Energy Infrastructure/MLPs

Transcription

1 Energy Infrastructure/MLPs Back to School Blues Round 2: MLPs Held Back by Crude Slide Amidst Choppy Markets; Weekly Comp Tables The AMZX Index decreased -5.2% over the past week. Our Energy MLPs coverage universe decreased -6.6% over the past week, versus 1.7% for the S&P 500, -1.4% for S&P Energy, 1.8% for Utilities and 2.2% for REITs. Year to date, the AMZX Index has decreased -24.1%, versus -3.7% for the S&P 500, -20.3% for S&P Energy, -10.3% for Utilities and -6.9% for REITs. MLP spread to 10-year is 547 bps. With MLP yields standing at 7.65% and the 10-year at 2.18%, the current spread to the 10-year is 5.47% versus the 15-year average of 3.25%. Commodity price update. This week, WTI crude oil decreased -4.1% to $44.15/bbl, natural gas increased 4.0% to $2.76/MMbtu, and the composite NGL gallon increased 0.3% to $0.38. MIC: A top pick in the face of challenging headwinds. Niche markets, steady businesses, a strong B/S, solid ~14% dividend growth, a conservative payout, and M&A upside combine to make MIC a favorite name. In our view, the ~8% yield on 2016 DCF presents attractive value for wide moat assets generating stable fee-based cash flows with no direct commodity exposure. EQM has the right mix: Firm contracts, 20% distribution growth & no direct commodity price exposure. New demand to move northeast natgas west and southeast underpin attractive multi-billion-dollar expansion projects for EQM, driving the partnership s top-tier growth profile supported by take or pay contracts, which combine to make EQM a preferred name. SMid Cap Standouts: Downward volatility and thin trading liquidity can create attractive entry points for smaller MLPs, such as PTXP, SUN and VTTI. These niche GARP plays do not depend on high crude oil prices for stability and growth, while offering attractive total returns. Energy MLPs Jeremy Tonet, CFA AC Bloomberg JPMA TONET <GO> J.P. Morgan Securities LLC Christopher Neyor (1-212) christopher.z.neyor@jpmorgan.com J.P. Morgan Securities LLC Rahul Krotthapalli (91-22) rahul.krotthapalli@jpmorgan.com J.P. Morgan India Private Limited Andrew R Burd (1-212) andrew.burd@jpmorgan.com J.P. Morgan Securities LLC J.P. Morgan analyst page on Bloomberg JPMA Tonet<GO> Figure 1: MLPs vs 10-Year and Peers, Year-to-Date Total Return - Year-to-Date 15% 10% 5% 0% -5% -10% -15% -20% -25% -30% Dec-14 Feb-15 Mar-15 May-15 Jun-15 Aug-15 Source: Bloomberg. AMZ REITs Utilities 10YR 2.6% 2.4% 2.2% 2.0% 1.8% 1.6% 1.4% 1.2% Current 10 Year Yield Contents Valuation/Commodities Snapshot...2 Growth Outlook...3 Valuation Snapshot...4 Leverage Metrics...5 Tiered Performance...6 Yield vs Growth Infrastructure Price Performance...9 Non-Infrastructure Price Perf...10 YTD Performance by Sector...11 AMZ Perf & Monthly Returns...12 Equity Capital Market Activity...13 Latest Public Offerings...14 Liquidity & Short Interest...15 Consensus EBITDA Revisions...16 See page 17 for analyst certification and important disclosures, including non-us analyst disclosures. J.P. Morgan does and seeks to do business with companies covered in its research reports. As a result, investors should be aware that the firm may have a conflict of interest that could affect the objectivity of this report. Investors should consider this report as only a single factor in making their investment decision.

2 MLP Valuation Snapshot AMZ Spread to 10-Year Treasury 14% 12% Current 5.47% 10% Average 3.25% 8% 6% 4% 2% 0% Jan-96 Dec-97 Dec-99 Nov-01 Nov-03 Oct-05 Oct-07 Sep-09 Sep-11 Aug-13 Aug-15 AMZ Spread to Treasury Average 1 STD 8% 6% 4% 2% 0% AMZ Spread to Moody's Corporate BAA Bond Index Current 2.02% Average 0.72% -2% Jan-96 Dec-97 Dec-99 Nov-01 Nov-03 Oct-05 Oct-07 Sep-09 Sep-11 Aug-13 Aug-15 AMZ Spread Moody's Average 1 STD 14% 12% 10% 8% 6% 4% 2% Current 7.55% Av erage 3.29% AMZI Spread to 10-Year Treasury 0% Jan-96 Dec-97 Dec-99 Nov-01 Nov-03 Oct-05 Oct-07 Sep-09 Sep-11 Aug-13 Aug-15 AMZI Spread to Treasury Average 1 STD 6% 5% 4% 3% 2% 1% 0% -1% -2% AMZI Spread to Moody's Corporate BAA Bond Index Current 2.24% Average 0.74% Jan-96 Dec-97 Dec-99 Nov-01 Nov-03 Oct-05 Oct-07 Sep-09 Sep-11 Aug-13 Aug-15 AMZI Spread Moody's Average 1 STD Commodities Corner Source: Bloomberg, J.P. Morgan estimates 1 Week Chg 9/14/ Week Ago 1 Month Ago 1 Year Ago Natural Gas ($/MMBtu) Henry Hub 4.0% $2.76 $2.66 $2.80 $3.86 HH - Rockies $0.13 $0.19 $0.08 $0.10 HH - San Juan $0.17 $0.20 $0.02 $0.11 HH - AECO $0.52 $0.51 $0.52 $0.20 HH - TETCO $1.39 $1.41 $1.19 $1.77 Crude Oil ($/bbl) WTI (4.1%) $44.15 $46.05 $42.50 $92.27 WTI - Brent ($2.39) ($1.58) ($6.53) ($4.84) WTI - LLS ($3.30) ($3.75) ($4.50) ($3.75) WTI - Bakken ($1.65) ($1.40) ($4.25) ($5.20) WTI - Permian $1.50 $1.80 $1.80 ($9.00) Natural Gas Liquids (cents/gal) NGL composite 0.3% Ethane 3.4% Propane 2.9% Butane 0.9% Isobutane (0.4%) Natural Gasoline (5.4%) Inventories Gas inv entories (Bcf) 3,261 3,193 2,912 2,801 Oil stocks (Mbbl) 457, , , ,598 Refinery Data Refinery utilization (%) WTI Midcon 3:2:1 ($/bbl) (11.1%) $12.81 $14.41 $31.59 $26.18 Rig Count Total US Miscellaneous Count Total US Gas Count (6) Total US Oil Count (10) ,592 Total US Rig Count (16) ,931 Total North American Count (18) 1,033 1,051 1,092 2,336 2

