1. business and industrial
2. energy
3. natural gas

NAPTP Conference
May 2015
Forward Looking Statements
This presentation includes “forward looking statements” within the meaning of federal securities laws. All statements, other
than statements of historical fact, included in this presentation are forward looking statements, including statements
regarding the Partnership’s future results of operations or ability to generate income or cash flow, make acquisitions, or
make distributions to unitholders. Words such as “anticipate,” “project,” “expect,” “plan,” “goal,” “forecast,” “intend,” “could,”
“believe,” “may” and similar expressions and statements are intended to identify forward-looking statements. Although
management believes that the expectations on which such forward-looking statements are based are reasonable, neither
the Partnership nor its general partner can give assurances that such expectations will prove to be correct. Forward
looking statements rely on assumptions concerning future events and are subject to a number of uncertainties, factors and
risks, many of which are outside of management’s ability to control or predict. If one or more of these risks or uncertainties
materialize, or if underlying assumptions prove incorrect, the Partnership’s actual results may vary materially from those
anticipated, estimated, projected or expected.
Additional information concerning these and other factors that could impact the Partnership can be found in Part I, Item 1A,
“Risk Factors” of the Partnership’s Annual Report on Form 10-K for the year ended March 31, 2014 and in the other reports
it files from time to time with the Securities and Exchange Commission.
Readers are cautioned not to place undue reliance on any forward-looking statements contained in this presentation, which
reflect management’s opinions only as of the date hereof. Except as required by law, the Partnership undertakes no
obligation to revise or publicly update any forward-looking statement.
2
Section II
Overview of NGL Energy Partners
3
Overview of NGL
Business Description
NGL
Water
Solutions
Exposure to :
Benefits from:
Crude
Logistics
Midstream/Upstream Midstream
Higher prices
Higher prices
Liquids
Retail
Propane
Midstream
Retail
Lower prices
Wholesale/Retail
Lower prices
Lower prices
Segment Contribution
Fiscal 2016
Fiscal 2015
Refined
Products/
Renewables
16%
Retail
Propane
19%
Liquids
20%
Crude
Logistics
15%
Water
Solutions
28%
Refined
Products/
Renewables
16%
Liquids
17%
Retail
Propane
15%
Crude
Logistics
26%
Water
Solutions
26%
4
NGL Energy Partners
1. NGL is a diversified midstream MLP that provides multiple services to
Adjusted EBITDA Growth Over Time
producers and end-users

$500+
Transportation, storage, blending and marketing of crude oil and natural gas
$ 425+
liquids for producers

Water Solutions for producers

Transportation, storage, terminaling and marketing of Refined Products/
$ 271
Renewables and Retail Propane to end users
$ 184
2. Vertical integration enables NGL to be the full service provider

Crude oil from wellhead to refinery

Produced/ Flowback water from wellhead to disposal, recycle or discharge

NGL’s from fractionator/refinery/hubs to propane, butane and commercial
end-users, including retail propane distribution

Refined Fuels/ Renewables from refinery to pipeline and terminals to
$ 24
IPO
2013
2014
FY 2015E
FY 2016P
(May 2011)
(3/31/13)
(3/31/14)
(3/31/15)
(3/31/16)
 Fiscal 2015 Projected EBITDA
$425mm* or greater
wholesalers / retailers
 Fiscal 2016 Projected EBITDA
greater than $500mm
* Excluding one-time acquisition costs
5
NGL Energy Partners
3. Natural Hedges between segments minimizes commodity price risk
–
Water disposal vs. Crude storage
–
Midstream/Upstream vs. Downstream/Retail
4. Approximately 45% fee based business, on target to exceed 60% fee based business by 2017
5. Successful Track Record of Growth Projects
–
6.
7.
>$3.5 billion in Acquisitions and organic growth projects since IPO
Consistent Distribution Growth
–
114% CAGR EBITDA growth from EBITDA of $24 million at IPO to $500 million or greater in Fiscal 2016
–
Distribution Growth of 85% since IPO
–
14 consecutive quarters of Distribution Growth
Significant Insider ownership
–
LP Ownership >11%
–
GP Ownership >59%
6
NGL Has a Proven Track Record of Successful Growth
 Since NGL's IPO in May 2011, NGL has consumated and integrated more than 40 acquisitions
 Distribution growth of 6% - 8%
Key Growth Metrics and Performance
Market Cap ($mm)
Distribution Per Unit ($)
0.59
0.45
0.46
0.48
0.49
0.51
0.53
0.61
0.62
$3,213
0.63
0.55
0.41
0.34
0.35
0.36
$1,442
0.17
MQD at
IPO
2Q12
3Q12
(1)
4Q12
1Q13
2Q13
3Q13
$30.22 Share price as of 5/19/15
4Q13
1Q14
2Q14
3Q14
4Q14
1Q15
2Q15
3Q15
4Q15
3/31/2013
Current
(1)
7
Financial stability while executing growth
1,600
5x

