We could not find any results for:
Make sure your spelling is correct or try broadening your search.
Share Name | Share Symbol | Market | Type |
---|---|---|---|
Phillips 66 Partners LP | NYSE:PSXP | NYSE | Common Stock |
Price Change | % Change | Share Price | High Price | Low Price | Open Price | Shares Traded | Last Trade | |
---|---|---|---|---|---|---|---|---|
0.00 | 0.00% | 42.01 | 0 | 01:00:00 |
[ X ]
|
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
|
For the quarterly period ended
|
June 30, 2017
|
[ ]
|
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
|
For the transition period from
|
|
to
|
|
Commission file number:
|
001-36011
|
Delaware
|
|
38-3899432
|
(State or other jurisdiction of
incorporation or organization)
|
|
(I.R.S. Employer
Identification No.)
|
Large accelerated filer [ X ] Accelerated filer [ ] Non-accelerated filer [ ] Smaller reporting company [ ]
|
Emerging growth company [ ]
|
|
Page
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidated Statement of Income
|
Phillips 66 Partners LP
|
|
Millions of Dollars
|
|||||||||
|
Three Months Ended
June 30 |
|
Six Months Ended
June 30 |
|||||||
|
2017
|
|
2016*
|
|
|
2017
|
|
2016*
|
|
|
Revenues and Other Income
|
|
|
|
|
|
|||||
Operating revenues—related parties
|
$
|
186
|
|
182
|
|
|
370
|
|
353
|
|
Operating revenues—third parties
|
11
|
|
7
|
|
|
21
|
|
15
|
|
|
Equity in earnings of affiliates
|
37
|
|
30
|
|
|
70
|
|
55
|
|
|
Other income
|
—
|
|
—
|
|
|
7
|
|
—
|
|
|
Total revenues and other income
|
234
|
|
219
|
|
|
468
|
|
423
|
|
|
|
|
|
|
|
|
|||||
Costs and Expenses
|
|
|
|
|
|
|||||
Operating and maintenance expenses
|
57
|
|
58
|
|
|
119
|
|
108
|
|
|
Depreciation
|
26
|
|
23
|
|
|
52
|
|
46
|
|
|
General and administrative expenses
|
16
|
|
16
|
|
|
32
|
|
33
|
|
|
Taxes other than income taxes
|
7
|
|
10
|
|
|
16
|
|
20
|
|
|
Interest and debt expense
|
24
|
|
11
|
|
|
48
|
|
21
|
|
|
Total costs and expenses
|
130
|
|
118
|
|
|
267
|
|
228
|
|
|
Income before income taxes
|
104
|
|
101
|
|
|
201
|
|
195
|
|
|
Provision for income taxes
|
1
|
|
1
|
|
|
1
|
|
1
|
|
|
Net income
|
103
|
|
100
|
|
|
200
|
|
194
|
|
|
Less: Net income attributable to Predecessors
|
—
|
|
32
|
|
|
—
|
|
74
|
|
|
Net income attributable to the Partnership
|
103
|
|
68
|
|
|
200
|
|
120
|
|
|
Less: General partner’s interest in net income attributable to the Partnership
|
37
|
|
21
|
|
|
69
|
|
37
|
|
|
Limited partners’ interest in net income attributable to the Partnership
|
$
|
66
|
|
47
|
|
|
131
|
|
83
|
|
|
|
|
|
|
|
|||||
Net Income Attributable to the Partnership Per Limited Partner Unit—Basic and Diluted
(dollars)
|
$
|
0.61
|
|
0.51
|
|
|
1.21
|
|
0.96
|
|
|
|
|
|
|
|
|||||
Cash Distributions Paid Per Limited Partner Unit
(dollars)
|
$
|
0.586
|
|
0.481
|
|
|
1.144
|
|
0.939
|
|
|
|
|
|
|
|
|||||
Average Limited Partner Units Outstanding—Basic and Diluted
(thousands)
|
|
|
|
|
|
|||||
Common units—public
|
45,142
|
|
31,397
|
|
|
44,253
|
|
27,768
|
|
|
Common units—Phillips 66
|
64,047
|
|
59,562
|
|
|
64,047
|
|
59,026
|
|
Consolidated Statement of Comprehensive Income
|
Phillips 66 Partners LP
|
|
Millions of Dollars
|
|||||||||
|
Three Months Ended
June 30 |
|
Six Months Ended
June 30 |
|||||||
|
2017
|
|
2016*
|
|
|
2017
|
|
2016*
|
|
|
|
|
|
|
|
|
|||||
Net Income
|
$
|
103
|
|
100
|
|
|
200
|
|
194
|
|
Defined benefit plans
|
|
|
|
|
|
|
|
|
||
Plan sponsored by equity affiliate, net of tax
|
—
|
|
—
|
|
|
—
|
|
1
|
|
|
Other comprehensive income
|
—
|
|
—
|
|
|
—
|
|
1
|
|
|
Comprehensive Income
|
$
|
103
|
|
100
|
|
|
200
|
|
195
|
|
Consolidated Balance Sheet
|
Phillips 66 Partners LP
|
|
Millions of Dollars
|
||||
|
June 30
2017 |
|
December 31
2016 |
|
|
Assets
|
|
|
|||
Cash and cash equivalents
|
$
|
1
|
|
2
|
|
Accounts receivable—related parties
|
72
|
|
76
|
|
|
Accounts receivable—third parties
|
4
|
|
7
|
|
|
Materials and supplies
|
12
|
|
11
|
|
|
Prepaid expenses
|
5
|
|
4
|
|
|
Total current assets
|
94
|
|
100
|
|
|
Equity investments
|
1,212
|
|
1,142
|
|
|
Net properties, plants and equipment
|
2,670
|
|
2,675
|
|
|
Goodwill
|
185
|
|
185
|
|
|
Deferred rentals—related parties
|
5
|
|
5
|
|
|
Other assets
|
2
|
|
2
|
|
|
Total Assets
|
$
|
4,168
|
|
4,109
|
|
|
