Western Midstream Announces Second-Quarter 2020 Results

Rhea-AI Summary

Western Midstream Partners, LP (NYSE: WES) reported second-quarter 2020 results with a net income of $267.6 million, equating to $0.60 per unit diluted. Adjusted EBITDA reached $514.4 million. Notable achievements include record Delaware Basin produced-water throughput of 773 MBbls/d and oil throughput of 202 MBbls/d. The partnership executed repurchases of Senior Notes totaling $64.5 million.

The second-quarter distribution remains unchanged at $0.3110 per unit. Guidance indicates Adjusted EBITDA between $1.85 billion and $1.90 billion for the year, with capital expenditures projected between $400 million and $450 million.

Positive

• Net income of $267.6 million or $0.60 per common unit.
• Adjusted EBITDA of $514.4 million for Q2 2020.
• Record Delaware Basin produced-water throughput of 773 MBbls/d, an 8% increase.
• Record Delaware oil throughput of 202 MBbls/d, a 5% increase.
• Free cash flow after distributions totaled $67.7 million.

Negative

• Total natural-gas throughput averaged 4.4 Bcf/d, a 1% sequential decrease.
• Throughput for crude oil and NGLs averaged 711 MBbls/d, a 6% sequential decrease.

HOUSTON, Aug. 10, 2020 /PRNewswire/ -- Today Western Midstream Partners, LP (NYSE: WES) ("WES" or the "Partnership") announced second-quarter 2020 financial and operating results. Net income (loss) available to limited partners for the second quarter of 2020 totaled $267.6 million, or $0.60 per common unit (diluted), with second-quarter 2020 Adjusted EBITDA⁽¹⁾ totaling $514.4 million, second-quarter 2020 Cash flows from operating activities totaling $345.7 million, and second-quarter 2020 Free cash flow⁽¹⁾ totaling $208.6 million.

SECOND-QUARTER HIGHLIGHTS

• Gathered record Delaware Basin produced-water throughput of 773 MBbls/d, representing an 8-percent sequential-quarter increase
• Achieved record Delaware oil throughput of 202 MBbls/d, representing a 5-percent sequential-quarter increase
• Executed open-market repurchases for $64.5 million of Senior Notes due 2021, 2022, and 2023 for an aggregate repurchase price of $63 million

 

(1)	Please see the definitions of the Partnership's non-GAAP measures at the end of this release and reconciliation of GAAP to non-GAAP measures.

In July 2020, WES announced its second-quarter 2020 per-unit distribution of $0.3110, which is unchanged from WES's first-quarter 2020 per-unit distribution. Second-quarter 2020 Free cash flow after distributions totaled $67.7 million.

"Less-than-expected producer curtailments, commercial successes, and realized cost efficiencies underpin our impressive and above-expectation second-quarter results," said Chief Executive Officer, Michael Ure. "Although our sector continues to face significant uncertainty, we are optimistic that activity will increase into 2021 and confident in our ability to generate meaningful free cash flow after distributions while advancing our long-term objectives."

Second-quarter 2020 total natural-gas throughput⁽¹⁾ averaged 4.4 Bcf/d, representing a 1-percent sequential-quarter decrease and a 3-percent increase from second-quarter 2019. Second-quarter 2020 total throughput for crude-oil and NGLs assets⁽¹⁾ averaged 711 MBbls/d, representing a 6-percent sequential-quarter decrease and a 19-percent increase from second-quarter 2019. Second-quarter 2020 total throughput for produced-water assets averaged 773 MBbls/d, representing an 8-percent sequential-quarter increase and a 50-percent increase from second-quarter 2019.

Second-quarter 2020 and year-to-date capital expenditures⁽²⁾ totaled $69.6 million and $227.6 million, respectively.

(1)	Represents total throughput attributable to WES, which excludes the 25% third-party interest in Chipeta and the 2.0% Occidental subsidiary-owned limited partner interest in WES Operating, which collectively represent WES's noncontrolling interests.
(2)	Accrual-based, includes equity investments, and excludes capitalized interest and capital expenditures associated with the 25% third-party interest in Chipeta.

