Elliott Gue
Research analyst, dividend investing, oil & gas, master limited partnerships

Arc Logistics Partners: Near-Term Upside Catalysts, Longer-Term Questions

Arc Logistics Partners LP (NYSE: ARCX) went public on Nov. 5, raising about $114 million before fees.

The fledgling master limited partnership (MLP) owns 11 refined-product terminals that can store about 2.5 million barrels of petroleum products and three terminals in Alabama that can accommodate another 2.4 million barrels of crude oil and heavy refined products. These Gulf Coast assets include two rail transloading facilities that can handle about 23,000 barrels per day.

The weighted average term on the contracts covering this capacity hovers around three years, while the MLP's top 15 customers have an average of more than five years remaining on their agreements.

About 89 percent of Arc Logistics Partners' revenue comes from storage and throughput service

Join Seeking Alpha PRO to read this archived article and 11,574 other archived articles
IDEA GENERATORXExclusive access to 10 PRO ideas every day
INVESTING IDEAS LIBRARYXExclusive access to PRO library of more than 15,000 ideas
SECTOR EXPERT NETWORKXExclusive access to all sector experts for direct consultation
PERFORMANCE TRACKINGXTrack performance of all PRO stock ideas
PROFESSIONAL TOOLSXProfessional Idea Filters to zero-in based on industry, market cap and more
"In just the first month of using PRO, I used it to generate two ideas which were actionable for me. As a result of these two positions, I have earned more than 20 times the annual subscription costs for PRO."Michael Yagemann, Greenbridge Capital
"I am pleasantly surprised with the scope of small and mid-cap coverage PRO offers. You can't find that any where else."Patrick Rice, Mainstay Capital Management
You may cancel at any time for any reason, and receive a prompt refund for membership on months paid and not used (max. 6 months). Details