1,400
4x
Thousands
1,200
1,000
3.20
2.98
800
3.18
3x
2.91
2x
600
Equity Issuances
–
$300 million public offering (July-13)
–
$135 million public offering (Sept-13)
–
$240 million private placement (Nov-13)
–
$400 million public offering (June-14)
–
$170 million public offering (Mar-15)
400
1x
200

-
x
2011
2012
2013
Total
Acquisitions
&
2011
2.98
2.91 3.20 3.18
2014
2015
2011
2.91
Debt2.98
Leverage
Growth Capex

Debt Issuances
–
$250 million of secured (June-12)
–
$450 million of unsecured (Oct-13)
–
$400 million of unsecured (June-14)
Distribution Increase from $1.30 to $2.50
per common unit
8
NGL Value Proposition
10.0%
NGL
9.0%
LQA Yield
8.0%
7.0%
OKS
WPT
QEPM
ETP
GLP
WPZ
HEP
BKEP
SMLP
EEP BPL
6.0%
PAA
PBFX
MWE
5.0%
GEL
TCP
SEP
EPD
4.0%
3.0%
2.0%
4.0%
6.0%
8.0%
10.0%
12.0%
14.0%
Future Distribution Growth Guidance
Sources: Company filings, Wall Street Research and FactSet (market data as of 4/15/2015)
9
Section II
Asset & Geographic
Diversification
10
Diversified Across Multiple Businesses
and Producing Basins
NGL’s operations are geographically and operationally diversified




Significant presence in the most economic oil and natural gas shale plays in the country
Coast-to-coast terminals and Retail Propane locations
Various segments create a natural hedge against commodity prices
Bakken
Shale
Marcellus
Shale
Green River
Basin
Pinedale Anticline
DJ
Basin
Jonah Field
Niobrara Shale
NGL
Assets and marketing presence
Refinery terminal
NGL leased storage
Wattenberg Field
Mississippi Lime
Granite Wash
NGL proprietary terminal
Natural gas liquids segment
Permian
Basin
Railcar NGL terminal
Common carrier pipeline
Crude operational area
Crude barge terminal
NGL proprietary crude storage
Eagle Ford
NGL proprietary crude pipeline
Crude Marine
Water Services
Retail Propane
11
RefinedII Products / Renewables - Area of Operations
Section
Mid Continent Terminals
12
Significant Operational Diversity
Crude Logistics
Description
Region
Cash Flow
Characteristics
Water Solutions
NGL Liquids
Retail
Refined Products/
Renewables
 Purchase and
transport crude oil
from wellhead to
refinery
 Own and operate
storage, pipelines,
terminals, barge,
rail and truck
logistics assets
 Treatment of oil and
gas wastewater
 Water disposal
 Innovative (patented
technology)
 Solids Processing
 Transport,
handle, store
NGLs
 Own assets
across value
chain
 Distribute propane /
distillates to
residential, industrial,
and commercial
customers
 Own assets
 90% tank ownership
 Purchase and transport
refined products from refinery
to rack
 Own and operate pipelines
and terminals
 Mid-continent
 Eagle Ford /
Permian
 Rockies
 Gulf Coast








 Coast to Coast
 Canada
 Midwest
 Northeast
 Pacific Northwest
 Coast to Coast
 Terminals located in East and
S/E region of U.S.
 Fee-based pipeline,
storage, terminals
and assets
 Margin-based
logistics
 Back-to-back
contracts
 Fee-based
 Take-or-pay /
acreage dedication
contracts
 Strong customer base
 Fee-based /
Cost Plus
 Back-to-back
contracts
 Margin-based
 Utility residential
model
 Weather-sensitive
 Minimum throughput
contracts
 Fixed margin contract
business
 Back-to-back contracts
Anticline (WY)
DJ Basin (CO)
Eagle Ford (TX)
Permian (TX)
Granite Wash (TX)
Bakken (ND)
Delaware (TX)
Eaglebine (TX)
13
Section II
Operating Segments
14
Crude Logistics
Area of Operation
Segment Operations