3 Growth Outlook C-Corp Mkt Cap EV Current Dividend Estimates Current Yield Based on Implied Forecasted Lead ($ MM) ($ MM) Price Yield Annual Dividend Growth Rates Growth CAGR Annual Dividend Target Total Company Ticker Rating Analyst 2Q15 2Q15 Target Price 2Q A 2015E 2016E 2017E '15/'14 '16/'15 '17/'16 3Y Hist '18/'15 '20/'15 NTM 2016E 2017E Yield Return Gibson Energy Inc. GEI N Tonet $2,218 $3,261 $22.00 $ % $1.20 $1.28 $1.36 $ % 6.3% 5.9% 8.6% 5.9% 5.6% 7.5% 7.7% 8.1% 6.2% 33.8% CenterPoint Energy, Inc. CNP OW Tonet $7,662 $16,795 $22.00 $ % $0.96 $1.01 $1.07 $ % 6.5% 7.5% 6.9% 7.0% 6.2% 5.8% 6.3% 6.8% 5.1% 30.8% EnLink Midstream, LLC ENLC N Tonet $3,298 $6,758 $36.00 $ % $0.87 $1.03 $1.21 $ % 17.8% 19.3% N/A 18.5% 14.8% 5.5% 6.4% 7.6% 3.6% 86.3% Kinder Morgan, Inc. KMI OW Tonet $65,423 $106,659 $47.00 $ % $1.74 $2.00 $2.20 $ % 9.9% 9.9% 11.9% 1 9.8% 7.1% 7.6% 8.4% 4.8% 66.3% Macquarie Infrastructure Co LLC MIC OW Tonet $6,293 $9,088 $ $ % $3.89 $4.43 $5.05 $ % 13.9% 13.0% N/A 12.1% 9.4% 6.0% 6.7% 7.5% 5.2% 36.5% Columbia Pipeline Group, Inc. CPGX N Tonet $7,355 $12,585 $32.00 $ % N/A $0.50 $0.55 $0.65 N/A % N/A 15.6% 18.1% 2.2% 2.5% 3.0% 1.8% 40.9% Oneok, Inc. OKE UW Tonet $7,224 $19,246 $39.00 $ % $2.33 $2.42 $2.42 $ % 0.4% 22.4% 0.4% 1.3% 7.0% 7.0% 7.1% 6.2% 21.8% Plains GP Holdings, L.P. PAGP OW Tonet $10,727 $19,593 $25.00 $ % $0.75 $0.91 $0.97 $1.11 N/A 6.7% 14.3% N/A 12.2% 12.4% 5.3% 5.6% 6.5% 4.0% 47.9% Targa Resources Corp. TRGP N Tonet $2,485 $14,309 $99.00 $ % $2.85 $3.56 $4.20 $ % 18.0% 19.5% 30.2% 14.6% 10.5% 6.6% 7.6% 8.9% 4.5% 76.9% The Williams Companies, Inc. WMB N Tonet $31,683 $52,764 $60.00 $ % $2.14 $2.43 $2.77 $ % 13.7% 11.6% 24.3% 12.6% 10.3% 6.1% 6.8% 7.6% 4.8% 49.7% Mean $14,437 $26, % 12.7% 10.3% 11.9% 17.4% 10.9% 9.8% 5.9% 6.4% 7.2% 4.6% 49.1% Median $7,289 $15, % 14.0% % 17.1% 12.1% 10.1% 6.0% 6.8% 7.6% 4.8% 44.4% Mkt Cap EV Current Distribution Estimates Current Yield Based on Implied Forecasted Lead ($ MM) ($ MM) Price Yield Annual Distribution Growth Rates Growth CAGR Annual Distribution Target Total Company Ticker Rating Analyst 2Q15 2Q15 Target Price 2Q A 2015E 2016E 2017E '15/'14 '16/'15 '17/'16 3Y Hist '18/'15 '20/'15 NTM 2016E 2017E Yield Return Energy Infrastructure General Partners Energy Transfer Equity, L.P. ETE OW Tonet $26,820 $59,992 $44.00 $ % $0.80 $1.10 $1.42 $ % 29.1% 23.4% 19.3% 24.4% 21.2% 5.0% 6.1% 7.4% 3.5% 79.4% EQT GP Holdings, LP EQGP N Tonet $7,309 $7,801 $38.00 $ % $0.22 $0.39 $0.59 $0.86 N/A 51.2% 45.7% N/A 44.1% 35.7% 1.8% 2.5% 3.5% 1.8% 40.7% Western Gas Equity Partners LP WGP OW Tonet $10,632 $16,032 $76.00 $ % $1.13 $1.50 $1.92 $ % 27.8% 25.8% N/A 27.5% 19.8% 3.5% 4.3% 5.3% 2.7% 61.0% Diversified Enbridge Energy Partners, L.P. EEP N Tonet $10,569 $20,534 $37.00 $ % $2.22 $2.33 $2.43 $ % 4.5% 4.1% 2.2% 4.3% 4.3% 9.1% 9.6% 1 6.7% 54.5% Energy Transfer Partners, L.P. ETP OW Tonet $19,948 $47,391 $73.00 $ % $3.86 $4.18 $4.50 $ % 7.7% 7.7% 5.0% 7.6% 6.6% 9.5% 10.1% 10.9% 6.3% 71.6% Enterprise Products Partners L.P. EPD OW Tonet $52,402 $74,381 $39.00 $ % $1.45 $1.53 $1.63 $ % 6.3% 6.1% 6.2% 6.2% 6.5% 6.1% 6.4% 6.8% 4.3% 58.1% ONEOK Partners, L.P. OKS UW Tonet $8,201 $16,067 $33.00 $ % $3.07 $3.16 $3.16 $ % 6.2% 0.1% 10.1% 10.1% 10.1% 9.6% 17.6% Plains All American Pipeline, L.P. PAA OW Tonet $12,623 $22,192 $47.00 $ % $2.61 $2.77 $2.78 $ % 0.4% 3.6% 9.3% 3.7% 4.9% 8.8% 8.8% 9.3% 5.9% 59.6% Williams Partners L.P. WPZ OW Tonet $31,095 $47,652 $50.00 $ % N/A $3.40 $3.66 $3.95 N/A 7.5% 7.9% N/A 7.5% 6.0% 9.0% 9.8% 10.5% 7.5% 40.9% Liquids Transportation & Storage Buckeye Partners, L.P. BPL N Tonet $8,506 $12,072 $80.00 $ % $4.48 $4.68 $4.96 $ % 6.0% 6.5% 3.9% 5.7% 4.8% 7.2% 7.7% 8.1% 6.4% 29.7% Magellan Midstream Partners, L.P. MMP N Tonet $14,787 $18,085 $82.00 $ % $2.62 $3.01 $3.37 $ % 12.0% 11.4% 16.2% 11.4% 10.3% 4.9% 5.4% 6.0% 4.3% 32.4% MPLX LP MPLX OW Tonet $3,591 $4,213 $67.00 $ % $1.41 $1.82 $2.29 $ % 25.5% 24.9% N/A 23.5% 21.0% 4.6% 5.6% 6.9% 3.7% 55.9% Nustar Energy L.P. NS OW Tonet $3,904 $6,867 $69.00 $ % $4.38 $4.38 $4.50 $ % 4.2% 4.0% 4.5% 8.8% 9.1% 9.5% 6.6% 48.8% Phillips 66 Partners LP PSXP OW Tonet $4,377 $5,373 $82.00 $ % N/A $1.66 $2.23 $2.91 N/A 34.2% 30.6% N/A 31.0% 22.5% 3.6% 4.6% 5.9% 3.0% 58.1% Sunoco Logistics Partners L.P. SXL OW Tonet $7,593 $12,154 $48.00 $ % $1.50 $1.79 $2.06 $ % 15.0% 15.3% 23.1% 15.1% 12.6% 6.5% 7.2% 8.4% 4.5% 68.2% Tesoro Logistics LP TLLP OW Tonet $4,047 $6,620 $67.00 $ % $2.52 $2.95 $3.44 $ % 16.6% 16.6% 20.8% 15.4% 10.4% 6.4% 7.3% 8.5% 5.4% 42.2% Valero Energy Partners, LP VLP OW Tonet $2,851 $3,135 $63.00 $ % N/A $1.21 $1.58 $1.99 N/A 30.6% 25.9% N/A 27.2% 23.7% 2.9% 3.6% 4.5% 2.7% 35.2% VTTI Energy Partners LP VTTI OW Tonet $811 $961 $30.00 $ % N/A $1.15 $1.32 $1.52 N/A 15.1% 15.5% N/A 15.3% 13.3% 6.1% 6.9% 8.0% 4.6% 56.6% Nat Gas Transportation & Storage Boardw alk Pipeline Partners, LP BWP OW Tonet $3,347 $6,821 $23.00 $ % $0.40 $0.40 $1.26 $ % 12.7% -42.7% 58.1% 34.3% 6.1% 9.9% 11.1% 5.7% 80.5% Columbia Pipeline Partners LP CPPL OW Tonet $1,735 $1,715 $32.00 $ % N/A $0.70 $0.85 $1.02 N/A 21.4% 20.3% N/A 20.6% 20.2% 4.5% 5.3% 6.3% 2.8% 91.3% Dominion Midstream Partners DM OW Tonet $2,098 $2,322 $49.00 $ % N/A $0.78 $0.98 $1.19 N/A 25.8% 21.8% N/A 23.1% 22.5% 2.9% 3.5% 4.2% 2.1% 65.0% EQT Midstream Partners, LP EQM OW Tonet $5,112 $5,916 $ $ % $2.14 $2.62 $3.15 $ % 20.2% 20.2% N/A 20.1% 18.6% 4.0% 4.6% 5.6% 3.2% 51.7% Spectra Energy Partners, LP SEP OW Tonet $13,125 $19,160 $61.00 $ % $2.29 $2.48 $2.68 $ % 8.1% 7.5% 8.2% 7.5% 6.9% 5.9% 6.3% 6.7% 4.5% 46.0% TC Pipelines, LP TCP N Tonet $3,432 $5,118 $64.00 $ % $3.33 $3.51 $3.71 $ % 5.7% 6.2% 4.5% 6.0% 5.6% 6.7% 7.0% 7.4% 5.9% 27.4% Producer Sponsored Nat Gas G&P Antero Midstream Partners LP AM OW Tonet $3,144 $3,090 $33.00 $ % N/A $0.79 $1.01 $1.29 N/A 28.3% 28.0% N/A 26.9% 19.8% 4.3% 5.4% 6.8% 3.4% 65.0% CONE Midstream Partners LP CNNX N Tonet $639 $679 $21.00 $ % N/A $0.90 $1.02 $1.16 N/A 14.2% 13.8% N/A 13.8% 11.1% 8.7% 9.8% 11.1% 5.1% 102.7% EnLink Midstream Partners ENLK N Tonet $4,845 $7,557 $27.00 $ % $1.47 $1.58 $1.70 $ % 7.8% 7.3% N/A 7.6% 6.1% 9.7% 10.2% 11.0% 6.4% 70.6% Western Gas Partners LP WES OW Tonet $6,854 $9,601 $82.00 $ % $2.65 $3.05 $3.51 $ % 15.2% 15.3% 16.0% 15.2% 11.6% 6.4% 7.2% 8.3% 4.5% 67.6% Nat Gas Gathering & Processing DCP Midstream Partners, LP DPM N Tonet $3,314 $5,631 $37.00 $ % $3.05 $3.12 $3.12 $ % 0.8% 5.2% 0.7% 1.3% 10.9% 10.9% 11.1% 8.4% 43.1% Crestwood Equity Partners LP CEQP N Burd $457 $2,963 N/A $ % $0.55 $0.55 $0.55 $0.55 N/A N/A 22.5% 22.5% 22.5% N/A N/A Crestwood Midstream Partners LP CMLP N Burd $1,216 $3,382 N/A $ % $1.64 $1.64 $1.64 $1.64 N/A 25.4% 25.4% 25.4% N/A N/A Enable Midstream Partners, LP ENBL N Tonet $6,009 $8,072 $19.00 $ % N/A $1.27 $1.33 $1.39 N/A 4.7% 4.5% N/A 4.5% 4.3% 9.2% 9.5% 9.9% 7.1% 45.0% MarkWest Energy Partners, L.P. MWE N Tonet $10,289 $14,785 $69.00 $ % $3.54 $3.70 $3.91 $ % 5.7% 7.4% 4.8% 7.3% 7.5% 7.4% 7.8% 8.4% 5.8% 43.0% Midcoast Energy Partners, L.P. MEP UW Tonet $468 $1,223 $10.50 $ % N/A $1.39 $1.39 $1.39 N/A N/A 13.4% 13.4% 13.4% 13.2% 18.1% PennTex Midstream Partners, LP PTXP OW Burd $683 $749 $22.00 $ % N/A $0.63 $1.29 $1.58 N/A 21.1% 22.5% N/A 17.7% 11.0% 6.9% 8.1% 1 6.3% 37.6% Southcross Energy Partners, L.P. SXE N Burd $231 $779 $8.00 $ % $1.60 $1.60 $1.60 $1.60 N/A 28.0% 28.0% 28.0% % Targa Resources Partners LP NGLS N Tonet $5,491 $10,577 $44.00 $ % $3.15 $3.30 $3.35 $ % 1.3% 1.2% 8.7% 1.5% 2.2% 11.0% 11.1% 11.2% 7.6% 59.3% Mean $7,582 $11, % 8.3% 17.0% 10.9% 5.7% 12.0% 9.8% 8.7% 9.3% 10.1% 6.1% 53.7% Median $4,212 $6, % 5.5% 7.7% 7.6% 6.2% 7.5% 6.7% 7.1% 7.9% 8.9% 5.8% 55.2% Non-Energy Infrastructure Contract Compression CSI Compressco LP CCLP OW Burd $397 $941 $21.00 $ % $1.84 $2.01 $2.07 $ % 2.7% 3.1% 8.9% 2.8% 2.4% 17.1% 17.4% 18.1% 9.9% 97.7% Ex terran Partners, L.P. EXLP N Burd $1,086 $2,469 $25.00 $ % $2.19 $2.28 $2.34 $ % 2.4% 1.7% 4.1% 1.9% 1.5% 12.7% 12.9% 13.2% 9.4% 53.5% USA Compression Partners, LP USAC N Burd $796 $1,549 $22.00 $ % N/A $2.09 $2.12 $ % 1.2% 0.8% N/A 0.7% 0.4% 12.4% 12.5% 12.5% 9.7% 44.8% Exploration & Production Atlas Resource Partners, L.P. ARP N Daoud $287 $1,967 N/A $ % $2.35 $1.30 $0.60 $ % -53.8% N/A % 18.9% N/A N/A Breitburn Energy Partners L.P. BBEP N Daoud $513 $3,603 N/A $ % $1.75 $0.50 $0.50 $ % -35.2% 21.1% 21.1% 21.1% N/A N/A EV Energy Partners, L.P. EVEP N Daoud $333 $773 $13.00 $ % $2.82 $2.00 $1.00 $ % % 22.0% 14.7% 14.7% 7.7% 116.6% Legacy Reserves LP LGCY N Daoud $324 $1,286 $12.00 $ % $2.43 $0.98 $0.84 $ % -14.3% -27.9% 17.9% 17.9% 17.9% 7.0% 177.7% Linn Energy, LLC LINE UW Daoud $989 $11,309 $5.00 $ % $2.90 $0.94 $0.00 $ % % 10.8% 83.2% Memorial Production Partners LP MEMP N Daoud $472 $2,295 $11.00 $ % $2.20 $1.70 $1.20 $ % -29.4% N/A 21.4% 21.4% 21.4% 10.9% 122.4% Vanguard Natural Resources, LLC VNR OW Daoud $746 $2,632 $14.00 $ % $2.52 $1.41 $1.41 $ % -15.9% 16.4% 16.4% 16.4% 10.1% 83.5% Refining Calumet Specialty Products Partners, CLMT N Tonet $1,846 $3,208 $31.00 $ % $2.74 $2.74 $2.77 $ % 1.4% 5.1% 11.3% 11.4% 11.6% 9.0% 41.4% CVR Refining, LP CVRR N Tonet $2,768 $2,919 $20.00 $ % N/A $2.88 $2.40 $ % -16.6% 3 N/A 11.6% 8.8% 9.9% 8.2% 22.6% Propane & Products Distribution Ferrellgas Partners, L.P. FGP N Tonet $1,784 $3,106 $24.00 $ % $2.00 $2.03 $2.05 $ % 1.2% 0.4% 0.4% 9.4% 9.5% 9.5% 8.5% 18.3% Global Partners LP GLP N Tonet $959 $2,166 $42.00 $ % $2.58 $2.79 $2.99 $ % 7.2% 3.4% 9.5% 3.9% 2.8% 9.4% % 7.3% 48.8% AmeriGas Partners, L.P. APU N Tonet $4,086 $6,348 $49.00 $ % $3.48 $3.64 $3.80 $ % 4.4% 4.2% 4.9% 4.2% 5.7% 8.4% 8.6% 9.0% 7.5% 17.5% Sprague Resources LP SRLP N Tonet $447 $844 $28.00 $ % N/A $1.98 $2.21 $2.35 N/A 11.4% 6.3% N/A 6.6% 4.2% 9.9% 10.7% 11.3% 8.1% 44.5% Suburban Propane Partners, L.P. SPH N Tonet $2,145 $3,325 $47.00 $ % $3.50 $3.50 $3.58 $ % 3.4% 0.9% 3.0% 5.1% 9.9% 10.1% 10.4% 7.4% 39.9% Sunoco L.P. SUN OW Burd $1,256 $2,888 $53.00 $ % $2.17 $2.89 $3.51 $ % 21.5% 8.7% N/A 11.6% 8.0% 9.2% 10.5% 11.1% 7.0% 63.0% Coal Related Alliance Resource Partners ARLP OW Bridges $1,822 $2,566 $31.00 $ % N/A $2.73 $2.80 $2.80 N/A 2.8% N/A 2.4% 4.1% 11.3% 11.4% 11.4% 9.0% 4 CNX Coal Resources CNXC OW Bridges $334 $496 $18.00 $ % N/A $2.05 $2.23 $2.27 N/A 8.7% 1.9% N/A 3.5% 2.1% 14.8% 15.8% 15.8% 12.6% 44.0% Foresight Energy FELP OW Bridges $833 $2,207 $15.00 $ % N/A $1.54 $1.74 $1.91 N/A 13.0% 1 N/A 10.5% 8.5% 25.4% 24.9% 24.9% 10.7% 165.5% Total Mean $5,226 $8, % -3.0% 6.4% 7.6% -0.1% 9.4% 7.9% 11.4% 11.2% 11.6% 7.1% 58.2% Total Median $2,098 $3, % 4.2% 4.5% 4.2% 4.8% 5.9% 5.4% 9.4% 9.9% 10.1% 7.0% 48.8% Source: J.P. Morgan estimates, Company data. 3