|
|
|||
Liabilities
|
|
|
|||
Accounts payable—related parties
|
$
|
14
|
|
12
|
|
Accounts payable—third parties
|
27
|
|
31
|
|
|
Accrued property and other taxes
|
15
|
|
10
|
|
|
Accrued interest
|
27
|
|
26
|
|
|
Short-term debt
|
25
|
|
15
|
|
|
Deferred revenues—related parties
|
24
|
|
14
|
|
|
Other current liabilities
|
1
|
|
3
|
|
|
Total current liabilities
|
133
|
|
111
|
|
|
Long-term debt
|
2,227
|
|
2,396
|
|
|
Asset retirement obligations
|
10
|
|
9
|
|
|
Accrued environmental costs
|
2
|
|
2
|
|
|
Deferred income taxes
|
2
|
|
2
|
|
|
Deferred revenues and other—related parties—long-term
|
23
|
|
23
|
|
|
Total Liabilities
|
2,397
|
|
2,543
|
|
|
|
|
|
|||
Equity
|
|
|
|||
Common unitholders—public (2017—46,458,478 units issued and outstanding; 2016—43,134,902 units issued and outstanding)
|
1,970
|
|
1,795
|
|
|
Common unitholder—Phillips 66 (2017 and 2016—64,047,024 units issued and outstanding)
|
480
|
|
476
|
|
|
General partner—Phillips 66 (2017 and 2016—2,187,386 units issued and outstanding)
|
(678
|
)
|
(704
|
)
|
|
Accumulated other comprehensive loss
|
(1
|
)
|
(1
|
)
|
|
Total Equity
|
1,771
|
|
1,566
|
|
|
Total Liabilities and Equity
|
$
|
4,168
|
|
4,109
|
|
Consolidated Statement of Cash Flows
|
Phillips 66 Partners LP
|
|
Millions of Dollars
|
||||
|
Six Months Ended
June 30 |
||||
|
2017
|
|
2016*
|
|
|
Cash Flows From Operating Activities
|
|
|
|
||
Net income
|
$
|
200
|
|
194
|
|
Adjustments to reconcile net income to net cash provided by operating activities
|
|
|
|||
Depreciation
|
52
|
|
46
|
|
|
Adjustment to equity earnings for cash distributions received
|
2
|
|
(1
|
)
|
|
Deferred revenues and other—long-term
|
—
|
|
9
|
|
|
Other
|
5
|
|
3
|
|
|
Working capital adjustments
|
|
|
|||
Decrease (increase) in accounts receivable
|
6
|
|
(14
|
)
|
|
Decrease (increase) in materials and supplies
|
(1
|
)
|
(1
|
)
|
|
Decrease (increase) in prepaid expenses and other current assets
|
(1
|
)
|
(2
|
)
|
|
Increase (decrease) in accounts payable
|
(2
|
)
|
7
|
|
|
Increase (decrease) in accrued interest
|
1
|
|
(5
|
)
|
|
Increase (decrease) in deferred revenues
|
10
|
|
2
|
|
|
Increase (decrease) in other accruals
|
(2
|
)
|
5
|
|
|
Net Cash Provided by Operating Activities
|
270
|
|
243
|
|
|
|
|
|
|||
Cash Flows From Investing Activities
|
|
|
|||
Cash capital expenditures and investments
|
(128
|
)
|
(174
|
)
|
|
Return of investment from equity affiliates
|
17
|
|
7
|
|
|
Net Cash Used in Investing Activities
|
(111
|
)
|
(167
|
)
|
|
|
|
|
|||
Cash Flows From Financing Activities
|
|
|
|||
Net contributions from Phillips 66 to Predecessors
|
—
|
|
60
|
|
|
Acquisition of noncontrolling interest in Sweeny Frac LLC
|
—
|
|
(656
|
)
|
|
Issuance of debt
|
1,103
|
|
178
|
|
|
Repayment of debt
|
(1,263
|
)
|
(234
|
)
|
|
Issuance of common units
|
171
|
|
669
|
|
|
Quarterly distributions to common unitholders—public
|
(50
|
)
|
(23
|
)
|
|
Quarterly distributions to common unitholder—Phillips 66
|
(73
|
)
|
(55
|
)
|
|
Quarterly distributions to General Partner—Phillips 66
|
(60
|
)
|
(29
|
)
|
|
Other cash contributions from Phillips 66
|
12
|
|
—
|
|
|
Net Cash Used in Financing Activities
|
(160
|
)
|
(90
|
)
|
|
|
|
|
|
|
|
Net Change in Cash and Cash Equivalents
|
(1
|
)
|
(14
|
)
|
|
Cash and cash equivalents at beginning of period
|
2
|
|
50
|
|
|
Cash and Cash Equivalents at End of Period
|
$
|
1
|
|
36
|
|
Consolidated Statement of Changes in Equity
|
Phillips 66 Partners LP
|
|
Millions of Dollars
|
||||||||||||
|
Partnership
|
|
|
||||||||||
|
Common Unitholders
Public |
|
Common Unitholder
Phillips 66 |
|
General Partner
Phillips 66 |
|
Accum. Other Comprehensive Loss
|
|
Net Investment— Predecessors*
|
|
Total
|
|
|
|
|
|
|
|
|
|
|||||||
December 31, 2015
|
$
|
809
|
|
233
|
|
(650
|
)
|
(2
|
)
|
1,054
|
|
1,444
|
|
Net income attributable to Predecessors
|
—
|
|
—
|
|
—
|
|
—
|
|
74
|
|
74
|
|
|
Net contributions from Phillips 66—Predecessors
|
—
|
|
—
|
|
—
|
|
—
|
|
104
|
|
104
|
|
|
Issuance of common units
|
669
|
|
—
|
|
—
|
|
—
|
|
—
|
|
669
|
|
|
Allocation of net investment to unitholders
|
—
|
|
233
|
|
33
|
|
—
|
|
(266
|
)
|
—
|
|
|
Net income attributable to the Partnership
|
29
|
|
54
|
|
37
|
|
—
|
|
—
|
|
120
|