 

REVISED 2020 GUIDANCE
Revised 2020 guidance is based on to-date results and customer-provided production-forecast information obtained by WES. Updated guidance is as follows:

• Adjusted EBITDA⁽¹⁾ between $1.85 billion and $1.90 billion, which represents a $100 million increase to the midpoint of guidance previously issued with WES's first-quarter 2020 earnings results ("prior guidance")
• Total capital expenditures⁽²⁾ between $400 million and $450 million, which represents a $75 million reduction to the prior-guidance midpoint. Total year capital expenditures include capital expenditures attributable to the second Latham train completed during first-quarter 2020 and the addition of approximately 28,750 horsepower of compression, 65 miles of gathering lines, 90 MBbls/d of Delaware Basin saltwater-disposal capacity, and two 30 MBbls/d oil-stabilization trains, also in the Delaware Basin

"Second-quarter commodity-price increases lessened the adverse impact of production curtailments and current commodity prices support continued producer activity," said Chief Financial Officer, Mike Pearl. "We expect incremental drilling and completion activity to continue into 2021 and beyond so long as commodity prices remain supportive. Irrespective of market conditions, we will remain committed to exercising capital discipline and realizing cost savings to maximize Free cash flow after distributions, which we will prioritize toward leverage reduction."

(1)	A reconciliation of the Adjusted EBITDA range to net cash provided by operating activities and net income (loss) is not provided because the items necessary to estimate such amounts are not reasonably estimable at this time.
(2)	Accrual-based, includes equity investments, and excludes capitalized interest and capital expenditures associated with the 25% third-party interest in Chipeta.

 

CONFERENCE CALL TOMORROW AT 1 P.M. CDT
WES will host a conference call on Tuesday, August 11, 2020, at 1:00 p.m. Central Daylight Time (2:00 p.m. Eastern Daylight Time) to discuss second-quarter 2020 results. To participate, individuals should dial 877-883-0383 (Domestic) or 412-902-6506 (International) 15 minutes before the scheduled conference call time and enter participant access code 2048166. To access the live audio webcast of the conference call, please visit the investor relations section of the Partnership's website at www.westernmidstream.com. A replay of the conference call also will be available on the website for two weeks following the call.

ABOUT WESTERN MIDSTREAM
Western Midstream Partners, LP ("WES") is a Delaware master limited partnership formed to acquire, own, develop, and operate midstream assets. With midstream assets located in the Rocky Mountains, North-central Pennsylvania, Texas, and New Mexico, WES is engaged in the business of gathering, compressing, treating, processing, and transporting natural gas; gathering, stabilizing, and transporting condensate, natural-gas liquids, and crude oil; and gathering and disposing of produced water for its customers. In its capacity as a natural-gas processor, WES also buys and sells natural gas, natural-gas liquids, and condensate on behalf of itself and as an agent for its customers under certain contracts.

For more information about Western Midstream Partners, LP, please visit www.westernmidstream.com.

This news release contains forward-looking statements. WES's management believes that its expectations are based on reasonable assumptions. No assurance, however, can be given that such expectations will prove correct. A number of factors could cause actual results to differ materially from the projections, anticipated results, or other expectations expressed in this news release. These factors include the ultimate impact of efforts to fight COVID-19 on the global economy and the timeline for a recovery in commodity demand and prices; our ability to meet financial guidance or distribution expectations; our ability to safely and efficiently operate WES's assets; the supply of, demand for, and price of oil, natural gas, NGLs, and related products or services; our ability to meet projected in-service dates for capital-growth projects; construction costs or capital expenditures exceeding estimated or budgeted costs or expenditures; and the other factors described in the "Risk Factors" section of WES's most-recent Form 10-K and Form 10-Q filed with the Securities and Exchange Commission and other public filings and press releases. WES undertakes no obligation to publicly update or revise any forward-looking statements.