4 Valuation Snapshot Maint Capex/ Maximum Current Lead EBITDA EV / LP's EBITDA EV/EBITDA Price / LP's DCF DCF Yield GP IDR GP IDR Company Ticker Rating Analyst 2015E 2015E 2016E 2017E 2015E 2016E 2017E 2015E 2016E 2017E 2015E 2016E 2017E Level Level Energy Infrastructure General Partners Energy Transfer Equity, L.P. ETE OW Tonet N/A 19.9x 15.9x 12.8x 5.0% 6.3% 7.8% N/A N/A EQT GP Holdings, LP EQGP N Tonet N/A 70.3x 46.5x 31.9x 1.4% 2.2% 3.1% N/A N/A Western Gas Equity Partners LP WGP OW Tonet N/A 32.4x 25.4x 20.2x 3.1% 3.9% 5.0% N/A N/A Diversified Enbridge Energy Partners, L.P. EEP N Tonet 5.6% 12.2x 11.0x 10.0x 12.1x 10.9x 9.8x 11.9x 11.7x 11.1x 8.4% 8.6% 9.0% 25.0% 25.0% Energy Transfer Partners, L.P. ETP OW Tonet 8.1% 17.1x 17.0x 15.5x 8.4x 8.1x 6.9x 10.6x 9.7x 8.9x 9.4% 10.3% 11.2% 49.0% 49.0% Enterprise Products Partners L.P. EPD OW Tonet 6.3% 14.5x 13.4x 12.6x 14.4x 13.4x 12.6x 13.3x 12.3x 11.7x 7.5% 8.2% 8.6% ONEOK Partners, L.P. OKS UW Tonet 9.5% 15.6x 14.9x 14.2x 11.0x 10.4x 9.7x 11.1x 10.8x 10.3x 9.0% 9.2% 9.7% 5 5 Plains All American Pipeline, L.P. PAA OW Tonet 9.3% 15.3x 15.0x 13.9x 10.1x 9.7x 8.7x 12.0x 11.4x 10.3x 8.3% 8.8% 9.7% 5 5 Williams Partners L.P. WPZ OW Tonet 10.1% 18.3x 16.5x 15.6x 12.6x 11.0x 10.2x 12.3x 10.6x 9.7x 8.1% 9.5% 10.3% 5 5 Liquids Transportation & Storage Buckeye Partners, L.P. BPL N Tonet 11.2% 13.8x 12.8x 12.4x 13.8x 12.8x 12.4x 13.5x 12.4x 11.9x 7.4% 8.1% 8.4% Magellan Midstream Partners, L.P. MMP N Tonet 7.6% 16.6x 16.4x 14.1x 16.6x 16.4x 14.1x 16.6x 16.3x 14.0x 6.0% 6.1% 7.2% MPLX LP MPLX OW Tonet 7.2% 46.4x 19.8x 17.5x 34.1x 13.8x 11.4x 20.4x 17.4x 14.3x 4.9% 5.8% 7.0% 5 5 Nustar Energy L.P. NS OW Tonet 6.7% 13.5x 13.2x 12.7x 11.6x 11.4x 10.9x 10.7x 10.7x 10.3x 9.4% 9.3% 9.7% 25.0% 25.0% Phillips 66 Partners LP PSXP OW Tonet 3.4% 32.5x 24.2x 20.9x 23.1x 15.0x 12.5x 27.3x 17.7x 14.6x 3.7% 5.7% 6.8% 5 5 Sunoco Logistics Partners L.P. SXL OW Tonet 6.3% 20.1x 19.0x 15.4x 11.9x 11.1x 8.7x 14.8x 13.3x 11.0x 6.7% 7.5% 9.1% 5 5 Tesoro Logistics LP TLLP OW Tonet 5.9% 16.9x 15.7x 14.9x 11.4x 10.2x 9.5x 14.1x 12.5x 11.4x 7.1% 8.0% 8.8% 5 5 Valero Energy Partners, LP VLP OW Tonet 3.6% 26.7x 25.0x 22.1x 21.5x 16.5x 13.9x 23.6x 20.0x 16.7x 4.2% 5.0% 6.0% % VTTI Energy Partners LP VTTI OW Tonet 12.0% 15.9x 14.4x 12.9x 15.5x 13.4x 11.3x 15.1x 12.8x 11.3x 6.6% 7.8% 8.9% 5 2.0% Nat Gas Transportation & Storage Boardw alk Pipeline Partners, LP BWP OW Tonet 14.2% 9.9x 10.0x 9.7x 9.7x 9.8x 9.5x 8.3x 7.8x 7.5x 12.1% 12.8% 13.3% 5 2.0% Columbia Pipeline Partners LP CPPL OW Tonet 17.9% 16.8x 15.3x 12.6x 16.8x 14.6x 11.0x 29.5x 17.9x 14.4x 3.4% 5.6% 7.0% 5 Dominion Midstream Partners DM OW Tonet 4.7% 31.8x 26.7x 23.4x 31.4x 24.8x 18.8x 32.9x 29.4x 23.6x 3.0% 3.4% 4.2% 5 2.0% EQT Midstream Partners, LP EQM OW Tonet 5.2% 20.4x 19.9x 17.0x 13.7x 12.5x 10.4x 19.1x 15.5x 13.6x 5.2% 6.5% 7.4% 5 5 Spectra Energy Partners, LP SEP OW Tonet 18.9% 15.7x 16.5x 15.9x 11.1x 11.8x 10.9x 15.5x 15.9x 14.4x 6.4% 6.3% 6.9% 5 5 TC Pipelines, LP TCP N Tonet 4.1% 18.3x 16.9x 15.7x 16.5x 14.7x 13.7x 12.5x 11.9x 11.5x 8.0% 8.4% 8.7% 25.0% 25.0% Producer Sponsored Nat Gas G&P Antero Midstream Partners LP AM OW Tonet 8.5% 22.3x 17.1x 14.9x 21.8x 13.6x 10.4x 23.6x 14.3x 12.2x 4.2% 7.0% 8.2% 5 CONE Midstream Partners LP CNNX N Tonet 7.8% 11.0x 10.2x 10.6x 10.7x 9.7x 10.1x 11.4x 9.9x 9.5x 8.8% 10.1% 10.5% 5 2.0% EnLink Midstream Partners ENLK N Tonet 6.7% 13.6x 12.3x 11.5x 11.9x 9.9x 8.6x 10.4x 9.4x 8.2x 9.6% 10.7% 12.1% 5 5 Western Gas Partners LP WES OW Tonet 8.3% 18.9x 16.9x 14.6x 12.8x 10.8x 8.9x 16.5x 13.9x 11.7x 6.1% 7.2% 8.6% 5 5 Nat Gas Gathering & Processing DCP Midstream Partners, LP DPM N Tonet 7.8% 12.6x 13.6x 13.6x 9.0x 9.9x 9.9x 8.8x 9.3x 9.3x 11.3% 10.8% 10.8% 5 5 Crestw ood Equity Partners LP CEQP N Burd 4.0% 8.1x 7.5x 7.7x 7.7x 7.5x 7.7x 6.5x 4.6x 4.8x 15.4% 21.7% 20.9% Crestw ood Midstream Partners LP CMLP N Burd 3.7% 8.5x 8.8x 8.5x 6.9x 7.0x 7.2x 4.1x 4.2x 4.1x 24.3% 23.7% 24.1% 5 5 Enable Midstream Partners, LP ENBL N Tonet 18.5% 10.5x 9.6x 9.6x 10.5x 9.5x 9.3x 10.7x 9.5x 9.2x 9.4% 10.5% 10.8% 5 MarkWest Energy Partners, L.P. MWE N Tonet 2.4% 16.3x 14.8x 13.1x 16.3x 14.8x 13.1x 13.7x 12.7x 11.1x 7.3% 7.9% 9.0% Midcoast Energy Partners, L.P. MEP UW Tonet 27.8% 16.6x 15.7x 16.2x 16.3x 15.4x 15.8x 9.4x 9.6x 10.9x 10.6% 10.4% 9.2% 5 2.0% PennTex Midstream Partners, LP PTXP OW Burd 3.2% N/A 14.2x 11.3x N/A 13.7x 10.0x N/A 11.6x 9.2x N/A 8.6% 10.8% 5 2.0% Southcross Energy Partners, L.P. SXE N Burd 14.6% 11.2x 9.5x 9.3x 10.7x 9.0x 8.8x 6.1x 5.1x 5.6x 16.3% 19.6% 18.0% 5 2.0% Targa Resources Partners LP NGLS N Tonet 9.9% 12.7x 12.5x 12.5x 9.8x 9.5x 8.6x 9.2x 9.3x 8.8x 10.9% 10.8% 11.3% 5 5 Mean 8.9% 17.3x 15.2x 13.9x 14.3x 12.1x 10.7x 14.4x 12.4x 11.1x 8.5% 9.4% 10.1% 40.4% 25.4% Median 7.7% 15.9x 14.9x 13.7x 12.1x 11.2x 10.1x 12.5x 11.8x 11.0x 8.0% 8.5% 9.1% % Non-Energy Infrastructure Contract Compression CSI Compressco LP CCLP OW Burd 7.3% 8.6x 8.0x 7.6x 8.0x 7.4x 7.0x 5.2x 5.3x 5.1x 19.2% 18.9% 19.8% % Ex terran Partners, L.P. EXLP N Burd 16.7% 9.9x 10.4x 9.6x 7.9x 8.4x 7.5x 7.0x 7.1x 6.8x 14.3% 14.0% 14.7% 5 5 USA Compression Partners, LP USAC N Burd 11.5% 10.8x 11.0x 10.3x 10.4x 10.7x 9.9x 7.7x 8.4x 8.0x 13.1% 11.9% 12.5% % Exploration & Production Atlas Resource Partners, L.P. ARP N Daoud 22.3% 6.9x 7.2x 7.7x 6.8x 7.0x 7.6x 2.6x 3.6x 3.4x 38.5% 27.9% 29.1% 5 2.0% Breitburn Energy Partners L.P. BBEP N Daoud 31.9% 5.9x 6.4x 8.2x 5.7x 6.4x 8.2x 2.2x 3.0x 8.1x 46.3% 33.8% 12.3% EV Energy Partners, L.P. EVEP N Daoud 25.0% 4.1x 8.9x 9.3x 4.0x 8.7x 9.1x 3.3x 6.0x 7.2x % 14.0% 25.0% 2.0% Legacy Reserv es LP LGCY N Daoud 14.4% 7.2x 7.5x 8.3x 7.2x 7.5x 8.3x 2.8x 4.2x 5.9x 35.2% 23.9% 17.0% Linn Energy, LLC LINE UW Daoud 34.4% 6.5x 6.8x 8.2x 6.5x 6.8x 8.2x 1.8x 2.1x 3.8x 55.8% 47.6% 26.1% Memorial Production Partners LP MEMP N Daoud 30.5% 6.5x 7.0x 7.9x 6.7x 6.9x 7.9x 3.3x 3.4x 4.2x % 23.8% Vanguard Natural Resources, LLC VNR OW Daoud 27.2% 8.7x 7.8x 7.6x 8.7x 7.8x 7.6x 4.9x 6.2x 5.9x 20.3% 16.1% 17.0% Refining Calumet Specialty Products Partners, CLMT N Tonet 9.4% 9.2x 8.1x 8.2x 12.1% 5 5 CVR Refining, LP CVRR N Tonet 24.5% 4.8x 4.8x 6.2x 16.1% Propane & Products Distribution Ferrellgas Partners, L.P. FGP N Tonet 6.1% 13.7x 10.1x 9.8x 13.6x 10.0x 9.7x 11.5x 8.8x 8.5x 8.7% 11.4% 11.7% 5 1.0% Global Partners LP GLP N Tonet 9.6% 12.3x 11.9x 11.1x 9.6x 8.9x 8.2x 8.9x 8.3x 7.9x 11.2% 12.1% 12.6% 48.8% 48.7% AmeriGas Partners, L.P. APU N Tonet 11.0% 11.0x 11.0x 10.9x 9.8x 9.0x 8.9x 11.2x 10.6x 10.6x 8.9% 9.4% 9.5% % Sprague Resources LP SRLP N Tonet 8.6% 7.6x 7.7x 7.3x 7.5x 7.0x 6.7x 7.0x 8.4x 8.3x 14.4% 11.9% 12.0% % Suburban Propane Partners, L.P. SPH N Tonet 5.4% 10.2x 9.7x 9.4x 10.2x 9.7x 9.4x 9.2x 8.7x 8.5x 10.9% 11.6% 11.8% Sunoco L.P. SUN OW Burd 11.7% N/A 13.7x 12.1x N/A 9.7x 8.5x N/A 8.4x 8.2x N/A 11.9% 12.2% 5 5 Coal Related Alliance Resource Partners ARLP OW Bridges 28.0% 4.6x 6.3x 6.3x 3.3x 3.9x 3.9x 4.7x 7.1x 7.1x 21.2% 14.1% 14.1% 5 5 CNX Coal Resources CNXC OW Bridges 30.4% 5.2x 7.1x 7.2x 5.1x 6.9x 7.1x 11.2x 5.8x 6.5x 8.9% 17.1% 15.5% 5 Foresight Energy FELP OW Bridges 18.9% 5.5x 6.3x 5.0x 5.5x 6.1x 4.7x N/A 4.7x 3.4x N/A 21.4% 29.8% 5 Total Mean 12.8% 13.6x 12.7x 11.9x 11.5x 10.6x 9.7x 11.1x 10.1x 9.4x 13.9% 13.2% 12.6% 36.2% 21.5% Total Median 9.6% 12.3x 12.5x 11.3x 10.2x 9.8x 9.4x 10.6x 9.5x 9.2x 9.4% 10.5% 10.8% % Source: J.P. Morgan estimates, Company data. 4

