Global Partners LP (NYSE: GLP) today reported financial results for the fourth quarter and 12 months ended December 31, 2012.
“Global’s development of rail logistics and gas station assets has strengthened and diversified our cash flows and income streams,” said Eric Slifka, the Partnership’s president and chief executive officer. “Our record results in 2012 reflect this transformation, highlighted by the steady growth of our rail logistics capabilities and the acquisition of Alliance Energy.”
“We believe our direct, single line haul ‘virtual pipeline’ to Albany, NY on Canadian Pacific provides the most efficient model to move competitively price-advantaged product from the mid-continent of the U.S. and Canada to the East Coast,” Slifka said. “The rail volume into our Global Albany crude and ethanol terminal has more than doubled from 42 unit trains in the first quarter of 2012 to 87 in the fourth quarter, with 81 unit trains received through the first two months of 2013 alone, averaging over 100,000 barrels a day.”
“In recent weeks, we have expanded our advantaged logistics, purchasing a 60% membership interest in Basin Transload in North Dakota and acquiring the Cascade Kelly crude oil transload and ethanol production facility near Portland, Oregon,” Slifka said. “The Basin terminal in Beulah, ND and our new Oregon facility form a West bound virtual pipeline on the BNSF Railway that connects the U.S. mid-continent and Western Canadian Sedimentary Basin to Pacific refiners. Together with our Albany terminal, these locations form a network of unique origin and destination locations through which our customers can efficiently supply cost-competitive crude oil to destinations on the East and West coasts.”
Fourth Quarter 2012 Financial Summary
Net income for the fourth quarter of 2012 was $22.7 million, or $0.81 per diluted limited partner unit, compared with net income of $10.0 million, or $0.45 per diluted limited partner unit, for the fourth quarter of 2011.
Combined net product margin for the fourth quarter of 2012 was $115.5 million, compared with $65.6 million for the fourth quarter of 2011.