Delek Logistics Partners, LP Reports Third Quarter 2022 Results
  • Reported third quarter net income attributable to all partners of $44.7 million
  • Record EBITDA of $89.0 million including approximately $4.2 million of adverse acquisition related expenses
  • Third quarter adjusted distributable cash flow coverage ratio of 1.62x; Total leverage ratio is 4.35x
  • Achieved target to double Delek Permian Gathering volumes from 4Q21 to 3Q22 exit rate
  • Amended credit agreement increases liquidity and improves debt maturity profile
  • Delivered 39 consecutive quarters of distribution growth with recent increase to $0.99/unit; reflects 4.2% increase y/y

BRENTWOOD, Tenn., Nov. 7, 2022 /PRNewswire/ -- Delek Logistics Partners, LP (NYSE: DKL) ("Delek Logistics") today announced its financial results for the third quarter 2022, with reported net income attributable to all partners of $44.7 million, or $1.03 per diluted common limited partner unit. This compares to net income attributable to all partners of $43.6 million, or $1.00 per diluted common limited partner unit, in the third quarter 2021. Net cash from operating activities was $164.4 million in the third quarter 2022 compared to $74.8 million in the third quarter 2021. Distributable cash flow, as adjusted(1) was $69.9 million in the third quarter 2022, compared to $55.5 million in the third quarter 2021.   

For the third quarter 2022, earnings before interest, taxes, depreciation and amortization ("EBITDA") was $89.0 million (including $4.2 million of adverse transaction costs associated with 3 Bear Delaware - NM, LLC) compared to $69.9 million in the third quarter 2021. 

Avigal Soreq, President of Delek Logistics' general partner, stated, "The integration of the 3 Bear asset acquisition is beginning to contribute to companywide performance. These assets provide diversification and additional growth opportunities within the portfolio. The legacy Delek Permian Gathering system delivered on our previous guidance to double volumes from the fourth quarter of last year to the third quarter exit rate of this year. Strong refinery utilization rates at Delek US Holdings continue to benefit the surrounding DKL midstream footprint."

Mr. Soreq continued, "In October, DKL amended the Credit Agreement thereby increasing liquidity and improving the maturity profile of the Company. Finally, the Board approved the 39th consecutive increase in the quarterly distribution to $0.99 per unit. This reflects a strong commitment to returning cash to unitholders and demonstrates the strength and stability of the underlying asset base."

Distribution and Liquidity

On October 25, 2022, Delek Logistics declared a quarterly cash distribution of $0.99 per common limited partner unit for the third quarter 2022, which equates to $3.96 per common limited partner unit on an annualized basis. This distribution will be paid on November 10, 2022 to unitholders of record on November 4, 2022. This represents a 0.5% increase from the second quarter 2022 distribution of 0.985 per common limited partner unit, or $3.94 per common limited partner unit on an annualized basis, and a 4.2% increase over Delek Logistics' third quarter 2021 distribution of 0.95 per common limited partner unit, or $3.80 per common limited partner unit annualized. For the third quarter 2022, the total cash distribution declared to all partners was approximately $43.1 million, resulting in a distributable cash flow coverage ratio, as adjusted(1) of 1.62x.

As of September 30, 2022, Delek Logistics had total debt of approximately $1.45 billion and cash of $14.9 million. Additional borrowing capacity, subject to certain covenants, under the $1.0 billion credit facility was $193.1 million. The total leverage ratio as of September 30, 2022 of approximately 4.35x was well within the requirements of the maximum allowable leverage ratio under the credit facility.

On October 13, 2022, Delek Logistics entered into a fourth amended and restated senior secured revolving credit agreement with Fifth Third, National Association as administrative agent and a syndicate of lenders (the "Amended and Restated Delek Logistics Credit Facility"). The Amended and Restated Delek Logistics Credit Facility, among other things, (i) increased total aggregate commitments to $1.2 billion, comprised of (A) senior secured revolving commitments of $900.0 million in aggregate with an extended maturity date of October 13, 2027, and (B) a new senior secured term loan facility for a term loan in the original principal amount of $300.0 million which was drawn in full on October 13, 2022, with a maturity date of October 13, 2024.