5 Leverage Metrics GP Share of Total Debt/ Payments to Equity Lead Distribution from GP & IDR Credit Rating Estimated Debt/EBITDA Total Cap Total Unit Distribution Coverage [Yield/(1-GP Take)] Company Ticker Rating Analyst 2015E 2016E 2017E Moody's / S&P 2015E 2016E 2017E 2Q E 2016E 2017E 2Q15 Energy Infrastructure General Partners Energy Transfer Equity, L.P. ETE OW Tonet Ba2 / BB 1.16x 1.13x 1.13x EQT GP Holdings, LP EQGP N Tonet N/A / N/A 1.00x 1.00x 1.00x Western Gas Equity Partners LP WGP OW Tonet N/A / N/A 1.00x 1.00x 1.00x Diversified Enbridge Energy Partners, L.P. EEP N Tonet 3.0% 3.6% 4.1% Baa3 / BBB 4.1x 4.0x 3.6x 32.7% 0.92x 0.89x 0.90x 9.2% Energy Transfer Partners, L.P. ETP OW Tonet 35.5% 36.0% 36.1% Baa3 / BBB- 5.1x 4.9x 4.1x 61.3% 1.03x 1.04x 1.06x 14.3% Enterprise Products Partners L.P. EPD OW Tonet N/A / BBB+ 4.4x 4.2x 4.0x x 1.30x 1.29x 5.9% ONEOK Partners, L.P. OKS UW Tonet 32.2% 32.2% 32.2% Baa2 / BBB 4.5x 4.1x 3.7x 48.0% 0.86x 0.89x 0.96x 14.8% Plains All American Pipeline, L.P. PAA OW Tonet 35.4% 35.6% 36.4% Baa2 / BBB+ 4.7x 4.5x 4.0x 43.1% 0.93x 1.00x 1.08x 13.6% Williams Partners L.P. WPZ OW Tonet 31.6% 33.3% 34.8% Baa2 / BBB * 5.3x 4.8x 4.5x 35.1% 0.92x 1.00x 1.01x 12.8% Liquids Transportation & Storage Buckeye Partners, L.P. BPL N Tonet Baa3 / BBB- 4.4x 4.3x 4.4x 29.6% 1.05x 1.08x 1.06x 7.0% Magellan Midstream Partners, L.P. MMP N Tonet Baa1 / BBB+ 3.4x 3.6x 3.1x 18.4% 1.31x 1.19x 1.24x 4.6% MPLX LP MPLX OW Tonet 19.1% 26.9% 33.1% Baa3 / BBB- N/A 4.5x 4.1x 17.9% 1.32x 1.18x 1.13x 4.6% Nustar Energy L.P. NS OW Tonet 13.0% 13.4% 13.9% N/A / BB+ 5.1x 5.0x 4.8x 44.8% 1.08x 1.04x 1.04x 1 Phillips 66 Partners LP PSXP OW Tonet 22.9% 32.3% 37.5% Baa3 / BBB 6.2x 5.4x 5.0x 20.5% N/A 1.49x 1.32x 3.8% Sunoco Logistics Partners L.P. SXL OW Tonet 39.1% 40.7% 42.2% N/A / BBB 5.0x 5.0x 4.0x 38.0% 1.16x 1.11x 1.18x 9.5% Tesoro Logistics LP TLLP OW Tonet 27.1% 31.5% 34.9% Ba2 / BB 4.5x 4.2x 4.3x 39.1% 1.30x 1.22x 1.12x 7.9% Valero Energy Partners, LP VLP OW Tonet 7.2% 20.8% 29.2% N/A / N/A 3.0x 3.8x 4.8x 10.7% 1.94x 1.82x 1.63x 2.6% VTTI Energy Partners LP VTTI OW Tonet 2.0% 3.5% 7.3% N/A / N/A 3.6x 3.9x 2.9x 19.4% 1.17x 1.19x 1.17x 5.7% Nat Gas Transportation & Storage Boardwalk Pipeline Partners, LP BWP OW Tonet 2.0% 2.0% 2.0% N/A / BBB- 5.0x 4.9x 4.8x 51.2% 4.05x 1.35x 1.25x 3.1% Columbia Pipeline Partners LP CPPL OW Tonet N/A 2.2% 8.6% N/A / N/A N/A 0.9x 1.4x N/A 1.16x 1.22x 3.9% Dominion Midstream Partners DM OW Tonet 0.4% 4.7% 15.2% N/A / N/A 1.4x 1.2x 3.1x 13.0% 1.21x 1.09x 1.14x 2.5% EQT Midstream Partners, LP EQM OW Tonet 20.9% 28.0% 33.0% Ba1 / BBB- 2.3x 4.1x 3.2x 13.6% 1.70x 1.70x 1.55x 4.4% Spectra Energy Partners, LP SEP OW Tonet 25.1% 27.8% 29.9% Baa2 / BBB 4.1x 5.0x 5.1x 32.4% 1.21x 1.05x 1.09x 7.4% TC Pipelines, LP TCP N Tonet 6.1% 9.6% 1 Baa2 / BBB- 5.8x 4.7x 4.1x 33.8% 1.27x 1.26x 1.22x 6.9% Producer Sponsored Nat Gas G&P Antero Midstream Partners LP AM OW Tonet N/A 7.7% 20.9% N/A / N/A N/A 3.8x 3.7x 1.13x 1.66x 1.49x 3.7% CONE Midstream Partners LP CNNX N Tonet 2.0% 2.7% 5.6% N/A / N/A N/A 1.3x 1.4x N/A 1.08x 1.11x 0.99x 8.2% EnLink Midstream Partners ENLK N Tonet 11.8% 16.4% 20.1% Baa3 / BBB N/A 3.8x 3.7x N/A 1.02x 1.12x 1.21x 9.2% Western Gas Partners LP WES OW Tonet 31.5% 34.7% 37.2% Baa3 / BBB- N/A 3.6x 3.1x N/A 1.04x 1.09x 1.15x 8.5% Nat Gas Gathering & Processing DCP Midstream Partners, LP DPM N Tonet 27.7% 27.7% 27.9% N/A / BB 3.7x 4.1x 4.2x 41.3% 1.06x 0.98x 0.97x 15.1% Crestwood Equity Partners LP CEQP N Burd N/A / NR 5.2x 5.1x 5.1x 84.6% 0.85x 0.96x 0.93x 22.5% Crestwood Midstream Partners LP CMLP N Burd 8.9% 8.9% 8.9% Ba3 / BB 4.5x 4.6x 4.7x 64.0% 1.07x 1.08x 1.02x 27.9% Enable Midstream Partners, LP ENBL N Tonet 0.2% 0.9% Baa3 / BBB- 3.1x 2.8x 2.8x 25.7% 1.05x 1.14x 1.12x 8.9% MarkWest Energy Partners, L.P. MWE N Tonet Ba2 *+ / BB *+ 5.6x 4.5x 4.2x 30.7% 1.02x 1.04x 1.11x 7.1% Midcoast Energy Partners, L.P. MEP UW Tonet 2.0% 2.0% 2.0% N/A / N/A 5.6x 5.3x 5.5x 61.7% 0.79x 0.77x 0.69x 13.7% PennTex Midstream Partners, LP PTXP OW Burd 3.0% 4.0% 13.9% N/A / N/A 2.5x 3.9x 3.3x 10.6% 0.72x 1.15x 1.23x 6.6% Southcross Energy Partners, L.P. SXE N Burd 2.8% 2.7% 2.6% B2 / B 7.8x 6.4x 6.0x 71.4% 0.85x 0.98x 0.86x 28.8% Targa Resources Partners LP NGLS N Tonet 23.9% 27.0% 29.8% Ba1 / BB+ 4.6x 4.4x 4.0x 48.5% 0.99x 0.96x 1.02x 14.3% Mean 13.6% 15.2% 17.9% 4.4x 4.1x 4.0x 34.5% 1.20x 1.15x 1.13x 9.7% Median 8.1% 9.3% 14.6% 4.5x 4.3x 4.1x 32.7% 1.07x 1.10x 1.12x 8.0% Non-Energy Infrastructure Contract Compression CSI Compressco LP CCLP OW Burd 4.2% 4.9% 5.7% B1 / B N/A 4.0x 4.0x 61.3% 1.18x 1.12x 1.13x 17.5% Exterran Partners, L.P. EXLP N Burd 13.5% 14.9% 15.9% Ba3 / B+ 4.5x 5.1x 4.5x 56.0% 1.24x 1.16x 1.21x 14.4% USA Compression Partners, LP USAC N Burd 3.0% 3.1% 3.3% N/A / N/A 4.7x 4.8x 4.5x 48.6% 1.06x 0.95x 1.00x 12.7% Exploration & Production Atlas Resource Partners, L.P. ARP N Daoud 2.0% 2.0% 2.0% N/A / B 5.1x 5.2x 5.5x 75.8% 0.94x 1.47x 1.54x 41.8% Breitburn Energy Partners L.P. BBEP N Daoud B2 / B+ 4.9x 5.5x 7.0x 86.0% 2.27x 1.60x 0.58x 21.1% EV Energy Partners, L.P. EVEP N Daoud 2.0% 2.0% 2.0% B1 / B 2.4x 6.6x 7.0x 64.6% 1.02x 1.14x 0.95x 3 Legacy Reserves LP LGCY N Daoud B2 / B+ 5.8x 6.1x 6.7x 75.1% 1.69x 1.34x 0.95x 17.9% Linn Energy, LLC LINE UW Daoud B2 / BB- 5.9x 6.2x 7.4x 91.3% 1.73x 43.1% Memorial Production Partners LP MEMP N Daoud 0.2% 0.1% 0.1% B2 / B+ 5.4x 5.6x 6.8x 79.5% 0.96x 1.38x 1.11x 39.2% Vanguard Natural Resources, LLC VNR OW Daoud B1 / B+ *+ 5.8x 5.2x 5.0x 71.8% 1.26x 0.99x 1.04x 16.4% Refining Calumet Specialty Products Partners, CLMT N Tonet 9.2% 9.9% 10.9% B1 / B+ 4.9x 4.6x 4.0x 45.6% 1.11x 1.20x 1.19x 12.4% CVR Refining, LP CVRR N Tonet N/A / BB- 1.1x 1.3x 1.1x 19.9% 1.00x 1.00x 1.00x 24.1% Propane & Products Distribution Ferrellgas Partners, L.P. FGP N Tonet 1.0% 1.0% 1.0% B1 / B+ 5.7x 4.7x 4.5x 42.9% 1.07x 1.20x 1.23x 9.4% Global Partners LP GLP N Tonet 11.1% 15.2% 16.9% B1 / B+ 6.1x 5.5x 4.8x 56.1% 1.41x 1.40x 1.41x 1 AmeriGas Partners, L.P. APU N Tonet 10.6% 13.1% 15.7% Ba2 / NR 4.0x 3.6x 3.6x 35.9% 1.09x 1.16x 1.09x 8.8% Sprague Resources LP SRLP N Tonet 2.7% 5.0% 6.5% N/A / N/A 7.1x 6.4x 5.9x 47.6% 1.53x 1.18x 1.11x 9.4% Suburban Propane Partners, L.P. SPH N Tonet Ba2 / BB- 3.6x 3.4x 3.3x 37.4% 1.10x 1.15x 1.13x 9.9% Sunoco L.P. SUN OW Burd 14.6% 23.2% 26.3% Ba2 / BB N/A 5.7x 4.8x 58.7% 1.15x 1.28x 1.19x 8.8% Coal Related Alliance Resource Partners ARLP OW Bridges 42.8% 43.0% 43.0% N/A / N/A 1.1x 1.3x 1.3x 30.7% 1.53x 1.14x 1.14x 19.1% CNX Coal Resources CNXC OW Bridges 2.0% 2.0% 2.0% N/A / N/A 1.8x 3.7x 3.9x 34.5% 2.49x 1.09x 0.98x 14.6% Foresight Energy FELP OW Bridges 0.2% 2.4% 4.9% N/A / B+ 3.7x 4.2x 3.2x 63.5% N/A 0.80x 1.00x 23.6% Total Mean 10.2% 12.0% 13.6% 4.4x 4.4x 4.3x 44.2% 1.27x 1.16x 1.11x 13.8% Total Median 3.0% 4.3% 7.9% 4.6x 4.6x 4.2x 42.9% 1.11x 1.14x 1.11x 1 Source: J.P. Morgan estimates, Company data. 5

