|
)
|
|
142
|
|
||||||
Adjusted EBITDA attributable to noncontrolling interests
|
(8
|
)
|
|
(7
|
)
|
|
(1
|
)
|
|
(17
|
)
|
|
(14
|
)
|
|
(3
|
)
|
||||||
Segment Adjusted EBITDA(2)
|
388
|
|
|
350
|
|
|
38
|
|
|
810
|
|
|
721
|
|
|
89
|
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Capital expenditures
|
110
|
|
|
326
|
|
|
(216
|
)
|
|
244
|
|
|
632
|
|
|
(388
|
)
|
||||||
Investments in unconsolidated affiliates
|
$
|
57
|
|
|
$
|
127
|
|
|
$
|
(70
|
)
|
|
$
|
94
|
|
|
$
|
255
|
|
|
$
|
(161
|
)
|
(1)
|
MPLX makes a distinction between realized and unrealized gains and losses on derivatives. During the period when a derivative contract is outstanding, changes in the fair value of the derivative are recorded as an unrealized gain or loss. When a derivative contract matures or is settled, the previously recorded unrealized gain or loss is reversed and the realized gain or loss of the contract is recorded.
|
(2)
|
See the Reconciliation of Adjusted EBITDA attributable to MPLX LP and DCF attributable to GP and LP unitholders from Net income table for the reconciliation to the most directly comparable GAAP measure.
|
|
Three Months Ended
June 30, |
|
Six Months Ended
June 30, |
||||||||||||
|
2020
|
|
2019
|
|
2020
|
|
2019
|
||||||||
L&S
|
|
|
|
|
|
|
|
||||||||
Pipeline throughput (mbpd)
|
|
|
|
|
|
|
|
||||||||
Crude oil pipelines
|
2,733
|
|
|
3,242
|
|
|
2,971
|
|
|
3,174
|
|
||||
Product pipelines
|
1,586
|
|
|
1,867
|
|
|
1,746
|
|
|
1,882
|
|
||||
Total pipelines
|
4,319
|
|
|
5,109
|
|
|
4,717
|
|
|
5,056
|
|
||||
|
|
|
|
|
|
|
|
||||||||
Average tariff rates ($ per barrel)(2)
|
|
|
|
|
|
|
|
||||||||
Crude oil pipelines
|
$
|
0.99
|
|
|
$
|
0.88
|
|
|
$
|
0.96
|
|
|
$
|
0.92
|
|
Product pipelines
|
0.84
|
|
|
0.75
|
|
|
0.81
|
|
|
0.72
|
|
||||
Total pipelines
|
$
|
0.94
|
|
|
$
|
0.83
|
|
|
$
|
0.90
|
|
|
$
|
0.84
|
|
|
|
|
|
|
|
|
|
||||||||
Terminal throughput (mbpd)
|
2,420
|
|
|
3,287
|
|
|
2,693
|
|
|
3,253
|
|
||||
|
|
|
|
|
|
|
|
||||||||
Marine Assets (number in operation)(3)
|
|
|
|
|
|
|
|
||||||||
Barges
|
305
|
|
|
261
|
|
|
305
|
|
|
261
|
|
||||
Towboats
|
23
|
|
|
23
|
|
|
23
|
|
|
23
|
|
|
Three Months Ended
June 30, 2020 |
|
Three Months Ended
June 30, 2019 |
||||||||
|
MPLX LP(4)
|
|
MPLX LP Operated(5)
|
|
MPLX LP(4)
|
|
MPLX LP Operated(5)
|
||||
G&P
|
|
|
|
|
|
|
|
||||
Gathering Throughput (MMcf/d)
|
|
|
|
|
|
|
|
||||
Marcellus Operations
|
1,385
|
|
|
1,385
|
|
|
1,266
|
|
|
1,266
|
|
Utica Operations
|
—
|
|
|
1,903
|
|
|
—
|
|
|
2,066
|
|
Southwest Operations
|
1,365
|
|
|
1,393
|
|
|
1,617
|
|
|
1,617
|
|
Bakken Operations
|
126
|
|
|
126
|
|
|
147
|
|
|
147
|
|
