EX-99.1 2 wes2019q38-kxerxex991.htm EXHIBIT 99.1 Exhibit


EXHIBIT 99.1
wesprlogo.jpg
WESTERN MIDSTREAM ANNOUNCES
THIRD-QUARTER 2019 RESULTS
ANNOUNCES PRELIMINARY 2020 OUTLOOK

HOUSTON—(PRNEWSWIRE)—November 4, 2019 – Today, Western Midstream Partners, LP (NYSE: WES) (“WES” or the “Partnership”) announced third-quarter 2019 financial and operating results. Net income (loss) available to limited partners for the third quarter of 2019 totaled $121.2 million, or $0.27 per common unit (diluted), with third-quarter 2019 Adjusted EBITDA(1) totaling $410.2 million and third-quarter 2019 Distributable cash flow(1) totaling $304.4 million.
RECENT HIGHLIGHTS
•
Achieved record West Texas Complex gas throughput of 1.27 Bcf/d for third quarter, representing an 8% sequential-quarter increase
•
Achieved record Delaware Basin water throughput of 580 MBbls/d for third quarter, representing a 13% sequential-quarter increase
•
Achieved record DJ Basin and West Texas oil throughput of 275 MBbls/d for third quarter, representing a 9% sequential-quarter increase
•
Estimated 2019 total capital expenditures near the 2019 low-end guidance range of $1.3 billion to $1.4 billion
•
Estimated preliminary 2020 outlook to include meaningful year-over-year Adjusted EBITDA growth and a total capital expenditures reduction
For the third quarter of 2019, WES declared a per-unit quarterly distribution of $0.6200. This represents WES’s 27th consecutive quarterly distribution increase and is consistent with WES’s 2019 annual distribution growth-guidance range of 5% to 6%. The third-quarter 2019 Coverage ratio(1) was 1.08 times.






 
 
 
(1) Please see the tables at the end of this release for a reconciliation of GAAP to non-GAAP measures and calculation of the Coverage ratio.

1


“We continue to experience strong throughput growth in the DJ and Delaware Basins, where we are well-positioned to support Oxy’s future development plans and service our highly valued third-party customers,” said Chief Executive Officer, Michael Ure. “Our extensive and highly leverageable assets and dedicated workforce throughout these two basins enable us to pace our growth with that of Oxy and to adopt a renewed focus on attracting meaningful and sustainable third-party business.”
Third-quarter 2019 total natural gas throughput(1) averaged 4.2 Bcf/d, representing a 2% sequential-quarter decline and a 6% increase from third-quarter 2018. Excluding the effects of since-resolved downstream constraints impacting our Rockies assets, third-quarter natural gas throughput would have been approximately 110 MMcf/d higher than reported and would have represented a 1% sequential-quarter increase and a 9% increase from third-quarter 2018. Third-quarter 2019 total throughput of crude oil, NGLs, and produced-water assets(1) averaged 1,191 MBbls/d, representing an 8% sequential-quarter increase and a 28% increase from third-quarter 2018. Third-quarter 2019 capital expenditures(2), including equity investments and excluding acquisitions and capitalized interest, totaled $265.2 million on a cash basis and $278.2 million on an accrual basis, with cash maintenance capital expenditures totaling $29.2 million.
PRELIMINARY 2020 OUTLOOK
•
Total capital expenditures are expected to decline 20% – 30%, compared to the midpoint of 2019 guidance
•
Adjusted EBITDA is expected to grow approximately 10% year-over-year
•
Maintenance capital is expected to remain largely consistent as a percentage of Adjusted EBITDA, compared to 2019
“Our 2020 goals will encompass delivering capital-efficient, organic growth from our DJ and Delaware Basin assets,” said Michael Ure. “With our backbone infrastructure in place, we remain committed to driving operational efficiencies alongside additional growth that should enable sustained distribution increases.”