6 Tiered Performance Performance Rank - One Week Performance Rank - One Month Top Performers Bottom Performers Top Performers Bottom Performers Tier 1 Tier 2 Tier 3 Tier 4 Tier 1 Tier 2 Tier 3 Tier 4 DPM 4% KMI -3% MPLX -6% PAA -10% FGP 7% EEP -6% ETP -9% SEP -14% CVRR 3% NGLS -3% WGP -6% CPPL -10% MIC 1% TLLP -6% NTI -9% CPPL -14% MIC 2% EEP -3% CNNX -6% ENLC -11% ARLP -1% MPLX -6% WGP -9% ETE -15% APU 2% VTTI -3% EQM -6% CEQP -11% WPZ -1% TCP -7% EPD -9% CNNX -16% NTI 2% ENBL -4% MMP -6% BBEP -12% VLP -1% EQM -7% PAGP -9% CPGX -16% BWP 2% ETP -4% SUN -6% CCLP -12% VNR -3% PSXP -7% VTTI -10% MEMP -17% CNP 1% CPGX -4% PTXP -7% CMLP -13% GEI -3% USAC -7% DM -10% SXL -17% FGP 1% NS -5% WPZ -7% LNCO -14% NS -4% OKS -7% CNP -11% ARP -18% EXLP 0% EPD -5% VLP -7% DM -15% APU -5% MMP -7% WES -11% ENLC -18% TCP -1% GLP -5% SXL -7% SXE -15% SPH -5% FELP -8% SRLP -11% WMB -19% SPH -1% TLLP -5% TRGP -7% LINE -16% OKE -5% CLMT -8% PAA -12% LNCO -19% VNR -1% CLMT -5% SEP -8% EVEP -16% LINE -5% PTXP -8% SUN -12% TRGP -21% ARLP -2% PSXP -5% PAGP -8% USAC -16% BWP -5% AM -8% KMI -12% SXE -21% SRLP -2% GEI -5% MEP -9% ARP -16% GLP -5% ENLK -8% ENBL -12% CCLP -21% OKS -2% MWE -5% WES -9% EQGP -16% DPM -5% EQGP -8% BBEP -13% EVEP -26% ENLK -2% BPL -5% WMB -9% FELP -19% BPL -5% MWE -8% MEP -13% CEQP -28% OKE -3% ETE -5% AM -9% LGCY -19% NGLS -6% CVRR -9% EXLP -13% CMLP -29% 6.6% 9.1% 16.5% 9.6% Distribution Growth 6.5% 12.5% 13.5% 9.5% 1% -4% -6% -11% Total Return -3% -7% -9% -15% 3,302 13,176 8,194 5,918 Market Capitalization 4,342 4,950 10,347 9,182 Performance Rank - Three Months Performance Rank YTD Top Performers Bottom Performers Top Performers Bottom Performers Tier 1 Tier 2 Tier 3 Tier 4 Tier 1 Tier 2 Tier 3 Tier 4 NTI 5% TLLP -11% SRLP -20% TRGP -34% CVRR 24% TLLP -12% ENBL -22% MPLX -38% CVRR 3% SPH -12% NGLS -21% CPPL -35% NTI 23% PTXP -12% AM -23% ENLK -38% CLMT 1% OKS -12% SUN -21% ENLC -35% CLMT 17% SPH -13% BWP -23% VNR -39% CPGX 0% ENBL -13% GEI -21% CCLP -37% MIC 16% OKS -16% EPD -26% ARLP -39% ARLP -4% BPL -13% SXL -22% MPLX -38% VLP 13% VTTI -16% ETP -26% ENLC -42% FGP -5% PTXP -13% KMI -22% VNR -40% USAC 11% EQM -16% SXL -26% TRGP -43% APU -5% EQGP -14% EXLP -23% CNNX -41% FGP 5% EQGP -16% SUN -27% CNNX -53% CNP -6% DPM -14% WPZ -24% EVEP -43% CPGX 0% MEP -18% KMI -27% CMLP -53% VLP -7% MMP -15% DM -24% LGCY -44% CCLP -1% WGP -18% WES -27% LGCY -53% MIC -8% ETP -15% PSXP -25% CEQP -45% GLP -2% MMP -19% OKE -28% MEMP -56% SEP -8% MWE -15% VTTI -25% CMLP -46% APU -3% MWE -20% PAGP -29% FELP -58% MEP -8% GLP -15% ETE -26% SXE -51% WMB -4% SEP -20% EEP -32% EVEP -60% TCP -9% NS -16% EEP -26% ARP -52% SRLP -4% WPZ -20% DPM -33% SXE -60% OKE -10% EPD -16% ENLK -27% BBEP -54% BPL -8% CNP -21% NGLS -33% BBEP -63% WMB -10% USAC -17% AM -29% FELP -54% NS -8% PSXP -21% GEI -33% ARP -65% EQM -10% WGP -18% PAA -29% MEMP -60% ETE -9% TCP -21% CPPL -35% CEQP -67% BWP -11% WES -19% PAGP -33% LINE -70% EXLP -10% DM -21% PAA -36% LINE -68% 10.1% 9.2% 12.1% 12.1% 10.3% 12.3% 12.9% 8.6% -5% -13% -21% -34% 5% -16% -25% -40% 6,340 6,828 12,379 5,468 5,084 8,629 13,713 3,648 Source: J.P. M organ estimates, Company data 6