WESTERN MIDSTREAM CONTACTS

Kristen S. Shults
Vice President, Investor Relations and Communications
Kristen.Shults@westernmidstream.com
832.636.6000

Abby Dempsey
Investor Relations Supervisor
Abby.Dempsey@westernmidstream.com
832.636.6000

 

Western Midstream Partners, LP
RECONCILIATION OF GAAP TO NON-GAAP MEASURES

WES defines "Free cash flow" as net cash provided by operating activities less total capital expenditures and contributions to equity investments, plus distributions from equity investments in excess of cumulative earnings. Management considers Free cash flow an appropriate metric for assessing capital discipline, cost efficiency, and balance-sheet strength. Although Free cash flow is the metric used to assess WES's ability to make distributions to unitholders, this measure should not be viewed as indicative of the actual amount of cash that is available for distributions or planned for distributions for a given period. Instead, Free cash flow should be considered indicative of the amount of cash that is available for distributions, debt repayments, and other general partnership purposes.

WES defines Adjusted EBITDA as net income (loss), plus (i) distributions from equity investments, (ii) non-cash equity-based compensation expense, (iii) interest expense, (iv) income tax expense, (v) depreciation and amortization, (vi) impairments, and (vii) other expense (including lower of cost or market inventory adjustments recorded in cost of product), less (i) gain (loss) on divestiture and other, net, (ii) gain (loss) on early extinguishment of debt, (iii) income from equity investments, (iv) interest income, (v) income tax benefit, (vi) other income, and (vii) the noncontrolling interests owners' proportionate share of revenues and expenses.

WES defines Adjusted gross margin attributable to Western Midstream Partners, LP ("Adjusted gross margin") as total revenues and other (less reimbursements for electricity-related expenses recorded as revenue), less cost of product, plus distributions from equity investments, and excluding the noncontrolling interests owners' proportionate share of revenues and cost of product.

Below are reconciliations of (i) net cash provided by operating activities (GAAP) to Free cash flow (non-GAAP), (ii) net income (loss) (GAAP) and net cash provided by operating activities (GAAP) to Adjusted EBITDA (non-GAAP), and (iii) operating income (loss) (GAAP) to Adjusted gross margin (non-GAAP), as required under Regulation G of the Securities Exchange Act of 1934. Management believes that WES's Free cash flow, Adjusted EBITDA, and Adjusted gross margin are widely accepted financial indicators of WES's financial performance compared to other publicly traded partnerships and are useful in assessing WES's ability to incur and service debt, fund capital expenditures, and make distributions. Free cash flow, Adjusted EBITDA, and Adjusted gross margin as defined by WES, may not be comparable to similarly titled measures used by other companies. Therefore, WES's Free cash flow, Adjusted EBITDA, and Adjusted gross margin should be considered in conjunction with net income (loss) attributable to Western Midstream Partners, LP and other applicable performance measures, such as operating income (loss) or cash flows from operating activities.

 

Western Midstream Partners, LP RECONCILIATION OF GAAP TO NON-GAAP MEASURES (CONTINUED)
Free Cash Flow
		Three Months Ended  June 30,								Six Months Ended  June 30,
thousands		2020				2019				2020				2019
Reconciliation of Net cash provided by operating activities to Free cash flow
Net cash provided by operating activities		$	345,688			$	343,458			$	738,999			$	686,531
Less:
Capital expenditures		140,249				318,281				313,065				704,425
Contributions to equity investments		5,104				40,790				16,064				77,333
Add:
Distributions from equity investments in excess of cumulative earnings		8,288				9,260				13,340				17,052
Free cash flow		$	208,623			$	(6,353)			$	423,210			$	(78,175)
Cash flow information
Net cash provided by operating activities										$	738,999			$	686,531
Net cash used in investing activities										(355,001)				(2,865,168)
Net cash provided by (used in) financing activities										(424,222)				2,182,290