Rockies Operations
|
495
|
|
|
683
|
|
|
649
|
|
|
852
|
|
Total gathering throughput
|
3,371
|
|
|
5,490
|
|
|
3,679
|
|
|
5,948
|
|
|
|
|
|
|
|
|
|
||||
Natural Gas Processed (MMcf/d)
|
|
|
|
|
|
|
|
||||
Marcellus Operations
|
4,112
|
|
|
5,516
|
|
|
4,216
|
|
|
5,202
|
|
Utica Operations
|
—
|
|
|
585
|
|
|
—
|
|
|
823
|
|
Southwest Operations
|
1,412
|
|
|
1,510
|
|
|
1,558
|
|
|
1,558
|
|
Southern Appalachian Operations
|
223
|
|
|
223
|
|
|
243
|
|
|
243
|
|
Bakken Operations
|
126
|
|
|
126
|
|
|
147
|
|
|
147
|
|
Rockies Operations
|
516
|
|
|
516
|
|
|
585
|
|
|
585
|
|
Total natural gas processed
|
6,389
|
|
|
8,476
|
|
|
6,749
|
|
|
8,558
|
|
|
|
|
|
|
|
|
|
||||
C2 + NGLs Fractionated (mbpd)
|
|
|
|
|
|
|
|
||||
Marcellus Operations(6)
|
464
|
|
|
464
|
|
|
440
|
|
|
440
|
|
Utica Operations(6)
|
—
|
|
|
31
|
|
|
—
|
|
|
40
|
|
Southwest Operations
|
13
|
|
|
13
|
|
|
3
|
|
|
3
|
|
Southern Appalachian Operations(7)
|
12
|
|
|
12
|
|
|
12
|
|
|
12
|
|
Bakken Operations
|
19
|
|
|
19
|
|
|
21
|
|
|
21
|
|
Rockies Operations
|
4
|
|
|
4
|
|
|
3
|
|
|
3
|
|
Total C2 + NGLs fractionated(8)
|
512
|
|
|
543
|
|
|
479
|
|
|
519
|
|
|
Six Months Ended
June 30, 2020 |
|
Six Months Ended
June 30, 2019 |
||||||||
|
MPLX LP(4)
|
|
MPLX LP Operated(5)
|
|
MPLX LP(4)
|
|
MPLX LP Operated(5)
|
||||
G&P
|
|
|
|
|
|
|
|
||||
Gathering Throughput (MMcf/d)
|
|
|
|
|
|
|
|
||||
Marcellus Operations
|
1,402
|
|
|
1,402
|
|
|
1,274
|
|
|
1,274
|
|
Utica Operations
|
—
|
|
|
1,852
|
|
|
—
|
|
|
2,087
|
|
Southwest Operations
|
1,461
|
|
|
1,497
|
|
|
1,600
|
|
|
1,600
|
|
Bakken Operations
|
141
|
|
|
141
|
|
|
150
|
|
|
150
|
|
Rockies Operations
|
544
|
|
|
729
|
|
|
644
|
|
|
839
|
|
Total gathering throughput
|
3,548
|
|
|
5,621
|
|
|
3,668
|
|
|
5,950
|
|
|
|
|
|
|
|
|
|
||||
Natural Gas Processed (MMcf/d)
|
|
|
|
|
|
|
|
||||
Marcellus Operations
|
4,155
|
|
|
5,519
|
|
|
4,185
|
|
|
5,175
|
|
Utica Operations
|
—
|
|
|
616
|
|
|
—
|
|
|
820
|
|
Southwest Operations
|
1,530
|
|
|
1,595
|
|
|
1,578
|
|
|
1,578
|
|
Southern Appalachian Operations
|
233
|
|
|
233
|
|
|
239
|
|
|
239
|
|
Bakken Operations
|
141
|
|
|
141
|
|
|
150
|
|
|
150
|
|
Rockies Operations
|
528
|
|
|
528
|
|
|
578
|
|
|
578
|
|
Total natural gas processed
|
6,587
|
|
|
8,632
|
|
|
6,730
|
|
|
8,540
|
|
|
|
|
|
|
|
|
|
||||
C2 + NGLs Fractionated (mbpd)
|
|
|
|
|
|
|
|
||||
Marcellus Operations(6)
|
460
|
|
|
460
|
|
|
430
|
|
|
430
|
|
Utica Operations(6)
|
—
|
|
|
33
|
|
|
—
|
|
|
43
|
|
Southwest Operations
|
14
|
|
|
14
|
|
|
10
|
|
|
10
|
|
Southern Appalachian Operations(7)
|
12
|
|
|
12
|
|
|
12
|
|
|
12
|
|
Bakken Operations
|
25
|
|
|
25
|