|
|
Other comprehensive income
|
—
|
|
—
|
|
—
|
|
1
|
|
—
|
|
1
|
|
|
Quarterly cash distributions to unitholders and General Partner
|
(23
|
)
|
(55
|
)
|
(29
|
)
|
—
|
|
—
|
|
(107
|
)
|
|
Other contributions from Phillips 66
|
—
|
|
—
|
|
4
|
|
—
|
|
—
|
|
4
|
|
|
June 30, 2016*
|
$
|
1,484
|
|
465
|
|
(605
|
)
|
(1
|
)
|
966
|
|
2,309
|
|
|
|
|
|
|
|
|
|||||||
December 31, 2016
|
$
|
1,795
|
|
476
|
|
(704
|
)
|
(1
|
)
|
—
|
|
1,566
|
|
Issuance of common units
|
171
|
|
—
|
|
—
|
|
—
|
|
—
|
|
171
|
|
|
Net income attributable to the Partnership
|
54
|
|
77
|
|
69
|
|
—
|
|
—
|
|
200
|
|
|
Quarterly cash distributions to unitholders and General Partner
|
(50
|
)
|
(73
|
)
|
(60
|
)
|
—
|
|
—
|
|
(183
|
)
|
|
Other contributions from Phillips 66
|
—
|
|
—
|
|
17
|
|
—
|
|
—
|
|
17
|
|
|
June 30, 2017
|
$
|
1,970
|
|
480
|
|
(678
|
)
|
(1
|
)
|
—
|
|
1,771
|
|
|
Common Units
Public
|
|
Common Units
Phillips 66
|
|
General Partner
Units
Phillips 66
|
|
Total Units
|
|
|
|
|
|
|
||||
December 31, 2015
|
24,138,750
|
|
58,349,042
|
|
1,683,425
|
|
84,171,217
|
|
Units issued in public equity offerings
|
12,912,858
|
|
—
|
|
—
|
|
12,912,858
|
|
Units issued associated with acquisitions
|
—
|
|
1,813,745
|
|
295,178
|
|
2,108,923
|
|
June 30, 2016
|
37,051,608
|
|
60,162,787
|
|
1,978,603
|
|
99,192,998
|
|
|
|
|
|
|
||||
December 31, 2016
|
43,134,902
|
|
64,047,024
|
|
2,187,386
|
|
109,369,312
|
|
Units issued in public equity offerings
|
3,323,576
|
|
—
|
|
—
|
|
3,323,576
|
|
June 30, 2017
|
46,458,478
|
|
64,047,024
|
|
2,187,386
|
|
112,692,888
|
|
Notes to Consolidated Financial Statements
|
Phillips 66 Partners LP
|
|
Millions of Dollars
|
||||||||
|
Three Months Ended June 30, 2016
|
||||||||
Consolidated Statement of Income
|
Phillips 66
Partners LP (As previously reported) |
|
|
Acquired Eagle Assets Predecessor
|
|
|
Consolidated
Results |
|
|
Revenues and Other Income
|
|
|
|
|
|
||||
Operating revenues—related parties
|
$
|
108
|
|
|
74
|
|
|
182
|
|
Operating revenues—third parties
|
2
|
|
|
5
|
|
|
7
|
|
|
Equity in earnings of affiliates
|
30
|
|
|
—
|
|
|
30
|
|
|
Total revenues and other income
|
140
|
|
|
79
|
|
|
219
|
|
|
|
|
|
|
|
|
||||
Costs and Expenses
|
|
|
|
|
|
||||
Operating and maintenance expenses
|
27
|
|
|
31
|
|
|
58
|
|
|
Depreciation
|
15
|
|
|
8
|
|
|
23
|
|
|
General and administrative expenses
|
8
|
|
|
8
|
|
|
16
|
|
|
Taxes other than income taxes
|
5
|
|
|
5
|
|
|
10
|
|
|
Interest and debt expense
|
11
|
|
|
—
|
|
|
11
|
|
|
Total costs and expenses
|
66
|
|
|
52
|
|
|
118
|
|
|
Income before income taxes
|
74
|
|
|
27
|
|
|
101
|
|
|
Provision for income taxes
|
1
|
|
|
—
|
|
|
1
|
|
|
Net income
|
73
|
|
|
27
|
|
|
100
|
|
|
Less: Net income attributable to Predecessors
|
5
|
|
|
27
|
|
|
32
|
|
|
Net income attributable to the Partnership
|
68
|
|
|
—
|
|
|
68
|
|
|
Less: General partner’s interest in net income attributable to the Partnership
|
21
|
|
|
—
|
|
|
21
|
|
|
Limited partners’ interest in net income attributable to the Partnership
|
$
|
47
|
|
|
—
|
|
|
47
|
|
|
Millions of Dollars
|
||||||||
|
Six Months Ended June 30, 2016
|
||||||||
Consolidated Statement of Income
|
Phillips 66
Partners LP (As previously reported) |
|
|
Acquired Eagle Assets Predecessor
|
|
|
Consolidated
Results |
|
|
Revenues and Other Income
|
|
|
|
|
|
||||
Operating revenues—related parties
|
$
|
207
|
|
|
146
|
|
|
353
|
|
Operating revenues—third parties
|
4
|
|
|
11
|
|
|
15
|
|
|
Equity in earnings of affiliates
|
55
|
|
|
—
|
|
|
55
|
|
|
Total revenues and other income
|
266
|
|
|
157
|
|
|
423
|
|
|
|
|
|
|
|
|
||||
Costs and Expenses
|
|
|
|
|
|
||||
Operating and maintenance expenses
|
50
|
|
|
58
|
|
|
108
|
|
|
Depreciation
|
29
|
|
|
17
|
|
|
46
|
|
|
General and administrative expenses
|
17
|
|
|
16
|
|
|
33
|
|
|
Taxes other than income taxes
|
10
|
|
|
10
|
|
|
20
|
|
|
Interest and debt expense
|
21
|
|
|
—
|
|
|
21
|
|
|
Total costs and expenses
|
127
|
|
|
101
|
|
|
228
|
|
|
Income before income taxes
|
139
|
|
|
56
|
|
|
195
|
|
|
Provision for income taxes
|
1
|
|
|
—
|
|
|
1
|
|
|
Net income
|
138
|
|
|
56
|
|
|
194
|
|
|
Less: Net income attributable to Predecessors
|
18
|
|
|
56
|
|
|
74
|
|
|
Net income attributable to the Partnership
