OVERVIEW

 

Boardwalk Pipeline Partners, LP (NYSE: BWP) is a midstream master limited partnership that provides transportation, storage, gathering and processing of natural gas and liquids for our customers. Through our subsidiaries, we own and operate approximately 14,195 miles of interconnected natural gas pipelines, directly serving customers in thirteen states and indirectly serving customers throughout the northeastern and southeastern United States through numerous interconnections with unaffiliated pipelines. We also operate more than 255 miles of natural gas liquids (“NGLs”), olefins and brine pipelines, including one of the most extensive ethylene distribution systems in Louisiana. Our subsidiaries' storage facilities have an aggregate working gas capacity of approximately 207 billion cubic feet (Bcf) and liquids capacity of approximately 18 million barrels.  

  

We serve a broad mix of customers, including producers, local distribution companies (LDCs), marketers, electric power generators, direct industrial users and interstate and intrastate pipelines. We provide a significant portion of our pipeline transportation and storage services through firm contracts under which our customers pay monthly capacity reservation charges (which are charges owed regardless of actual pipeline or storage capacity utilization). Other charges are based on actual utilization of the capacity under firm contracts and contracts for interruptible services. Contracts for our services related to NGLs are generally fee based and are dependent on actual volumes transported or stored, although in some cases minimum volume requirements apply. For the twelve months ended December 31, 2013, approximately 81% of our revenues were derived from capacity reservation charges under firm contracts, approximately 12% of our revenues were derived from charges based on actual utilization under firm contracts and approximately 7% of our revenues were derived from interruptible transportation, interruptible storage, parking and lending (PAL) and other services.

  

Boardwalk has six operating subsidiaries:  

 

  • Texas Gas Transmission, LLC originates in Louisiana, East Texas and Arkansas and runs north and east through Louisiana, Arkansas, Mississippi, Tennessee, Kentucky, Indiana, and into Ohio, with smaller diameter lines extending into Illinois. The market area directly served by Texas Gas encompasses eight states in the South and Midwest and includes the Memphis, Tennessee; Louisville, Kentucky; Cincinnati and Dayton, Ohio; and Evansville and Indianapolis, Indiana metropolitan areas. Texas Gas also has indirect market access to the Northeast through interconnections with unaffiliated pipelines. A large portion of the gas delivered by the Texas Gas system is used for heating during the winter months, resulting in higher daily requirements during winter months. Texas Gas owns nine natural gas storage fields, of which it owns the majority of the working and base gas. Texas Gas uses this gas to meet the operational requirements of its transportation and storage customers and the requirements of its no-notice service customers. Texas Gas also used its storage capacity to offer firm and interruptible storage services.   

 

  • Gulf South Pipeline Company, LP is located along the Gulf Coast in the states of Texas, Louisiana, Mississippi, Alabama and Florida. The on-system markets directly served by the Gulf South system are generally located in eastern Texas, Louisiana, southern Mississippi, southern Alabama, and the Florida panhandle. These markets include LDCs and municipalities located across the system, including New Orleans, Louisiana; Jackson, Mississippi; Mobile, Alabama; and Pensacola, Florida;, and end-users located across the system, including the Baton Rouge to New Orleans industrial corridor and Lake Charles, Louisiana. Gulf South also has indirect access to off-system markets through numerous interconnections with unaffiliated interstate and intrastate pipelines and storage facilities. These pipeline interconnections provide access to markets throughout the northeastern and southeastern U.S. Gulf South has two natural gas storage facilities. The natural gas storage facility located in Bistineau, Louisiana, has approximately 78.0 Bcf of working gas capacity from which Gulf South offers firm and interruptible storage service, including no-notice service. Gulf South's Jackson, Mississippi natural gas storage facility has approximately 5.0 Bcf of working gas capacity, which is used for operational purposes and is not offered for sale to the market.   

 

  • Gulf Crossing Pipeline Company LLC originates near Sherman, Texas and proceeds to the Perryville, Louisiana area. The market areas for Gulf Crossing are in the Midwest, Northeast, Southeast and Florida through interconnections with Gulf South, Texas Gas and unaffiliated pipelines.

 

  • Petal Gas Storage, L.L.C. (formerly Boardwalk HP Storage Company) operates eight high deliverability salt dome natural gas storage caverns in Forrest County, Mississippi, having approximately 46.0 Bcf of total storage capacity, of which approximately 29.0 Bcf is working gas capacity. Petal also operates approximately 100 miles of pipeline which connects its facilities with several major natural gas pipelines, including its affiliate Gulf South Pipeline Company, LP, and owns undeveloped land which is suitable for up to five additional storage caverns.
 
  • Boardwalk Field Services, LLC operates natural gas gathering, compression, treating and processing infrastructure primarily in south Texas.   

  

  • Boardwalk Louisiana Midstream, LLC  provides transportation and storage services for ethylene and natural gas liquids (NGLs), natural gas storage, fractionation services for NGLs, and brine supply services for producers and consumers of petrochemicals through two hubs in southern Louisiana - the Choctaw Hub in the Mississippi River Corridor area and the Sulphur Hub in the Lake Charles area. These assets provide approximately 57.8 MMbbls of salt dome storage capacity, including approximately 11.0 Bcf of working natural gas storage capacity; significant brine supply infrastructure; and approximately 270 miles of pipeline assets, including one of the most extensive ethylene distribution systems in Louisiana.    

 

 2014 BWP Overview System Map