 
 
 
(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 as of September 30, 2019.
(2) Excludes capital expenditures associated with the 25% third-party interest in Chipeta.

2


CONFERENCE CALL TOMORROW AT 1 P.M. CST
WES will host a conference call on Tuesday, November 5, 2019, at 1:00 p.m. Central Standard Time (2:00 p.m. Eastern Standard Time) to discuss third-quarter 2019 results. Individuals who would like to participate should dial 877-883-0383 (Domestic) or 412-902-6506 (International) approximately 15 minutes before the scheduled conference call time and enter participant access code 1868618. 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 Occidental and third-party customers. In addition, in its capacity as a processor of natural gas, WES also buys and sells natural gas, NGLs, and condensate on behalf of itself and as agent for its customers under certain of its contracts.


3


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 to have been 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 ability to meet financial guidance or distribution growth expectations; the 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; the 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 in its other public filings and press releases. Western Midstream Partners, LP undertakes no obligation to publicly update or revise any forward-looking statements.
# # #

WESTERN MIDSTREAM CONTACTS

Kristen Shults
Vice President, Investor Relations and Communications
Kristen_Shults@Oxy.com
832.636.6000

Jack Spinks
Manager, Investor Relations
Jack_Spinks@Oxy.com
832.636.6000


4


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

Below are reconciliations of (i) net income (loss) (GAAP) to WES’s Distributable cash flow (non-GAAP), (ii) net income (loss) (GAAP) and net cash provided by operating activities (GAAP) to Adjusted EBITDA attributable to Western Midstream Partners, LP (“Adjusted EBITDA”) (non-GAAP), and (iii) operating income (loss) (GAAP) to Adjusted gross margin attributable to Western Midstream Partners, LP (“Adjusted gross margin”) (non-GAAP), as required under Regulation G of the Securities Exchange Act of 1934. Management believes that WES’s Distributable cash flow, Adjusted EBITDA, Adjusted gross margin, and Coverage ratio 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. Distributable cash flow, Adjusted EBITDA, Adjusted gross margin, and Coverage ratio, as defined by WES, may not be comparable to similarly titled measures used by other companies. Therefore, WES’s Distributable cash flow, Adjusted EBITDA, Adjusted gross margin, and Coverage ratio 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.
WES defines “Distributable cash flow” as Adjusted EBITDA, plus interest income and the net settlement amounts from the sale and/or purchase of natural gas, condensate, and NGLs under WES Operating’s commodity-price swap agreements to the extent such amounts are not recognized as Adjusted EBITDA, less Service revenues – fee based recognized in Adjusted EBITDA in excess of (less than) customer billings, net cash paid (or to be paid) for interest expense (including amortization of deferred debt issuance costs originally paid in cash, offset by non-cash capitalized interest), maintenance capital expenditures, income taxes, and Distributable cash flow attributable to noncontrolling interests to the extent such amounts are not excluded from Adjusted EBITDA.
WES defines Adjusted EBITDA as net income (loss), plus distributions from equity investments, non-cash equity-based compensation expense, interest expense, income tax expense, depreciation and amortization, impairments, and other expense (including lower of cost or market inventory adjustments recorded in cost of product), less gain (loss) on divestiture and other, net, income from equity investments, interest income, income tax benefit, other income, and the noncontrolling interests owners’ proportionate share of revenues and expenses.
WES defines 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.