|
120
|
|
|
—
|
|
|
120
|
|
|
Less: General partner’s interest in net income attributable to the Partnership
|
37
|
|
|
—
|
|
|
37
|
|
|
Limited partners’ interest in net income attributable to the Partnership
|
$
|
83
|
|
|
—
|
|
|
83
|
|
|
Millions of Dollars
|
||||||||
|
Six Months Ended June 30, 2016
|
||||||||
|
Phillips 66
Partners LP (As previously reported) |
|
|
Acquired Eagle Assets Predecessor
|
|
|
Consolidated
Results |
|
|
Cash Flows From Operating Activities
|
|
|
|
|
|
||||
Net income
|
$
|
138
|
|
|
56
|
|
|
194
|
|
Adjustments to reconcile net income to net cash provided by operating activities
|
|
|
|
|
|
||||
Depreciation
|
29
|
|
|
17
|
|
|
46
|
|
|
Adjustment to equity earnings for cash distributions received
|
(1
|
)
|
|
—
|
|
|
(1
|
)
|
|
Deferred revenues and other—long-term
|
8
|
|
|
1
|
|
|
9
|
|
|
Other
|
4
|
|
|
(1
|
)
|
|
3
|
|
|
Working capital adjustments
|
|
|
|
|
|
||||
Decrease (increase) in accounts receivable
|
(15
|
)
|
|
1
|
|
|
(14
|
)
|
|
Decrease (increase) in materials and supplies
|
(1
|
)
|
|
—
|
|
|
(1
|
)
|
|
Decrease (increase) in prepaid expenses and other current assets
|
(1
|
)
|
|
(1
|
)
|
|
(2
|
)
|
|
Increase (decrease) in accounts payable
|
4
|
|
|
3
|
|
|
7
|
|
|
Increase (decrease) in accrued interest
|
(5
|
)
|
|
—
|
|
|
(5
|
)
|
|
Increase (decrease) in deferred revenues
|
2
|
|
|
—
|
|
|
2
|
|
|
Increase (decrease) in other accruals
|
4
|
|
|
1
|
|
|
5
|
|
|
Net Cash Provided by Operating Activities
|
166
|
|
|
77
|
|
|
243
|
|
|
|
|
|
|
|
|
||||
Cash Flows From Investing Activities
|
|
|
|
|
|
||||
Cash capital expenditures and investments
|
(127
|
)
|
|
(47
|
)
|
|
(174
|
)
|
|
Return of investment from equity affiliates
|
7
|
|
|
—
|
|
|
7
|
|
|
Net Cash Used in Investing Activities
|
(120
|
)
|
|
(47
|
)
|
|
(167
|
)
|
|
|
|
|
|
|
|
||||
Cash Flows From Financing Activities
|
|
|
|
|
|
||||
Net contributions from (to) Phillips 66 to (from) Predecessors
|
90
|
|
|
(30
|
)
|
|
60
|
|
|
Acquisition of noncontrolling interest in Sweeny Frac LLC
|
(656
|
)
|
|
—
|
|
|
(656
|
)
|
|
Issuance of debt
|
178
|
|
|
—
|
|
|
178
|
|
|
Repayment of debt
|
(234
|
)
|
|
—
|
|
|
(234
|
)
|
|
Issuance of common units
|
669
|
|
|
—
|
|
|
669
|
|
|
Quarterly distributions to common unitholders—public
|
(23
|
)
|
|
—
|
|
|
(23
|
)
|
|
Quarterly distributions to common unitholder—Phillips 66
|
(55
|
)
|
|
—
|
|
|
(55
|
)
|
|
Quarterly distributions to General Partner—Phillips 66
|
(29
|
)
|
|
—
|
|
|
(29
|
)
|
|
Net Cash Used in Financing Activities
|
(60
|
)
|
|
(30
|
)
|
|
(90
|
)
|
|
|
|
|
|
|
|
||||
Net Change in Cash and Cash Equivalents
|
(14
|
)
|
|
—
|
|
|
(14
|
)
|
|
Cash and cash equivalents at beginning of period
|
50
|
|
|
—
|
|
|
50
|
|
|
Cash and Cash Equivalents at End of Period
|
$
|
36
|
|
|
—
|
|
|
36
|
|
|
|
|
Millions of Dollars
|
|||||
|
Percentage Ownership
|
|
|
Carrying Value
|
||||
|
|
June 30
2017 |
|
December 31
2016 |
|
|||
|
|
|
|
|
||||
DCP Sand Hills Pipeline, LLC (Sand Hills)
|
33.34
|
%
|
|
$
|
466
|
|
445
|
|
DCP Southern Hills Pipeline, LLC (Southern Hills)
|
33.34
|
|
|
210
|
|
212
|
|
|
Explorer Pipeline Company (Explorer)
|
21.94
|
|
|
124
|
|
126
|
|
|
Phillips 66 Partners Terminal LLC (Phillips 66 Partners Terminal)
|
70.00
|
|
|
62
|
|
72
|
|
|
Paradigm Pipeline LLC (Paradigm)
|
50.00
|
|
|
114
|
|
117
|
|
|
Bayou Bridge Pipeline, LLC (Bayou Bridge)
|
40.00
|
|
|
160
|
|
115
|
|
|
STACK Pipeline LLC (STACK)
|
50.00
|
|
|
76
|
|
55
|
|
|
Total equity investments
|
|
|
$
|
1,212
|
|
1,142
|
|
|
|
|
Millions of Dollars
|
|||||||||
|
Three Months Ended
June 30 |
|
Six Months Ended
June 30 |
|||||||
|
2017
|
|
2016
|
|
|
2017
|
|
2016
|
|
|
|
|
|
|
|
|
|||||
Sand Hills
|
$
|
20
|
|
17
|
|
|
37
|
|
32
|
|
Southern Hills
|
7
|
|
7
|
|
|
14
|
|
14
|
|
|
Explorer
|
6
|
|
6
|
|
|
11
|
|
9
|
|
|
Phillips 66 Partners Terminal
|
1
|
|
—
|
|
|
3
|
|
—
|
|
|
Paradigm
|
—
|
|
—
|
|
|
(1
|
)
|
—
|
|
|
Bayou Bridge
|
2
|
|
—
|
|
|
4
|
|
—
|
|
|
STACK
|
1
|
|
—
|
|
|
2
|
|
—
|
|
|
Total equity in earnings of affiliates
|
$
|
37
|
|
30
|
|
|
70
|
|
55
|
|
|
Millions of Dollars
|
||||
|
June 30
2017 |
|
December 31
2016 |
|
|
|
|
|
|||
Land
|
$
|
19
|
|
19
|
|
Buildings and improvements
|
84
|
|
88
|
|
|