 

 

Western Midstream Partners, LP RECONCILIATION OF GAAP TO NON-GAAP MEASURES (CONTINUED)
Adjusted EBITDA
		Three Months Ended  June 30,								Six Months Ended  June 30,
thousands		2020				2019				2020				2019
Reconciliation of Net income (loss) to Adjusted EBITDA
Net income (loss)		$	281,341			$	175,058			$	(8,059)			$	387,037
Add:
Distributions from equity investments		71,576				70,522				137,496				132,535
Non-cash equity-based compensation expense		5,677				4,343				10,911				6,141
Interest expense		94,654				79,472				183,240				145,348
Income tax expense		5,044				1,278				5,044				11,370
Depreciation and amortization		119,805				121,117				252,124				235,063
Impairments (1)		10,150				797				606,952				1,187
Other expense		(2,098)				58,639				1,950				93,852
Less:
Gain (loss) on divestiture and other, net		(2,843)				(1,061)				(2,883)				(1,651)
Gain (loss) on early extinguishment of debt		1,395				—				8,740				—
Equity income, net – related parties		54,415				63,598				115,762				121,590
Interest income – Anadarko note receivable		4,225				4,225				8,450				8,450
Other income		1,652				—				1,652				—
Income tax benefit		—				—				4,280				—
Adjusted EBITDA attributable to noncontrolling interests (2)		12,864				11,544				25,629				22,894
Adjusted EBITDA		$	514,441			$	432,920			$	1,028,028			$	861,250
Reconciliation of Net cash provided by operating activities to Adjusted EBITDA
Net cash provided by operating activities		$	345,688			$	343,458			$	738,999			$	686,531
Interest (income) expense, net		90,429				75,247				174,790				136,898
Uncontributed cash-based compensation awards		—				1,218				—				648
Accretion and amortization of long-term obligations, net		(2,197)				(1,337)				(4,297)				(2,848)
Current income tax expense (benefit)		2,077				458				(35)				6,485
Other (income) expense, net (3)		(2,173)				(470)				(412)				(902)
Cash paid to settle interest-rate swaps		12,763				—				12,763				—
Distributions from equity investments in excess of cumulative earnings – related parties		8,288				9,260				13,340				17,052
Changes in assets and liabilities:
Accounts receivable, net		207,838				6,818				200,136				(2,668)
Accounts and imbalance payables and accrued liabilities, net		(101,247)				25,669				(72,323)				81,198
Other items, net		(34,161)				(15,857)				(9,304)				(38,250)
Adjusted EBITDA attributable to noncontrolling interests (2)		(12,864)				(11,544)				(25,629)				(22,894)
Adjusted EBITDA		$	514,441			$	432,920			$	1,028,028			$	861,250
Cash flow information
Net cash provided by operating activities										$	738,999			$	686,531
Net cash used in investing activities										(355,001)				(2,865,168)
Net cash provided by (used in) financing activities										(424,222)				2,182,290

(1)	Includes goodwill impairment for the six months ended June 30, 2020.
(2)	For all periods presented, includes (i) the 25% third-party interest in Chipeta and (ii) the 2.0% Occidental subsidiary-owned limited partner interest in WES Operating, which collectively represent WES's noncontrolling interests.
(3)	Excludes non-cash losses on interest-rate swaps of $59.0 million and $94.6 million for the three and six months ended June 30, 2019, respectively.