7 Energy Infrastructure: Yield vs. Growth Current Yield 30% 25% 20% 15% SXE CMLP CEQP MEP y = e x R² = DPM NGLS 10% OKS PAA NS EEP ENBL WPZ ENLK ETP CNNX BPL TCPMWE EPD PTXP 5% SEP SXL WES VTTI TLLP MMP EQM MPLX ETE AM DM VLP WGP PSXP EQGP 0% 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50% 3 Year Forecasted Distribution Growth Ticker AM BPL CEQP CMLP CNNX DM DPM EEP ENBL ENLK EPD EQGP EQM ETE ETP MEP MMP MPLX MWE NGLS NS OKS PAA PSXP PTXP SEP SXE SXL VTTI WES WGP WPZ Forecasted Growth - 3 Yr CAGR 26.9% 5.7% 13.8% 23.1% 0.7% 4.3% 4.5% 7.6% 6.2% 44.1% 20.1% 24.4% 7.6% 11.4% 23.5% 7.3% 1.5% 4.0% 3.7% 31.0% 17.7% 7.5% 15.1% 15.3% 15.2% 27.5% 7.5% Current Yield 3.7% 7.0% 22.5% 25.4% 8.0% 2.5% 10.9% 9.0% 8.9% 9.2% 5.9% 1.3% 3.5% 4.2% 9.1% 13.4% 4.6% 3.9% 7.1% 10.9% 8.7% 10.1% 8.8% 3.0% 6.4% 5.6% 28.0% 5.8% 5.6% 5.8% 3.0% 8.8% Current Yield 6 30% 25% 20% 15% SXE CMLP CEQP MEP y = e x R² = DPM NGLS 10% OKS EEP ENBLENLK NS PAAWPZ ETP CNNX BPL TCP MWE EPD PTXP 5% SEP TLLP WESVTTI SXL MMP EQMAMMPLX WGP ETE PSXP DMVLP EQGP 0% 0% 5% 10% 15% 20% 25% 30% 35% 40% 5 Year Forecasted Distribution Grow th Ticker AM BPL CEQP CMLP CNNX DM DPM EEP ENBL ENLK EPD EQGP EQM ETE ETP MEP MMP MPLX MWE NGLS NS OKS PAA PSXP PTXP SEP SXE SXL VTTI WES WGP WPZ Forecasted Growth - 5 Yr CAGR 19.8% 4.8% 11.1% 22.5% 1.3% 4.3% 4.3% 6.1% 6.5% 35.7% 18.6% 21.2% 6.6% 10.3% 21.0% 7.5% 2.2% 4.5% 0.1% 4.9% 22.5% 11.0% 6.9% 12.6% 13.3% 11.6% 19.8% 6.0% Current Yield 3.7% 7.0% 22.5% 25.4% 8.0% 2.5% 10.9% 9.0% 8.9% 9.2% 5.9% 1.3% 3.5% 4.2% 9.1% 13.4% 4.6% 3.9% 7.1% 10.9% 8.7% 10.1% 8.8% 3.0% 6.4% 5.6% 28.0% 5.8% 5.6% 5.8% 3.0% 8.8% Source: J.P. Morgan estimates, Company data. 7

8 GP C-Corp Performance: Yield vs. Growth 8.0% y = e x R² = Current Yield 7.0% 6.0% 5.0% 4.0% OKE CNP KMI PAGP MICWMB TRGP ENLC 3.0% 2.0% 1.0% 0% 2% 4% 6% 8% 10% 12% 14% 16% 18% 20% 3 Year Forecasted Distribution Growth Ticker CNP ENLC KM I MIC OKE PAGP TRGP WM B Current Yield 5.6% 5.0% 6.6% 5.5% 7.0% 5.1% 5.9% 5.7% Price/DCF N/A 17.2x 13.9x N/A 11.9x 19.5x 15.9x 15.1x Forecasted Growth - 3 Yr CAGR 7.0% 18.5% % 0.4% 12.2% 14.6% 12.6% Price/DCF/Growth N/A 0.9x 1.4x N/A 33.4x 1.6x 1.1x 1.2x 8.0% y = e x R² = % OKE KMI Current Yield 6.0% 5.0% 4.0% CNP MIC TRGP WMB PAGP ENLC 3.0% 2.0% 1.0% 0% 2% 4% 6% 8% 10% 12% 14% 16% 5 Year Forecasted Distribution Growth Ticker CNP ENLC KM I MIC OKE PAGP TRGP WM B Current Yield 5.6% 5.0% 6.6% 5.5% 7.0% 5.1% 5.9% 5.7% Price/DCF N/A 17.2x 13.9x N/A 11.9x 19.5x 15.9x 15.1x Forecasted Growth - 5 Yr CAGR 6.2% 14.8% 9.8% 9.4% 1.3% 12.4% 10.5% 10.3% Price/DCF/Growth N/A 1.2x 1.4x N/A 9.1x 1.6x 1.5x 1.5x Source: J.P. Morgan estimates, Company data. 8