5


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

Distributable Cash Flow
 
 
Three Months Ended 
 September 30,
 
Nine Months Ended 
 September 30,
thousands except Coverage ratio
 
2019
 
2018 (1)
 
2019
 
2018 (1)
Reconciliation of Net income (loss) to Distributable cash flow and calculation of the Coverage ratio
 
 
 
 
 
 
 
 
Net income (loss)
 
$
125,223

 
$
198,560

 
$
512,260

 
$
446,737

Add:
 
 
 
 
 
 
 
 
Distributions from equity investments
 
71,005

 
66,493

 
203,540

 
145,650

Non-cash equity-based compensation expense
 
4,137

 
1,614

 
10,278

 
5,766

Non-cash settled interest expense, net
 
20

 
—

 
20

 
—

Income tax (benefit) expense
 
1,309

 
15,005

 
12,679

 
36,193

Depreciation and amortization
 
127,914

 
97,479

 
362,977

 
270,757

Impairments
 
3,107

 
27,902

 
4,294

 
155,286

Above-market component of swap agreements with Anadarko
 
—

 
12,601

 
7,407

 
40,722

Other expense
 
67,961

 
33

 
161,813

 
184

Less:
 
 
 
 
 
 
 
 
Recognized Service revenues – fee based in excess of (less than) customer billings
 
(3,934
)
 
6,014

 
(22,230
)
 
8,971

Gain (loss) on divestiture and other, net
 
248

 
65

 
(1,403
)
 
351

Equity income, net – affiliates
 
53,893

 
54,215

 
175,483

 
133,874

Cash paid for maintenance capital expenditures
 
29,298

 
32,620

 
94,888

 
81,537

Capitalized interest
 
8,386

 
8,449

 
20,933

 
25,283

Cash paid for (reimbursement of) income taxes
 
—

 
—

 
96

 
(87
)
Other income
 
—

 
655

 
—

 
2,749

Distributable cash flow attributable to noncontrolling interests (2)
 
8,401

 
9,399

 
27,464

 
27,138

Distributable cash flow
 
$
304,384

 
$
308,270

 
$
980,037

 
$
821,479

Distributions declared
 
 
 
 
 
 
 
 
Distributions from WES Operating
 
$
283,881

 
 
 
$
843,804

 
 
Less: Cash reserve for the proper conduct of WES’s business
 
3,001

 
 
 
6,641

 
 
Distributions to WES unitholders (3)
 
$
280,880

 
 
 
$
837,163

 
 
Coverage ratio
 
1.08

x
 
 
1.17

x
 
(1) 
Financial information has been recast to include the financial position and results attributable to the assets acquired from Anadarko Petroleum Corporation in February 2019 (the “Anadarko Midstream Assets” or “AMA”).
(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 as of September 30, 2019.
(3) 
Reflects cash distributions of $0.62000 and $1.84800 per unit declared for the three and nine months ended September 30, 2019, respectively.


6


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

Adjusted EBITDA
 
 
Three Months Ended 
 September 30,
 
Nine Months Ended 
 September 30,
thousands
 
2019
 
2018 (1)
 
2019
 
2018 (1)
Reconciliation of Net income (loss) to Adjusted EBITDA
 
 
 
 
 
 
 
 
Net income (loss)
 
$
125,223

 
$
198,560

 
$
512,260

 
$
446,737

Add:
 
 
 
 
 
 
 
 
Distributions from equity investments
 
71,005

 
66,493

 
203,540

 
145,650

Non-cash equity-based compensation expense
 
4,137

 
1,614

 
10,278

 
5,766

Interest expense
 
78,524

 
48,869

 
223,872

 
129,129

Income tax expense
 
1,309

 
15,005

 
12,679

 
36,193

Depreciation and amortization
 
127,914

 
97,479

 
362,977

 
270,757

Impairments
 
3,107

 
27,902

 
4,294

 
155,286

Other expense
 
67,961

 
33

 
161,813

 
184

Less:
 
 
 
 
 
 
 
 
Gain (loss) on divestiture and other, net
 
248

 
65

 
(1,403
)
 
351

Equity income, net – affiliates
 
53,893

 
54,215

 
175,483

 
133,874

Interest income – affiliates
 
4,225

 
4,225

 
12,675

 
12,675

Other income
 
—

 
655

 
—

 
2,749

Adjusted EBITDA attributable to noncontrolling interests (2)
 
