olivLaw · US equity research
NGL Energy Partners LP NGL
Natural Gas Transmission · SIC 4922 · Vertical: Natural Gas Transmission (SIC 4922)
NGL Energy Partners LP is a US master limited partnership that has focused in recent years on produced water infrastructure in the Delaware Basin, an activity that matters as capital shifts toward long-term contracted services. Consolidated revenues were 3156.159 million USD in fiscal 2026 ended March 31, 2026, rising to 989.992 million USD in the quarter ended June 30, 2026.
The AI analysis may be outdated: new filings came after its sources (see the «AI analysis» section).
At the close of 05 Nov 2026, NGL Energy Partners LP (NGL) stock was 14.75 USD (−4.96% on the day), with market capitalisation 1.8 bn USD, beta 0.84, 52-week range 8.82–18.97 USD. Latest reported quarter (Q2 2027): revenue of 986.6 m USD (+46.2% YoY), net income of -44.3 m USD (−251.1% YoY).
Data as of · AI analysis dated · Source: SEC filings and closing prices, computed by olivLaw.
Price history
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Technical reading
- RSI (14)
- 36.6
- weak (30–45)
- Bollinger (20, 2)
- 14.26 – 16.87
- in the lower half of the band · %B 0.19 · band width 16.8%
- SMA 50 / 200
- 16.19 / 14.94
- mixed trend
- MACD (12, 26, 9)
- -0.01 / 0.00
- MACD below signal
Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).
Performance
| Company | S&P 500 | vs S&P 500 | Vertical median | |
|---|---|---|---|---|
| 1 month | −5.9% | −5.9% | +0.0 pp | — |
| 3 months | −15.0% | −4.6% | −10.4 pp | — |
| 6 months | −8.6% | +0.2% | −8.8 pp | — |
| Year to date | +47.5% | +7.4% | +40.1 pp | — |
| 1 year | +72.1% | +8.2% | +63.9 pp | +8.4% |
| 3 years | +246.2% | +68.4% | +177.8 pp | +50.0% |
| 5 years | +544.1% | +56.5% | +487.6 pp | — |
Price returns, dividends excluded.
Quarterly results
Latest quarter: Q2 2027 · 30 Sept 2026
Quarterly margins
Quarterly statements · USD
| Fiscal year | Q3 '25 | Q4 '25 | Q1 '26 | Q2 '26 | Q3 '26 | Q4 '26 | Q1 '27 | Q2 '27 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 982.4 m | 971.1 m | 622.2 m | 674.7 m | 909.8 m | 949.5 m | 990.0 m | 986.6 m |
| Cost of revenue | 735.4 m | 709.4 m | 382.8 m | 421.0 m | 646.1 m | 732.3 m | 684.4 m | 728.0 m |
| Operating income | 84.7 m | 81.1 m | 97.5 m | 94.3 m | 109.7 m | -206.6 m | 145.3 m | 23.9 m |
| Depreciation & amortisation | 69.6 m | 67.8 m | 69.8 m | 64.0 m | 62.3 m | 66.3 m | 66.7 m | 63.1 m |
| Interest expense | 63.1 m | 70.1 m | 65.5 m | 64.7 m | 63.8 m | 63.4 m | 67.1 m | 66.8 m |
| Pre-tax income | 23.5 m | 16.2 m | 30.1 m | 29.8 m | 48.1 m | -286.7 m | 79.7 m | -42.4 m |
| Income tax | -274.0 k | 14.0 k | -182.0 k | -61.0 k | -119.0 k | 86.0 k | -299.0 k | 187.0 k |
| Net income | 13.5 m | 13.7 m | 68.9 m | 29.3 m | 47.2 m | -287.7 m | 78.7 m | -44.3 m |
| Operating cash flow | 153.8 m ≈ | 155.0 m | 33.2 m | 40.5 m ≈ | 182.3 m ≈ | 110.0 m | 77.0 m | 94.6 m ≈ |
| Capex | 1.7 m | 37.9 m | 22.1 m | 30.9 m ≈ | 136.6 m ≈ | 31.6 m | 108.8 m | 118.0 m ≈ |
| Share repurchases | 0 ≈ | 0 | 8.1 m | 21.0 m ≈ | 15.7 m ≈ | 2.8 m | 0 | 0 ≈ |
≈ derived quarter (cumulative difference / share-days average)
E/P over time
EPS unavailable in the issuer's structured filings (e.g. a partnership reports per unit, not per share).
