TEPPCO Partners Q2 2007 Earnings Call Transcript

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2007-07-27 05:47:09.0

Tags: TEPPCO Partners L.P.

Question-and-Answer Session

Operator

[Operator Instructions]

And we'll take our first question from Yves Siegel from Wachovia Securities.

Yves Siegel - Wachovia Securities

Yes. Thank you. Good morning, guys.

Jerry E. Thompson - President and Chief Executive Officer

Good morning, Yves.

Yves Siegel - Wachovia Securities

Could you just touch on the maintenance CapEx number? It looks like it moved up a little bit. Why it's moved up and looking out to 2008, if you will, what kind of maintenance CapEx do you think you'll see?

William G. Manias - Vice President and Chief Financial Officer

Well, I'll use this, Bill, it's been historically around $50 million and we're expecting it to be $50 million this year. On a calendar year basis, we saw pipeline integrity expenses go up a little bit and I think that's more a function of timing than anything else.

So we've completed our 5-year program this past year and we really are seeing pipeline integrity expenses on the whole go down. So I... $40 to $50 million going forward is probably a good run for us on a current asset base.

Yves Siegel - Wachovia Securities

Okay. So there is nothing unusual there?

William G. Manias - Vice President and Chief Financial Officer

No, nothing unusual.

Yves Siegel - Wachovia Securities

Okay. Could you also, the $9 million of EBITDA, the projects that Jerry mentioned are going to generate, what was the CapEx on those projects? You guys have that?

William G. Manias - Vice President and Chief Financial Officer

I'll have to add a few numbers up for you, Yves.

Yves Siegel - Wachovia Securities

Okay. And then, while you do that, Jerry, my last question, and you probably don't want to talk about it, but any color on future growth CapEx going forward? Do you still feel pretty comfortable that you can sort of bring home the magnitude of the projects that you've outlined before?

Jerry E. Thompson - President and Chief Executive Officer

Yes. That's a fair question, Yves, and of course I can't give you a direct answer to it, other than to say that we are continuing to work very aggressively on all of those projects. We're still very optimistic that we'll be able to bring those projects home. But discussions are still underway on those major projects.

To answer your first question, it was about $54 million worth of total capital associated with those projects.

 

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