10,601

 
10,976

 
33,495

 
30,950

Adjusted EBITDA
 
$
410,213

 
$
385,819

 
$
1,271,463

 
$
1,009,103

Reconciliation of Net cash provided by operating activities to Adjusted EBITDA
 
 
 
 
 
 
 
 
Net cash provided by operating activities
 
$
340,154

 
$
335,869

 
$
1,026,685

 
$
965,195

Interest (income) expense, net
 
74,299

 
44,644

 
211,197

 
116,454

Uncontributed cash-based compensation awards
 
141

 
(55
)
 
789

 
932

Accretion and amortization of long-term obligations, net
 
(3,651
)
 
(1,283
)
 
(6,499
)
 
(4,659
)
Current income tax (benefit) expense
 
(407
)
 
(19,432
)
 
6,078

 
(47,102
)
Other (income) expense, net (3)
 
(495
)
 
(655
)
 
(1,397
)
 
(2,749
)
Distributions from equity investments in excess of cumulative earnings – affiliates
 
4,151

 
6,184

 
21,203

 
19,816

Changes in assets and liabilities:
 
 
 
 
 
 
 
 
Accounts receivable, net
 
12,418

 
56,281

 
9,750

 
64,853

Accounts and imbalance payables and accrued liabilities, net
 
(11,808
)
 
(19,041
)
 
69,390

 
(61,081
)
Other items, net
 
6,012

 
(5,717
)
 
(32,238
)
 
(11,606
)
Adjusted EBITDA attributable to noncontrolling interests (2)
 
(10,601
)
 
(10,976
)
 
(33,495
)
 
(30,950
)
Adjusted EBITDA
 
$
410,213

 
$
385,819

 
$
1,271,463

 
$
1,009,103

Cash flow information
 
 
 
 
 
 
 
 
Net cash provided by operating activities
 
 
 
 
 
$
1,026,685

 
$
965,195

Net cash used in investing activities
 
 
 
 
 
(3,134,643
)
 
(1,798,702
)
Net cash provided by (used in) financing activities
 
 
 
 
 
2,133,246

 
886,796

(1) 
Financial information has been recast to include the financial position and results attributable to AMA.
(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 as of September 30, 2019.
(3) 
Excludes non-cash losses on interest-rate swaps of $68.3 million and $162.9 million for the three and nine months ended September 30, 2019, respectively.

7


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

Adjusted Gross Margin
 
 
Three Months Ended 
 September 30,
 
Nine Months Ended 
 September 30,
thousands
 
2019
 
2018 (1)
 
2019
 
2018 (1)
Reconciliation of Operating income (loss) to Adjusted gross margin
 
 
 
 
 
 
 
 
Operating income (loss)
 
$
268,725

 
$
257,554

 
$
897,713

 
$
596,635

Add:
 
 
 
 
 
 
 
 
Distributions from equity investments
 
71,005

 
66,493

 
203,540

 
145,650

Operation and maintenance
 
176,572

 
129,042

 
467,832

 
338,626

General and administrative
 
30,769

 
16,022

 
83,640

 
47,448

Property and other taxes
 
15,281

 
13,146

 
45,848

 
41,496

Depreciation and amortization
 
127,914

 
97,479

 
362,977

 
270,757

Impairments
 
3,107

 
27,902

 
4,294

 
155,286

Less:
 
 
 
 
 
 
 
 
Gain (loss) on divestiture and other, net
 
248

 
65

 
(1,403
)
 
351

Equity income, net – affiliates
 
53,893

 
54,215

 
175,483

 
133,874

Reimbursed electricity-related charges recorded as revenues
 
23,969

 
17,485

 
60,747

 
50,204

Adjusted gross margin attributable to noncontrolling interests (2)
 
15,619

 
14,445

 
47,203

 
40,334

Adjusted gross margin
 
$
599,644

 
$
521,428

 
$
1,783,814

 
$
1,371,135

Adjusted gross margin for natural gas assets
 
$
401,380

 
$
376,131

 
$
1,226,302

 
$
1,048,185

Adjusted gross margin for crude oil, NGLs, and produced-water assets
 
198,264

 
145,297

 
557,512

 
322,950

(1) 
Financial information has been recast to include the financial position and results attributable to AMA.
(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 as of September 30, 2019.