E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.
Fiscal years
| Fiscal year | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | 2026 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 8.7 bn | 7.6 bn | 5.2 bn | 7.9 bn | 5.7 bn | 4.2 bn | 3.5 bn | 3.2 bn |
| Revenue YoY | +25.0% | −12.7% | −31.1% | +52.1% | −28.5% | −26.9% | −16.5% | −9.0% |
| Net income | 360.0 m | -397.0 m | -639.8 m | -184.8 m | 51.4 m | -143.8 m | 39.4 m | -142.3 m |
| Net income YoY | unavailable | −210.3% | unavailable | unavailable | unavailable | −379.8% | unavailable | −461.4% |
| Diluted EPS | unavailable | unavailable | unavailable | unavailable | unavailable | unavailable | unavailable | unavailable |
| Diluted EPS YoY | unavailable | unavailable | unavailable | unavailable | unavailable | unavailable | unavailable | unavailable |
| net % | 4.1% | -5.2% | -12.2% | -2.3% | 0.9% | -3.5% | 1.1% | -4.5% |
| Free cash flow | -118.3 m | -91.7 m | 117.2 m | 63.5 m | 297.4 m | 223.9 m | 51.6 m | 144.7 m |
Reported results vs expectations
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Balance sheet & financial health
Fiscal year 2026 · 31 Mar 2026
- Cash
- 8.5 m USD
- Financial debt
- 3.2 bn USD
- Net debt
- 3.2 bn USD
- Equity
- unavailable USD
- Total assets
- 4.2 bn USD
- Debt / equity
- unavailable
- Current ratio
- 1.05x
- ROE
- unavailable
- ROA
- -3.2%
- FCF margin
- 4.6%
Financial statements (source on every figure)
Revenue and net income (USD)
Margins
Income statement · USD
| Line | 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Revenue | 5.2 bn | 7.9 bn | 5.7 bn | 4.2 bn | 3.5 bn | 3.2 bn | SEC (XBRL)· 28 May 2026verified |
| Cost of revenue | 4.5 bn | 7.1 bn | 4.7 bn | 3.2 bn | 2.5 bn | 2.2 bn | SEC (XBRL)· 28 May 2026verified |
| Gross profit | 733.2 m ≈ | 808.6 m ≈ | 989.6 m ≈ | 967.9 m ≈ | 962.1 m ≈ | 974.0 m ≈ | SEC (XBRL)· 28 May 2026derived |
| Operating income | -390.8 m | 83.0 m | 244.0 m | 161.9 m | 329.4 m | 94.7 m | SEC (XBRL)· 28 May 2026verified |
| Depreciation & amortisation | 331.2 m | 306.2 m | 290.1 m | 282.1 m | 267.2 m | 268.7 m | SEC (XBRL)· 28 May 2026verified |
| EBITDA | -59.6 m ≈ | 389.3 m ≈ | 534.1 m ≈ | 444.0 m ≈ | 596.6 m ≈ | 363.5 m ≈ | SEC (XBRL)· 28 May 2026derived |
| Interest expense | 198.8 m | 271.6 m | 275.4 m | 269.8 m | 280.1 m | 257.5 m | SEC (XBRL)· 28 May 2026verified |
| Pre-tax income | -640.8 m | -183.1 m | 9.3 m | -156.3 m | 60.1 m | -178.8 m | SEC (XBRL)· 28 May 2026verified |
| Income tax | -3.4 m | 971.0 k | 219.0 k | 1.5 m | -4.9 m | -276.0 k | SEC (XBRL)· 28 May 2026verified |
| Net income | -639.8 m | -184.8 m | 51.4 m | -143.8 m | 39.4 m | -142.3 m | SEC (XBRL)· 28 May 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Revenue − Cost of revenue; Operating income + Depreciation & amortisation.