Pipelines and related assets
*
|
1,349
|
|
1,335
|
|
|
Terminals and related assets
*
|
628
|
|
610
|
|
|
Rail racks and related assets
*
|
137
|
|
137
|
|
|
Fractionator and related assets
*
|
616
|
|
615
|
|
|
Caverns and related assets
*
|
581
|
|
569
|
|
|
Construction-in-progress
|
33
|
|
27
|
|
|
Gross PP&E
|
3,447
|
|
3,400
|
|
|
Less: Accumulated depreciation
|
777
|
|
725
|
|
|
Net PP&E
|
$
|
2,670
|
|
2,675
|
|
|
Millions of Dollars
|
|||||||||||
|
June 30, 2017
|
|||||||||||
|
Fair Value Hierarchy
|
Total Fair Value
|
|
Balance Sheet
Carrying Value
|
|
|||||||
|
Level 1
|
|
Level 2*
|
|
Level 3
|
|
||||||
|
|
|||||||||||
2.646% Senior Notes due 2020
|
$
|
—
|
|
300
|
|
—
|
|
300
|
|
300
|
|
|
3.605% Senior Notes due 2025
|
—
|
|
494
|
|
—
|
|
494
|
|
500
|
|
||
3.550% Senior Notes due 2026
|
—
|
|
485
|
|
—
|
|
485
|
|
500
|
|
||
4.680% Senior Notes due 2045
|
—
|
|
284
|
|
—
|
|
284
|
|
300
|
|
||
4.900% Senior Notes due 2046
|
—
|
|
616
|
|
—
|
|
616
|
|
625
|
|
||
Revolving credit facility at 2.34% at June 30, 2017
|
—
|
|
50
|
|
—
|
|
50
|
|
50
|
|
||
Total
|
$
|
—
|
|
2,229
|
|
—
|
|
2,229
|
|
2,275
|
|
|
Net unamortized discounts and debt issuance costs
|
|
|
|
|
(23
|
)
|
||||||
Total debt
|
|
|
|
|
2,252
|
|
||||||
Short-term debt
|
|
|
|
|
(25
|
)
|
||||||
Long-term debt
|
|
|
|
|
$
|
2,227
|
|
|
Millions of Dollars
|
|||||||||
|
Three Months Ended June 30
|
|
Six Months Ended June 30
|
|||||||
|
2017
|
|
2016
|
|
|
2017
|
|
2016
|
|
|
|
|
|
|
|
|
|||||
Net income attributable to the Partnership
|
$
|
103
|
|
68
|
|
|
200
|
|
120
|
|
Less: General partner’s distribution declared (including IDRs)*
|
36
|
|
21
|
|
|
68
|
|
37
|
|
|
Limited partners’ distribution declared on common units*
|
68
|
|
49
|
|
|
131
|
|
89
|
|
|
Distributions less than (in excess of) net income attributable to the Partnership
|
$
|
(1
|
)
|
(2
|
)
|
|
1
|
|
(6
|
)
|
|
General Partner (including IDRs)
|
|
Limited Partners’ Common Units
|
|
Total
|
|
||
Three Months Ended June 30, 2017
|
|
|
|
|||||
Net income attributable to the Partnership
(millions)
:
|
|
|
|
|||||
Distribution declared
|
$
|
36
|
|
68
|
|
104
|
|
|
Distribution less than (in excess of) net income attributable to the Partnership
|
1
|
|
(2
|
)
|
(1
|
)
|
||
Net income attributable to the Partnership
|
$
|
37
|
|
66
|
|
103
|
|
|
|
|
|
|
|||||
Weighted average units outstanding—basic and diluted
|
|
109,189,217
|
|
|
||||
|
|
|
|
|||||
Net income per limited partner unit—basic and diluted
(dollars)
|
|
$
|
0.61
|
|
|
|||
|
|
|
|
|||||
Three Months Ended June 30, 2016
|
|
|
|
|||||
Net income attributable to the Partnership
(millions):
|
|
|
|
|||||
Distribution declared
|
$
|
21
|
|
49
|
|
70
|
|
|
Distribution in excess of net income attributable to the Partnership
|
—
|
|
(2
|
)
|
(2
|
)
|
||
Net income attributable to the Partnership
|
$
|
21
|
|
47
|
|
68
|
|
|
|
|
|
|
|||||
Weighted average units outstanding—basic and diluted
|
|
90,959,226
|
|
|
||||
|
|
|
|
|||||
Net income per limited partner unit—basic and diluted
(dollars)
|
|
$
|
0.51
|
|
|
|
General Partner (including IDRs)
|
|
Limited Partners’ Common Units
|
|
Total
|
|
||
Six Months Ended June 30, 2017
|
|
|
|
|||||
Net income attributable to the Partnership
(millions)
:
|
|
|
|
|||||
Distribution declared
|
$
|
68
|
|
131
|
|
199
|
|
|
Distribution less than net income attributable to the Partnership
|
1
|
|
—
|
|
1
|
|
||
Net income attributable to the Partnership
|
$
|
69
|
|
131
|
|
200
|
|
|
|
|
|
|
|||||
Weighted average units outstanding—basic and diluted
|
|
108,299,570
|
|
|
||||
|
|
|
|
|||||
Net income per limited partner unit—basic and diluted
(dollars)
|
|
$
|
1.21
|
|
|
|||
|
|
|
|
|||||
Six Months Ended June 30, 2016
|
|
|
|
|||||
Net income attributable to the Partnership
(millions):
|
|
|
|
|||||
Distribution declared
|
$
|
37
|
|
89
|
|
126
|
|
|
Distribution in excess of net income attributable to the Partnership
|
—
|
|
(6
|
)
|
(6
|
)
|
||
Net income attributable to the Partnership
|
$
|
37
|
|
83
|
|
120
|
|
|
|
|
|
|
|||||
Weighted average units outstanding—basic and diluted
|
|
86,793,825
|
|
|
||||
|
|
|
|
|||||
Net income per limited partner unit—basic and diluted
(dollars)
|
|
$
|
0.96
|
|
|
|
Millions of Dollars
|
||||
|
