Boardwalk Pipeline Partners, LP is a midstream master limited partnership based in Houston, Texas. The Company, by way of its subsidiaries, provides transportation, storage, gathering, and processing services for natural gas, and natural gas liquids and other hydrocarbons (NGLs) in the U.S.
Boardwalk Pipeline Partners serves producers, local distribution companies (LDCs), marketers, electric power generators, direct industrial users, as well as interstate and intrastate pipelines. In essence, Boardwalk Pipeline Partners’ strategy is to add new and used markets to its natural gas system and to increase its liquids related business.
Boardwalk Pipeline Partners operates roughly 14,525 miles of pipelines and underground storage caverns with a collective working gas capacity of around 205 billion cubic feet (Bcf) and liquids capacity of about 24 million barrels. The Company’s pipeline systems transported roughly 2.4 trillion cubic feet (Tcf) of natural gas and approximately 46.6 MMBbls of NGLs in 2015.
Boardwalk Pipeline Partners’ operating subsidiaries are: Texas Gas Transmission, LLC; Gulf South Pipeline Company, LP; Gulf Crossing Pipeline Company LLC; ; and Boardwalk Louisiana Midstream, LLC. Texas Gas has been one of its pipelines that has had considerable growth in power generation, and Boardwalk expects this to continue.
Boardwalk’s natural gas storage facilities consist of 14 underground storage fields located in four states. Its NGLs storage facilities comprise nine salt-dome caverns located in Louisiana. In addition, the Company owns three salt-dome caverns and a brine pond for use in providing brine supply services and to support the NGLs storage operations. Approximately 90% of Boardwalk’s annual revenue comes from fixed-fee, take-or-pay contracts with mainly investment-grade clients.
In June 2016, the Company’s Southern Indiana Lateral project, which serves an industrial customer, was placed into service. Moreover, its Ohio to Louisiana Access project began service on June 1, 2016. In addition, construction of its Northern Supply Access project commenced this past July.
Furthermore, Boardwalk is advancing with its Boardwalk Louisiana Midstream project construction. This project is to provide ethane and ethylene transportation and storage services for Sasol’s new ethane cracker and derivatives complex. Also, Boardwalk’s Brine Supply project is moving ahead on schedule. The expectation is that it will begin service in 2018. Overall, regarding its present line up of growth projects, Boardwalk has invested about $400 million.
For Q2 2016, Boardwalk Pipeline Partners transported about 562 TBtu of natural gas. It also transported roughly 16 million barrels of liquids in Q2 of 2016.
For Q2 ended June 30, 2016, Boardwalk had Operating Revenues of $306.3 million for the quarter and $651.3 million for the six months ended June 30, 2016. This represents a 3% increase and a 4% increase from $298.6 million and $628.3 million in the comparable prior year periods.
The Company’s Net Income was $65.7 million for the quarter and $166.7 million for the six months ended June 30, 2016. This represents a 63% increase and a 41% increase from $40.4 million and $118.1 million in the comparable year-ago periods.
Boardwalk Pipeline Partners reported its Q3 2016 earnings on Monday, October 31, 2016. The Company issued its earnings news release before the market opened on Monday, October 31, 2016.