MPLX LP Files 2023 Annual Report on Form 10-K
Ticker: MPLXP · Form: 10-K · Filed: Feb 28, 2024 · CIK: 1552000
Sentiment: neutral
Topics: MPLX LP, 10-K, Annual Report, Energy, Pipelines
TL;DR
<b>MPLX LP has filed its 2023 10-K report detailing its operations and financial performance.</b>
AI Summary
MPLX LP (MPLXP) filed a Annual Report (10-K) with the SEC on February 28, 2024. MPLX LP reported its 2023 fiscal year results on February 28, 2024. The filing covers the period ending December 31, 2023. The company's principal business is pipelines, specifically excluding natural gas. MPLX LP is headquartered in Findlay, Ohio. The filing number is 001-35714.
Why It Matters
For investors and stakeholders tracking MPLX LP, this filing contains several important signals. This 10-K filing provides a comprehensive overview of MPLX LP's business, financial condition, and results of operations for the fiscal year 2023, which is crucial for investors to assess the company's performance and future prospects. The detailed financial data and risk factors within the report are essential for stakeholders to understand the company's operational landscape, potential challenges, and strategic direction in the energy and transportation sector.
Risk Assessment
Risk Level: medium — MPLX LP shows moderate risk based on this filing. The company operates in the energy and transportation sector, which is subject to significant regulatory, market, and operational risks that could impact its financial performance and ability to execute its business strategy.
Analyst Insight
Investors should review the detailed financial statements and risk factors in the 10-K to understand MPLX LP's performance and potential challenges in the midstream energy sector.
Key Numbers
- 2023 — Fiscal Year End (The reporting period concludes on December 31, 2023.)
- 2024-02-28 — Filing Date (The 10-K report was filed on this date.)
- 4610 — SIC Code (Standard Industrial Classification for Pipelines (No Natural Gas))
Key Players & Entities
- MPLX LP (company) — Filer of the 10-K report
- 2023 (date) — Fiscal year covered by the report
- December 31, 2023 (date) — End of the reporting period
- February 28, 2024 (date) — Filing date of the report
- Findlay, Ohio (location) — Business address of MPLX LP
- 001-35714 (other) — SEC file number
FAQ
When did MPLX LP file this 10-K?
MPLX LP filed this Annual Report (10-K) with the SEC on February 28, 2024.
What is a 10-K filing?
A 10-K is a comprehensive annual financial report required by the SEC, covering audited financials, business operations, risk factors, and management discussion. This particular 10-K was filed by MPLX LP (MPLXP).
Where can I read the original 10-K filing from MPLX LP?
You can access the original filing directly on the SEC's EDGAR system. The filing is publicly available and includes all exhibits and attachments submitted by MPLX LP.
What are the key takeaways from MPLX LP's 10-K?
MPLX LP filed this 10-K on February 28, 2024. Key takeaways: MPLX LP reported its 2023 fiscal year results on February 28, 2024.. The filing covers the period ending December 31, 2023.. The company's principal business is pipelines, specifically excluding natural gas..
Is MPLX LP a risky investment based on this filing?
Based on this 10-K, MPLX LP presents a moderate-risk profile. The company operates in the energy and transportation sector, which is subject to significant regulatory, market, and operational risks that could impact its financial performance and ability to execute its business strategy.
What should investors do after reading MPLX LP's 10-K?
Investors should review the detailed financial statements and risk factors in the 10-K to understand MPLX LP's performance and potential challenges in the midstream energy sector. The overall sentiment from this filing is neutral.
How does MPLX LP compare to its industry peers?
MPLX LP operates in the midstream energy sector, focusing on the transportation and storage of crude oil and natural gas liquids through its extensive pipeline network.
Are there regulatory concerns for MPLX LP?
The company is subject to stringent regulations governing the operation of pipelines, including environmental protection, safety standards, and transportation of hazardous materials.
Risk Factors
- Regulatory Compliance [medium — regulatory]: The company must comply with various federal, state, and local regulations related to its operations, including environmental, safety, and transportation laws, which could lead to fines or operational disruptions if not met.
- Market Fluctuations [medium — market]: The company's financial performance is subject to fluctuations in commodity prices, demand for energy products, and overall economic conditions, which can impact revenue and profitability.
- Operational Risks [medium — operational]: Risks include the potential for pipeline failures, accidents, or disruptions due to weather or other unforeseen events, which could result in significant costs and reputational damage.
