Top midstream stocks Enterprise Products Partners (EPD) and Kinder Morgan (KMI) rose 0.9% and 0.7%, respectively, last week, which ended September 7. However, Williams Companies (WMB) fell 3.4%, and Plains All American Pipeline (PAA) fell 3.3%. Crude oil prices fell ~2.9% during the week.
The above graph compares the performance of top midstream stocks last week. Energy Transfer Equity (ETE) fell 0.8%, and Magellan Midstream Partners (MMP) fell 0.3%. The Energy Select Sector SPDR ETF (XLE) fell 2.2%, while the Alerian MLP Index ended the week flat.
Plains All American Pipeline and Enterprise Products Partners have risen ~19% and 7%, respectively, year-to-date. On the other hand, Williams Companies and Kinder Morgan have fallen 8% and 5%, respectively, in the same period. The Alerian MLP Index has risen ~1.4% year-to-date.
KMI’s PHP project
Kinder Morgan and EagleClaw Midstream Ventures made a final investment decision for the $2 billion PHP (Permian Highway Pipeline) project last week. ExxonMobil (XOM) and Apache (APA) are among the shippers that have committed to the project. The pipeline project will move natural gas from the Permian Basin to the Texas Gulf Coast. It’s expected to be completed in late 2020.
Next, let’s take a look at the top midstream and MLP gainers last week.