Six Months Ended
June 30 |
||||
|
2017
|
|
2016*
|
|
|
Capital Expenditures and Investments
|
|
|
|||
Cash capital expenditures and investments
|
$
|
128
|
|
174
|
|
Change in capital expenditure accruals
|
—
|
|
(12
|
)
|
|
Total capital expenditures and investments
|
$
|
128
|
|
162
|
|
|
Millions of Dollars
|
||||
|
Six Months Ended
June 30 |
||||
|
2017
|
|
2016
|
|
|
Capital Expenditures and Investments
|
|
|
|||
Capital expenditures and investments attributable to the Partnership
|
$
|
128
|
|
95
|
|
Capital expenditures attributable to Predecessors*
|
—
|
|
67
|
|
|
Total capital expenditures and investments*
|
$
|
128
|
|
162
|
|
|
Millions of Dollars
|
||||
|
Six Months Ended
June 30 |
||||
|
2017
|
|
2016
|
|
|
Other Noncash Investing and Financing Activities
|
|
|
|||
Certain liabilities of acquired assets retained by Phillips 66
(1)
|
$
|
—
|
|
45
|
|
|
Millions of Dollars
|
|||||||||
|
Three Months Ended
June 30 |
|
Six Months Ended
June 30 |
|||||||
|
2017
|
|
2016*
|
|
|
2017
|
|
2016*
|
|
|
|
|
|
|
|
|
|||||
Operating and maintenance expenses
|
$
|
29
|
|
26
|
|
|
57
|
|
51
|
|
General and administrative expenses
|
14
|
|
13
|
|
|
29
|
|
27
|
|
|
Interest and debt expense
|
—
|
|
1
|
|
|
—
|
|
2
|
|
|
Total
|
$
|
43
|
|
40
|
|
|
86
|
|
80
|
|
Item 2.
|
MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
|
•
|
The difference between cash distributions received and equity earnings from our affiliates;
|
•
|
Transaction costs associated with acquisitions; and
|
•
|
Certain other noncash items, including expenses indemnified by Phillips 66.
|
•
|
Our operating performance as compared to other publicly traded partnerships in the midstream energy industry, without regard to historical cost basis or, in the case of EBITDA and adjusted EBITDA, financing methods.
|
•
|
The ability of our business to generate sufficient cash to support our decision to make distributions to our unitholders.
|
•
|
Our ability to incur and service debt and fund capital expenditures.
|
•
|
The viability of acquisitions and other capital expenditure projects and the returns on investment of various investment opportunities.
|
|
Millions of Dollars
|
|||||||||
|
Three Months Ended
June 30 |
|
Six Months Ended
June 30 |
|||||||
|
2017
|
|
2016*
|
|
|
2017
|
|
2016*
|
|
|
Revenues and Other Income
|
|
|
|
|
|
|||||
Operating revenues—related parties
|
$
|
186
|
|
182
|
|
|
370
|
|
353
|
|
Operating revenues—third parties
|
11
|
|
7
|
|
|
21
|
|
15
|
|
|
Equity in earnings of affiliates
|
37
|
|
30
|
|
|
70
|
|
55
|
|
|
Other income
|
—
|
|
—
|
|
|
7
|
|
—
|
|
|
Total revenues and other income
|
234
|
|
219
|
|
|
468
|
|
423
|
|
|
|
|
|
|
|
|
|||||
Costs and Expenses
|
|
|
|
|
|
|||||
Operating and maintenance expenses
|
57
|
|
58
|
|
|
119
|
|
108
|
|
|
Depreciation
|
26
|
|
23
|
|
|
52
|
|
46
|
|
|
General and administrative expenses
|
16
|
|
16
|
|
|
32
|
|
33
|
|
|
Taxes other than income taxes
|
7
|
|
10
|
|
|
16
|
|
20
|
|
|
Interest and debt expense
|
24
|
|
11
|
|
|
48
|
|
21
|
|
|
Total costs and expenses
|
130
|
|
118
|
|
|
267
|
|
228
|
|
|
Income before income taxes
|
104
|
|
101
|
|
|
201
|
|
195
|
|
|
Provision for income taxes
|
1
|
|
1
|
|
|
1
|
|
1
|
|
|
Net income
|
103
|
|
100
|
|
|
200
|
|
194
|
|
|
Less: Net income attributable to Predecessors
|
—
|
|
32
|
|
|
—
|
|
74
|
|
|
Net income attributable to the Partnership
|
103
|
|
68
|
|
|
200
|
|
120
|
|
|
Less: General partner’s interest in net income attributable to the Partnership
|
37
|
|
21
|
|
|
69
|
|
37
|
|
|
Limited partners’ interest in net income attributable to the Partnership
|
$
|
66
|
|
47
|
|
|
131
|
|
83
|
|
|
|
|
|
|
|
|||||
Net cash provided by operating activities
|
$
|
131
|
|
132
|
|
|
270
|
|
243
|
|
|
|
|
|
|
|
|||||
Adjusted EBITDA
|
$
|
170
|
|
97
|
|
|
325
|
|
171
|
|
|
|
|
|
|
|
|||||
Distributable cash flow
|
$
|
140
|
|
84
|
|
|
264
|
|
148
|
|
|
Three Months Ended
June 30 |
|
Six Months Ended
June 30 |
|||||||
|
2017
|
|
2016
|
|
|
2017
|
|
2016
|
|
|
|
Thousands of Barrels Daily
|
|||||||||
Pipeline, Terminal and Storage Volumes
|
|
|
|
|
|
|||||
Pipelines
(1)
|
|
|
|
|
|
|||||
Pipeline throughput volumes
|
|
|
|
|
|
|||||
Wholly Owned Pipelines
|
|
|
|
|
|
|||||
Crude oil*
|
938
|
|
1,024
|
|
|
939
|
|
