Alon USA Partners, LP (ALDW)

[Alpine600]

I looked through the conference call notes on Seeking Alpha sit:

- Q1 output was a record 78k barrels/day. This will fall to 73k in Q2 as there's a 10 day shutdown of FCC unit for maintenance. Expected 2017 volumes to average $75k

- Management encouraged by widening discounts in WTI Midland and WTS relative to WTI Cushing in Q2. Thinks Midland Cushing differential can move out to $1.50 while forward curve remains similar to today's levels.

- Strong wholesale marketing environment, particularly for diesel as drilling picks up in Permian. Additional pipelines to be built but tough to gauge timing. Management sees real demand in market

- Lower RINs than in Q4

- Based on operating plan, they state they should generate sufficient cash for Q2 distribution

- Management approved $14m investment to progress several capital growth projects at Big Spring. Expected to complete in next 2 years with less than 2 year payback on investment

- Merger with Delek expected to close on or around July 1st


Looking forward to the next 3-6 months!