 

 

Western Midstream Partners, LP RECONCILIATION OF GAAP TO NON-GAAP MEASURES (CONTINUED)
Adjusted Gross Margin
		Three Months Ended  June 30,								Six Months Ended  June 30,
thousands		2020				2019				2020				2019
Reconciliation of Operating income (loss) to Adjusted gross margin
Operating income (loss)		$	373,766			$	310,060			$	158,863			$	628,988
Add:
Distributions from equity investments		71,576				70,522				137,496				132,535
Operation and maintenance		145,186				148,431				304,377				291,260
General and administrative		36,423				30,027				76,888				52,871
Property and other taxes		19,395				14,282				37,871				30,567
Depreciation and amortization		119,805				121,117				252,124				235,063
Impairments (1)		10,150				797				606,952				1,187
Less:
Gain (loss) on divestiture and other, net		(2,843)				(1,061)				(2,883)				(1,651)
Equity income, net – related parties		54,415				63,598				115,762				121,590
Reimbursed electricity-related charges recorded as revenues		21,605				20,189				40,828				36,778
Adjusted gross margin attributable to noncontrolling interests (2)		16,167				16,034				32,592				31,584
Adjusted gross margin		$	686,957			$	596,476			$	1,388,272			$	1,184,170
Adjusted gross margin for natural-gas assets		$	454,476			$	412,494			$	925,842			$	824,922
Adjusted gross margin for crude-oil and NGLs assets		165,767				137,716				333,595				269,086
Adjusted gross margin for produced-water assets		66,714				46,266				128,835				90,162

(1)	Includes goodwill impairment for the six months ended June 30, 2020.
(2)	For all periods presented, includes (i) the 25% third-party interest in Chipeta and (ii) the 2.0% Occidental subsidiary-owned limited partner interest in WES Operating, which collectively represent WES's noncontrolling interests.

 

 

Western Midstream Partners, LP CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)
		Three Months Ended  June 30,								Six Months Ended  June 30,
thousands except per-unit amounts		2020				2019				2020				2019
Revenues and other
Service revenues – fee based		$	642,628			$	593,544			$	1,344,024			$	1,173,518
Service revenues – product based		7,000				16,675				22,921				36,054
Product sales		21,736				74,469				78,385				146,602
Other		391				366				738				763
Total revenues and other		671,755				685,054				1,446,068				1,356,937
Equity income, net – related parties		54,415				63,598				115,762				121,590
Operating expenses
Cost of product		18,602				122,877				121,872				236,940
Operation and maintenance		145,186				148,431				304,377				291,260
General and administrative		36,423				30,027				76,888				52,871
Property and other taxes		19,395				14,282				37,871				30,567
Depreciation and amortization		119,805				121,117				252,124				235,063
Long-lived asset impairments		10,150				797				165,935				1,187
Goodwill impairment		—				—				441,017				—
Total operating expenses		349,561				437,531				1,400,084				847,888
Gain (loss) on divestiture and other, net		(2,843)				(1,061)				(2,883)				(1,651)
Operating income (loss)		373,766				310,060				158,863				628,988
Interest income – Anadarko note receivable		4,225				4,225				8,450				8,450
Interest expense		(94,654)				(79,472)				(183,240)				(145,348)
Gain (loss) on early extinguishment of debt		1,395				—				8,740				—
Other income (expense), net (1)		1,653				(58,477)				(108)				(93,683)
Income (loss) before income taxes		286,385				176,336				(7,295)				398,407
Income tax expense (benefit)		5,044				1,278				764				11,370
Net income (loss)		281,341				175,058				(8,059)				387,037
Net income (loss) attributable to noncontrolling interests		8,304				5,464				(24,569)				98,783
Net income (loss) attributable to Western Midstream Partners, LP		$	273,037			$	169,594			$	16,510			$	288,254
Limited partners' interest in net income (loss):
Net income (loss) attributable to Western Midstream Partners, LP		$	273,037			$	169,594			$	16,510			$	288,254
Pre-acquisition net (income) loss allocated to Anadarko		—				(163)				—				(29,279)
General partner interest in net (income) loss		(5,461)				—				(330)				—
Limited partners' interest in net income (loss)		$	267,576			$	169,431			$	16,180			$	258,975
Net income (loss) per common unit – basic and diluted		$	0.60			$	0.37			$	0.04			$	0.69
Weighted-average common units outstanding – basic and diluted		443,973				453,000				443,972				376,702

(1)	Includes losses associated with the interest-rate swap agreements for the three and six months ended June 30, 2019.