9 Energy Infrastructure MLPs & C-Corp GPs - Total Return Performance Universe Total Return YTD Total Return (%) Symbol Unit Price Rating PT YTD 1W 1M 3M 1Y MLP General Partners ETE $25.43 Overw eight $ % -5.4% -14.8% -25.7% -13.2% EQGP $27.46 Neutral $ % -16.2% -8.2% -14.3% N/A WGP $48.57 Overw eight $ % -5.8% -8.7% -17.7% -18.0% Diversifieds ETP $45.72 Overw eight $ % -4.2% -8.6% -15.1% -15.4% EEP $25.88 Neutral $ % -3.1% -6.2% -26.0% -23.6% EPD $25.93 Overw eight $ % -4.8% -8.8% -16.4% -32.0% OKS $31.42 Underweight $ % -2.1% -7.3% -12.3% -40.2% PAA $31.62 Overw eight $ % -9.7% -11.8% -28.8% -42.2% WPZ $38.62 Overw eight $ % -7.1% -1.1% -24.0% -31.7% Liquids Transportation & Storage BPL $66.35 Neutral $ % -5.3% -5.3% -13.3% -9.5% MMP $64.96 Neutral $ % -6.2% -7.5% -14.9% -17.4% MPLX $44.67 Overw eight $ % -5.5% -6.5% -38.2% -27.3% NS $50.12 Overw eight $ % -4.7% -4.1% -15.7% -17.3% PSXP $53.46 Overw eight $ % -5.3% -6.8% -24.8% -19.9% SXL $30.00 Overw eight $ % -7.3% -17.4% -22.0% -37.1% TLLP $49.97 Overw eight $ % -4.9% -6.4% -11.3% -24.5% VLP $47.92 Overw eight $ % -7.2% -1.5% -6.8% 1.7% VTTI $20.16 Overw eight $ % -3.2% % -17.2% Nat Gas Transportation & Storage BWP $13.37 Overw eight $ % 1.5% -5.0% -11.2% -27.1% CPPL $17.24 Overw eight $ % -10.4% -14.2% -35.1% N/A DM $30.38 Overw eight $ % -14.6% -10.5% -24.1% N/A EQM $72.28 Overw eight $ % -6.1% -6.7% -10.2% -18.1% SEP $44.00 Overw eight $ % -8.4% -13.8% -7.9% -14.2% TCP $53.80 Neutral $ % -0.5% -6.5% -8.6% 0.5% Nat Gas Gathering & Processing AM $20.70 Overw eight $ % -9.1% -8.1% -28.7% N/A DPM $28.59 Neutral $ % 4.3% -5.2% -14.3% -41.9% CEQP $2.44 Neutral N/A -67.3% -11.3% -28.2% -45.4% -76.9% CMLP $6.46 Neutral N/A -53.0% -12.6% -28.9% -46.1% -68.4% CNNX $10.96 Neutral $ % -6.0% -15.6% -41.1% N/A ENBL $14.23 Neutral $ % -4.0% -12.5% -12.6% -41.1% ENLK $17.04 Neutral $ % -2.3% -8.1% -26.9% -41.2% MWE $51.61 Neutral $ % -5.3% -8.4% -15.1% -30.1% NGLS $30.24 Neutral $ % -3.1% -6.1% -21.0% -54.3% MEP $10.36 Underweight $ % -8.6% -13.3% -8.0% -48.2% PTXP $17.08 Overw eight $ % -6.6% -7.7% -13.4% N/A SXE $5.71 Neutral $ % -15.4% -21.0% -50.8% -71.3% WES $51.40 Overw eight $ % -8.7% -10.8% -19.3% -27.9% C-Corps/GPs CNP $17.81 Overw eight $ % 1.1% -10.6% -6.4% -23.1% KMI $29.86 Overw eight $ % -3.0% -12.1% -22.2% -17.1% CPGX $23.18 Neutral $ % -4.3% -16.0% N/A N/A ENLC $20.08 Neutral $ % -10.7% -18.4% -35.4% -48.9% OKE $34.50 Underweight $ % -2.5% -4.9% -9.7% -46.2% PAGP $17.70 Overw eight $ % -8.4% -8.9% -33.0% -40.3% TRGP $58.75 Neutral $ % -7.5% -20.9% -33.5% -56.5% WMB $42.27 Neutral $ % -8.9% -19.1% % MIC $79.11 Overw eight $ % 2.1% 1.2% -7.6% 23.8% VLP WMB BPL NS ETE TLLP PTXP OKS VTTI EQM EQGP MEP WGP MMP MWE SEP WPZ CNP PSXP TCP DM ENBL AM BWP EPD ETP SXL CPGX KMI WES OKE PAGP EEP DPM NGLS CPPL PAA MPLX ENLK ENLC TRGP CNNX CMLP SXE CEQP -4% -8% -8% -9% -12% -12% -16% -16% -16% -16% -18% -18% -19% -20% -20% -20% -21% -21% -21% -21% -22% -23% -23% -26% -26% -26% -26% -27% -27% -28% -29% -32% -33% -33% -35% -36% -38% -38% -42% -43% -53% -53% -60% -67% 13% Source: J.P. Morgan estimates Company data; AM, CPGX, CNNX, CPPL, DM, and EQGP do not have1y data due to recent IPO. -80% -60% -40% -20% 0% 20% 9

10 10

11 Non-Energy Infrastructure MLPs - Total Return Performance Universe Total Return YTD CVRR 24% Total Return (%) NTI 23% Symbol Unit Price Rating PT YTD 1W 1M 3M 1Y Exploration & Production CLMT 17% ARP $3.17 Neutral N/A -64.5% -16.1% -18.0% -51.9% -79.8% USAC 11% BBEP $2.37 Neutral N/A -62.8% -11.9% -12.8% -53.8% -87.6% EVEP $6.81 Neutral $ % -15.8% -26.1% -43.2% -79.1% FGP 5% LGCY $4.70 Neutral $ % -18.5% -34.2% -44.0% -81.4% LINE $2.90 Underweight $ % -15.7% -4.9% -69.7% -88.9% CCLP -1% MEMP $5.62 Neutral $ % -20.6% -17.2% -60.2% -71.2% GLP -2% VNR $8.59 Overw eight $ % -0.9% -2.5% -40.2% -66.9% Refining APU -3% CLMT $24.36 Neutral $ % -4.9% -7.6% 1.3% -2.7% CVRR $18.75 Neutral $ % 3.0% -8.5% 2.9% -6.8% SRLP -4% NTI $24.51 Underweight $ % 1.6% -8.6% 5.4% 16.4% EXLP -10% Propane & Products Distribution APU $44.00 Neutral $ % 1.8% -4.6% -5.0% 4.3% SPH -13% FGP $21.57 Neutral $ % 0.6% 6.7% -4.6% -16.7% GLP $30.67 Neutral $ % -4.9% -5.1% -15.3% -20.8% SUN -27% SPH $35.48 Neutral $ % -0.8% -4.9% -11.8% -13.3% SRLP $21.22 Neutral $ % -2.0% -11.4% -20.4% -6.6% VNR -39% SUN $35.05 Overw eight $ % -6.2% -12.1% -21.2% -29.7% ARLP -39% Compression CCLP $11.92 Overw eight $ % -12.5% -21.1% -36.7% -49.3% LGCY -53% EXLP $18.17 Neutral $ % 0.3% -13.4% -22.5% -32.7% USAC $17.01 Neutral $ % -15.9% -7.0% -17.3% -23.7% MEMP -56% 1 Coal Related FELP -58% ARLP $24.64 Overw eight $ % -1.9% -0.7% -4.1% -45.7% CNXC $14.37 Overw eight $ % 2.1% 9.2% N/A N/A SXCP $11.87 Neutral $ % -2.6% -19.7% -39.1% -56.4% EVEP BBEP -60% -63% ARP -65% LINE -68% Source: J.P. Morgan estimates, Company data. -100% -50% 0% 50% 11

12 Year-to-Date Total Return Performance By Sector Sector YTD (Market Weighted) Sector YTD (Equal Weighted) Refining 22% Refining 21% Compression 0% Compression 0% Propane/Products Dist. -8% Propane/Products Dist. -7% Liquids T&S -17% Liquids T&S -15% C-Corps/GPs -20% C-Corps/GPs -23% NatGas T&S -21% NatGas T&S -23% Diversifieds -25% Diversifieds -26% NatGas G&P E&P -28% -58% NatGas G&P E&P -35% -58% -80% -60% -40% -20% 0% 20% 40% -80% -60% -40% -20% 0% 20% 40% Diversifieds 2 Liquids T&S NatGas T&S -5.0% 1 13% -5.0% % % -26% -26% -20% -16% % -8% -12% -16% -21% -19% -26% % % -23% -21% -21% -20% -16% % -36% -32% % % -35% -4 PAA EEP ETP EPD WPZ OKS -5 MPLX SXL PSXP MMP VTTI TLLP NS BPL VLP -4 CPPL BWP DM TCP SEP EQM Natural Gas G&P 2 C-Corps/GPs 3 Refiners % -6-67% -53%-53% -12% -23%-22% -20%-18% -27% -33%-33% -38% % -27% -26% -29% -21% -4% 16% 25.0% % 1 17% 23% 24% % -42% 5.0% -8-5 TRGP ENLC PAGP OKE KMI CPGX CNP WMB MIC CLMT NTI CVRR Exploration & Production 1 Propane & Fuel Marketing 15.0% Compression % -65% -63% -60% -56% -53% -39% 5.0% -5.0% % % -27% -13% -4% -3% -2% 5% 1 5.0% -5.0% -1-10% -1% 11% -8 LINE ARP BBEP EVEP MEMP LGCY VNR -3 SUN SPH SRLP APU GLP FGP -15.0% EXLP CCLP USAC Source: J.P. Morgan estimates, Bloomberg. 12

13 AMZ Performance: Inclines and Declines Inclines Dates % Days Declines Dates % Days A 01/04/00-10/17/ % 652 A - B 10/17/01-07/23/ % 279 B - C 07/23/02-08/02/ % 1106 C - D 08/02/05-12/27/ % 147 D - E 12/27/05-07/13/ % 563 E - F 07/13/07-10/10/ % 455 F - G 10/10/08-04/28/ % 930 G - H 04/28/11-08/08/ % 102 H - I 08/08/11-08/29/ % 1117 I - J 08/29/14-09/14/ % 381 Median 84.2% 930 Median -25.3% 279 I G E C H J A D B F Jan-00 Aug-00 Mar-01 Oct-01 May-02 Dec-02 Jul-03 Feb-04 Sep-04 Apr-05 Nov-05 Jun-06 Jan-07 Aug-07 Mar-08 Nov-08 Jun-09 Jan-10 Aug-10 Mar-11 Oct-11 May-12 Dec-12 Jul-13 Feb-14 Sep-14 Apr-15 AMZX Absolute Performance MoM AMZX Index Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec % 1.1% 2.9% -8.3% -0.5% 2.3% 4.0% 3.2% 5.3% 0.1% 5.1% 2.4% % 0.9% -3.8% 3.1% 0.9% 4.1% 5.2% -2.4% 1.2% -1.7% -3.8% -2.0% % -0.9% 1.1% 1.7% 1.2% -1.5% 4.4% 2.5% -1.4% 5.2% 4.3% 1.7% % 2.8% 4.7% 6.3% -0.2% 0.9% -1.1% -5.8% -3.0% 6.9% -4.1% 0.8% % -0.5% -6.3% 7.3% 1.0% -4.9% -1.7% 1.7% -17.2% -0.1% -17.1% -3.7% % -4.2% 0.7% 11.0% 9.3% -1.7% 12.4% -3.2% 4.8% 2.9% 6.4% 6.6% % 4.6% 2.9% 3.4% -5.4% 5.6% 7.5% -2.6% 6.1% 5.4% 1.9% 1.7% % 3.5% -0.6% 3.3% -5.0% 1.1% -1.9% -1.1% -4.1% 10.3% -0.2% 5.8% % 4.2% -4.0% 2.2% -7.5% 3.3% 5.1% 1.6% 2.0% 0.5% -0.8% -3.1% % 0.9% 5.4% 0.9% -2.0% 3.1% -0.5% -2.5% 2.3% 2.7% 0.9% 1.6% % -0.2% 1.5% 4.3% 3.4% 5.9% -3.5% 8.2% -1.6% -4.6% -2.6% -5.6% % 2.1% -4.2% 6.2% -3.6% -8.3% -3.2% -5.0% N/A N/A N/A N/A AMZX Relative Performance MoM (vs. S&P 500) AMZX - SPX Index Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec % -0.1% 4.5% -6.6% -1.7% 0.5% 7.4% 2.9% 4.4% -1.3% 1.3% -0.8% % -1.0% -1.9% 5.1% -2.1% 4.1% 1.6% -1.3% 0.6% -7.3% -1.9% % -0.9% 0.4% 4.3% -1.5% 3.9% 0.3% -3.8% 2.0% 2.6% 0.4% % 5.0% 3.7% 1.9% -3.5% 2.6% 2.1% -7.1% -6.6% 5.4% 0.3% 1.6% % 2.9% -5.7% 2.6% 3.7% -0.7% 0.5% -8.1% 16.8% -9.6% -4.5% % 6.8% -7.9% 1.6% 4.0% -1.7% 5.0% -6.6% 1.2% 4.8% 0.6% 4.8% % 1.7% -3.0% 1.9% 2.8% 11.0% 0.7% 2.2% -2.6% 1.7% 2.1% -4.8% % 0.3% -0.5% 0.5% -3.6% 2.9% 0.3% 4.6% 3.0% -0.5% 0.3% 4.9% % 0.1% -7.1% 3.0% -1.2% -0.6% 3.8% -0.4% -0.4% 2.5% -1.1% -3.8% % -0.2% 1.8% -0.9% -4.1% 4.6% -5.4% 0.6% -0.7% -1.8% -1.9% -0.7% % -4.5% 0.8% 3.6% 1.3% 4.0% -2.0% 4.4% -6.9% -5.0% -5.2% % -3.4% -2.5% 5.3% -4.6% -6.2% -5.2% 1.3% N/A N/A N/A N/A Source: Bloomberg, J.P. Morgan estimates 13

