Atlas Pipeline Partners, L.P. Announces Board Approval Of Third Quarter
Distribution And Additional Growth Projects
-- Third quarter distribution declared at $0.62 per limited common unit, up
approximately 9% year-over-year
-- Partnership announces approval of growth projects in the Permian Basin and
-- Increasing Permian Basin activity in Martin County, TX will extend APL
footprint at WestTX system
-- Woodford projects will interconnect Velma and Arkoma systems and add
gathering capacity to facilitate production from the South Central Oklahoma
Oil Province (SCOOP)
PHILADELPHIA, Oct. 24, 2013
PHILADELPHIA, Oct. 24, 2013 /PRNewswire/ --Atlas Pipeline Partners, L.P.
(NYSE: APL) ("APL", "Atlas Pipeline", or the "Partnership") announced today
that the Partnership's Managing Board of Directors have approved the third
quarter distribution of 2013 as well as additional growth projects in the
Woodford Shale and Permian Basin.
The Partnership has declared a quarterly cash distribution for the third
quarter of 2013 of $0.62 per common limited partner unit, payable Thursday,
November 14, 2013 to holders of record as of Thursday, November 7, 2013. The
third quarter distribution of $0.62 per common limited partner unit is an
approximately a 9% increase year-over-year and the 11^th increase in the
previous 13 quarters.
In the Permian Basin in West Texas, associated natural gas volumes are
continuing to exceed the Partnership's expectations. Incremental volume
growth from the northern portion of the Partnership's gathering system, where
many of the Partnership's producer customers are active, has resulted in the
need for additional gathering infrastructure in that area. APL's Managing
Board of Directors has approved to extend the WestTX gathering system's
footprint further into Martin County, Texas through a series of growth
projects which will service the anticipated needs of our producer customers.
The Partnership will lay a high pressure gathering line into Martin County as
well as add compression to increase utilization of WestTX's existing assets,
including the recently announced Edward plant. In addition, this extension of
the WestTX system is expected to accelerate the Partnership's need to install
additional processing capacity, potentially by the end of 2015. The initial
high pressure gathering pipeline and associated compression is expected to
cost approximately $50 million, or approximately $36 million net to the
In the Woodford Shale in Southern Oklahoma, activity behind both the Velma and
Arkoma systems continues to increase. Incremental demand for processing
capacity has increased at Velma, where the emerging South Central Oklahoma Oil
Province (SCOOP) play has attracted significant producer interest. APL has
entered into fixed fee arrangements with some of these producers and as a
result will be adding gathering infrastructure at an expected cost of $40
million to facilitate this anticipated growth. The Velma system's processing
capacity today is fully utilized, and the Partnership will provide capacity
for the incremental SCOOP production by laying approximately 55 miles of
pipeline between the Velma system and the Arkoma system. The Arkoma system is
nearly fully utilized today, but will expand by an additional 120 million
cubic feet per day (MMCFD) upon installation of the Stonewall plant, expected
in the first quarter of 2014. The Stonewall plant is expandable to 200 MMCFD
with minimal capital outlay. The capital to interconnect the Velma and Arkoma
systems is expected to cost approximately $80 million with anticipated
completion in the third quarter of 2014.
Atlas Pipeline Partners, L.P. (NYSE: APL) is active in the gathering and
processing segments of the midstream natural gas industry. In Oklahoma,
southern Kansas, Texas, and Tennessee, APL owns and operates 14 active gas
processing plants, 18 gas treating facilities, as well as approximately 11,200
miles of active intrastate gas gathering pipeline. APL also has a 20%
interest in West Texas LPG Pipeline Limited Partnership, which is operated by
Chevron Corporation. For more information, visit the Partnership's website at
www.atlaspipeline.com or contact IR@atlaspipeline.com.
Atlas Energy, L.P. (NYSE: ATLS)is a master limited partnership which owns all
of the general partner Class A units and incentive distribution rights and an
approximate 37% limited partner interest in its upstream oil & gas subsidiary,
Atlas Resource Partners, L.P. Additionally, Atlas Energy owns and operates the
general partner of its midstream oil & gas subsidiary, Atlas Pipeline
Partners, L.P., through all of the general partner interest, all the incentive
distribution rights and an approximate 6% limited partner interest. For more
information, please visit our website at www.atlasenergy.com, or contact
Investor Relations at InvestorRelations@atlasenergy.com.
Certain matters discussed within this press release are forward-looking
statements. Although Atlas Pipeline Partners, L.P. believes the expectations
reflected in such forward-looking statements are based on reasonable
assumptions, it can give no assurance that its expectations will be attained.
Atlas Pipeline does not undertake any duty to update any statements contained
herein (including any forward-looking statements), except as required by law.
Factors that could cause actual results to differ materially from expectations
include general industry considerations, regulatory changes, changes in
commodity prices and local or national economic conditions and other risks
detailed from time to time in Atlas Pipeline's reports filed with the SEC,
including quarterly reports on Form 10-Q, current reports on Form 8-K and
annual reports on Form 10-K.
Contact: Matthew Skelly
1845 Walnut Street
Philadelphia, PA 19103
(215) 561-5692 (facsimile)
SOURCE Atlas Pipeline Partners, L.P.
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