 

 

Western Midstream Partners, LP CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited)
thousands except number of units		June 30, 2020				December 31, 2019
Total current assets		$	559,163			$	402,412
Anadarko note receivable		259,481				260,000
Net property, plant, and equipment		8,914,716				9,064,931
Other assets		2,219,883				2,619,110
Total assets		$	11,953,243			$	12,346,453
Total current liabilities		$	891,046			$	485,954
Long-term debt		7,544,396				7,951,565
Asset retirement obligations		327,971				336,396
Other liabilities		254,313				227,245
Total liabilities		9,017,726				9,001,160
Equity and partners' capital
Common units (443,992,499 and 443,971,409 units issued and outstanding at June 30, 2020, and December 31, 2019, respectively)		2,820,327				3,209,947
General partner units (9,060,641 units issued and outstanding at June 30, 2020, and December 31, 2019)		(22,347)				(14,224)
Noncontrolling interests		137,537				149,570
Total liabilities, equity, and partners' capital		$	11,953,243			$	12,346,453

 

 

Western Midstream Partners, LP CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)
		Six Months Ended  June 30,
thousands		2020				2019
Cash flows from operating activities
Net income (loss)		$	(8,059)			$	387,037
Adjustments to reconcile net income (loss) to net cash provided by operating activities and changes in assets and liabilities:
Depreciation and amortization		252,124				235,063
Long-lived asset impairments		165,935				1,187
Goodwill impairment		441,017				—
(Gain) loss on divestiture and other, net		2,883				1,651
(Gain) loss on early extinguishment of debt		(8,740)				—
(Gain) loss on interest-rate swaps		—				94,585
Cash paid to settle interest-rate swaps		(12,763)				—
Change in other items, net		(93,398)				(32,992)
Net cash provided by operating activities		$	738,999			$	686,531
Cash flows from investing activities
Capital expenditures		$	(313,065)			$	(704,425)
Acquisitions from related parties		—				(2,007,501)
Acquisitions from third parties		—				(93,303)
Contributions to equity investments - related parties		(16,064)				(77,333)
Distributions from equity investments in excess of cumulative earnings – related parties		13,340				17,052
Proceeds from the sale of assets to third parties		—				342
Other		(39,212)				—
Net cash used in investing activities		$	(355,001)			$	(2,865,168)
Cash flows from financing activities
Borrowings, net of debt issuance costs		$	3,586,173			$	2,710,750
Repayments of debt		(3,583,149)				(467,595)
Increase (decrease) in outstanding checks		(4,686)				(5,662)
Registration expenses related to the issuance of Partnership common units		—				(855)
Distributions to Partnership unitholders		(422,679)				(408,234)
Distributions to Chipeta noncontrolling interest owner		(2,775)				(3,793)
Distributions to noncontrolling interest owners of WES Operating		(8,676)				(106,666)
Net contributions from (distributions to) related parties		21,832				456,938
Above-market component of swap agreements with Anadarko		—				7,407
Finance lease payments		(10,262)				—
Net cash provided by (used in) financing activities		$	(424,222)			$	2,182,290
Net increase (decrease) in cash and cash equivalents		$	(40,224)			$	3,653
Cash and cash equivalents at beginning of period		99,962				92,142
Cash and cash equivalents at end of period		$	59,738			$	95,795

 

 

