EPD - CVX To Develop Crude Oil Port; ONEOK Free Cash Soars -- July 31, 2019

Link here to Reuters via Yahoo!Finance:

• SPOT: Enterprise's Sea Port Oil Terminal, about 40 miles off the coast of Houston
• up to two VLCCs could moor at the site; could load up to 2 million bopd
• at least one of eight similar projects off the Texas and Louisiana coasts proposed to export oil
• would compete with projects under development:
• Trafigura Ltd, a commodities trader
• Magellan Midstream Partners, Tallgrass Energy LP, and Phillips 66: pipeline operators
• export terminal will serve as terminal for EPD's Midland-to-ECHO 3 (I have not seen that pipeline mentioned in most recent update by RBN Energy]

Thins about these two data points:

• up to 2 million bopd could be loaded
• this is just one of eight projects being proposed

Some of this has previously been posted.

EPD: to report earnings today. And here they are, from Zacks:

• beats
• 55 cents/share
• revenue miss: $8.2763 billion vs $8.795 billion forecast
• adjusted distributable cash flow was at a record level of $1.7 billion, up 21.3% year-over-year
• EPD shares up 3% today
• EPD "pays" almost 6%

Disclaimer: this is not an investment site. Do not make any investment, financial, job, career, travel, or relationship decisions based on what you read here or think you may have read here.

BHGE, link here:

• revenue of $6.0 billion up 9% year-over-year
• EPS, adjusted: 20 cents
• free cash flow: almost $600 million for the quarter
• Zacks: beats; link here;
• shares up 5% today; "pays" about 3%

ONEOK (OKE): wow this is nice; OKE is up over 4% today; up $2.80; trading at $70; wow
pays over 5% but I thought I saw that it recently cut its dividend; will have to sort this out later, maybe, not really interested; it is what it is, but this is what I like to see in the same sentence: "cash flow" "soars." From The Motley Fool: ONEOK's cash flow soars in 2Q19:

• continues to benefit from its strategic focus on capturing the natural gas produced as a byproduct of oil-focused wells. Drillers had been burning off this gas due to the lack of infrastructure. However, they're now able to cash in on an increasing amount of it as ONEOK completes its expansion projects.  [Comment: I might come back to this if I find time.]
• distributable cash flow:
• 2Q18: $454 million
• 2Q19: $632 million
• changes: up almost 20%
• dividend coverage ratio: up almost 10% year-over-year
• generated $183 million in excess cash after paying its dividend during the quarter
• excess cash was nearly 45% higher year-over-year even though ONEOK raised its divided 8% over the past year

The Bakken connection:

CEO Terry Spencer previously called 2019 "a year of project execution" for the company. That's exactly what ONEOK did during the second quarter. Spencer said that "our capital-growth program remains on schedule and on budget, including multiple projects that will add critical natural gas and NGL infrastructure to significantly reduce flaring in the Williston Basin." He noted that "the southern section of our Elk Creek NGL Pipeline is now complete," which puts that project ahead of schedule. This leads the company to believe that it will experience a "significant earnings uplift in the second half of 2019," according to Spencer.