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Which MLPs Were the Strongest in the Third Quarter?

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VNOM gained the most

Royalty interest owner MLP Viper Energy Partners (VNOM) rose ~32% in the third quarter. The stock has risen ~86% year-to-date. Viper Energy Partners’ interest in the Permian Basin, which has witnessed strong activity, as well as support from sponsor Diamondback Energy (FANG), has contributed to the stock’s outperformance in 2018. Learn more in Why Viper Energy Partners Is Analysts’ Favorite Upstream Company and VNOM, BSM: Comparative Analysis of Two Mineral Interest MLPs.

Dominion Energy Midstream Partners

Dominion Energy Midstream Partners (DM) and TC PipeLines (TCP), the two MLPs most impacted by the March FERC (Federal Energy Regulatory Commission) ruling, gained 31.6% and 16.9%, respectively, in the third quarter. Dominion Energy Midstream Partners and TC PipeLines are down ~41% and 43%, respectively, year-to-date.

Dominion Energy (D), Dominion Energy Midstream Partners’ parent, offered to acquire DM on September 19. The companies expect to complete the transaction in the first quarter of 2019.

Energy Transfer Partners

Energy Transfer Partners (ETP) stock rose ~17% in the third quarter. The stock surged significantly on August 2 after the announcement of the merger with Energy Transfer Equity (ETE). The transaction is expected to close in the fourth quarter of 2018.

Sunoco (SUN) rose 18.4% in the third quarter. Other top gainers included Delek Logistics (DKL), NuStar Energy (NS), and Oasis Midstream Partners (OMP). The three stocks gained 23.0%, 22.7%, and 22.2%, respectively, in the third quarter. The above chart shows the ten MLPs that gained the most in Q3.

Let’s next take a look at MLPs that were the weakest in Q3.

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