EQUITY METHOD INVESTMENTS

Our equity method investments consist of the following (in thousands):



	September 30, 2015		December 31, 2014
White Cliffs	$	287,090	$	269,635
NGL Energy Partners LP	117,280		162,246
Glass Mountain	143,078		146,039
Total equity method investments	$	547,448	$	577,920

Our earnings from equity method investments consist of the following (in thousands):



	Three Months Ended September 30,						Nine Months Ended September 30,
	2015			2014			2015		2014
White Cliffs	$	16,047		$	16,289		$	50,682	$	39,660
NGL Energy Partners LP*	(878		)	(4,482		)	5,037		4,077
Glass Mountain	1,068			2,416			4,980		4,635
Total earnings from equity method investments	$	16,237		$	14,223		$	60,699	$	48,372

* Excluding gain on issuance of common units of $0.1 million and $18.8 million for the three months ended September 30, 2015 and 2014 and $6.0 million and $26.9 million for the nine months ended September 30, 2015 and 2014

Cash distributions received from equity method investments consist of the following (in thousands):



	Three Months Ended September 30,				Nine Months Ended September 30,
	2015		2014		2015		2014
White Cliffs	$	20,631	$	17,029	$	65,336	$	45,081
NGL Energy Partners LP	4,752		6,450		14,235		17,462
Glass Mountain	2,971		2,842		9,891		5,779
Total cash distributions received from equity method investments	$	28,354	$	26,321	$	89,462	$	68,322

White Cliffs

Certain unaudited summarized income statement information of White Cliffs for the three months and nine months ended September 30, 2015 and 2014 is shown below (in thousands):



	Three Months Ended September 30,				Nine Months Ended September 30,
	2015		2014		2015		2014
Revenue	$	49,027	$	42,211	$	152,150	$	110,018
Operating, general and administrative expenses	$	8,446	$	4,055	$	25,844	$	16,362
Depreciation and amortization expense	$	8,746	$	5,807	$	25,871	$	14,737
Net income	$	31,835	$	32,349	$	100,428	$	78,919

The equity in earnings of White Cliffs for the three months and nine months ended September 30, 2015 and 2014 is less than 51% of the net income of White Cliffs for the same periods. This is due to certain general and administrative expenses we incur in managing the operations of White Cliffs that the other owners are not obligated to share. Such expenses are recorded by White Cliffs and are allocated to our ownership interest. White Cliffs recorded $0.4 million and $0.4 million of such general and administrative expense for the three months ended September 30, 2015 and 2014, respectively. White Cliffs recorded $1.1 million and $1.2 million of such general and administrative expense for the nine months ended September 30, 2015 and 2014, respectively.

The members of White Cliffs are required to contribute capital to White Cliffs to fund various projects. For the nine months ended September 30, 2015, we contributed $31.0 million to these projects, including $22.7 million of contributions for an expansion project adding approximately 65,000 barrels per day of capacity. Remaining contributions related to the expansion project will be paid in 2015 and 2016 and are expected to total $14.0 million. The project is expected to be completed during the first half of 2016.

NGL Energy Partners LP

At September 30, 2015, we owned 4,652,568 common units representing limited partner interests in NGL Energy Partners LP (NYSE: NGL) ("NGL Energy"), which represents approximately 4.5% of the total 104,181,253 limited partner units of NGL Energy outstanding at June 30, 2015, and an 11.78% interest in the general partner of NGL Energy.

At September 30, 2015, the fair market value of our 4,652,568 common unit investment in NGL Energy was $92.9 million, based on a September 30, 2015 closing price of $19.97 per common unit. This does not reflect our 11.78% interest in the general partner of NGL Energy. The fair value of our limited partner investment in NGL Energy is categorized as a Level 1 measurement, as it is based on quoted market prices.

Our policy is to record our equity in earnings of NGL Energy on a one-quarter lag, as we do not expect information on the earnings of NGL Energy to always be available in time to consistently record the earnings in the quarter in which they are generated. Accordingly, the equity in earnings from NGL Energy, which is reflected in our condensed consolidated statements of operations and comprehensive income (loss) for the three months and nine months ended September 30, 2015 and 2014, relates to the earnings of NGL Energy for the three months and nine months ended June 30, 2015 and 2014, respectively.

During the three and nine months ended June 30, 2015, NGL issued common units which diluted our limited partnership interest. As we record activity on a one-quarter lag, we recognized non-cash gains of $0.1 million and $6.0 million, respectively, associated with these issuances for the three and nine months ended September 30, 2015.

During the nine months ended September 30, 2015, we sold 1,999,533 of our NGL Energy common units for $56.3 million, net of related costs of $0.5 million. We recorded net gains related to these sales of $14.5 million in "other expense (income)" in our condensed consolidated statement of operations and comprehensive income (loss) for the nine months ended September 30, 2015.

Certain unaudited summarized income statement information of NGL Energy for the three months and nine months ended June 30, 2015 and 2014 is shown below (in thousands):



	Three Months Ended June 30,						Nine Months Ended June 30,
	2015			2014			2015		2014
Revenue	$	3,538,469		$	3,648,614		$	11,311,386	$	10,367,994
Cost of sales	$	3,322,551		$	3,534,053		$	10,567,240	$	9,874,826
Operating, general and administrative expenses	$	170,816		$	95,741		$	494,673	$	297,417
Depreciation and amortization expense	$	59,831		$	39,375		$	164,306	$	112,344
Net income (loss)	$	(38,526	)	$	(39,910	)	$	47,147	$	27,288

Glass Mountain

Certain unaudited summarized income statement information of Glass Mountain for the three months and nine months ended September 30, 2015 and 2014 is shown below (in thousands):



	Three Months Ended September 30,				Nine Months Ended September 30,
	2015		2014		2015		2014
Revenue	$	8,348	$	8,708	$	29,257	$	21,452
Cost of sales	$	253	$	—	$	2,235	$	—
Operating, general and administrative expenses	$	1,950	$	23	$	4,861	$	2,031
Depreciation and amortization expense	$	3,903	$	3,745	$	11,879	$	9,863
Net income	$	2,242	$	4,939	$	10,278	$	9,554

The equity in earnings of Glass Mountain for the three months and nine months ended September 30, 2015 reported in our condensed consolidated statement of operations and comprehensive income (loss) is less than 50% of the net income of Glass Mountain for the same period due to amortization of capitalized interest for the period.

For the nine months ended September 30, 2015, we contributed $2.0 million to Glass Mountain related to capital projects.