Delivery
Often, upon receipt of propane at pipeline, rail and marine terminals
,
product is delivered to customer
trucks or is stored in tanks located at the terminals or in off-site bulk storage facilities for future delivery to
customers. Most terminals and storage facilities have a tanker truck loading facility commonly referred to as a
“rack.” Typically independent retailers will rely on independent trucking companies to pick up propane at the
propane wholesalers’ rack and transport it to the retailer at its location.
OUR OPERATING SEGMENTS
Natural Gas Services Segment
General
Our Natural Gas Services segment consists of a geographically diverse complement of assets and
ownership interests that provide a varying array of wellhead to market services for our producer customers.
These services include gathering, compressing, treating, processing, transporting and storing natural gas;
however, we do not offer all services at every location. These assets are positioned in areas with active drilling
programs and opportunities for both organic growth and readily integrated acquisitions. Our Natural Gas
Services Segment operates in seven states in the continental United States: Arkansas, Colorado, Louisiana,
Michigan, Oklahoma, Texas and Wyoming. The assets in these states include our Northern Louisiana system
(including the Minden, Ada and Pelico systems), our Southern Oklahoma system (Lindsay system), our 40%
limited liability company interest in the Discovery system located off and onshore in Southern Louisiana, our
East Texas system (in which we acquired the remaining 49.9% interest that we did not previously own from
DCP Midstream, LLC in January 2012), our 75% operating interest in our Colorado system (Collbran system),
our Wyoming system (Douglas system), our Michigan system, and our 33.33% equity interest in the Southeast
Texas system. This geographic diversity helps to mitigate our natural gas supply risk in that we are not tied to
one natural gas resource type or producing area. We believe our current geographic mix of assets will be an
important factor for maintaining overall volumes and cash flow for this segment.
Our Natural Gas Services segment consists of approximately 5,300 miles of pipe, eleven processing plants,
five treating plants, one natural gas storage facility and two NGL fractionation facilities. The eleven processing
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