8


Western Midstream Partners, LP
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
 
 
Three Months Ended 
 September 30,
 
Nine Months Ended 
 September 30,
thousands except per-unit amounts
 
2019
 
2018 (1)
 
2019
 
2018 (1)
Revenues and other
 
 
 
 
 
 
 
 
Service revenues – fee based
 
$
587,965

 
$
486,329

 
$
1,761,483

 
$
1,311,963

Service revenues – product based
 
9,476

 
23,336

 
45,530

 
69,421

Product sales
 
68,248

 
76,999

 
214,850

 
223,939

Other
 
338

 
1,236

 
1,101

 
1,709

Total revenues and other
 
666,027

 
587,900

 
2,022,964

 
1,607,032

Equity income, net – affiliates
 
53,893

 
54,215

 
175,483

 
133,874

Operating expenses
 
 
 
 
 
 
 
 
Cost of product
 
97,800

 
101,035

 
334,740

 
291,009

Operation and maintenance
 
176,572

 
129,042

 
467,832

 
338,626

General and administrative
 
30,769

 
16,022

 
83,640

 
47,448

Property and other taxes
 
15,281

 
13,146

 
45,848

 
41,496

Depreciation and amortization
 
127,914

 
97,479

 
362,977

 
270,757

Impairments
 
3,107

 
27,902

 
4,294

 
155,286

Total operating expenses
 
451,443

 
384,626

 
1,299,331

 
1,144,622

Gain (loss) on divestiture and other, net
 
248

 
65

 
(1,403
)
 
351

Operating income (loss)
 
268,725

 
257,554

 
897,713

 
596,635

Interest income – affiliates
 
4,225

 
4,225

 
12,675

 
12,675

Interest expense
 
(78,524
)
 
(48,869
)
 
(223,872
)
 
(129,129
)
Other income (expense), net (2)
 
(67,894
)
 
655

 
(161,577
)
 
2,749

Income (loss) before income taxes
 
126,532

 
213,565

 
524,939

 
482,930

Income tax expense (benefit)
 
1,309

 
15,005

 
12,679

 
36,193

Net income (loss)
 
125,223

 
198,560

 
512,260

 
446,737

Net income (loss) attributable to noncontrolling interests
 
4,006

 
47,203

 
102,789

 
63,669

Net income (loss) attributable to Western Midstream Partners, LP
 
$
121,217

 
$
151,357

 
$
409,471

 
$
383,068

Limited partners’ interest in net income (loss):
 
 
 
 
 
 
 
 
Net income (loss) attributable to Western Midstream Partners, LP
 
$
121,217

 
$
151,357

 
$
409,471

 
$
383,068

Pre-acquisition net (income) loss allocated to Anadarko
 
—

 
(43,883
)
 
(29,279
)
 
(107,009
)
Limited partners’ interest in net income (loss)
 
$
121,217

 
$
107,474

 
$
380,192

 
$
276,059

Net income (loss) per common unit – basic and diluted
 
$
0.27

 
$
0.49

 
$
0.94

 
$
1.26

Weighted-average common units outstanding – basic and diluted
 
453,021

 
218,938

 
402,421

 
218,935

(1) 
Financial information has been recast to include the financial position and results attributable to AMA.
(2) 
Includes non-cash losses on interest-rate swaps of $68.3 million and $162.9 million for the three and nine months ended September 30, 2019, respectively.

