Midstream Business Magazine - April 2011

Conference Take-Aways

Eagle Ford Construction Takes Off

Construction continues to increase on the midstream front as midstream operators expand systems to keep up with the pace of drilling. West Texas' Eagle Ford shale play features strongly this month, and based on public drilling and production data, midstream construction activity is expected to climb for quite some time.

Bear Tracker Ready To Hunt

A new private-equity-backed midstream company hunts for opportunities in the Rocky Mountains.

Covering Your Tail Gas

Numerous new air pollution regulations are on the way, and are heightening the industry’s need for environmental and compliance managers to reduce the costs of air-pollution control.

Executive Q&A

In October 2010, the board of directors of Enbridge Energy Co. Inc. named Mark A. Maki as president and principal executive officer of Enbridge Energy Partners LP (EEP), and elected him to the board of directors.

Haynesville: Two-For-One

Haynesville infrastructure expansions are under way to accommodate the play’s rising natural gas production, which now exceeds Barnett production. In many respects, it is a two-for-one play

Investors Remain Bullish On MLPs

March continued to be a tough month for many pipeline master limited partnerships (MLPs).

Managing Knowledge

Investing time and effort into a knowledge-management strategy can make the difference between an efficient workforce and one that constantly reinvents the wheel.

Maxinizing Technology

Pipeline inspections using multiple technologies and varying magnetic fields improve accuracy and, more importantly, allow maximized defect identification.

Out With The Old

With new laws and new regulation come new pipeline innovations for the midstream world. Some say polyethylene pipelines are the safest alternative for local distribution companies, and many are making the plastic switch.

Regulatory Grounds

Even with a strong business climate, legal and regulatory risks still confront the midstream industry. Yet, practical steps can minimize the costs and impact.

Strategic Targets

Midstream companies spend much time finding the right strategy for the right play at the right time. Here, five executives disclose what works, and when.

System-Building Strategy

Midstream operators are not alone in their struggle to formulate cohesive growth strategies to satisfy customers and stakeholders. Their capital providers often have the same task.

The Human Side Of M&A

As one energy company discovered, human resources experts have an important role to play during merger and acquisition activities.

MLPs Weather Mad March

In a mad March filled with natural disasters in Japan and geopolitical unrest in Libya, the Alerian MLP Infrastructure Index (AMZI) fell 1.6% on a total return basis, versus the S&P 500 Index, which remained flat.

M&A Activity

The U.S. midstream mergers and acquisitions (M&A) market finally appears to be in a sustained recovery from the market dislocations that began in 2008. In 2010, midstream M&A volume reached a remarkable $51 billion, up 255% from the prior year.

Meet Banaise Blake

In The Pipeline

Ethane’s Price Advantage

Ethane margins are experiencing a boon in the U.S. due to increased demand from the petrochemical industry. From March 8 to April 7, Mont Belvieu ethane margins rose 12% while Conway margins improved by 23%. Although costs have been increasing, they are not expected to rise at such a rate that would limit demand.

April's Transaction Activity

The pipeline of midstream transactions is still alive and kicking, as last month's roundup of the most recent deals illustrates. In April, the industry saw some $2 billion in equity, debt and initial public offerings (IPOs), to bring the year-to-date total to nearly $15.5 billion. Mergers and acquisitions totaled just less than $3 billion in April, and $8.8 billion year-to-date.