Industry Context
MPLX LP operates in the midstream energy sector, focusing on the transportation and storage of crude oil and natural gas liquids through its extensive pipeline network.
Regulatory Implications
The company is subject to stringent regulations governing the operation of pipelines, including environmental protection, safety standards, and transportation of hazardous materials.
What Investors Should Do
- Analyze the detailed financial statements and segment information to understand revenue drivers and profitability.
- Review the risk factors section to assess potential challenges and their impact on the company's operations and financial health.
- Compare key financial metrics with industry peers to gauge competitive positioning and performance.
Year-Over-Year Comparison
This is the initial filing of the 2023 Form 10-K, providing the latest annual financial and operational data for MPLX LP.
Filing Stats: 4,345 words · 17 min read · ~14 pages · Grade level 17.1 · Accepted 2024-02-28 14:35:11
Key Financial Figures
- $0.85 — eral partner declared a distribution of $0.85 per common unit that was paid on Februa
- $0.528125 — ly distribution equal to the greater of $0.528125 per unit or the amount of distributions
Filing Documents
- mplx-20231231.htm (10-K) — 3868KB
- mplx-20231231xex43.htm (EX-4.3) — 60KB
- mplx-20231231xex211.htm (EX-21.1) — 38KB
- mplx-20231231xex231.htm (EX-23.1) — 2KB
- mplx-20231231xex241.htm (EX-24.1) — 16KB
- mplx-20231231xex311.htm (EX-31.1) — 10KB
- mplx-20231231xex312.htm (EX-31.2) — 10KB
- mplx-20231231xex321.htm (EX-32.1) — 5KB
- mplx-20231231xex322.htm (EX-32.2) — 5KB
- mplx-20231231xex971.htm (EX-97.1) — 45KB
- mplx-20231231_g1.jpg (GRAPHIC) — 1482KB
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- 0001552000-24-000007.txt ( ) — 24146KB
- mplx-20231231.xsd (EX-101.SCH) — 84KB
- mplx-20231231_cal.xml (EX-101.CAL) — 90KB
- mplx-20231231_def.xml (EX-101.DEF) — 674KB
- mplx-20231231_lab.xml (EX-101.LAB) — 1105KB
- mplx-20231231_pre.xml (EX-101.PRE) — 869KB
- mplx-20231231_htm.xml (XML) — 2733KB
Risk Factors
Item 1A. Risk Factors 20
Unresolved Staff Comments
Item 1B. Unresolved Staff Comments 41
Cybersecurity
Item 1C. Cybersecurity 41
Properties
Item 2. Properties 42
Legal Proceedings
Item 3. Legal Proceedings 48
Mine Safety Disclosures
Item 4. Mine Safety Disclosures 49 PART II
Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities
Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities 49
Management's Discussion and Analysis of Financial Condition and Results of Operations
Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations 50
Quantitative and Qualitative Disclosures about Market Risk
Item 7A. Quantitative and Qualitative Disclosures about Market Risk 71
Financial Statements and Supplementary Data
Item 8. Financial Statements and Supplementary Data 73
Changes in and Disagreements with Accountants on Accounting and Financial Disclosure
Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure 118
Controls and Procedures
Item 9A. Controls and Procedures 118
Other Information
Item 9B. Other Information 118
Disclosures Regarding Foreign Jurisdictions that Prevent Inspections
Item 9C. Disclosures Regarding Foreign Jurisdictions that Prevent Inspections 118 PART III
Directors, Executive Officers and Corporate Governance
Item 10. Directors, Executive Officers and Corporate Governance 118
Executive Compensation
Item 11. Executive Compensation 125
Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters
Item 12. Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 146
Certain Relationships and Related Transactions, and Director Independence
Item 13. Certain Relationships and Related Transactions, and Director Independence 147
Principal Accountant Fees and Services
Item 14. Principal Accountant Fees and Services 148 PART IV
Exhibits and Financial Statement Schedules
Item 15. Exhibits and Financial Statement Schedules 150
Signatures
Signatures 156 Unless otherwise stated or the context otherwise indicates, all references in this Annual Report on Form 10-K to "MPLX LP," "MPLX," "the Partnership," "we," "our," "us," or like terms refer to MPLX LP and its consolidated subsidiaries. References to our sponsor and customer, "MPC," refer collectively to Marathon Petroleum Corporation and its subsidiaries, other than the Partnership. Additionally, throughout this Annual Report on Form 10-K, we have used terms in our discussion of the business and operating results that have been defined in our Glossary of Terms. Table of Contents Glossary of Terms The abbreviations, acronyms and industry terminology used in this report are defined as follows: ARO Asset retirement obligation ASC Accounting Standards Codification ASU Accounting Standards Update Barrel (Bbl) One stock tank barrel, or 42 United States gallons of liquid volume, used in reference to crude oil or other liquid hydrocarbons. Bcf/d One billion cubic feet per day Btu One British thermal unit, an energy