Purchases and transports crude oil
for resale to a pipeline injection
point, storage terminal, barge
loading facility, rail facility, refinery or
trade hub
Bakken
Shale
Strategically deployed railcar fleet,
tows, barges and trucks provide
access to multiple customers and
markets, allowing NGL to bring the
right crude oil to the right market
DJ
Basin
Niobrara
Shale
Wattenberg Field
Maximizes value of crude oil
gathered through proprietary linear
programming model
Reduces exposure to price
fluctuations by using back-to-back
contractual agreements
Purchase from >6,200 active lease
locations representing >600
producers
Current volumes of ~275,000
bbls/day
Mississippi Lime
Granite
Wash
Permian
Basin
Crude Oil Logistics
Crude operational area
Crude oil segment
Crude barge terminal
NGL proprietary crude storage
NGL proprietary crude pipeline
Crude Barges
Eagle
Ford
NGL Crude Pipeline
15
Crude Logistics
Asset Overview
 7.5 MMbbls of storage in Cushing (3.4MMbbls leased)
 5 Gulf Coast terminals with aggregate capacity of ~850 Mbbls
Terminals
 Port of Catoosa, Oklahoma - storage services; truck and rail trans-loading to barges with
access to Gulf Coast; 140Mbbls storage capacity
 7 truck terminals and 50+ LACT units
Rail
Barges
 ~1,100 GP railcars leased or owned
 Railcars provide optionality to markets via company and third-party facilities
 Own 9 tows, 21 barges, 20-25Mbbls per barge capacity
 Lease additional 2 tows and 6 barges
 100% interest in Grand Mesa Pipeline; ~220MMBPD capacity
Pipelines
 50% interest in Glass Mountain Pipeline; ~147MMBPD capacity
 Ship on 21 common carrier pipelines
 Utilize historical shipper space on 11 prorated pipelines
 >300 owned trucks and >300 trailers
Trucks
 Additional ~100 trucks on committed lease
 Moving Company first-purchased barrels and fee-based hauling for third parties
16
NGL Cushing Storage and Connectivity


The Cushing Terminal has superior
connectivity to supply and sales
markets

Enterprise (NYMEX delivery
point with access to
Seaway)

SemCrude (with assets to
BKEP)

Plains

Magellan

Pony Express via
Deeprock/Kinder Morgan
Terminal

Coffeyville Cushing Terminal

Glass Mountain Pipeline

TransCanada Marketlink
Terminal

Future Grand Mesa Pipeline
14,000 bbl per hour pumping
capacity
17
Grand Mesa Pipeline

Project scope:
– ~558 mile long pipeline capable of handling unique crude grades in batches
–
Construction costs fixed at $655 million over the course of the project plus $15 million for storage at Cushing
–
Annual EBITDA, backed by long-term contracts, is expected to be at least $150 million in year 1
–
2 collection stations in Northeast Colorado (Lucerne and Kersey) with dedicated storage
–
Destination is NGL’s Cushing Terminal which provides access to key Midcontinent and Texas Gulf Coast refinery
markets
–
Completion projected to be third quarter - 2016
18
Glass Mountain Pipeline

Asset scope:
– The pipeline consists of two, 12” laterals and an 18” mainline totaling 211 miles
–
3 main pump station sites at Arnett, Alva and Ruby
–
50% interest in Glass Mountain Pipeline
–
~147MMbbls/d capacity
–
Destination is NGL’s Cushing Terminal which provides access to key Midcontinent and Texas Gulf Coast refinery
markets
Cleo Springs
Cleo Station”
Springs
“Ruby
“Ruby Station”
Alva
Arnett
Arnett
Cleo Springs
“Ruby Station”
Cushing
Arnett
19
Water Solutions
Overview
Area of Operation
Segment Operations


Provides services for the
treatment, processing, and
disposal of wastewater, and solids
generated from oil and natural gas
production
Revenue streams from the
disposal of wastewater, solids,
water pipelines, and recovered
hydrocarbons

Over 1 million bpd of total capacity

Significant Geographic
diversification in the basins with
the most attractive returns

