Company: PAGP
Filing Date: 2025-05-09
Form Type: 10-Q
Source: 0001581990-25-000013
Chunk: 165

Company: PLAINS GP HOLDINGS LP
Filing Date: 2025-05-09
Form: 10-Q
Item: Part I, Item 2
Chunk 165
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 stored and fractionated into finished products and sold to customers. The commodity exposure associated with our merchant activities is governed by our risk management policies.

Generally, our segment results are impacted by (i) increases or decreases in our NGL sales volumes, (ii) volatility in commodity price differentials, primarily the differential between the price of natural gas and the extracted NGL (“frac spread”), as well as location differentials and time spreads, (iii) the quality and volume of natural gas transported on third-party assets through our Empress straddle plant and (iv) our share of the NGL received from a third-party straddle plant.

Our NGL operations are sensitive to weather-related demand, particularly during the approximate five-month peak heating season of November through March, and temperature differences from period-to-period may have a significant effect on NGL demand, and thus our financial performance, as well as the impact of comparative performance between financial reporting periods that bisect the five-month peak heating season.

The following tables set forth our operating results from our NGL segment:

Operating Results (1)Three Months EndedMarch 31,Variance(in millions)20252024$%Revenues$638 $507 $131 26 %Purchases and related costs(339)(346)7 2 %Field operating costs(76)(92)16 17 %Segment general and administrative expenses (2)(21)(23)2 9 %Other segment items (3):Derivative activities(10)122 (132)**Long-term inventory costing adjustments(3)(5)2 **Foreign currency revaluation— (4)4 **Segment Adjusted EBITDA$189 $159 $30 19 %Maintenance capital expenditures$10 $11 $(1)(9)%

 Three Months EndedMarch 31,VarianceAverage Volumes (in thousands of barrels per day) (4)20252024Volumes%NGL fractionation157 128 29 23 %NGL pipeline tariff234 214 20 9 %Propane and butane sales147 128 19 15 %

**    Indicates that variance as a percentage is not meaningful.

(1)Revenues and costs and expenses include intersegment amounts. 

(2)Segment general and administrative expenses reflect direct costs attributable to each segment and an allocation of other expenses to the segments. The proportional allocations by segment require judgment by management and are based on the business activities that