A lot is going on these days in the energy MLP sector, as companies
try to balance their needs for cash distribution growth to
shareholders/unitholders, keep a sustainable balance sheet, and fund the
capital spending needed to exploit what could well be a
once-in-a-career buildout of new infrastructure to handle North
America's growing energy output.
When it comes to Enbridge Energy Partners, L.P. (EEP), the balancing act is a little trickier. Enbridge's (ENB) recent decision to cut its top incentive distribution rights is a positive for EEP, as was a drop-down to Midcoast Energy Partners, L.P. (MEP),
but the company is still stretched on its distribution coverage and has
a delicate balancing act ahead of it in managing billions of dollars of
growth-oriented capex.
Follow this link for the full article:
Enbridge Energy Partners Working A Tricky Balance
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