The Energy Report
Notable Quotes
"With the LOI signed, we urge investors to bolster positions in FCU." (12/22/15) Fission Uranium Corp. - David Sadowski, Raymond James More >
"FCU is taking the right steps regardless of whether PLS is ultimately acquired or developed into a mine." (12/22/15) Fission Uranium Corp. - Heiko Ihle, Rodman & Renshaw More >
"I am quite excited about POE in 2016." (12/16/15) Pan Orient Energy Corp. - Chen Lin, What Is Chen Buying? What Is Chen Selling? More >
"BKX's Oklahoma asset has significant value." (12/16/15) BNK Petroleum Inc. - Michael Charlton, iA Securities More >
"EFR is one of the few companies in a position to write long-term sales contracts and deliver into them at several times its current production rate." (12/17/15) Energy Fuels Inc. - The Gold Report Interview with Eric Coffin More >
Merrill Lynch Raises Target on ETP
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GABE MOREEN, Merrill Lynch
(08/10/2010)
"ETP reported Q210 distributable cash flow (DCF) of $200M, in-line with our estimate. Although a little light relative to expectations, we thought the quarter more good news than bad: a) additional shale pipeline projects; b) signs of life for basis differentials in the TX intrastate markets; and c) increased gathering and processing volumes in the Midstream segment coupled with reduced operating expenses. ETP announced plans to build a 50-mile 350MMcf/d capacity pipeline to gather rich gas in the Eagle Ford. We are particularly intrigued by ETP's entry into the Eagle Ford shale and think there could be additional opportunities in the play. We revisited our model taking into account Q210 results and ETP's transaction with ETE. With an attractive backlog of projects, we see no reason to change our expectation that ETP will resume cash. We are maintaining our 2010/11/12 distribution estimates of $3.58/3.70/3.86, respectively. Given the retirement of the 12.3M units associated with the MEP sale, we see distribution coverage remaining decent at 1x–1.2x through 2012. Our new $53 price objective (PO), from $50, is based on an annualized Q311 distribution forecast of $3.72 per limited partner (LP) unit and 7% target yield (from 7.5%). We believe a lower target yield is warranted given sector yield compression." |
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Under SEC rules, analysts are required to disclose their interest in securities that they cover. We strongly encourage you to contact them to understand any potential conflicts of interest they may have.
More Experts
"FCU's deal with CGN helps to financially and technically derisk PLS." (12/21/15) Fission Uranium Corp. - David Talbot, More >
"NXE is our top pick across all commodities." (12/22/15) NexGen Energy Ltd. - The Energy Report Interview with Rob Chang More >
"FCU will continue to explore and add pounds to what is already a world-class project." (12/22/15) Fission Uranium Corp. - The Energy Report Interview with Rob Chang More >
"EFR is well positioned to benefit from higher uranium prices." (12/22/15) Energy Fuels Inc. - The Energy Report Interview with Rob Chang More >
"FCU intends to sell $82M or 19.9% of the company to CGN Mining." (12/22/15) Fission Uranium Corp. - Jeb Handwerger, Gold Stock Trades More >