Balance sheet · USD
| Line | 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Cash | 4.8 m | 3.8 m | 5.4 m | 38.9 m | 5.6 m | 8.5 m | SEC (XBRL)· 28 May 2026verified |
| Receivables | 725.9 m | 1.1 bn | 1.0 bn | — | — | — | SEC (XBRL)· 31 May 2023verified |
| Inventories | 158.5 m | 251.3 m | 142.6 m | 106.6 m | 69.9 m | 67.4 m | SEC (XBRL)· 28 May 2026verified |
| Current assets | 1.0 bn | 1.5 bn | 1.3 bn | 1.2 bn | 962.1 m | 774.0 m | SEC (XBRL)· 28 May 2026verified |
| Property, plant & equipment, net | 2.7 bn | 2.5 bn | 2.2 bn | 2.1 bn | 2.1 bn | 2.1 bn | SEC (XBRL)· 28 May 2026verified |
| Goodwill | 744.4 m | 744.4 m | 712.4 m | 617.2 m | 599.3 m | 351.5 m | SEC (XBRL)· 28 May 2026verified |
| Intangibles (excl. goodwill) | 1.3 bn | 1.1 bn | 1.1 bn | 932.7 m | 851.3 m | 805.1 m | SEC (XBRL)· 28 May 2026verified |
| Total assets | 5.9 bn | 6.1 bn | 5.5 bn | 5.0 bn | 4.6 bn | 4.2 bn | SEC (XBRL)· 28 May 2026verified |
| Accounts payable | 679.9 m | 1.1 bn | 927.6 m | — | — | — | SEC (XBRL)· 31 May 2023verified |
| Short-term debt | 2.2 m | 2.4 m | 0 | 7.0 m | 8.8 m | 11.5 m | SEC (XBRL)· 28 May 2026verified |
| Long-term debt | 3.4 bn | 3.4 bn | 2.9 bn | 2.8 bn | 3.0 bn | 3.2 bn | SEC (XBRL)· 28 May 2026verified |
| Current liabilities | 910.8 m | 1.3 bn | 1.1 bn | 977.3 m | 739.2 m | 739.5 m | SEC (XBRL)· 28 May 2026verified |
Cash flow · USD
| Line | 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Operating cash flow | 304.0 m | 205.8 m | 445.2 m | 376.2 m | 297.5 m | 366.0 m | SEC (XBRL)· 28 May 2026verified |
| Capex | 186.8 m | 142.4 m | 147.8 m | 152.3 m | 245.8 m | 221.3 m | SEC (XBRL)· 28 May 2026verified |
| Free cash flow | 117.2 m ≈ | 63.5 m ≈ | 297.4 m ≈ | 223.9 m ≈ | 51.6 m ≈ | 144.7 m ≈ | SEC (XBRL)· 28 May 2026derived |
| Investing cash flow | -221.5 m | -212.4 m | 64.2 m | -83.8 m | -122.8 m | -16.5 m | SEC (XBRL)· 28 May 2026verified |
| Financing cash flow | -100.4 m | 5.6 m | -507.8 m | -258.9 m | -207.9 m | -346.6 m | SEC (XBRL)· 28 May 2026verified |
| Share repurchases | — | — | 99.0 k | 84.0 k | 2.1 m | 47.6 m | SEC (XBRL)· 28 May 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Operating cash flow − Capex.
Computed indicators
Growth
Profitability
Returns
Balance sheet
Liquidity
Cash
Efficiency
Market and valuation
Risk
Valuation
olivLaw classification
Score: 10 / 100
A scoring methodology on indicators and valuation, not investment advice.
score < 40
Closing price
05 Nov 2026Source: olivLaw, closing series
Market cap: 1.8 bn USD
Key indicators
Coverage and freshness
Score by group
- Quality0
- Growth0
- Balance sheet6
- Returns14
- Valuation21
Estimated value range
The combined range = the median of the valid methods' low, central and high values; it is not a probability interval and does not cover every result. Envelope of all methods: 0.00 – 49.09 USD.