Consolidated Operating Results

Contribution margin in the third quarter 2022 increased to $90.4 million compared to $66.9 million in the third quarter 2021, primarily as a result of an increase in refinery utilization rates at Delek US and incremental contribution margin attributable to the acquisition of 3 Bear Delaware - NM, LLC (the "3 Bear Acquisition") that closed on June 1, 2022. Third quarter 2022 EBITDA of $89.0 million benefited from the increased contribution margin as well as continued strong throughput on joint venture pipelines, offset by $4.2 million of transaction costs associated with the 3 Bear Acquisition, as compared to EBITDA of $69.9 million in the  third quarter 2021. Net income attributable to all partners for the third quarter 2022 of $44.7 million reflected an increase of $1.1 million compared to the third quarter 2021, due primarily to an increase of $23.5 million in contribution margin, partially offset by incremental costs related to 3 Bear.

(1)

Represents distributable cash flows adjusted to exclude transaction costs associated with the 3 Bear Acquisition. See further discussion of this measure in the discussion of Non-GAAP Disclosures.

1 |

Pipelines and Transportation Segment

Contribution margin in the third quarter 2022 was $54.0 million compared to $47.4 million in the third quarter 2021. The increase was primarily driven from strong refinery utilization rates at Delek US and annual tariff escalations on our pipelines.

Wholesale Marketing and Terminalling Segment

During the third quarter 2022, contribution margin was $18.3 million compared to $19.6 million in the third quarter 2021. The decrease was primarily driven by lower margins resulting from higher operating costs. 

3 Bear Operations Segment

During the third quarter 2022, incremental contribution margin of $22.8 million favorably impacted our results. Contribution margin in the 3 Bear Operations Segment is largely driven by production volumes and gathering activities during the quarter. These are a function of both producer activities as well as the Company's capacity, subject to the dedicated acreage agreements and the portions of acreage which have been developed, the extent to which connection points and interconnects have been brought on-line, and the extent to which maintenance or other planned or unplanned operational disruptions may occur.

Investments in Pipeline Joint Ventures Segment

During the third quarter 2022, income from equity method investments was $8.6 million compared to $7.3 million in the third quarter 2021, primarily driven by increased volumes at both Caddo and Red River joint ventures.

Third Quarter 2022 Results | Conference Call Information

Delek Logistics will hold a conference call to discuss its third quarter 2022 results on Monday, November 7, 2022 at 8:30 a.m. Central Time. Investors will have the opportunity to listen to the conference call live by going to www.DelekLogistics.com. Participants are encouraged to register at least 15 minutes early to download and install any necessary software.  An archived version of the replay will also be available at www.DelekLogistics.com for 90 days.    

Investors may also wish to listen to Delek US Holdings, Inc.'s (NYSE: DK) ("Delek US") third quarter 2022 earnings conference call on Monday, November 7, 2022 at 9:30 a.m. Central Time and review Delek US' earnings press release. Market trends and information disclosed by Delek US may be relevant to Delek Logistics, as it is a consolidated subsidiary of Delek US. Investors can find information related to Delek US and the timing of its earnings release online by going to www.DelekUS.com.

About Delek Logistics Partners, LP

Delek Logistics is a midstream energy master limited partnership headquartered in Brentwood, Tennessee. Through its owned assets and joint ventures located primarily in and around the Permian Basin, the Delaware Basin and other select areas in the Gulf Coast region. Delek Logistics provides gathering, pipeline and other transportation services primarily for crude oil and natural gas customers, storage, wholesale marketing and terminalling services primarily for intermediate and refined product customers, and water disposal and recycling services. Delek US owns the general partner interest as well as a majority limited partner interest in Delek Logistics, and is also a significant customer.

