HOUSTON, Nov. 7, 2013 (GLOBE NEWSWIRE) -- Memorial Production Partners LP (Nasdaq:MEMP) announced today its operating and financial results for the three and nine months ended September 30, 2013. In addition, MEMP provided an update of its commodity hedge positions presented in the Hedge Summary Table below.
Key Third Quarter 2013 Highlights:
- Average daily production increased 32% to 118.8 MMcfe for the third quarter 2013, compared to 90.0 MMcfe for the third quarter 2012 (1).
- Adjusted EBITDA (2) increased 23% to $40.5 million for the third quarter 2013, compared to $32.9 million for the third quarter 2012.
- Increased the third quarter cash distribution to $0.55 per unit, or $2.20 per unit on an annualized basis, representing a 7% increase over the prior period distribution of $0.5125 per unit and a 16% increase over the minimum quarterly distribution of $0.475 per unit. Distribution coverage for the third quarter of 0.67x does not include cash flows associated with MEMP's $603 million acquisition that closed on October 1, 2013, but does include the impact of the distribution increase and the equity offering of 16.7 million common units issued in October 2013. Distribution coverage excluding the distribution increase and the impact of the recent equity offering was 0.99x.
- Strengthened commodity hedge portfolio, with 83% of current expected natural gas production hedged through year-end 2013 and approximately 84% hedged in 2014 and 2015 (75% hedged through 2019) and 74% of crude oil production hedged through year-end 2013 and approximately 81% hedged in 2014 and 2015 (74% hedged through 2018).
"MEMP has been very active this year, announcing $832 million in acquisitions, growing the cash distribution over 8% and accessing the debt and equity capital markets multiple times to appropriately fund its growth. The acquisitions we closed this year have added basin diversity and scale in our core areas, expanded MEMP's footprint into the Permian Basin and the Rockies and are expected to be accretive to our unitholders," said John Weinzierl, Chairman, President and Chief Executive Officer of Memorial Production Partners GP LLC, the general partner of MEMP. "As we look to the remainder of 2013 and into 2014, we expect to continue delivering strong operational results. With liquidity of over $750 million under our revolver, we have significant flexibility to execute on our strategy of pursuing conventional, low risk oil and natural gas assets."