|
|
18
|
|
|
18
|
|
Rockies Operations
|
4
|
|
|
4
|
|
|
4
|
|
|
4
|
|
Total C2 + NGLs fractionated(8)
|
515
|
|
|
548
|
|
|
474
|
|
|
517
|
|
|
Three Months Ended
June 30, |
|
Six Months Ended
June 30, |
||||||||||||
|
2020
|
|
2019
|
|
2020
|
|
2019
|
||||||||
Pricing Information
|
|
|
|
|
|
|
|
||||||||
Natural Gas NYMEX HH ($ per MMBtu)
|
$
|
1.76
|
|
|
$
|
2.51
|
|
|
$
|
1.81
|
|
|
$
|
2.69
|
|
C2 + NGL Pricing ($ per gallon)(9)
|
$
|
0.34
|
|
|
$
|
0.52
|
|
|
$
|
0.37
|
|
|
$
|
0.57
|
|
(1)
|
Operating data is inclusive of operating data for ANDX.
|
(2)
|
Average tariff rates calculated using pipeline transportation revenues divided by pipeline throughput barrels.
|
(3)
|
Represents total at end of period.
|
(4)
|
This column represents operating data for entities that have been consolidated into the MPLX financial statements.
|
(5)
|
This column represents operating data for entities that have been consolidated into the MPLX financial statements as well as operating data for MPLX-operated equity method investments.
|
(6)
|
Hopedale is jointly owned by Ohio Fractionation and MarkWest Utica EMG. Ohio Fractionation is a subsidiary of MarkWest Liberty Midstream. MarkWest Liberty Midstream and MarkWest Utica EMG are entities that operate in the Marcellus and Utica regions, respectively. Marcellus Operations includes Ohio Fractionation’s portion utilized of the jointly owned Hopedale Fractionation Complex. Utica Operations includes MarkWest Utica EMG’s portion utilized of the jointly owned Hopedale Fractionation Complex. Additionally, Sherwood Midstream has the right to fractionation revenue and the obligation to pay expenses related to 40 mbpd of capacity in the Hopedale 3 and Hopedale 4 fractionators.
|
(7)
|
Includes NGLs fractionated for the Marcellus Operations and Utica Operations.
|
(8)
|
Purity ethane makes up approximately 193 mbpd and 195 mbpd of total MPLX Operated, fractionated products for the three months ended June 30, 2020 and 2019, respectively, and approximately 191 mbpd and 192 mbpd of total fractionated products for the six months ended June 30, 2020 and 2019, respectively. Purity ethane makes up approximately 186 mbpd and 189 mbpd of total MPLX LP consolidated, fractionated products for the three months ended June 30, 2020 and 2019, respectively, and approximately 184 mbpd and 183 mbpd of total fractionated products for the six months ended June 30, 2020 and 2019, respectively.
|
(9)
|
C2 + NGL pricing based on Mont Belvieu prices assuming an NGL barrel of approximately 35 percent ethane, 35 percent propane, six percent Iso-Butane, 12 percent normal butane and 12 percent natural gasoline.