2 |

Safe Harbor Provisions Regarding Forward-Looking Statements

This press release contains forward-looking statements that are based upon current expectations and involve a number of risks and uncertainties. Statements concerning current estimates, expectations and projections about future results, performance, prospects, opportunities, plans, actions and events and other statements, concerns, or matters that are not historical facts are "forward-looking statements," as that term is defined under the federal securities laws. These statements contain words such as "possible," "believe," "should," "could," "would," "predict," "plan," "estimate," "intend," "may," "anticipate," "will," "if,"  "expect" or similar expressions, as well as statements in the future tense, and can be impacted by numerous factors, including the fact that a substantial majority of Delek Logistics' contribution margin is derived from Delek US, thereby subjecting us to Delek US' business risks; risks relating to the securities markets generally; risks and costs relating to the age and operational hazards of our assets including, without limitation, costs, penalties, regulatory or legal actions and other effects related to releases, spills and other hazards inherent in transporting and storing crude oil and intermediate and finished petroleum products; the impact of adverse market conditions affecting the utilization of Delek Logistics' assets and business performance, including margins generated by its wholesale fuel business; risks and uncertainties related to the integration of the 3 Bear business following the recent acquisition; risks and uncertainties related to the Covid-19 pandemic; uncertainties regarding future decisions by OPEC regarding production and pricing disputes between OPEC members and Russia; an inability of Delek US to grow as expected as it relates to our potential future growth opportunities, including dropdowns, and other potential benefits; scheduled turnaround activity; the results of our investments in joint ventures; adverse changes in laws including with respect to tax and regulatory matters; and other risks as disclosed in our Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and other reports and filings with the United States Securities and Exchange Commission. Forward-looking statements include, but are not limited to, statements regarding future growth at Delek Logistics; distributions and the amounts and timing thereof; potential dropdown inventory; projected benefits of the 3 Bear acquisition; expected earnings or returns from joint ventures or other acquisitions; expansion projects; ability to create long-term value for our unit holders; financial flexibility and borrowing capacity; and distribution growth of 5% or at all. Forward-looking statements should not be read as a guarantee of future performance or results and will not be accurate indications of the times at, or by, which such performance or results will be achieved.  Forward-looking information is based on information available at the time and/or management's good faith belief with respect to future events, and is subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in the statements.  Delek Logistics undertakes no obligation to update or revise any such forward-looking statements to reflect events or circumstances that occur, or which Delek Logistics becomes aware of, after the date hereof, except as required by applicable law or regulation

3 |

Non-GAAP Disclosures:

Our management uses certain "non-GAAP" operational measures to evaluate our operating segment performance and non-GAAP financial measures to evaluate past performance and prospects for the future to supplement our GAAP financial information presented in accordance with U.S. GAAP. These financial and operational non-GAAP measures are important factors in assessing our operating results and profitability and include:

  • Earnings before interest, taxes, depreciation and amortization ("EBITDA") - calculated as net income before net interest expense, income tax expense, depreciation and amortization expense, including amortization of customer contract intangible assets, which is included as a component of net revenues in our accompanying condensed consolidated statements of income.
  • Distributable cash flow - calculated as net cash flow from operating activities plus or minus changes in assets and liabilities, less maintenance capital expenditures net of reimbursements and other adjustments not expected to settle in cash.  Delek Logistics believes this is an appropriate reflection of a liquidity measure by which users of its financial statements can assess its ability to generate cash.
  • Distributable cash flow, as adjusted for transaction costs, or Distributable cash flow, as adjusted(FN)) - distributable cash flow adjusted to exclude significant, infrequently occurring transaction costs.

Our EBITDA and distributable cash flow measures are non GAAP supplemental financial measures that management and external users of our condensed consolidated financial statements, such as industry analysts, investors, lenders and rating agencies, may use to assess:    

  • Delek Logistics' operating performance as compared to other publicly traded partnerships in the midstream energy industry, without regard to historical cost basis or, in the case of EBITDA, financing methods;
  • the ability of our assets to generate sufficient cash flow to make distributions to our unitholders on a current and on-going basis;
  • Delek Logistics' ability to incur and service debt and fund capital expenditures; and
  • the viability of acquisitions and other capital expenditure projects and the returns on investment of various investment opportunities.