1,024
|
|
|
Refined products and NGL*
|
977
|
|
852
|
|
|
956
|
|
827
|
|
|
Total
|
1,915
|
|
1,876
|
|
|
1,895
|
|
1,851
|
|
|
|
|
|
|
|
|
|||||
Select Joint Venture Pipelines
(2)
|
|
|
|
|
|
|||||
NGL
|
372
|
|
346
|
|
|
363
|
|
326
|
|
|
|
|
|
|
|
|
|||||
Terminals
|
|
|
|
|
|
|||||
Terminal throughput and storage volumes
(3)
|
|
|
|
|
|
|||||
Crude oil*
(4)
|
494
|
|
559
|
|
|
490
|
|
531
|
|
|
Refined products and NGL*
|
840
|
|
820
|
|
|
869
|
|
802
|
|
|
Total
|
1,334
|
|
1,379
|
|
|
1,359
|
|
1,333
|
|
|
|
|
|
|
|
|
|||||
Revenue Per Barrel (
dollars
)
|
|
|
|
|
|
|||||
Average pipeline revenue per barrel
(5)
|
$
|
0.61
|
|
0.61
|
|
|
0.62
|
|
0.61
|
|
Average terminaling and storage revenue per barrel
|
0.42
|
|
0.40
|
|
|
0.42
|
|
0.41
|
|
|
Millions of Dollars
|
|||||||||
|
Three Months Ended
June 30 |
|
Six Months Ended
June 30 |
|||||||
|
2017
|
|
2016*
|
|
|
2017
|
|
2016*
|
|
|
Reconciliation to Net Income
|
|
|
|
|
|
|||||
Net income
|
$
|
103
|
|
100
|
|
|
200
|
|
194
|
|
Plus:
|
|
|
|
|
|
|||||
Depreciation
|
26
|
|
23
|
|
|
52
|
|
46
|
|
|
Net interest expense
|
24
|
|
11
|
|
|
48
|
|
21
|
|
|
Provision for income taxes
|
1
|
|
1
|
|
|
1
|
|
1
|
|
|
EBITDA
|
154
|
|
135
|
|
|
301
|
|
262
|
|
|
Plus:
|
|
|
|
|
|
|||||
Distributions in excess of equity earnings
|
16
|
|
2
|
|
|
20
|
|
6
|
|
|
Expenses indemnified by Phillips 66
|
—
|
|
4
|
|
|
3
|
|
4
|
|
|
Transaction costs associated with acquisitions
|
—
|
|
1
|
|
|
1
|
|
2
|
|
|
Less:
|
|
|
|
|
|
|||||
EBITDA attributable to Predecessors
|
—
|
|
45
|
|
|
—
|
|
103
|
|
|
Adjusted EBITDA
|
170
|
|
97
|
|
|
325
|
|
171
|
|
|
Plus:
|
|
|
|
|
|
|||||
Deferred revenue impacts**
|
4
|
|
2
|
|
|
8
|
|
3
|
|
|
Less:
|
|
|
|
|
|
|||||
Net interest expense
|
24
|
|
11
|
|
|
48
|
|
21
|
|
|
Maintenance capital expenditures
|
10
|
|
4
|
|
|
21
|
|
5
|
|
|
Distributable cash flow
|
$
|
140
|
|
84
|
|
|
264
|
|
148
|
|
|
Millions of Dollars
|
|||||||||
|
Three Months Ended
June 30 |
|
Six Months Ended
June 30 |
|||||||
|
2017
|
2016*
|
|
|
2017
|
2016*
|
|
|||
Reconciliation to Net Cash Provided by Operating Activities
|
|
|
|
|
|
|||||
Net Cash Provided by Operating Activities
|
$
|
131
|
|
132
|
|
|
270
|
|
243
|
|
Plus:
|
|
|
|
|
|
|||||
Net interest expense
|
24
|
|
11
|
|
|
48
|
|
21
|
|
|
Provision for income taxes
|
1
|
|
1
|
|
|
1
|
|
1
|
|
|
Changes in working capital
|
6
|
|
(5
|
)
|
|
(11
|
)
|
8
|
|
|
Adjustment to equity earnings for cash distributions received
|
(6
|
)
|
2
|
|
|
(2
|
)
|
1
|
|
|
Other
|
(2
|
)
|
(6
|
)
|
|
(5
|
)
|
(12
|
)
|
|
EBITDA
|
154
|
|
135
|
|
|
301
|
|
262
|
|
|
Plus:
|
|
|
|
|
|
|||||
Distributions in excess of equity earnings
|
16
|
|
2
|
|
|
20
|
|
6
|
|
|
Expenses indemnified by Phillips 66
|
—
|
|
4
|
|
|
3
|
|
4
|
|
|
Transaction costs associated with acquisitions
|
—
|
|
1
|
|
|
1
|
|
2
|
|
|
Less:
|
|
|
|
|
|
|||||
EBITDA attributable to Predecessors
|
—
|
|
45
|
|
|
—
|
|
103
|
|
|
Adjusted EBITDA
|
170
|
|
97
|
|
|
325
|
|
171
|
|
|
Plus:
|
|
|
|
|
|
|||||
Deferred revenue impacts
**
|
4
|
|
2
|
|
|
8
|
|
3
|
|
|
Less:
|
|
|
|
|
|
|||||
Net interest expense
|
24
|
|
11
|
|
|
48
|
|
21
|
|
|
Maintenance capital expenditures
|
10
|
|
4
|
|
|
21
|
|
5
|
|
|
Distributable cash flow
|
$
|
140
|
|
84
|
|
|
264
|
|
148
|
|
|
Millions of Dollars
|
|||||||||
|
Three Months Ended
June 30 |
|
Six Months Ended
June 30 |
|||||||
|
2017
|
|
2016
|
|
|
2017
|
|
2016
|
|
|
|
|
|
|
|
|
|||||
Deferred revenues—beginning of period
|
$
|
16
|
|
5
|
|
|
12
|
|
4
|
|
Quarterly deficiency payments
(1)
|
8
|
|
2
|
|
|
13
|
|
4
|
|
|
Quarterly deficiency make-up/expirations
(2)
|
(3
|
)
|
(2
|
)
|
|
(4
|
)
|
(3
|
)
|
|
Deferred revenues—end of period
|
$
|
21
|
|
5
|
|
|
21
|
|
5
|
|
|
Millions of Dollars
|
||||
|
Six Months Ended
June 30 |
||||
|
2017
|
|
2016
|
|
|
|
|
|
|||
Capital expenditures and investments attributable to the Partnership
|
|
|
|||
Expansion
|
$
|
107
|
|
90
|
|
Maintenance
|
21
|
|
5
|
|
|
Total
|
128
|
|
95
|
|
|
Capital expenditures attributable to Predecessors*
|
—
|
|
67
|
|
|
Total capital expenditures and investments
|
$
|
128
|
|
162
|
|
•
|
Contributions to Bayou Bridge to continue progress on its pipeline segment from Lake Charles, Louisiana, to St. James, Louisiana.
