Plains All American has reported an adjusted EBITDA of $497 million and say they remain cautious in the near term as a result of the impact of excess capacity.
The company’s third quarter 2015 results for its transportation segment show that profit increased by 7% over comparable 2014 results. This increase was due to higher crude oil pipeline volumes associated with its Cactus pipeline and other recently completed growth projects primarily within the Permian Basin and Eagle Ford producing regions.
For its facilities segment, profit decreased by 1% compared to 2014’s third quarter. This decline was primarily due to a less favourable Canadian dollar and a less favourable environment for both its rail and natural gas storage activities.
Greg Armstrong, chairman and CEO, says: ‘We remain constructive on the intermediate to long-term outlook for crude oil prices, activity levels, and PAA’s growth prospects. In the near term we remain caution due to the impacts of excess capacity and related competitive pressures, and our fourth quarter guidance reflects our most current view of the near term environment.’