We believe that the presentation of EBITDA and distributable cash flow measures provide information useful to investors in assessing our financial condition and results of operations and assists in evaluating our ongoing operating performance for current and comparative periods.  EBITDA and distributable cash flow should not be considered alternatives to net income, operating income, cash flow from operating activities or any other measure of financial performance or liquidity presented in accordance with U.S. GAAP.  EBITDA and distributable cash flow have important limitations as analytical tools because they exclude some, but not all, items that affect net income and net cash provided by operating activities. Additionally, because EBITDA and distributable cash flow may be defined differently by other partnerships in our industry, our definitions of EBITDA and distributable cash flow may not be comparable to similarly titled measures of other partnerships, thereby diminishing their utility.  For a reconciliation of EBITDA and distributable cash flow to their most directly comparable financial measures calculated and presented in accordance with U.S. GAAP, please refer to "Results of Operations" below.  See the accompanying tables in this earnings release for a reconciliation of these non-GAAP measures to the most directly comparable GAAP measures. 

4 |

 

Delek Logistics Partners, LP

Condensed Consolidated Balance Sheets (Unaudited)

(In thousands, except unit and per unit data)


September 30, 2022


December 31, 2021

ASSETS




Current assets:




Cash and cash equivalents

$                  14,945


$                   4,292

   Accounts receivable

53,351


15,384

Inventory

2,490


2,406

Other current assets

2,424


951

Total current assets

73,210


23,033

Property, plant and equipment:




Property, plant and equipment

1,178,334


715,870

Less: accumulated depreciation

(302,734)


(266,482)

Property, plant and equipment, net

875,600


449,388

Equity method investments

248,005


250,030

Customer relationship intangible, net

203,966


Marketing contract intangible, net

111,169


116,577

Rights-of-way

55,230


37,280

Goodwill

26,609


12,203

Operating lease right-of-use assets

24,329


20,933

Other non-current assets

20,122


25,627

Total assets

$              1,638,240


$                935,071





LIABILITIES AND DEFICIT




Current liabilities:




Accounts payable

$                  53,053


$                   8,160

Accounts payable to related parties

173,170


64,423

Interest payable

18,012


5,024

Excise and other taxes payable

6,759


5,280

Current portion of operating lease liabilities

7,775


6,811

Accrued expenses and other current liabilities

7,189


7,117

Total current liabilities

265,958


96,815

Non-current liabilities:




Long-term debt

1,448,772


898,970

Asset retirement obligations

9,152


6,476

Operating lease liabilities, net of current portion

11,798


14,071

Other non-current liabilities

16,817


22,731

Total non-current liabilities

1,486,539


942,248

Total liabilities

1,752,497


1,039,063

Equity (Deficit):




Common unitholders - public; 9,180,901 units issued and outstanding at September 30, 2022 (8,774,053 at December 31, 2021)

168,911


166,067

Common unitholders - Delek Holdings; 34,311,278 units issued and outstanding at September 30, 2022 (34,696,800  at December 31, 2021)

(283,168)


(270,059)

Total deficit

(114,257)


(103,992)

Total liabilities and deficit

$             1,638,240


$               935,071

 

5 |

 

Delek Logistics Partners, LP

Condensed Consolidated Statements of Income (Unaudited)

(In thousands, except unit and per unit data)

Three Months Ended September 30,


Nine Months Ended September 30,


2022


2021


2022


2021

Net revenues:








Affiliate

$           127,150


$            123,519


$           375,270


$           308,435

Third-party

166,875


66,108


392,086


202,583

Net revenues

294,025


189,627


767,356


511,018

Cost of sales:








Cost of materials and other

177,740


105,129


480,295


274,995

Operating expenses (excluding depreciation and amortization presented below)

25,065


17,073


62,892


46,286

Depreciation and amortization

19,067


9,666


41,876


29,393

Total cost of sales

221,872


131,868


585,063


350,674

Operating expenses related to wholesale business (excluding depreciation and amortization presented below)