measurement DCF (a non-GAAP financial measure) Distributable Cash Flow DOT United States Department of Transportation EBITDA (a non-GAAP financial measure) Earnings Before Interest, Taxes, Depreciation and Amortization EPA United States Environmental Protection Agency FASB Financial Accounting Standards Board FCF (a non-GAAP financial measure) Free Cash Flow FERC Federal Energy Regulatory Commission GAAP Accounting principles generally accepted in the United States of America G&P Gathering and Processing segment IRS Internal Revenue Service L&S Logistics and Storage segment mbbls Thousands of barrels mbpd Thousand barrels per day MMBtu One million British thermal units, an energy measurement MMcf/d One million cubic feet per day NGL Natural gas liquids, such as ethane, propane, butanes and natural gasoline NYSE New York Stock Exchange PHMSA Pipeline and Hazardous Materials Safety Administration SEC United
Forward-looking statements include, among other things, statements regarding
Forward-looking statements include, among other things, statements regarding: future financial and operating results; environmental, social and governance, which we refer to as "ESG," plans and goals, including those related to greenhouse gas, which we refer to as "GHG," emissions and intensity, biodiversity, diversity and inclusion and ESG reporting; future levels of capital, environmental or maintenance expenditures, general and administrative and other expenses; the success or timing of completion of ongoing or anticipated capital or maintenance projects; business strategies, growth opportunities and expected investments, including plans to grow stable cash flows, lower costs and return capital to unitholders; the timing and amount of future distributions or unit repurchases; and the anticipated effects of actions of third parties such as competitors, activist investors, federal, foreign, state or local regulatory authorities, or plaintiffs in litigation. Our forward-looking statements are not guarantees of future performance and you should not rely unduly on them, as they involve risks, uncertainties and assumptions that we cannot predict. Forward-looking and other statements regarding our ESG plans and goals are not an indication that these statements are material to investors or required to be disclosed in our filings with the SEC. In addition, historical, current, and forward-looking ESG-related statements may be based on standards for measuring progress that are still developing, internal controls and processes that continue to evolve, and assumptions that are subject to change in the future. Material differences between actual results and any future performance suggested in our forward-looking statements could result from a variety of factors, including the following: general economic, political or regulatory developments, including inflation, interest rates, changes in governmental policies relating to refined petroleum products, crude oil, nat
Business
Item 1. Business OVERVIEW We are a diversified, large-cap master limited partnership formed by MPC in 2012 (as our sponsor) that owns and operates midstream energy infrastructure and logistics assets, and provides fuels distribution services. Our assets include a network of crude oil and refined product pipelines; an inland marine business; light-product, asphalt, heavy oil and marine terminals; storage caverns; refinery tanks, docks, loading racks, and associated piping; crude oil and natural gas gathering systems and pipelines; as well as natural gas and NGL processing and fractionation facilities. Our assets are positioned throughout the United States. The business consists of two segments based on the nature of services it offers: Logistics and Storage ("L&S") and Gathering and Processing ("G&P"). The L&S segment primarily engages in the gathering, transportation, storage and distribution of crude oil, refined products, other hydrocarbon-based products, and renewables. The L&S segment also includes the operation of our refining logistics, fuels distribution and inland marine businesses, terminals, rail facilities and storage caverns. The G&P segment provides gathering, processing and transportation of natural gas as well as the transportation, fractionation, storage and marketing of NGLs. For more information on these segments, see Our Operating Segments discussion below. The map below and Item 2. Properties provide information about our assets as of December 31, 2023: We continue to have a strategic relationship with MPC, which is a large source of our revenues. We have executed numerous long-term, fee-based agreements with minimum volume commitments with MPC which provide us with a stable and predictable revenue stream and source of cash flows. As of December 31, 2023, MPC owned our general partner and approximately 65 percent of our outstanding common units. In 2023, MPC accounted for 50 percent of our total revenues and other income, primarily within o