|
|
Six Months Ended June 30,
|
||||||
(In millions)
|
2020
|
|
2019
|
||||
Net cash provided by (used in):
|
|
|
|
||||
Operating activities
|
$
|
2,114
|
|
|
$
|
1,954
|
|
Investing activities
|
(777
|
)
|
|
(1,439
|
)
|
||
Financing activities
|
(1,285
|
)
|
|
(568
|
)
|
||
Total
|
$
|
52
|
|
|
$
|
(53
|
)
|
(In millions)
|
June 30, 2020
|
||
MPLX LP:
|
|
||
Bank revolving credit facility
|
$
|
825
|
|
Term loan facility
|
1,000
|
|
|
Floating rate senior notes
|
2,000
|
|
|
Fixed rate senior notes
|
16,887
|
|
|
Consolidated subsidiaries:
|
|
||
MarkWest
|
23
|
|
|
ANDX
|
190
|
|
|
Financing lease obligations
|
13
|
|
|
Total
|
20,938
|
|
|
Unamortized debt issuance costs
|
(100
|
)
|
|
Unamortized discount/premium
|
(279
|
)
|
|
Amounts due within one year
|
(3
|
)
|
|
Total long-term debt due after one year
|
$
|
20,556
|
|
Rating Agency
|
|
Rating
|
Moody’s
|
|
Baa2 (negative outlook)
|
Standard & Poor’s
|
|
BBB (negative outlook)
|
Fitch
|
|
BBB (negative outlook)
|
|
June 30, 2020
|
||||||||||
(In millions)
|
Total Capacity
|
|
Outstanding Borrowings
|
|
Available
Capacity
|
||||||
Bank revolving credit facility due 2024(1)
|
$
|
3,500
|
|
|
$
|
(825
|
)
|
|
$
|
2,675
|
|
MPC Loan Agreement
|
1,500
|
|
|
—
|
|
|
1,500
|
|
|||
Total liquidity
|
$
|
5,000
|
|
|
$
|
(825
|
)
|
|
4,175
|
|
|
Cash and cash equivalents
|
|
|
|
|
67
|
|
|||||
Total liquidity
|
|
|
|
|
$
|
4,242
|
|
(1)
|
Outstanding borrowings include less than $1 million in letters of credit outstanding under this facility.
|
(In units)
|
|
|
Balance at December 31, 2019
|
1,058,355,471
|
|
Unit-based compensation awards
|
253,291
|
|
Balance at June 30, 2020
|
1,058,608,762
|
|
|
Three Months Ended June 30,
|
|
Six Months Ended June 30,
|
||||||||||||
(In millions, except per unit data)
|
2020
|
|
2019
|
|
2020
|
|
2019
|
||||||||
Distribution declared:
|
|
|
|
|
|
|
|
||||||||
Limited partner units - public
|
$
|
270
|
|
|
$
|
261
|
|
|
$
|
540
|
|
|
$
|
452
|
|
Limited partner units - MPC
|
445
|
|
|
431
|
|
|
903
|
|
|
763
|
|
||||
Total LP distribution declared
|
715
|
|
|
692
|
|
|
1,443
|
|
|
1,215
|
|
||||
Series A preferred units
|
21
|
|
|
21
|
|
|
41
|
|
|
41
|
|
||||
Series B preferred units
|
10
|
|
|
21
|
|
|
21
|
|
|
21
|
|
||||
Total distribution declared
|
746
|
|
|
734
|
|
|
1,505
|
|
|
1,277
|
|
||||
|
|
|
|
|
|
|
|
||||||||
Cash distributions declared per limited partner common unit
|
$
|
0.6875
|
|
|
$
|
0.6675
|
|
|
$
|
1.3750
|
|
|
$
|
1.3250
|
|
|
Six Months Ended June 30,
|
||||||
(In millions)
|
2020
|
|
2019
|
||||
Capital expenditures:
|
|
|
|
||||
Maintenance
|
$
|
67
|
|
|
$
|
99
|
|
Maintenance reimbursements
|
(20
|
)
|
|
(16
|
)
|
||
Growth
|
469
|
|
|
961
|
|
||
Growth reimbursements
|
—
|
|
|
(12
|
)
|
||
Total capital expenditures
|
516
|
|
|
1,032
|
|
||
Less: (Decrease)/increase in capital accruals
|
(172
|
)
|
|
(77
|
)
|
||
Asset retirement expenditures
|
—
|
|
|
1
|
|
||
Additions to property, plant and equipment, net of reimbursements(1)
|
688
|
|
|
1,108
|
|
||
Investments in unconsolidated affiliates
|
222
|
|
|
323
|
|
||
Acquisitions
|
—
|
|
|
(6
|
)
|
||
Total capital expenditures and acquisitions
|
910
|
|
|
1,425
|
|
||
Less: Maintenance capital expenditures (including reimbursements)
|
47
|
|
|
83
|
|
||
Acquisitions
|
—
|
|
|
(6
|
)
|
||
Total growth capital expenditures(2)
|
$
|
863
|
|
|
$
|
1,348
|
|
(1)
|
This amount is represented in the Consolidated Statements of Cash Flows as Additions to property, plant and equipment after excluding growth and maintenance reimbursements. Reimbursements are shown as Contributions from MPC within the Financing activities section of the Consolidated Statements of Cash Flows.
