Anybody curious as to who got the money from the Texas Freeze and Skyrocketing Energy Costs?

[SlugSlinger]

Here’s one company. ET is the company that tries to steal Williams out of Tulsa of few years back. Kelcy Warren told the employees that the Tulsa office was going to close and they didn’t need any more headcount in Dallas. They have one of the most corrupt leadership teams in the energy business. I would put Kelcy on par with Bernie Ebers of Worldcom.

They realized $2,4B from the cold spell.


Energy Transfer scored $2.4B gain from Texas freeze, prompting guidance raise
May 06, 2021 5:28 PM ETEnergy Transfer LP (ET)By: Carl Surran, SA News Editor71 Comments

• Energy Transfer (NYSE:ET) +3.4%post-market after routing expectations for Q1 earnings and revenues, and distributable cash flow nearly triples from the prior-year quarter.
• Q1 adjusted EBITDA nearly doubled from a year ago to $5.04B and easily topped $2.72B analyst consensus estimate.
• Cash from operations was used to cut outstanding debt by $3.7B.
• Energy Transfer now expects to realize a $2.4B total impact from the Texas winter storm, prompting it to raise full-year adjusted EBITDA guidance to $12.9B-$13.3B from $10.6B-$11B.
• Q1 growth capital spending totaled $360M; the partnership expects to spend ~$1.6B on growth capital expenditures for the full year.

 

[wawazat]

I coudnt speak directly to the comparison to Ebers, but I can definitively say that they handle acquisitions MUCH better than Williams does. I went through a Williams acquisition and Mr. Armstrong is the most unlikable CEO I have ever had to sit in a meeting with. Legacy Access Midstream folks had our fingers crossed that the ETE deal would go through and a lot of us left when it didn't. I think most of it was part of a running tiff Alan and Kelcy have had since ETE outbid Williams on the SUG purchase.

I also have quite a few old coworkers that work for ETE now and I have also managed interconnects between our pipe and theirs for several years and the measurement side at least had more integrity than some other companies I've had to deal with.

Also keep in mind that midstream doesn't work anything like distribution when it comes to energy. Interconnect agreements are written for several years at a time and I have yet to read one that doesn't hinge on market value and most have a service minimum. I know a LOT of people fell on hard times with their utility bills, but I really dont think the midstream sector is to blame here. From what I have been able to find in articles and talking to friends, utility companies operate a lot differently in TX. There are lots of options for who to do business with for your electrical and a lot of people took what appeared to be the cheaper option to purchase energy at market price. They were making VERY uninformed decisions that are now biting them hard in the ass. I feel for them, but I also see it in the same vein as someone graduating with a degree in gender studies saying we should forgive their college debt because they cant pay their student loan now.