Valuation assumptions are editorial choices, not measured; beta is not measured.
Method ranges (USD per share)
— — Mid · ▏ Price
Valuation methods
- DCF (discounted cash flow)9.55 – 49.09 (Mid 22.02)WACC 6.6% · starting FCFF 288.4 m USD · terminal value share of EV 82%The WACC × g sensitivity gives the method's bounds; these are not probabilities.Reverse DCF: starting growth implied by the price (fading linearly to terminal growth, everything else fixed): -11.4%
- Peers: EV/EBITDA0.00 – 6.97 (Mid 2.49)9 companies used · median multiple 11.0x · quartiles 9.2x – 12.7xDTM, ET, KGS, KMI, KNTK, TRGP, USAC, WES, WMB
- Peers: P/Eunavailable · the base of the ratio is not positive
- Dividend discount (DDM)unavailable · the company pays no dividend: a dividend model needs an explicit initiation assumption
Classification (SIC) comparables group by industry code, not by economic activity; the direct group is an editorial selection by activity. Members' multiples are on their own trailing twelve months, at their own latest close.
Assumptions (illustrative, editorial)
- Risk-free rate
- 4.3%
- Equity risk premium
- 5.0%
- Beta (default)
- 1.00
- Cost of equity
- 9.3%
- Terminal growth
- 2.5%
Factor scorecard
Unattractive profile · Score 10/100
| Factor | Value | Score | Weight used |
|---|---|---|---|
| ROIC · Quality | unavailable | unavailable | — |
| Net margin · Quality | -5.4% | 0 (vs peers) | 10% |
| FCF conversion · Quality | unavailable | unavailable | — |
| Revenue CAGR 3Y · Growth | -17.8% | 0 (on a fixed band) | 14% |
| EPS CAGR 3Y · Growth | unavailable | unavailable | — |
| Net debt / EBITDA · Balance sheet | 10.1x | 0 (vs peers) | 17% |
| Interest coverage · Balance sheet | 0.3x | 0 (on a fixed band) | 10% |
| Current ratio · Balance sheet | 1.1x | 28 (on a fixed band) | 7% |
| P/E (TTM) · Valuation | unavailable | unavailable | — |
| EV/EBITDA · Valuation | 15.7x | 0 (vs peers) | 17% |
| FCF yield · Valuation | 3.7% | 47 (on a fixed band) | 14% |
| Shareholder yield (distributions) · Returns | 1.0% | 14 (on a fixed band) | 10% |
| Payout ratio (FCF) · Returns | unavailable | unavailable | — |
Factors without a value were dropped; the remaining weights were renormalised.
Score groups
- Balance sheet6/100 · 3/3 factors with a value
- Growth· partial0/100 · 1/2 factors with a value
- Quality· partial0/100 · 1/3 factors with a value
- Returns· partial14/100 · 1/2 factors with a value
- Valuation21/100 · 2/3 factors with a value
A «partial» group is computed from under half of its weight or from one factor: it is not a full assessment of the group.
Memo
NGL Energy Partners LP (NGL). Latest full fiscal year: 2026; data up to 2026-09-30.
Figures computed from the financial statements: revenue 3.2 bn USD in 2026; YoY growth -9.0%; net margin -5.4%; net debt/EBITDA 10.1x.
The estimated value range is 4.78–28.03 USD per share (median of 2 methods, agreement: low); assumptions are illustrative. Against the central value of 12.26 USD, the price of 14.75 USD leaves a potential of -16.9% (value / price − 1) and a margin of safety of -20.3% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.
olivLaw score 10/100, methodological classification: unattractive profile (score, margin of safety and method agreement together; not a judgement of the right price). Groups assessed only in part: growth, quality, returns. Not investment advice.
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
No signal among the computed factors. That is not an absence of risk: factors without data were not assessed, and business risks (margins, inventory, demand) are in the source-based analysis.