Provides high technology solution
where necessary. Has highly
advanced technology and
commits $2.0-$3.0 million annually
on R&D
Bakken
Shale
Pinedale Anticline
DJ
Basin
Jonah Field
Niobrara
Shale
Wattenberg
Field
Granite
Wash
Delaware
Basin
Water Solutions
Operational Area
Permian
Basin
Eagle
Ford
Eaglebine
Water Services
20
Water Treatment and Processing
Operational Model
 Treatment and Disposal
– Company-owned disposal facilities provide producers affordable well-disposal of wastewater generated from oil
and natural gas production and drilling activities
– Water treatment process separates solids and hydrocarbons from water prior to disposal
– 24 x 7 operations, truck bay loading/unloading
– Certain facilities are pipeline connected, providing stronger customer relationship with the producers
– Proprietary well maintenance programs enhance injection-rates and service lives of the wells
 Solids Processing
– Significant new revenue stream through installation of supplemental equipment at existing salt water disposal
facilities
– Provides producers with in-field disposal alternative for Gels, High Solids Content Water, Water and Oil based
Mud, and Tank Bottoms generated from oil and natural gas production and drilling activities
– Generates attractive margin per barrel for NGL while providing substantial cost savings to producers through
reduced transportation and landfill disposal costs
– 24 x 7 operations, truck bay unloading
 Discharge Water
– Multi-patented 14-step water treatment process
– Cleans water to a better than drinking water quality
– Continued R&D investments to employ latest technologies in various basins
21
Water Solutions
Facility locations


Daily Disposal Capacities
–
Bakken 40 MBPD
–
DJ 140 MBPD
–
Granite Wash 52 MBPD
–
Permian 390 MBPD
–
Eagle Ford 330 MBPD
Daily Recycle Capacities
–
Pinedale 60 MBPD
–
DJ 20 MBPD
22
Liquids
Overview
Area of Operation
PHILADELPHIA
23
Liquids
Terminals and Wholesale Supply & Marketing Segment

21 terminals serving over 400 customers
–
17 terminals with rail loading capability
–
13 multi-product terminals
–
13 pipe-connected terminals

12 million gallons of above ground storage

> 3.8 million barrels of leased underground storage

Automated truck loading and unloading facilities
operating 24 hours a day

Over 900 wholesale customers in 47 states

Approximately 85,000 Bbls/d of propane sold
–
~33% of which goes through proprietary terminals
–
Includes 250 million of pre-sold propane gallons at a
fixed price with a locked-in margin

Shipper on 5 common carrier pipelines

Underground storage facility in Delta, UT

Capacity of up to 10 million barrels by end of
2017

Rail and truck loading and unloading

Storage capacity leased to customers on
multiyear basis
Railcar Segment

Transports and markets NGLs to and from refiners,
gas processors, propane wholesalers, proprietary
terminals, petrochemical plants, diluent markets and
other merchant users of NGLs

Service offered in each of the lower 48 states and
Canada

Utilizes terminal storage to take advantage of
seasonal demand

Purchase-and-sale transactions are entered primarily
on a back-to-back basis

Average volumes of ~50,000 Bbls/d from more than
100 customers

Majority of liquids sold are butane and propane

~ 4,000 leased high pressure railcars; ~700 GP
railcars
24
Sawtooth NGL Caverns

Currently developing the largest
underground liquids storage facility
in the Western U.S.

Sawtooth will hold more than
10mmbbls of Natural Gas Liquids
in 8 caverns.

Sawtooth is 100% fee-based and
contracted business.

Sawtooth’s expansions will be
substantially contracted by the time
they come online.
25
RefinedII Products - Contracted
Section
Mid Continent Terminals
26
Refined Products – Rack/Just-in-time
 Refined fuels markets and sales volume
27
Refined Products
Refined Product – Rack/Just-in-time

Market refined products at the rack to wholesale
Refined Product - Contracted

resellers and end users in the spot market
Market refined products at the rack to contracted
customers

188 terminals with sales in 37 states

7.35 million gallons of leased above ground storage

Automated truck loading and unloading facilities

Approx. 2.2 billion gallons of storage capacity
operating 24 hours a day

Automated truck loading and unloading facilities

48 terminals with sales in 17 states
–
18 water borne terminals

Approximately 500 customers

Approximately 75,000 Bbls/d of distillates and

Approximately 500 customers
gasoline sales

Approximately 120,000 Bbls/d of distillates and

Rack sales through common carrier pipeline terminals

Large shipper on Colonial and Plantation pipelines
operating 24 hours a day
gasoline sales

