Midstream energy infrastructure operator, MPLX LP (NYSE:MPLX) recently announced that MPLX Ozark Pipe Line LLC and Marathon Pipe Line LLC, two subsidiaries of MPLX have successfully concluded the joint binding open season on Cushing, OK to Patoka, IL pipeline expansion.
MPLX, created by Marathon Petroleum Corp. (NYSE:MPC) in 2012, has included the Ozark 22-inch and Woodpat 22-inch pipelines in the expansion process. The binding open season that lasted one month, from Jan 17 to Feb 16, 2018, has received substantial interest from potential shippers.
The Cushing-to-Patoka expansion will increase the pipelines' shipping capacity by 15,000 barrels per day (BPD) to 360,000 BPD. The expansion process is expected to be over by the second quarter and come online in the third quarter of 2018. Moreover, the expansion project is expected to increase the partnership’s revenue opportunities and augment its distributable cash flow in the long term.
Price Performance
MPLX has lost 5.5% in the last year compared with 8.6% fall of its industry.
About MPLX
MPLX is a fee-based limited partnership formed to own, operate, develop and acquire crude oil, refined product and other hydrocarbon-based product pipelines and other midstream assets. The partnership's assets consist of a network of common carrier crude oil, and product pipeline systems and associated storage assets in the Midwest and Gulf Coast regions of the United States. MPLX LP is based in Findlay, OH.
Zacks Rank and Stocks to Consider
MPLX has a Zacks Rank #3 (Hold).
A few better-ranked stocks in the oil and energy sector are Continental Resources, Inc. (NYSE:CLR) and Pioneer Natural Resources Company (NYSE:PXD) , each sporting a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Based in Oklahoma City, OK, Continental Resources is an upstream energy company. Its revenues for first-quarter 2018 are anticipated to improve 54.1% from the prior-year quarter. The company witnessed a positive average earnings surprise of 64.9% in the trailing four quarters.
Irving, TX-based Pioneer Natural Resources is an independent oil and gas exploration and production company. Its revenues for first-quarter 2018 are expected to improve 22.8% from the year-ago quarter. For 2018, the bottom line is anticipated to be up 166.2%.
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Marathon Petroleum Corporation (MPC): Free Stock Analysis Report
MPLX LP (MPLX): Free Stock Analysis Report
Pioneer Natural Resources Company (PXD): Free Stock Analysis Report
Continental Resources, Inc. (CLR): Free Stock Analysis Report
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