What contradicts it
- Net margin: -5.4%
- Revenue CAGR 3Y: -17.8%
- Net debt / EBITDA: 10.1x
- Interest coverage: 0.3x
- Current ratio: 1.1x
- EV/EBITDA: 15.7x
- Shareholder yield (distributions): 1.0%
- The valuation methods diverge
Not assessed (insufficient data or a ratio without meaning): ROIC, FCF conversion, EPS CAGR 3Y, P/E (TTM), Payout ratio (FCF).
Versus the vertical median
Natural Gas Transmission (SIC 4922) · same industry (4-digit SIC) · compared with 17 companies
Multiples and returns vs the median
Price rebased to 100 (monthly, 5 years)
Companies in the vertical
| Market cap | P/E | ROE | Net margin | Revenue YoY | 1A / 3A | |
|---|---|---|---|---|---|---|
| EPDEnterprise Products Partners L.P. | 79.0 bn | 12.0 | — | 10.2% | −6.4% | +12% / +37% |
| WMBWilliams Companies, Inc. | 78.6 bn | 25.6 | 24.0% | 25.2% | +13.8% | +5% / +75% |
| KMIKinder Morgan, Inc. | 67.3 bn | 18.7 | 11.6% | 19.6% | +12.2% | +11% / +72% |
| ETEnergy Transfer LP | 66.1 bn | 12.1 | — | 4.4% | +3.5% | +15% / +38% |
| TRGPTarga Resources Corp. | 58.3 bn | 24.0 | 75.0% | 13.5% | +3.9% | +55% / +201% |
| WESWestern Midstream Partners, LP | 16.5 bn | 12.8 | — | 28.2% | +6.6% | +1% / +34% |
| DTMDT Midstream, Inc. | 11.5 bn | 24.5 | 9.9% | 35.4% | +26.7% | −7% / +97% |
| AMAntero Midstream Corporation | 9.1 bn | 13.5 | 31.6% | 53.4% | +7.4% | +6% / +44% |
| AROCArchrock, Inc. | 4.7 bn | 13.7 | 22.6% | 22.9% | +28.7% | +8% / +84% |
| KGSKodiak Gas Services, Inc. | 3.9 bn | 45.8 | 4.6% | 5.8% | +12.8% | +11% / +121% |
| USACUSA Compression Partners, LP | 3.5 bn | 22.1 | — | 12.4% | +5.0% | −4% / +2% |
| KNTKKinetik Holdings Inc. | 3.3 bn | 16.1 | — | 10.7% | +19.0% | +42% / +35% |
| NGLNGL Energy Partners LP | 1.8 bn | — | — | -5.4% | −9.0% | +72% / +246% |
| SMCSummit Midstream Corporation | 285.3 m | 8,705.4 | 0.1% | 0.0% | +30.8% | +7% / +29% |
| TCPATranscanada Pipelines Ltd | — | — | 14.0% | 23.1% | +7.2% | −15% / unavailable |
| TRPTc Energy Corporation | — | — | 12.8% | 23.1% | +10.7% | +14% / +67% |
| NGGNational Grid PLC | — | — | 8.6% | 15.8% | −7.4% | +13% / +30% |
| TGSGas Transporter Of The South Inc. | — | — | 18.1% | 30.3% | +23.7% | −30% / +56% |
1- and 3-year price returns: for NGL from daily closes (the same as the performance table), for the other companies from month-end closes.
olivLaw engine forecast
The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.
The engine has no published run for this company yet.
Valuation scenarios (editable assumptions)
Illustrative scenarios
Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.
Estimated price (USD)
| Estimated price | Bear | Base | Bull |
|---|---|---|---|
| 1 years | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable |
| 3 years | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable |
| 5 years | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable |
AI analysis
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
Possibly outdated: the newest document it read is from 04 Aug 2026; since then the company filed 10-Q (05 Nov 2026).
In brief
NGL Energy Partners LP is a US master limited partnership that has focused in recent years on produced water infrastructure in the Delaware Basin, an activity that matters as capital shifts toward long-term contracted services 1. Consolidated revenues were 3156.159 million USD in fiscal 2026 ended March 31, 2026 1, rising to 989.992 million USD in the quarter ended June 30, 2026 2.