836


515


2,105


1,741

General and administrative expenses

11,959


5,898


30,826


15,933

Depreciation and amortization

473


490


1,421


1,469

Other operating (income) expense, net

(132)


273


(120)


54

Total operating costs and expenses

235,008


139,044


619,295


369,871

Operating income

59,017


50,583


148,061


141,147

Interest expense, net

22,559


14,529


53,621


35,924

Income from equity method investments

(8,567)


(7,261)


(22,666)


(17,952)

Other income, net

(36)


(115)


(39)


(118)

Total non-operating expenses, net

13,956


7,153


30,916


17,854

Income before income tax expense (benefit)

45,061


43,430


117,145


123,293

Income tax expense (benefit)

387


(194)


793


156

Net income attributable to partners

$             44,674


$              43,624


$           116,352


$           123,137

Comprehensive income attributable to partners

$             44,674


$              43,624


$           116,352


$           123,137









Net income per limited partner unit:








Basic

$                 1.03


$                 1.00


$                 2.68


$                 2.83

Diluted

$                 1.03


$                 1.00


$                 2.67


$                 2.83

Weighted average limited partner units outstanding:








Basic

43,485,779


43,454,535


43,477,801


43,447,739

Diluted

43,515,960


43,468,289


43,499,837


43,457,857

Cash distribution per common limited partner unit

$               0.990


$                0.950


$               2.955


$               3.800

 

Delek Logistics Partners, LP

Condensed Consolidated Statements of Cash Flows (Unaudited) (In thousands)

Nine Months Ended September 30,


2022


2021

Cash flows from operating activities




Net cash provided by operating activities

$           297,482


$           222,276

Cash flows from investing activities




Net cash used in investing activities

(705,087)


(7,971)

Cash flows from financing activities




Net cash provided by (used) in financing activities

418,258


(213,684)

Net increase in cash and cash equivalents

10,653


621

Cash and cash equivalents at the beginning of the period

4,292


4,243

Cash and cash equivalents at the end of the period

$            14,945


$               4,864

 

6 |

 

Delek Logistics Partners, LP

Reconciliation of  Amounts Reported Under U.S. GAAP

(In thousands)


Three Months Ended September 30,


Nine Months Ended September 30,


2022


2021


2022


2021

Reconciliation of Net Income to EBITDA:








Net income

$               44,674


$             43,624


$           116,352


$           123,137

Add:








Income tax expense (benefit)

387


(194)


793


156

Depreciation and amortization

19,540


10,156


43,297


30,862

Amortization of marketing contract intangible asset

1,802


1,802


5,408


5,408

Interest expense, net

22,559


14,529


53,621


35,924

EBITDA

$               88,962


$             69,917


$           219,471


$           195,487









Reconciliation of net cash from operating activities to distributable cash flow:








Net cash provided by operating activities

$             164,425


$             74,752


$           297,482


$           222,276

Changes in assets and liabilities

(94,450)


(16,256)


(115,358)


(56,898)

Non-cash lease expense

(2,100)


(2,460)


(13,584)


(6,967)

Distributions from equity method investments in investing activities


845


1,737


6,245

Maintenance and regulatory capital expenditures not distributable

(2,143)


(850)


(3,183)


(3,712)

Reimbursement from Delek for capital expenditures

19


11


5


1,588

Accretion of asset retirement obligations

(168)


(116)


(415)


(346)

Deferred income taxes

(76)


(138)


(76)


(203)

Gain (loss) on sale of assets

132


(273)


120


(54)

Distributable Cash Flow

$               65,639


$             55,515


$           166,728


$           161,929

Transaction costs

4,211



10,604



Distributable Cash Flow, as adjusted (1)

$               69,850


$             55,515


$           177,332


$           161,929

(1) Distributable cash flow adjusted to exclude transaction costs associated with the 3 Bear Acquisition.

