What is MPLX LP's core business?

MPLX LP is a fee-based, growth-oriented master limited partnership that owns, operates, develops, and acquires pipelines and other midstream assets related to the transportation and storage of crude oil, refined products, and other hydrocarbon-based products.

Who are MPLX LP's primary customers?

Marathon Petroleum Corporation (MPC) is MPLX LP's primary customer, accounting for the substantial majority of its revenues through long-term, fee-based transportation and storage services agreements.

How does MPLX LP generate revenue?

MPLX LP generates revenue primarily by charging tariffs for transporting crude oil, refined products, and other hydrocarbon-based products through its pipelines and at its barge dock, as well as fees for storing these products at its storage facilities. The company also earns operating fees for operating pipelines owned by MPC and third parties.

What is MPLX LP's growth strategy?

MPLX LP's growth strategy includes focusing on fee-based businesses, pursuing organic growth opportunities through increased utilization of existing assets and constructing new assets, and growing through acquisitions of complementary assets from MPC and third parties. MPC has indicated its intention for MPLX to be the primary growth vehicle for its midstream business.

What are the key risks for MPLX LP?

Key risks include MPLX's significant reliance on MPC for revenue, potential disruptions to MPC's operations, regulatory changes impacting pipeline operations, and the need to secure third-party business to supplement its growth. The company's ability to make distributions also depends on its operating cash flow and capital expenditures.

MPLX/MPLXP 10-K FY2013 Annual Report — Revenue, Net Income, EPS

Summary

MPLX LP's (MPLX) 2013 10-K filing outlines a company primarily engaged in fee-based midstream operations, focusing on the transportation and storage of crude oil and refined products. The partnership's infrastructure is largely integral to Marathon Petroleum Corporation's (MPC) refining operations, with MPC being the source of the substantial majority of MPLX's revenues through long-term, fee-based agreements with minimum volume commitments. This structure is designed to provide stable and predictable cash flows. MPLX is strategically positioned to benefit from MPC's growth initiatives and has plans for organic growth and acquisitions. The company highlights its strategic relationship with MPC, its geographically diverse and well-maintained asset base, and its financial flexibility as key strengths. Investors should note the significant reliance on MPC as a customer and the associated risks, as well as the regulatory environment governing pipeline operations. The filing also details the partnership's distribution policy and the structure of its general partner and incentive distribution rights.

Key Highlights

1MPLX operates a fee-based midstream business focused on transporting and storing crude oil and refined products.

2The company's assets are integral to Marathon Petroleum Corporation (MPC), which is the primary source of revenue.

3Long-term, fee-based agreements with MPC, including minimum volume commitments, provide stable and predictable cash flows.

4MPLX has a stated strategy of organic growth and acquisitions, with MPC expected to be a key partner in future asset opportunities.

5The company's asset network is extensive, covering the Midwest and Gulf Coast regions.

6MPLX is subject to extensive federal, state, and local environmental and pipeline safety regulations.

7The partnership aims to increase quarterly cash distributions to unitholders over time.

Revenue	$486.00M
Operating Expenses	$339.00M
Operating Income	$213.00M
Net Income	$78.00M

MPLX LP Annual Report, Year Ended Dec 31, 2013

Summary

Financial Highlights

Key Highlights

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