|
(2)
|
Amount excludes contributions from noncontrolling interests of zero and $94 million for the six months ended June 30, 2020 and 2019, respectively, as reflected in the financing section of our statement of cash flows. Also excludes a $69 million return of capital from our Wink to Webster Pipeline joint venture in the first quarter of 2020 and a $41 million return of capital from our Whistler Pipeline joint venture in the second quarter of 2020. These are reflected in the investing section of our statement of cash flows for the six months ended June 30, 2020.
|
•
|
Future Operating Performance. Our estimates of future operating performance are based on our analysis of various supply and demand factors, which include, among other things, industry-wide capacity, our planned utilization rate,
|
•
|
Future volumes. Our estimates of future throughput of crude oil, natural gas, NGL and refined product volumes are based on internal forecasts and depend, in part, on assumptions about our customers’ drilling activity which is inherently subjective and contingent upon a number of variable factors (including future or expected pricing considerations), many of which are difficult to forecast. Management considers these volume forecasts and other factors when developing our forecasted cash flows.
|
•
|
Discount rate commensurate with the risks involved. We apply a discount rate to our cash flows based on a variety of factors, including market and economic conditions, operational risk, regulatory risk and political risk. This discount rate is also compared to recent observable market transactions, if possible. A higher discount rate decreases the net present value of cash flows.
|
•
|
Future capital requirements. These are based on authorized spending and internal forecasts.
|
(In millions)
|
Fair value as of June 30, 2020(1)
|
|
Change in Fair Value(2)
|
|
Change in Income Before Income Taxes for the Six Months Ended
June 30, 2020(3) |
||||||
Long-term debt
|
|
|
|
|
|
||||||
Fixed-rate
|
$
|
18,121
|
|
|
$
|
1,683
|
|
|
N/A
|
|
|
Variable-rate
|
$
|
3,798
|
|
|
$
|
33
|
|
|
$
|
17
|
|
|
|
|
|
Incorporated by Reference From
|
|
|
|
|
|||||||
Exhibit
Number
|
|
Exhibit Description
|
|
Form
|
|
Exhibit
|
|
|
Filing Date
|
|
SEC File No.
|
|
Filed
Herewith
|
|
Furnished
Herewith
|
1.1
|
|
|
8-K
|
|
1.1
|
|
|
9/9/2019
|
|
001-35714
|
|
|
|
|
|
2.1*
|
|
|
8-K
|
|
2.1
|
|
|
5/8/2019
|
|
001-35714
|
|
|
|
|
|
3.1
|
|
|
S-1
|
|
3.1
|
|
|
7/2/2012
|
|
333-182500
|
|
|
|
|
|
3.2
|
|
|
S-1/A
|
|
3.2
|
|
|
10/9/2012
|
|
333-182500
|
|
|
|
|
|
3.3
|
|
|
8-K/A
|
|
3.1
|
|
|
8/14/2019
|
|
001-35714
|
|
|
|
|
|
10.1
|
|
|
|
|
|
|
|
|
|
|
X
|
|
|
||
31.10
|
|
|
|
|
|
|
|
|
|
|
X
|
|
|
||
31.20
|
|
|
|
|
|
|
|
|
|
|
X
|
|
|
||
32.10
|
|
|
|
|
|
|
|
|
|
|
|
|
X
|
||
32.20
|
|
|
|
|
|
|
|
|
|
|
|
|
X
|
||
101.INS
|
|
XBRL Instance Document: The instance document does not appear in the interactive data file because its XBRL tags are embedded within the Inline XBRL document.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
101.SCH
|
|
Inline XBRL Taxonomy Extension Schema Document.
|
|
|
|
|
|
|
|
|
|
X
|
|
|
|
101.CAL
|
|
Inline XBRL Taxonomy Extension Calculation Linkbase Document.
|
|
|
|
|
|
|
|
|
|
X
|
|
|
|
101.DEF
|
|
Inline XBRL Taxonomy Extension Definition Linkbase Document.