14 Recent Initial Public Offerings Company Date Size ($mm) Offer Price Offer/ Current AMZ Return Relative Return CNX Coal Resources LP 30-Jun-15 $83.4 $15.00 (4.2%) (16.8%) 12.6% Green Plains Partners LP 25-Jun-15 $172.5 $15.00 (12.7%) (19.8%) 7.1% PennTex Midstream Partners LP 3-Jun-15 $237.9 $20.00 (14.6%) (23.3%) 8.7% EQT GP Holdings LP 11-May-15 $714.2 $ % (24.4%) 26.1% Tallgrass Energy GP LP 6-May-15 $1,384.0 $29.00 (11.8%) (26.4%) 14.6% Enviv a Partners LP 28-Apr-15 $230.0 $20.00 (37.5%) (25.6%) (11.9%) Columbia Pipeline Partners LP 5-Feb-15 $1,238.2 $23.00 (25.0%) (26.1%) 1.0% Rice Midstream Partners LP 16-Dec-14 $474.4 $16.50 (9.3%) (21.0%) 11.7% Landmark Infrastructure Partners LP 13-Nov-14 $52.3 $19.00 (20.8%) (33.5%) 12.7% Nav ios Maritime Midstream Partners LP 12-Nov-14 $121.5 $15.00 (12.9%) (33.4%) 20.5% Antero Midstream Partners LP 4-Nov-14 $1,150.0 $25.00 (17.2%) (34.2%) 17.0% Shell Midstream Partners LP 28-Oct-14 $1,058.0 $ % (34.7%) 83.1% Dominion Midstream Partners LP 14-Oct-14 $422.6 $ % (28.2%) 72.9% USD Partners LP 8-Oct-14 $155.0 $17.00 (45.4%) (35.5%) (9.9%) JP Energy Partners LP 1-Oct-14 $275.0 $20.00 (63.0%) (37.4%) (25.6%) CONE Midstream Partners LP 24-Sep-14 $442.8 $22.00 (50.2%) (36.5%) (13.7%) Hoegh LNG Partners LP 7-Aug-14 $220.8 $20.00 (14.0%) (32.8%) 18.8% Transocean Partners LLC 31-Jul-14 $442.8 $22.00 (53.7%) (35.2%) (18.5%) VTTI Energy Partners LP 31-Jul-14 $422.6 $21.00 (4.8%) (35.2%) 30.4% Mean $ % 13.6% Median $ % 12.6% Recent Follow-on Offerings Offer Offer/ AMZ Relative Company Date Size ($mm) Price Current Return Return American Midstream Partners LP 10-Sep-15 $84.8 $11.31 (8.5%) (3.8%) (4.7%) USA Compression Partners LP 10-Sep-15 $77.3 $19.33 (11.8%) (3.8%) (8.0%) Genesis Energy LP 16-Jul-15 $453.0 $43.77 (1.1%) (16.8%) 15.7% Sunoco LP 15-Jul-15 $220.6 $40.10 (12.6%) (18.3%) 5.7% GasLog Partners LP 23-Jun-15 $179.3 $23.90 (29.3%) (2) (9.3%) Azure Midstream Partners LP 17-Jun-15 $50.9 $14.17 (43.5%) (21.1%) (22.5%) CrossAmerica Partners LP 16-Jun-15 $151.2 $31.45 (31.4%) (21.2%) (10.2%) Global Partners LP 11-Jun-15 $114.4 $38.12 (19.5%) (20.4%) 0.9% Ferrellgas Partners LP 2-Jun-15 $145.5 $23.00 (6.2%) (22.9%) 16.7% KNOT Offshore Partners LP 28-May -15 $118.8 $23.76 (27.1%) (24.4%) (2.8%) Atlas Resource Partners LP 19-May -15 $51.8 $7.97 (60.2%) (25.8%) (34.4%) LINN Energy LLC 19-May -15 $188.6 $11.79 (75.4%) (25.8%) (49.6%) Landmark Infrastructure Partners LP 14-May -15 $50.3 $16.75 (10.1%) (25.0%) 14.9% Summit Midstream Partners LP 7-May -15 $229.9 $30.75 (27.5%) (25.2%) (2.3%) Capital Product Partners LP 16-Apr-15 $138.7 $9.53 (30.2%) (25.3%) (4.9%) Memorial Production Partners LP 9-Apr-15 $77.4 $16.60 (66.1%) (23.4%) (42.7%) Brookfield Infrastructure Partners LP 7-Apr-15 $600.1 $45.00 (15.5%) (23.2%) 7.7% Genesis Energy LP 7-Apr-15 $204.3 $44.42 (2.5%) (23.2%) 20.6% EnLink Midstream Partners LP 25-Mar-15 $674.1 $25.71 (33.7%) (22.1%) (11.7%) Mean $200.6 (27.0%) (6.4%) Median $145.5 (27.1%) (4.7%) Source: Capital IQ, Company data; Data as of 09/10/

15 Latest Public Equity Offerings Ticker Last Public Equity Offering Ticker Last Public Equity Offering Ordered by Ticker Ordered by Date AM 11/4/2014 ARLP 2/10/2003 APU 6/12/2014 ENLC 1/13/2004 ARLP 2/10/2003 OKE 2/5/2004 ARP 5/19/2015 ETE 11/7/2007 BBEP 10/7/2014 CNP 6/9/2010 BPL 9/3/2014 MMP 7/14/2010 BWP 5/30/2013 CPGX 9/8/2010 CCLP 7/24/2014 CEQP 6/1/2011 CEQP 6/1/2011 NS 9/5/2012 CLMT 3/10/2015 LNCO 10/11/2012 CMLP 10/18/2013 KMI 10/12/2012 CNNX 9/24/2014 GEI 10/29/2012 CNP 6/9/2010 MWE 11/13/2012 CPPL 2/5/2015 NGLS 11/15/2012 CVRR 6/25/2014 SEP 4/3/2013 DM 10/14/2014 ETP 4/5/2013 DPM 2/27/2014 SPH 5/14/2013 EEP 3/10/2015 TCP 5/16/2013 ENBL 4/11/2014 VNR 5/30/2013 ENLC 1/13/2004 BWP 5/30/2013 ENLK 3/25/2015 NTI 8/14/2013 EPD 11/5/2013 EVEP 10/18/2013 EQGP 5/11/2015 CMLP 10/18/2013 EQM 3/11/2015 SRLP 10/24/2013 ETE 11/7/2007 EPD 11/5/2013 ETP 4/5/2013 MEP 11/6/2013 EVEP 10/18/2013 VLP 12/10/2013 EXLP 3/28/2014 SXE 1/30/2014 FELP 6/17/2014 DPM 2/27/2014 FGP 6/2/2015 WPZ 3/11/2014 GEI 10/29/2012 EXLP 3/28/2014 GLP 6/11/2015 ENBL 4/11/2014 KMI 10/12/2012 APU 6/12/2014 LGCY 10/3/2014 WMB 6/17/2014 LINE 5/19/2015 FELP 6/17/2014 MEMP 4/9/2015 CVRR 6/25/2014 MEP 11/6/2013 CCLP 7/24/2014 MIC 5/28/2015 VTTI 7/31/2014 MMP 7/14/2010 BPL 9/3/2014 MPLX 12/3/2014 CNNX 9/24/2014 MWE 11/13/2012 LGCY 10/3/2014 NGLS 11/15/2012 BBEP 10/7/2014 CPGX 9/8/2010 DM 10/14/2014 NS 9/5/2012 TLLP 10/20/2014 NTI 8/14/2013 WES 10/30/2014 OKE 2/5/2004 AM 11/4/2014 OKS 8/11/2015 PAGP 11/10/2014 PAA 2/26/2015 MPLX 12/3/2014 PAGP 11/10/2014 CPPL 2/5/2015 PSXP 2/17/2015 PSXP 2/17/2015 SEP 4/3/2013 PAA 2/26/2015 SPH 5/14/2013 EEP 3/10/2015 SRLP 10/24/2013 CLMT 3/10/2015 SUN 7/15/2015 SXL 3/11/2015 SXE 1/30/2014 EQM 3/11/2015 SXL 3/11/2015 TRGP 3/12/2015 TCP 5/16/2013 ENLK 3/25/2015 TLLP 10/20/2014 MEMP 4/9/2015 TRGP 3/12/2015 EQGP 5/11/2015 USAC 9/10/2015 LINE 5/19/2015 VLP 12/10/2013 ARP 5/19/2015 VNR 5/30/2013 MIC 5/28/2015 VTTI 7/31/2014 FGP 6/2/2015 WES 10/30/2014 WGP 6/4/2015 WGP 6/4/2015 GLP 6/11/2015 WMB 6/17/2014 SUN 7/15/2015 WPZ 3/11/2014 OKS 8/11/2015 LNCO 10/11/2012 USAC 9/10/2015 Source: Bloomberg, Company data. 15