EnergyTransfer.com is Energy Transfers is a company that owns energy assets
Energy Transfer
This Dallas based company is a general partner of Energy Transfer Partners and owns about 2% stake in the latter. About 30% of the common stock of Energy Transfer Equity is held by LE GP, LLC. The company has a turnover of $7,850 Million during the year ended August 2006 and net revenue of $107 million signifying an income growth of 27%. The Chairman and CEO of the Company is Kelcy L.Warren. The President and CFO is H.Michael Krimbill. The major competitors of this company are AmeriGas Partners, DCP Midstream Partners and Ferrellgas Partners.
The company offers two types of stock for public trading in New York Stock Exchange, namely, Energy Transfer Partners, L.P (ETP) [A Master Limited Partnership] and Energy Transfer Equity, L.P’s.(ETE) [a “GP” Master Limited Partnership].While the latter offers greater distribution income it has a slow rate of growth, while the former offers less distribution income but has an accelerated growth.
Energy Transfer Partners, L.P (ETP) operates a diversified portfolio of midstream energy assets including natural gas gathering and transportation pipelines, interstate transmission pipelines, natural gas treatment and processing plants. Most of its operations are located in Texas and Louisiana. This company is one of the largest retail marketers of propane in the U.S. The total customer head count is around one million across the country. Energy Transfer Equity owns the general partner of Energy Transfer Partners and also 62.5 million limited partner units of the latter company. The combined assets of the two companies amount to approximately $20 billion.
The primary business objective of the company is to increase cash distribution among the unit holders and assist Energy Transfer Partner in identifying, evaluating and pursuing acquisitions and all growth opportunities that come their way. The current strategy is to focus attention on growing the interstate natural gas midstream business and the propane business and pursuing construction and expansion opportunities.
History
Energy Transfer Equity is only five years old. It was formed in September 2002 as La Grange Energy, L.P in Texas as a limited partnership. In February 2005 the company was renamed as Energy Transfer Company, L.P. The partnership was moved from Texas to Delaware in August 2005 and the name was changed once more to Energy Transfer Equity, L.P.
The company has grown significantly through mergers and acquisitions over the last few years. In 2004 the midstream transportation operations of La Grange Acquisition was combined with the retail propane operations of Heritage Propane Partners, L.P(a publicly traded company) to create the Energy Transfer Partners, L.P (ETP). ETP then acquired the TXU Fuel Company from TXU Corporation and renamed it as ET Fuel System. ETP completed the Bossier Pipeline known as East Texas Pipeline in June 2004. The Texas Chalk and Madison Systems were acquired from the Devon Energy Corporation in November 2004. The Houstan Pipeline System was purchased from the American Electric Power Corporation in January 2005. ETP also completed the Fort Worth Basin Pipeline in May 2005. This pipeline provides transportation for natural gas from central Texas to North Texas pipeline of the company.
The growth and acquisition era of the company resulted in the creation of an integrated natural gas transportation and storage system that networks the major gas producing areas in Texas to the metropolitan areas of the State, including Dallas, Houston, Austin and San Antonio. It also covers the major market hubs and interstate pipelines to other areas in the United States. ETP continues to look for growth opportunities and has earmarked an additional $560 million of capital for expansion in the next 12-24 months.
Guiding Principles
ETE strongly believes that the work environment is crucial in translating the core values of the organization into responsible service to the company and the community. It enjoins that every person employed in the company must be responsible for promoting a positive work environment and must contribute to the overall growth and success of the company and the community in which the company operates. Every employee must active with honesty and integrity and good faith. He must be responsible, take due care and exhibit competence and diligence in all his actions. He or she must not misrepresent or omit material facts and compromise independent judgment of others. In other words, he must adhere to the highest ethical standards on behalf of the company. He or she must not misuse information or other data on Energy Transfer’s competitors, employees, customers that would cause embarrassment to the company. They should not take any actions that are illegal, unethical and must not pirate, reproduce any information or software applications that are licensed to Energy Transfer.
Compliance with the laws, rules and regulations is sacrosanct to Energy Transfer Equity. It strongly believes that it must comply with all the applicable laws of the federal, state and local governments and rules and regulations of agencies having jurisdiction over the company and business activities. It is important to comply to the spirit and the letter of the law.
Languages
English
