LOOP LLC

Overview Key strengths Key risks Unique competitive position as the sole offshore oil port operator for deep-draft oil tankers Small scale and limited geographic diversification Ongoing debt repayment supportive of credit metrics Backwardation in crude oil prices could have an adverse impact on storage revenues Strategic importance to parents Shell Oil Co., Shell Pipeline Co. L.P., MPL Louisiana Holdings LLC, Marathon Petroleum Co. L.P., and Valero Terminaling and Distribution Co. Increased competition as other export facilities come online in late 2023 or 2024 In January 2022, the reversal of the Capline pipeline was completed, which should result in higher export volumes for Louisiana Offshore Oil Port LLC (LOOP). Furthermore, LOOP should benefit from increased drilling in the Gulf of Mexico

...We expect an increase in export volumes with the completion of Capline reversal, which is positive for the company in terms of volumes. In January 2022, the reversal of the Capline pipeline was completed, which should result in higher export volumes for Louisiana Offshore Oil Port LLC (LOOP). Furthermore, LOOP should benefit from increased drilling in the Gulf of Mexico (GOM) and, in general, higher take-away capacity from the Permian Basin. Offsetting this somewhat are lower...

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