80% of volumes are contracted
28
Collins Complex
 Pipeline Connections
 Receipt, storage and
injection to/from Colonial
and Plantation Pipelines
 Storage Facilities
 3.9 mm bbls working
capacity
 Commodities Handled
 Petroleum Products
 Gasoline
 Distillates
 Butane Blending
 Collins Storage Opportunity
 Construct an additional
1MM barrels of light
product storage
Purvis Terminal
Collins Terminal
Collins Rail Terminal
29
Bostco Terminal
 Bostco is a newly constructed black oil terminal in the Houston Ship Channel with approximately 7.1 million
barrels of capacity
 TLP owns 42.5% of Bostco and Kinder Morgan owns 55%
 Permitted for four
deepwater ship docks,
with 45 feet of draft
− Each dock can
handle two ships
(Aframax, Panamax
or ocean-going
barges)
 Product handled
−
−
−
−
Residual Fuel Oil
VGO
Blend Stocks
Distillate
30
Brownsville Terminal
 Pipeline Connections
 Valley Pipeline,
MB Pipeline,
Diamondback
Pipeline
 Marine Facilities
 Five Oil Docks
(Port of
Brownsville)
 Storage Facilities
 2.1 mm bbls
working capacity
 Rail Facilities
 300 total spots
 100 offloading
spots
 Truck Facilities
 17 Loading Racks
(30 lanes)
 Top/Bottom
loading
 Metered/scales
 Opportunity for blending products, Rail Connectivity, Deep Water dock , Room to
construct unit train facility, Storage Expansion
31
Retail Propane
Overview
Area of Operation
Segment Operations

Sell propane and petroleum distillates to
end-users consisting of residential,
agricultural, commercial and industrial
customers

Geographic diversity mitigates weather
risk

Less volatility from warm weather as
margins increase when demand falls
and vice versa

Liquids Logistics segment provides 75%
of Retail Propane segment demand

Cost plus margins allow immediate
pass-through of wholesale price
increases

The Retail Propane business is
seasonal
 ~70% of retail propane volume is sold
during the peak heating season from
October through March

Retail Propane
Operational Area
Focus on residential customers, high
tank ownership and customer retention
32
Retail Propane
What Sets Us Apart
Geographic Focus
Customer Base
Retention
Leverage Acquisition
Brand Names
Empower Local
Management
 Operational focus on regions with the highest number of degree days – North East, Upper Midwest
and Pacific NW
 In warmer weather, gross margins temporarily expand to recoup a portion of revenues lost to
volume declines
 Retain and grow customer base by pricing product competitive with other regional retailers

Acquisition model assumes independent / “mom-and-pop” margins continue
 Retain local brand - no change to uniforms, invoices, signs or trucks
 Ownership change is seamless to customers while simultaneously saving on capital expenditures
and expenses
 Decisions regarding pricing, advertising, vehicles and other expenses are made at the regional and
district levels
 Fosters swift decision making by leadership attuned to the local or regional market
 Daily price changes at supply points are communicated to local management
 Efforts are made to retain employees of acquired businesses
Employee Retention
Quickly Implement
Operational
Improvements
 Aides in preservation of customer relationships, safeguarding knowledge of local market dynamics,
and prevents the creation of ex-employees investing in competitive propane assets
▪ History of successful acquisitions with demonstrated track record of improving profitability through
operational efficiencies, not margin enhancement

Improved vehicle routing, consolidated back office functions, less expensive insurance, etc.
33
Visibility to $1 billion EBITDA and two-thirds fee based by 2018
Projected Segment Contribution
EBITDA
(in MM's)
NGL Fiscal 2016 Guidance
Current Internal Growth Projects:
Grand Mesa Pipeline, Sawtooth
Other
Future Acq. & Internal Growth Capex:
2018
$

500
180
70
2 billion @ 8x
Total
Refined
Products/
Renewables
19%
Liquids
13%
Crude
Logistics
37%
Water
Solutions
22%
250
$
Retail
Propane
9%
1,000
Maintain a consistent cash distribution policy that
complements our acquisition and organic growth
opportunities

~65% fee based business

Long term Contracts
34
Conclusion and Key Takeaways


Compelling investment opportunity with attractive combination of yield and growth
–
Distribution growth guidance of 6% - 8%
–
85% per unit distribution increase since IPO
Five business segments provide multiple growth platforms
–
Brings strategic acquisitions that are accretive
–
Substantial highly accretive organic growth projects

Diverse geographic and operational footprint reduces risk

Natural Hedge between business segments reduces volatility

Increasing Fee based business

Disciplined credit profile and sufficient liquidity to run business and execute growth
objectives

Experienced, management team with substantial equity ownership
35