9


Western Midstream Partners, LP
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited)
thousands except number of units
 
September 30, 
 2019
 
December 31, 
 2018 (1)
Total current assets
 
$
393,238

 
$
344,764

Note receivable – Anadarko
 
260,000

 
260,000

Net property, plant, and equipment
 
8,933,834

 
8,410,353

Other assets
 
2,591,153

 
2,442,088

Total assets
 
$
12,178,225

 
$
11,457,205

Total current liabilities
 
$
596,872

 
$
637,477

Long-term debt
 
7,730,502

 
4,787,381

APCWH Note Payable
 
—

 
427,493

Asset retirement obligations
 
319,178

 
300,024

Other liabilities
 
196,598

 
412,147

Total liabilities
 
8,843,150

 
6,564,522

Equity and partners’ capital
 
 
 
 
Common units (453,032,050 and 218,937,797 units issued and outstanding at September 30, 2019, and December 31, 2018, respectively)
 
3,182,917

 
951,888

Net investment by Anadarko
 
—

 
1,388,018

Noncontrolling interests
 
152,158

 
2,552,777

Total liabilities, equity and partners’ capital
 
$
12,178,225

 
$
11,457,205

(1) 
Financial information has been recast to include the financial position and results attributable to AMA.

10


Western Midstream Partners, LP
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
 
 
Nine Months Ended 
 September 30,
thousands
 
2019
 
2018 (1)
Cash flows from operating activities
 
 
 
 
Net income (loss)
 
$
512,260

 
$
446,737

Adjustments to reconcile net income (loss) to net cash provided by operating activities and changes in assets and liabilities:
 
 
 
 
Depreciation and amortization
 
362,977

 
270,757

Impairments
 
4,294

 
155,286

(Gain) loss on divestiture and other, net
 
1,403

 
(351
)
(Gain) loss on interest-rate swaps
 
162,974

 
—

Change in other items, net
 
(17,223
)
 
92,766

Net cash provided by operating activities
 
$
1,026,685

 
$
965,195

Cash flows from investing activities
 
 
 
 
Capital expenditures
 
$
(947,266
)
 
$
(1,589,653
)
Acquisitions from affiliates
 
(2,007,501
)
 
(254
)
Acquisitions from third parties
 
(93,303
)
 
(161,858
)
Investments in equity affiliates
 
(108,118
)
 
(67,085
)
Distributions from equity investments in excess of cumulative earnings – affiliates
 
21,203

 
19,816

Proceeds from the sale of assets to third parties
 
342

 
332

Net cash used in investing activities
 
$
(3,134,643
)
 
$
(1,798,702
)
Cash flows from financing activities
 
 
 
 
Borrowings, net of debt issuance costs
 
$
3,950,750

 
$
2,401,097

Repayments of debt
 
(1,467,595
)
 
(1,040,000
)
Increase (decrease) in outstanding checks
 
(9,204
)
 
(2,687
)
Registration expenses related to the issuance of Partnership common units
 
(855
)
 
—

Distributions to Partnership unitholders
 
(688,193
)
 
(372,189
)
Distributions to Chipeta noncontrolling interest owner
 
(5,200
)
 
(9,446
)
Distributions to noncontrolling interest owners of WES Operating
 
(112,430
)
 
(287,435
)
Net contributions from (distributions to) Anadarko
 
458,819

 
156,734

Above-market component of swap agreements with Anadarko
 
7,407

 
40,722

Finance lease payments – affiliates
 
(253
)
 
—

Net cash provided by (used in) financing activities
 
$
2,133,246

 
$
886,796

Net increase (decrease) in cash and cash equivalents
 
$
25,288

 
$
53,289

Cash and cash equivalents at beginning of period
 
92,142

 
79,588

Cash and cash equivalents at end of period
 
$
117,430

 
$
132,877

(1) 
Financial information has been recast to include the financial position and results attributable to AMA.