SWOT
Strengths
- The company operates one of the largest integrated produced water systems in the Delaware Basin, with long-term contracts and acreage dedications 1.
- Water disposal revenues are supported by fixed fees and minimum volume commitments, which reduce direct exposure to commodity prices 1.
- The management team has experience in the energy industry and in running master limited partnerships 1.
Weaknesses
- Total debt is high, and restrictions in credit agreements and senior notes limit financial flexibility 1.
- Net results were negative in fiscal 2026, and impairments and disposal losses affected reported profitability 1.
- Common unit distributions remain suspended, which may reduce appeal for income-oriented investors 1.
Opportunities
- The LEX II expansion could add significant disposal capacity, backed by a new long-term volume commitment contract 2.
- Debt reduction and elimination of preferred units could create room to resume distributions if liquidity metrics improve 1.
- A focus on water services could attract new customers in the Delaware Basin, where dedicated acreage is extensive 1.
Threats
Risks
- Liquidity and debt servicehigh
The company depends on cash flow to fund operations and service its debt, and a decline in activity could affect its ability to meet obligations 1.
- Contractual restrictionshigh
The ABL facility, Term Loan B and senior notes limit investments, acquisitions and distributions, and non-compliance could lead to acceleration of debt 1.
- Commodity price exposuremedium
Crude and liquids businesses are exposed to price volatility, although the company uses back-to-back contracts and derivatives to reduce exposure 1.
- Seismic and regulatory riskmedium
Produced water injection may be linked to seismic events, which could lead to volume limits or temporary facility shut-ins 1.
- Customer concentrationmedium
A large share of water segment revenues comes from a small number of customers, and losing one could have a significant impact 1.
Investment thesis
What would need to be true (bull case)
- A leading position in the Delaware Basin, combined with long-term contracts and growing processed volumes in the quarter ended June 30, 2026, could support the company's cash flow 2.
- The LEX II expansion, backed by a volume commitment contract, could add predictable revenue if the facility enters service on schedule 2.
- Debt reduction and the sale of non-core assets could improve the credit profile and create conditions for resuming distributions 1.
What would break the thesis
- Debt above three billion USD and contractual restrictions could limit flexibility if crude oil prices fall 1.
- The negative net result in fiscal 2026, linked to impairments, could signal continued pressure on reported profitability 1.
- Seismic risk and possible regulatory restrictions could reduce injection volumes in affected areas 1.
What to watch
- Commissioning of the LEX II expansion and its effect on water volumesQ4 2026
- Revenue and Adjusted EBITDA trend in the Water Solutions segmentQ3 2026
- General partner board decision on resuming common unit distributionsnext 10-K
- Long-term debt level and use of the ABL facilitynext 10-K
Products, market & competition
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
Possibly outdated: the newest document it read is from 04 Aug 2026; since then the company filed 10-Q (05 Nov 2026).
The business
The company transports, treats, recycles and disposes of produced and flowback water from crude oil and natural gas production through its Water Solutions segment, and sells recovered crude oil and recycled water 1. Crude Oil Logistics and Liquids Logistics buy, transport, store and market crude oil and natural gas liquids across the United States and Canada 1. Management has stated it aims to become a pure play produced water infrastructure platform while reducing debt 1.
Water assets are concentrated in the Delaware, DJ and Eagle Ford Basins, where long-term fixed fee contracts and acreage dedications often include minimum volume commitments 1. The company sold several non-core assets in April 2025, including its refined products business and most of its wholesale propane business 1.
In 2026 the company closed a refinancing of 950.0 million USD through a new seven-year senior secured term loan, and the LEX II expansion is expected to be in service by the end of calendar 2026 12. The general partner said reinstating common unit distributions will be evaluated in due course, based on leverage, liquidity and asset performance 1.
Segments
Water Solutions
The main segment, which generated most of the operating profit in the quarter ended June 30, 2026, reported segment operating income of 138.568 million USD 2. The Northern Delaware system includes large diameter pipelines, recycling facilities and disposal wells, and LEX II capacity is set to reach 560000 barrels per day 12.
