beaumont lhg project review april 2, 2013
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Beaumont LHG Project Review April 2, 2013. NASDAQ: MMLP www.martinmidstream.com. Confidential. Confidential. GENERAL PARTNER OVERVIEW . - PowerPoint PPT PresentationTRANSCRIPT
Beaumont LHG Project Review
April 2, 2013
NASDAQ: MMLPwww.martinmidstream.comConfidential
MARTIN RESOURCE MANAGEMENT CORPORATION
Confidential
Martin Resource Management Corporation
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GENERAL PARTNER OVERVIEW
• Based in Kilgore, TX, Martin Resource Management Company (“MRMC”) is a leading independent provider of integrated logistics solutions, storage, manufacturing, marketing and distribution services to energy, petrochemical and other industrial concerns
• Approximately 2,600 employees• In addition to owning the general partner of MMLP, MRMC operating entities represent
revenue in excess of $2.0B • Approximately 70% employee owned
Confidential
MARTIN MIDSTREAM PARTNERS L.P.
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Martin Midstream Partners L.P.
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• NASDAQ Listed: MMLP• Formed October 31, 2002• MMLP is a publicly traded, diversified master
limited partnership with operations including:• Terminalling & Storage• Natural Gas Services• Sulfur Services• Marine Transportation
• MMLP Trading Summary (1)
• Unit Price: $38.41• Units Outstanding 26.6 million• Market Cap: $1.02
billion• Quarterly Distribution: $0.77 • Current Yield: 8.2%(1) As of March 28, 2013
MARTIN MIDSTREAM PARTNERS L.P. (MMLP) OVERVIEW
Confidential
Martin Midstream Partners L.P.
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PARTNERSHIP SNAPSHOT
~13%
Marine Transportation
~14%
Natural Gas Services
~34%
Sulfur Services
~39%
Terminalling & Storage
Leading Midstream Company With Four
Diversified Business Segments
(NASDAQ: MMLP)
Formed on October 31, 2002
Market Capitalization: $1.02 Billion
Pro Forma FYE 2012 Adjusted EBITDA: $137.4 Million
Note: Percentages above represent approximate 2012 EBITDA contribution, and market capitalization as of market close on March 18, 2013
Confidential
Martin Midstream Partners L.P.
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• Strategic operations across 48 locations in 10 states primarily in the Gulf Coast Region- Favorable proximity to major refining regions of the U.S.- Coast-to-coast integrated sulfur infrastructure, including access to export markets- Marine service terminals providing broad geographic coverage and distribution
capabilities
ATTRACTIVE OPERATING FOOTPRINT
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Martin Midstream Partners L.P.
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• Integrated yet complementary business segments, scale and brand recognition make MMLP a premier supplier of products and services
• Customers include major oil and gas companies, independent refiners, larger chemical companies and fertilizer manufacturers
• Long-term relationships provide stable revenue and cash flow generation with typical 1-5 year contracts
HIGH QUALITY CUSTOMER BASE
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Martin Midstream Partners L.P.MARINE TRANSPORTATION
Martin Resource Management Corporation
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• MMLP’s Marine Transportation segment includes the following key assets• 60 inland marine tank barges• 25 inland push-boats• 5 offshore tug barge units
• Market Drivers• Equipment Supply vs. Demand• Economic Activity• Refinery Utilization & Crack Spreads• Equipment Retirement vs. New• Floating Storage
• Contract mix reflects• Major Oil Companies• International Trading Companies• Martin Family of Companies
SEGMENT OVERVIEW – MARINE TRANSPORTATION
MARTIN MIDSTREAM PARTNERS L.P.BEAUMONT LHG PROJECT
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Martin Midstream Partners L.P.
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MARTIN STANOLIND TERMINAL LOCATION
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Martin Stanolind Terminal
Martin Midstream Partners L.P.
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STANOLIND TERMINAL – General Information
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• Location - 30° 2'14.36"N 94° 2'49.20”W• Distance from Waterway Jetties 33.4 nm • Distance from ICWW West 22 nm• Distance from ICWW East 11.5 nm
• Terminal - 645 foot Pier• Current Cargoes Handled
• Molten Sulfur• Oil/Petroleum – #6FO/Asphalt/Crude Oil• Sulfuric Acid
• Current Types of Vessels• Chemical Tankers• Tow and Barge (Inland)• Tow and Barge (Oceans)
Martin Midstream Partners L.P.
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STANOLIND TERMINAL - Navigation
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• Current Traffic Density on Monthly Basis• 20 Tow and Barge (Inland)• 3 – 4 Tow and Barge (Ocean)• 2 Panamax Chemical Tankers
• Current Navigational Restrictions• Maximum beam of 106 feet• Maximum length of 625 feet• Maximum draft of 31 feet
Martin Midstream Partners L.P.
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STANOLIND TERMINAL – Proposed Operations
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• Future Cargoes - 33 CFR 127 Facility• Liquefied Hazardous Gases – Propane and Butane• Natural gasoline
• Future Types of Vessels• Tow and Barge (Inland) 15,000 bbl capacity Type II LHG• Semi-Refrigerated LHG Tanker 6,000 to 16,000 m3 capacity
• Navigational Restrictions• None; all tankers within limits placed by Pilots
Martin Midstream Partners L.P.
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STANOLIND TERMINAL – Tanker Specifications
Confidential
Typical 6,000 m3 Tanker
Typical 16,000 m3 Tanker
Martin Midstream Partners L.P.
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STANOLIND TERMINAL – Barge Tow Specifications
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Typical Three Tank LHG Inland Barge
Typical Two Tank LHG Inland Barge
Martin Midstream Partners L.P.
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STANOLIND TERMINAL – Operational Overview
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• Transfer Operations• Direct (Across Pier) transfer to tanker; closed loop• Cargo carried at Saturated Vapor Pressure and Ambient Temperatures• One barge Discharge; Transfer Rate @500 bbl/hr
• Transits – Ports of Call• LHG Tanker – Arrive empty/load for Foreign Ports; Sabine Neches
Waterway• Barges – Three Barge Tow; arrive via ICWW loaded and depart empty• 3 – 5 transits of Sabine Neches Waterway per month by Tanker• 5 – 6 transits of ICWW and Sabine Neches Waterway per month by Tow
• Stanolind Infrastructure• No shore side storage tanks; transfer augmentation equipment
(compressor etc.)• Simple cross pier transfer operation
Martin Midstream Partners L.P.
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STANOLIND TERMINAL – Transfer Operation Schematic
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