 

Delek Logistics Partners, LP

Distributable Coverage Ratio Calculation

(In thousands)


Three Months Ended September 30,


Nine Months Ended September 30,

Distributions to partners of Delek Logistics, LP

2022


2021


2022


2021

Limited partners' distribution on common units

$              43,057


$             41,286


$           128,493


$           122,100

General partner's distributions




General partner's incentive distribution rights




Total distributions to be paid

$              43,057


$             41,286


$           128,493


$           122,100









Distributable cash flow

$              65,639


$             55,515


$           166,728


$           161,929

Distributable cash flow coverage ratio (1)

1.52x


1.34x


1.30x


1.33x

Distributable cash flow, as adjusted (2)

69,850


55,515


177,332


161,929

Distributable cash flow coverage ratio, as adjusted (3)

1.62x


1.34x


1.38x


1.33x

(1)  Distributable cash flow coverage ratio is calculated by dividing distributable cash flow by distributions to be paid in each respective period.

(2)  Distributable cash flow adjusted to exclude transaction costs associated with the 3 Bear Acquisition.

(3)  Distributable cash flow coverage ratio, as adjusted is calculated by dividing distributable cash flow, as adjusted for transaction costs by distributions to be paid in each respective period.

 

7 |

 

Delek Logistics Partners, LP

Segment Data (unaudited)

Three Months Ended September 30,


Nine Months Ended September 30,

(In thousands)

2022


2021


2022


2021

Pipelines and Transportation








Net revenues:








Affiliate

$              79,395


$              70,879


$            225,711


$            199,591

Third party

5,883


5,323


15,978


12,021

Total pipelines and transportation

85,278


76,202


241,689


211,612

Cost of materials and other

20,004


15,170


58,272


42,595

Operating expenses (excluding depreciation and amortization presented below)

11,292


13,680


37,789


34,710

Segment contribution margin

$              53,982


$              47,352


$            145,628


$            134,307

Depreciation and amortization

$                7,847


$                8,056


$              23,668


$              24,918

Capital spending

$              21,151


$                2,570


$              50,793


$                9,946

Wholesale Marketing and Terminalling








Net revenues:








   Affiliates (1)

$              45,162


$              52,640


$            144,004


$            108,844

Third party

102,703


60,785


300,177


190,562

Total wholesale marketing and terminalling

147,865


113,425


444,181


299,406

Cost of materials and other

122,614


89,959


373,126


232,400

Operating expenses (excluding depreciation and amortization presented below)

6,952


3,908


17,397


13,317

Segment contribution margin

$              18,299


$              19,558


$              53,658


$              53,689

Depreciation and amortization

$                2,640


$                2,100


$                7,641


$                5,944

Capital spending

$                  278


$                1,566


$                1,337


$                4,580

3 Bear Operations








Net revenues:








Affiliate

$                2,593


$                    —


$                5,555


$                    —

Third party

58,289



75,931


Total 3 Bear

60,882



81,486


Cost of materials and other

35,122



48,897


Operating expenses (excluding depreciation and amortization presented below)

7,657



9,811


Segment contribution margin

$              18,103


$                    —


$              22,778


$                    —

Depreciation and amortization

$                9,053


$                    —


$              11,988


$                    —

Capital spending

$              10,531


$                    —


$              15,642


$                    —

Investments in Pipeline Joint Ventures








Income from equity method investments

$                8,567


$                7,261


$              22,666


$              17,952

Equity method investments contributions

$                    —


$                    —


$                    —


$               (1,393)

Consolidated








Net revenues:








Affiliates

$            127,150


$            123,519


$            375,270


$            308,435

Third party

166,875


66,108


392,086


202,583

Total consolidated

294,025


189,627


767,356


511,018

Cost of materials and other

177,740


105,129


480,295


274,995

Operating expenses (excluding depreciation and amortization presented below)

25,901


17,588


64,997


48,027

Contribution margin

90,384


66,910


222,064


187,996

General and administrative expenses

11,959


5,898


30,826


15,933

Depreciation and amortization

19,540


10,156


43,297


30,862

Other operating (income) expense, net

(132)


273


(120)


54

Operating income

$              59,017


$              50,583


$            148,061


$            141,147

Capital spending

$              31,960


$                4,136


$              67,772


$              14,526

(1) Affiliate revenue for the wholesale marketing and terminalling segment is presented net of amortization expense pertaining to the Marketing Contract Intangible Acquisition.