|
•
|
Contributions to STACK to extend the origination point of its pipeline system to access additional area producers and increase capacity.
|
•
|
Contributions to Sand Hills to increase capacity on its NGL pipeline system.
|
•
|
Reactivation and upgrading of various tanks at the Bayway Products System to facilitate additional storage and gasoline blending.
|
•
|
Various upgrades and replacements of assets.
|
•
|
The continued ability of Phillips 66 to satisfy its obligations under our commercial and other agreements.
|
•
|
The volume of crude oil, NGL and refined petroleum products we transport, fractionate, terminal and store.
|
•
|
The tariff rates with respect to volumes that we transport through our regulated assets, which rates are subject to review and possible adjustment by federal and state regulators.
|
•
|
Changes in revenue we realize under the loss allowance provisions of our regulated tariffs resulting from changes in underlying commodity prices.
|
•
|
Fluctuations in the prices for crude oil, NGL and refined petroleum products.
|
•
|
Changes in global economic conditions and the effects of a global economic downturn on the business of Phillips 66 and the business of its suppliers, customers, business partners and credit lenders.
|
•
|
Liabilities associated with the risks and operational hazards inherent in transporting, fractionating, terminaling and storing crude oil, NGL and refined petroleum products.
|
•
|
Curtailment of operations due to severe weather disruption; riots, strikes, lockouts or other industrial disturbances; or failure of information technology systems due to various causes, including unauthorized access or attack.
|
•
|
Inability to timely obtain or maintain permits, including those necessary for capital projects; comply with government regulations; or make capital expenditures required to maintain compliance.
|
•
|
Failure to timely complete construction of announced and future capital projects.
|
•
|
The operation, financing and distribution decisions of our joint ventures.
|
•
|
Costs or liabilities associated with federal, state, and local laws and regulations relating to environmental protection and safety, including spills, releases and pipeline integrity.
|
•
|
Costs associated with compliance with evolving environmental laws and regulations on climate change.
|
•
|
Costs associated with compliance with safety regulations, including pipeline integrity management program testing and related repairs.
|
•
|
Changes in the cost or availability of third-party vessels, pipelines, railcars and other means of delivering and transporting crude oil, NGL and refined petroleum products.
|
•
|
Direct or indirect effects on our business resulting from actual or threatened terrorist incidents or acts of war.
|
•
|
The factors generally described in “Item 1A. Risk Factors” in our 2016 Annual Report on Form 10-K filed with the SEC on February 17, 2017.
|
|
|||
Exhibit
Number
|
|
|
Exhibit Description
|
|
|
|
|
10.1
|
|
|
Sixth Amendment to the Operational Services Agreement, dated as of November 17, 2016, by and among Phillips 66 Carrier LLC, Phillips 66 Partners Holdings LLC, and Phillips 66 Pipeline LLC.
|
|
|
|
|
12
|
|
|
Computation of Ratio of Earnings to Fixed Charges.
|
|
|
|
|
31.1
|
|
|
Certification of Chief Executive Officer pursuant to Rule 13a-14(a) under the Securities Exchange Act of 1934.
|
|
|
|
|
31.2
|
|
|
Certification of Chief Financial Officer pursuant to Rule 13a-14(a) under the Securities Exchange Act of 1934.
|
|
|
|
|
32
|
|
|
Certifications pursuant to 18 U.S.C. Section 1350.
|
|
|
|
|
101.INS
|
|
|
XBRL Instance Document.
|
|
|
|
|
101.SCH
|
|
|
XBRL Schema Document.
|
|
|
|
|
101.CAL
|
|
|
XBRL Calculation Linkbase Document.
|
|
|
|
|
101.LAB
|
|
|
XBRL Labels Linkbase Document.
|
|
|
|
|
101.PRE
|
|
|
XBRL Presentation Linkbase Document.
|
|
|
|
|
101.DEF
|
|
|
XBRL Definition Linkbase Document.
|
|
|
|
|
|
|||
|
|
|
|
PHILLIPS 66 PARTNERS LP
|
|
|
|
By: Phillips 66 Partners GP LLC, its general partner
|
|
|
|
/s/ Chukwuemeka A. Oyolu
|
|
Chukwuemeka A. Oyolu
Vice President and Controller
(Chief Accounting and Duly Authorized Officer)
|
|
|
1 Year Phillips 66 Partners Chart |
1 Month Phillips 66 Partners Chart |
It looks like you are not logged in. Click the button below to log in and keep track of your recent history.
Support: +44 (0) 203 8794 460 | support@advfn.com
By accessing the services available at ADVFN you are agreeing to be bound by ADVFN's Terms & Conditions