Crude Oil Logistics
The segment buys crude oil from producers and transports it to refineries, terminals and trade hubs, supported by long-term fixed rate contracts and minimum volume commitments on storage tanks and pipelines 1. The company recorded a goodwill impairment in fiscal 2026, and the sale of the remaining 203 railcars reduced the segment's assets 1.
Liquids Logistics
The segment handles natural gas liquids with five owned terminals, nine common carrier pipelines and a leased railcar fleet 1. After the sale of the wholesale propane business and 17 terminals, the segment is smaller, although the butane export facility in Chesapeake, Virginia remains relevant 1.
Market context
The produced water service market depends on crude oil production levels in the areas where the company operates, and higher crude oil prices supported disposal volumes in the Delaware and DJ Basins 1. WTI crude spot prices at Cushing varied across fiscal 2026 between the annual low and high levels, illustrating market volatility 1.
In the liquids business, propane and butane demand is seasonal and higher in colder months, and reference price volatility at Conway and Mont Belvieu affects margins 1. The company expects commodity price volatility to continue, and its ability to adjust will affect financial results 1.
Trends
- Rising produced water volumestailwind
Produced water volumes processed rose in the quarter ended June 30, 2026, with the Delaware Basin leading the increase, which could support water segment revenues if production stays high 2.
- More volatile crude oil pricesheadwind
Crude oil prices fluctuated widely in fiscal 2026, and price declines could reduce producers' incentive to drill new wells and thus disposal volumes 1.
- Induced seismic activitymixed
Produced water injection has been associated with low magnitude seismic events in Texas and New Mexico, leading to volume reductions and temporary shut-ins at some facilities 1.
- Debt reduction and distributionsmixed
The company aims to reduce debt and eliminate its preferred units, but common unit distributions have been suspended since the quarter ended December 31, 2020, and reinstatement depends on liquidity 1.
Competitive position
Competitors include independent produced water transportation and disposal companies, as well as water operations owned by oil and gas producers themselves 1. The company's advantage is facility location near high production areas and its integrated Delaware Basin network, which would be difficult to replicate 1.
In crude oil and liquids, competition comes from other midstream, transportation, terminaling and storage companies, and service interruptions on railroads or pipelines can affect competitive standing 1.
- Independent produced water transportation and disposal companies
Direct competitors in the Water Solutions segment, not named in the source.
- Water operations owned by oil and gas producers
Producer customers that manage their own water disposal compete for the same volumes.
- Other midstream companies for crude oil and liquids
Competitors in the Crude Oil Logistics and Liquids Logistics segments, not named in the source.
- Terminal and storage operators
Competition for storage and terminaling in the crude and liquids segments, described generically in the source.
Links, dependencies and risks
Who the company is tied to, from its own SEC filings (customers, suppliers, production, partners, competitors, countries, regulation), from the 5 %+ holders' statements (13D/13G) and from what other companies say about it. Click a node for its evidence; on a listed company the graph moves to it.
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News & filings
In the press
No news in our archive over the last 180 days.
SEC filings
- Quarterly report05 Nov 2026
- Quarterly report04 Aug 2026
- Annual report28 May 2026
- Current report12 Mar 2026Material agreement · Creation of a direct financial obligation · Regulation FD disclosure · Financial statements and exhibits
- Current report09 Feb 2026Departure or appointment of officers · Shareholder vote · Financial statements and exhibits
- Quarterly report03 Feb 2026
- Proxy statement29 Dec 2025
- Quarterly report04 Nov 2025
- Quarterly report07 Aug 2025
- Annual report29 May 2025
Sources
- [1] Form 10-K, fiscal year ended 2026-03-31 · SEC / NGL Energy Partners LP · 28 May 2026
- [2] Form 10-Q, quarter ended 2026-06-30 · SEC / NGL Energy Partners LP · 04 Aug 2026
- [3] Form 8-K, results release (exhibit 99.1) · SEC / NGL Energy Partners LP · 18 Jan 2024
Figures computed by olivLaw from SEC filings and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.