Regency Energy Partners LP (NYSE:RGP) Q4 2014 Earnings Conference Call - Final Transcript
Feb 19, 2015 • 11:00 am ET
Good day, ladies and gentlemen, and welcome to the Fourth Quarter 2014 Regency Energy Partners LP Earnings Conference Call. My name is Tony, and I will be your operator for today. At this time, all participants are in listen-only mode. Later, we will conduct a question-and-answer session (Operators Instructions). As a reminder, this conference is being recorded for replay purposes.I would now like to turn the conference over to Ms. Lyndsay Hannah, Director of Finance and Investor Relations. Please proceed.
Good morning, everyone, and welcome to our call. Today, we will cover Regency's performance for fourth quarter and full year 2014. Presenting on the call will be Mike Bradley, President and Chief Executive Officer; and Tom Long, our Chief Financial Officer. Additionally, Jim Holotik, our Chief Commercial Officer, is available for Q&A.Following our prepared remarks, Regency will open the call to participants for questions.
You may access the earnings release issued yesterday through Regency's website at regencyenergy.com. Our call is being recorded and is also broadcast live over the Internet on the Regency corporate website. An archive of the webcast will be available on the website following today's call. Please note that we plan to file our 10-K on February 26.During the call, we may make forward-looking statements.
(Forward-Looking Cautionary Statements)
With that, I will turn the call over to our CEO, Mike Bradley.
Thanks, Lyndsay, and hello, everyone, and thank you again for joining us on our call this morning. Today I am going to start with a brief overview of 2014 including some of our cost initiatives for the year and we're very pleased with our performance for 2014 as we continue to experience strong growth across our legacy Gathering and Processing, Contract Compression and NGL Logistics businesses. For our legacy Gathering and Processing, this growth was driven by the ramp up of Gathering including expansion on our Edwards Lime joint venture and Eagle Ford gathering systems in South Texas, processing expansions in North Louisiana and Gathering and Processing expansion in West Texas.
For Contract Services, revenue generating horsepower increase in all of our operating regions particularly in the Permian, Eagle Ford and Niobrara. Growth on the Lone Star joint venture was driven by the ramp up of barrels on the Gateway NGL pipeline and the second fractionators. Very importantly, we completed the acquisitions of PVR, the Eagle Rock midstream assets and Hoover which has positioned Regency as one of the largest G&P midstream MLPs. The integration of these assets continues to go very well and we're pleased with their contribution in the fourth quarter.
Now for a brief update on our merger with Energy Transfer Partners. In January, ETP and Regency announced that we'd enter into a merger agreement, pursuant to which Regency will merge into ETP in a unit-for-unit transaction. As discussed earlier, on the Energy Transfer earnings call, ETP and Regency announced that we have amended the merger agreement to; one, replace the cash distribution of $0.32 per unit with additional ETP common units, based on