 

8 |

 

Delek Logistics Partners, LP

Segment Capital Spending (1)

 (In thousands)


Three Months Ended September 30,


Nine Months Ended September 30,

Pipelines and Transportation

2022


2021


2022


2021

Maintenance capital spending

$                   720


$                  215


$               2,316


$               1,141

Discretionary capital spending

20,431


2,355


48,477


8,805

Segment capital spending

$              21,151


$               2,570


50,793


9,946

Wholesale Marketing and Terminalling








Maintenance capital spending

$                     —


$                  674


907


1,394

Discretionary capital spending

278


892


430


3,186

Segment capital spending

$                   278


$               1,566


1,337


4,580

3 Bear Operations








Maintenance capital spending

$                   169


$                    —


$                  753


$                    —

Discretionary capital spending

10,362



14,889


Segment capital spending

$              10,531


$                    —


$             15,642


$                    —

Consolidated








Maintenance capital spending

$                   889


$                  889


$               3,976


$               2,535

Discretionary capital spending

31,071


3,247


63,796


11,991

Total capital spending

$              31,960


$               4,136


$             67,772


$             14,526

(1) There were no capital contributions to equity method investments for the nine months ended September 30, 2022.

 

Delek Logistics Partners, LP





Segment Data (Unaudited)






Three Months Ended September 30,


Nine Months Ended September 30,


2022


2021


2022


2021

Pipelines and Transportation Segment:








Throughputs (average bpd)








El Dorado Assets:








    Crude pipelines (non-gathered)

87,653


81,929


81,795


60,344

    Refined products pipelines to Enterprise Systems

65,761


62,263


63,391


42,733

El Dorado Gathering System

14,354


14,086


16,150


14,056

East Texas Crude Logistics System

23,960


18,644


20,015


24,045

Permian Gathering System (1)

121,304


84,325


107,699


79,251

Plains Connection System

184,254


131,571


166,864


120,905

Trucking Assets

15,763


11,450


13,606


10,655









Wholesale Marketing and Terminalling Segment:








East Texas - Tyler Refinery sales volumes (average bpd) (2)

65,396


71,847


66,473


72,791

Big Spring marketing throughputs (average bpd)

74,238


81,880


76,135


76,680

West Texas marketing throughputs (average bpd)

10,082


10,560


10,023


10,033

West Texas gross margin per barrel

$                  4.23


$                 3.33


$                 3.84


$                 3.64

Terminalling throughputs (average bpd) (3)

142,003


144,355


138,558


142,959

(1)  Formerly known as the Big Spring Gathering System. Excludes volumes that are being temporarily transported via trucks while connectors are under construction.

(2)  Excludes jet fuel and petroleum coke.

(3)  Consists of terminalling throughputs at our Tyler, Big Spring, Big Sandy and Mount Pleasant, Texas, El Dorado and North Little Rock, Arkansas and Memphis and Nashville, Tennessee terminals.

 

9 |

 

3 Bear Operations Segment:

Three Months Ended
September 30, 2022


Period from June 1
through September 30, 2022





Natural Gas Gathering and Processing (Mcfd(1))

64,429


115,721

Crude Oil Gathering (bpd(2))

86,483


164,891

Water Disposal and Recycling (bpd(2))

69,411


125,127

(1) Mcfd - average thousand cubic feet per day.

(2) bpd - average barrels per day.

 

Information about Delek Logistics Partners, LP can be found on its website (www.deleklogistics.com), investor relations webpage (ir.deleklogistics.com), news webpage (www.deleklogistics.com/news) and its Twitter account (@DelekLogistics).

Delek Logistics Logo (PRNewsfoto/Delek Logistics)

10 |

SOURCE Delek Logistics

For further information: Investor/Media Relations Contacts: Blake Fernandez, Senior Vice President of Investor Relations and Market Intelligence, 615-224-1312; Media/Public Affairs Contact: Michael P. Ralsky, Vice President - Public Affairs & ESG, 615-435-1407