|
|
|
|
|
|
|
|
|
|
X
|
|
|
|
101.LAB
|
|
Inline XBRL Taxonomy Extension Label Linkbase Document.
|
|
|
|
|
|
|
|
|
|
X
|
|
|
|
101.PRE
|
|
Inline XBRL Taxonomy Extension Presentation Linkbase Document.
|
|
|
|
|
|
|
|
|
|
X
|
|
|
|
|
|
|
Incorporated by Reference From
|
|
|
|
|
|||||||
Exhibit
Number
|
|
Exhibit Description
|
|
Form
|
|
Exhibit
|
|
|
Filing Date
|
|
SEC File No.
|
|
Filed
Herewith
|
|
Furnished
Herewith
|
104
|
|
Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101).
|
|
|
|
|
|
|
|
|
|
|
|
|
*
|
Schedules have been omitted pursuant to Item 601(b)(2) of Regulation S-K. MPLX LP hereby undertakes to furnish supplementally a copy of any omitted schedule upon request by the SEC.
|
|
MPLX LP
|
|
|
|
|
|
|
|
By:
|
|
MPLX GP LLC
|
|
|
|
Its general partner
|
|
|
|
|
Date: August 3, 2020
|
By:
|
|
/s/ C. Kristopher Hagedorn
|
|
|
|
C. Kristopher Hagedorn
|
|
|
|
Vice President and Controller of MPLX GP LLC (the general partner of MPLX LP)
|
Western Refining Southwest, Inc.
|
|
|
|
|
|
|
|
By:
|
/s/ Donald C. Templin
|
|
|
Name:
|
Donald C. Templin
|
|
|
Title:
|
Vice President
|
|
|
|
|
|
|
MPLX LP
|
|
|
|
By:
|
MPLX GP LLC, its General Partner
|
|
|
|
|
|
|
By:
|
/s/ Pamela K.M. Beall
|
|
|
Name:
|
Pamela K.M. Beall
|
|
|
Title:
|
Executive Vice President and Chief Financial Officer
|
|
MPLX LP
By: MPLX GP LLC, its General Partner
|
|
WESTERN REFINING SOUTHWEST, INC.
|
||
By:
|
|
|
By:
|
|
Name:
|
Pamela K.M. Beall
|
|
Name:
|
Donald C. Templin
|
Title:
|
Executive Vice President and Chief Financial Officer
|
|
Title:
|
Vice President
|
1.
|
I have reviewed this report on Form 10-Q of MPLX LP;
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
|
4.
|
The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
(a)
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
(b)
|
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
(c)
|
Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
(d)
|
Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
|
5.
|
The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):
|
(a)
|
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and
|
(b)
|
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.
|
Date: August 3, 2020
|
|
/s/ Michael J. Hennigan
|
|
|
Michael J. Hennigan
|
|
|
Chairman of the Board, President and Chief Executive Officer of MPLX GP LLC (the general partner of MPLX LP)
|
1.
|
I have reviewed this report on Form 10-Q of MPLX LP;
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
|
4.
|
The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
(a)
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
(b)
|
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
(c)
|
Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
(d)
|
Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
|
5.
|
The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):
|
(a)
|
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and
|
(b)
|
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.
|
Date: August 3, 2020
|
|
/s/ Pamela K.M. Beall
|
|
|
Pamela K.M. Beall
|
|
|
Director, Executive Vice President and Chief Financial Officer of MPLX GP LLC (the general partner of MPLX LP)
|
(1)
|
The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and
|
(2)
|
The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Partnership.
|
Date: August 3, 2020
|
|
|
|
|
|
/s/ Michael J. Hennigan
|
|
|
Michael J. Hennigan
|
|
|
Chairman of the Board, President and Chief Executive Officer of MPLX GP LLC (the general partner of MPLX LP)
|
|
|
(1)
|
The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and
|
(2)
|
The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Partnership.
|
Date: August 3, 2020
|
|
|
|
|
|
/s/ Pamela K.M. Beall
|
|
|
Pamela K.M. Beall
|
|
|
Director, Executive Vice President and Chief Financial Officer of MPLX GP LLC (the general partner of MPLX LP)
|
|
|