11


Western Midstream Partners, LP
OPERATING STATISTICS
(Unaudited)
 
 
Three Months Ended 
 September 30,
 
Nine Months Ended 
 September 30,
 
 
2019
 
2018 (1)
 
2019
 
2018 (1)
Throughput for natural gas assets (MMcf/d)
 
 
 
 
 
 
 
 
Gathering, treating, and transportation
 
523

 
545

 
526

 
531

Processing
 
3,458

 
3,273

 
3,484

 
3,206

Equity investment (2)
 
390

 
301

 
390

 
297

Total throughput for natural gas assets
 
4,371

 
4,119

 
4,400

 
4,034

Throughput attributable to noncontrolling interests for natural gas assets (3)
 
172

 
168

 
175

 
171

Total throughput attributable to Western Midstream Partners, LP for natural gas assets
 
4,199

 
3,951

 
4,225

 
3,863

Throughput for crude oil, NGLs, and produced-water assets (MBbls/d)
 
 
 
 
 
 
 
 
Gathering, treating, transportation, and disposal
 
908

 
663

 
849

 
470

Equity investment (4)
 
307

 
290

 
308

 
222

Total throughput for crude oil, NGLs, and produced-water assets
 
1,215

 
953

 
1,157

 
692

Throughput attributable to noncontrolling interests for crude oil, NGLs, and produced-water assets (3)
 
24

 
19

 
23

 
14

Total throughput attributable to Western Midstream Partners, LP for crude oil, NGLs, and produced-water assets
 
1,191

 
934

 
1,134

 
678

Adjusted gross margin per Mcf for natural gas assets (5)
 
$
1.04

 
$
1.03

 
$
1.06

 
$
0.99

Adjusted gross margin per Bbl for crude oil, NGLs, and produced-water assets (6)
 
1.81

 
1.69

 
1.80

 
1.75

(1) 
Throughput and Adjusted gross margin have been recast to include the results attributable to AMA.
(2) 
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.
(3) 
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 as of September 30, 2019.
(4) 
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 throughput.
(5) 
Average for period. Calculated as Adjusted gross margin for natural gas assets, divided by total throughput (MMcf/d) attributable to Western Midstream Partners, LP for natural gas assets.
(6) 
Average for period. Calculated as Adjusted gross margin for crude oil, NGLs, and produced-water assets, divided by total throughput (MBbls/d) attributable to Western Midstream Partners, LP for crude oil, NGLs, and produced-water assets.


12


Western Midstream Partners, LP
OPERATING STATISTICS (CONTINUED)
(Unaudited)

 
 
Three Months Ended September 30,
 
 
2019
 
2018 (1)
 
2019
 
2018 (1)
 
2019
 
2018 (1)
 
 
Natural gas
(MMcf/d)
 
Crude oil & NGLs
(MBbls/d)
 
Produced water
(MBbls/d)
Delaware Basin
 
1,272

 
1,096

 
147

 
138

 
580

 
361

DJ Basin
 
1,124

 
1,119

 
128

 
103

 
—

 
—

Equity investments
 
391

 
301

 
307

 
290

 
—

 
—

Other
 
1,584

 
1,603

 
53

 
61

 
—

 
—

Total throughput
 
4,371

 
4,119

 
635

 
592

 
580

 
361

 
 
Nine Months Ended September 30,
 
 
2019
 
2018 (1)
 
2019
 
2018 (1)
 
2019
 
2018 (1)
 
 
Natural gas
(MMcf/d)
 
Crude oil & NGLs
(MBbls/d)
 
Produced water
(MBbls/d)
Delaware Basin
 
1,210

 
1,020

 
144

 
126

 
538

 
180

DJ Basin
 
1,216

 
1,115

 
114

 
104

 
—

 
—

Equity investments
 
390

 
297

 
308

 
222

 
—

 
—

Other
 
1,584

 
1,602

 
53

 
60

 
—

 
—

Total throughput
 
4,400

 
4,034

 
619

 
512

 
538

 
180

(1) 
Throughput has been recast to include the results attributable to AMA.


13