Account Information

  • My Account

    Manage all your subscriptions, update your address, email preferences and change your password.

  • Help Center

    Get answers to common service questions, ask the analyst or contact our customer service department.

  • My Stock Talk Profile

    Update your stock talk name and/or picture.


How To Collect Your Share of My Million Dollar Giveaway

How To Collect Your Share of My Million Dollar GiveawayWe recently kicked off the most outrageous initiative in the history of investment research. It’s called the Income Millionaire Project. And the goal is simple: create 1,000 income millionaires. That’s a $1 billion goal! No one has ever tried it before, but that doesn’t bother me. I’m so sure you can use this program to make a million bucks… I’ll pay you $1,000 to start your journey. Go here for details.


An Overflow of News on Pipelines

By Robert Rapier on February 2, 2017

There has been a lot of news in the world of pipelines over the past week. Here were some of the major news stories.

Movement on Dakota Access

Last week President Trump signed a directive designed to speed up approval of the stalled Dakota Access Pipeline (DAPL). Among other things the directive instructed the Secretary of the Army to consider rescinding a December memorandum by the Assistant Secretary of the Army that voided a previously issued environmental assessment (EA). The December memorandum called for studying additional pipeline routes, stalling the project.  

Pipeline protesters celebrated this as a victory at the time, but I have argued repeatedly that the Obama Administration overreached in this case. The previous EA by the Army Corps of Engineers had been issued with a “Finding of No Significant Impact” from construction of the pipeline. It seemed likely this would be one of the first issues addressed by the Trump Administration.

Last week’s directive helped propel the entire MLP sector to strong gains on the week. In fact, 25 MLPs had gains of at least 5% last week as the move was a clear indication that the new administration would be more supportive of pipeline projects. Units of Energy Transfer Partners (NYSE: ETP) — the pipeline’s principal backer — have rallied by 9% since the beginning of last week.  

This week Sen. John Hoeven, R-N.D., said that the acting Secretary of the Army has directed the Corps to “proceed with the easement.” The Department of the Army acknowledged the directive, but said that it would continue to accept public comments through Feb. 20 for an environmental impact assessment.

Oneok Rolls Up Its Partners

In other news, units of the Oneok Partners (NYSE: OKS) master limited partnership surged more than 20% on an announcement that its general partner ONEOK (NYSE: OKE) would acquire all units that it does not currently own for $9.3 billion in ONEOK stock. Each outstanding common unit of ONEOK Partners that ONEOK does not already own will be converted into .985 shares of ONEOK common stock, representing a 22.4% premium based on the Jan. 27 closing prices of the two securities.

The stated reasons for the merger were a lower cost of funding with elimination of incentive distribution rights, improved capital markets access and enhanced dividend growth. The deal is expected to lift ONEOK’s distributable cash flow by more than 10% from 2018 through 2021.

Enbridge MLP Punished

After Enbridge (NYSE, TSX: ENB) closes its acquisition of Spectra Energy (NYSE: SE), likely this quarter, it will be the largest energy infrastructure company in North America. The corporate structure promises to become more complex since each company has multiple affiliated MLPs.

Enbridge’s principal U.S. affiliate, the Enbridge Energy Partners (NYSE: EEP) MLP, took a step toward simplifying its structure last Friday when it announced that it would acquire the affiliated Midcoast Energy Partners (NYSE: MEP). At the same time EEP warned that its distributable cash flow this year will be down 13% from last year at the midpoint of the respective guidance ranges, blaming lower gas gathering volumes and margins and reduced crude gathering as a result of the drilling slowdown.

Despite the news from Enbridge, 2017 looks bright for pipeline operators. Consider subscribing to MLP Profits for actionable investment advice on this high-yielding, tax-advantaged sector.

(Follow Robert Rapier on Twitter, LinkedIn, or Facebook.)


You might also enjoy…


Here’s What’s Really Going to Crush the Market

Most folks understand the basic concept of inflation… things cost more money. But tragically, most don’t understand the real implications of what it means for their financial future. 

Or just how dangerous it’s becoming right now. Today.

And there are two reasons for that…

First, the U.S. government’s calculations barely take into account two of the things you and I are paying more and more for every day: energy and food.

Second, since inflation really hasn’t been an issue for the past 30 years here in the U.S., most analysts won’t dare to say it’s on the rise because they’ll suffer professionally. 

But I’ve made a name for myself by always saying what needs to be said. Which is why I’ve prepared a new special report that’ll give you simple instructions on how to protect yourself from the coming storm.

And better still…

It gives you the full story on the six types of investments that are destined to soar 275%… 375%… even up to 575% over the next few years as the winds of inflation flatten the U.S. economy.

You can get your free copy here.

Stock Talk — Post a comment Comment Guidelines

Our Stock Talk section is reserved for productive dialogue pertaining to the content and portfolio recommendations of this service. We reserve the right to remove any comments we feel do not benefit other readers. If you have a general investment comment not related to this article, please post to our Stock Talk page. If you have a personal question about your subscription or need technical help, please contact our customer service team. And if you have any success stories to share with our analysts, they’re always happy to hear them. Note that we may use your kind words in our promotional materials. Thank you.

You must be logged in to post to Stock Talk OR create an account.

Create a new Investing Daily account

  • - OR -

* Investing Daily will use any information you provide in a manner consistent with our Privacy Policy. Your email address is used for account verification and will remain private.