Western Midstream Partners, LP OPERATING STATISTICS (Unaudited)
		Three Months Ended  June 30,								Six Months Ended  June 30,
		2020				2019				2020				2019
Throughput for natural-gas assets (MMcf/d)
Gathering, treating, and transportation		554				528				547				527
Processing		3,563				3,524				3,605				3,498
Equity investments (1)		458				402				451				390
Total throughput		4,575				4,454				4,603				4,415
Throughput attributable to noncontrolling interests (2)		162				178				164				177
Total throughput attributable to WES for natural-gas assets		4,413				4,276				4,439				4,238
Throughput for crude-oil and NGLs assets (MBbls/d)
Gathering, treating, and transportation		359				302				360				303
Equity investments (3)		367				311				391				308
Total throughput		726				613				751				611
Throughput attributable to noncontrolling interests (2)		15				13				15				13
Total throughput attributable to WES for crude-oil and NGLs assets		711				600				736				598
Throughput for produced-water assets (MBbls/d)
Gathering and disposal		773				515				745				516
Throughput attributable to noncontrolling interests (2)		15				10				15				10
Total throughput attributable to WES for produced-water assets		758				505				730				506
Per-Mcf Adjusted gross margin for natural-gas assets (4)		$	1.13			$	1.06			$	1.15			$	1.08
Per-Bbl Adjusted gross margin for crude-oil and NGLs assets (5)		2.56				2.52				2.49				2.49
Per-Bbl Adjusted gross margin for produced-water assets (6)		0.97				1.01				0.97				0.98

(1)	Represents the 14.81% share of average Fort Union throughput, 22% share of average Rendezvous throughput, 50% share of average Mi Vida and Ranch Westex throughput, and 30% share of average Red Bluff Express throughput.
(2)	For all periods presented, includes (i) the 25% third-party interest in Chipeta and (ii) the 2.0% Occidental subsidiary-owned limited partner interest in WES Operating, which collectively represent WES's noncontrolling interests.
(3)	Represents the 10% share of average White Cliffs throughput; 25% share of average Mont Belvieu JV throughput; 20% share of average TEG, TEP, Whitethorn, and Saddlehorn throughput; 33.33% share of average FRP throughput; and 15% share of average Panola and Cactus II throughput.
(4)	Average for period. Calculated as Adjusted gross margin for natural-gas assets, divided by total throughput (MMcf/d) attributable to WES for natural-gas assets.
(5)	Average for period. Calculated as Adjusted gross margin for crude-oil and NGLs assets, divided by total throughput (MBbls/d) attributable to WES for crude-oil and NGLs assets.
(6)	Average for period. Calculated as Adjusted gross margin for produced-water assets, divided by total throughput (MBbls/d) attributable to WES for produced-water assets.

 

 

Western Midstream Partners, LP OPERATING STATISTICS (CONTINUED) (Unaudited)
		Three Months Ended June 30,
		2020			2019			2020			2019			2020			2019
		Natural gas (MMcf/d)						Crude oil & NGLs (MBbls/d)						Produced water (MBbls/d)
Delaware Basin		1,309			1,179			202			141			773			515
DJ Basin		1,329			1,266			113			112			—			—
Equity investments		458			402			367			311			—			—
Other		1,479			1,607			44			49			—			—
Total throughput		4,575			4,454			726			613			773			515
		Six Months Ended June 30,
		2020			2019			2020			2019			2020			2019
		Natural gas (MMcf/d)						Crude oil & NGLs (MBbls/d)						Produced water (MBbls/d)
Delaware Basin		1,349			1,178			197			143			745			516
DJ Basin		1,368			1,262			120			107			—			—
Equity investments		451			390			391			308			—			—
Other		1,435			1,585			43			53			—			—
Total throughput		4,603			4,415			751			611			745			516

 

 

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SOURCE Western Midstream Partners, LP

FAQ

What were the key financial results for WES in Q2 2020?

WES reported a net income of $267.6 million and Adjusted EBITDA of $514.4 million.

How much free cash flow did WES generate in Q2 2020?

WES generated $67.7 million in free cash flow after distributions.

What is the updated 2020 guidance for WES?

For 2020, WES projects Adjusted EBITDA between $1.85 billion and $1.90 billion.

How has WES's throughput changed in the second quarter?

WES experienced an 8% increase in produced-water throughput but a 1% decrease in natural gas throughput.

What was the distribution per unit for WES in Q2 2020?

WES maintained a distribution of $0.3110 per common unit, unchanged from Q1 2020.