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Organization and Basis of Presentation
12 Months Ended
Dec. 31, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block]
1. Organization and Basis of Presentation
Western Refining Logistics, LP ("WNRL" or the "Partnership") is a Delaware limited partnership formed in July 2013 by Western Refining Logistics GP, LLC ("WRGP" or the "General Partner"), our general partner. WRGP is owned 100% by Western Refining, Inc. ("Western") and holds all of the non-economic general partner interests in WNRL. On October 16, 2013, we completed our initial public offering (the "Offering") of 15,812,500 common units representing limited partner interests. Upon completion of the Offering, Western and its subsidiaries, collectively held a 65.3% limited partner interest in WNRL, with the remaining 34.7% limited partner interest being held by public unitholders. See Note 3, Initial Public Offering, for further discussion.
WNRL is principally a fee-based growth-oriented partnership that was formed to own, operate, develop and acquire logistics and related assets and businesses to include terminals, storage tanks, pipelines and other logistics assets related to the terminalling, transportation, storage and distribution of crude oil and refined products. WNRL's assets include approximately 685 miles of pipelines, approximately 8.2 million barrels of active storage capacity, distribution of wholesale petroleum products and crude oil trucking.
On October 15, 2014, WNRL purchased from Western all of the outstanding limited liability company interests of Western Refining Wholesale, LLC ("WRW") for $320 million in cash and 1,160,092 common units (the "Wholesale Acquisition"). This purchase transferred substantially all of WRW's operations from Western to WNRL, constituting the purchase of a business between entities under common control. See Note 4, Acquisitions, for further discussion.
On October 30, 2015, WNRL acquired the TexNew Mex Pipeline System. We also acquired an 80,000 barrel crude oil storage tank located at our crude oil pumping station in Star Lake, New Mexico and certain other related assets ("TexNew Mex Pipeline Acquisition"). We acquired these assets in exchange for $170 million in cash, 421,031 common units representing limited partner interests in WNRL and 80,000 units of a newly created class of limited partner interests in WNRL, referred to as the "TexNew Mex Units." This purchase was between entities under common control. See Note 4, Acquisitions, for further discussion.
The financial position, results of operations and operating statistics of our accounting predecessor for the contributed logistics assets for periods prior to October 16, 2013 are contained herein. In addition, our accounting predecessor contains the financial position and results of operations of the TexNew Mex Pipeline System assets that were not contributed at the time of the Offering. We refer to the financial position, results of operations and operating statistics of these contributed and non-contributed assets, for periods prior to October 16, 2013 as the "WNRL Predecessor."
The information contained herein for the WNRL Predecessor and WNRL has been retrospectively adjusted to include the historical results of the WRW assets acquired for periods prior to the effective date of the Wholesale Acquisition. We refer to the collective entity of the WNRL Predecessor with the retrospective adjustment for the Wholesale Acquisition as our "Predecessor" for periods prior to October 16, 2013. The results of WNRL contain the retrospective adjustment for the Wholesale Acquisition and the TexNew Mex Pipeline Acquisition beginning October 16, 2013, the date WNRL commenced operations. Because the WNRL Predecessor has always contained the financial position and results of operations and operating statistics of the TexNew Mex Pipeline System, the retrospective adjustments related to the TexNew Mex Pipeline Acquisition are applied to WNRL only.
Our operations include two business segments: the logistics segment and the wholesale segment. See Note 5, Segment Information, for further discussion of our business segments.
The accompanying consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for financial information and with the instructions to Form 10-K and Article 10 of Regulation S-X as it relates to quarterly information included in Note 23, Quarterly Financial Information (Unaudited). We have not reported comprehensive income due to the absence of items of other comprehensive income or loss during the periods presented.