Replies to post #81 on Delek Logistics Partners (DKL)

[pete807]

As we expected regarding logistic pieces of ALDW here are the details from The DKL CC:

The drop down of logistics assets from Delek US Big Spring refinery is expected to close in March with an effective date of March 1. These assets consist of storage tanks and terminals. In addition, a new marketing agreement would be entered into between Delek and Delek Logistics for projects for Delek at Big Spring.

The annual expected EBITDA from these assets is approximately $40.2 million. The purchase price is approximately $315 million and will be paid with cash on hand and borrowings on our revolver.

We continue to focus on creating long-term value for our unit holders and believe that the joint venture, proposed Big Spring drop down and growth initiative should continue to support our annual distribution growth per limited partner unit of at least 10% through 2019, while maintaining good distribution coverage.

[pete807]

I have been posting caution here due to low volume. 4000 units traded today means poor liquidity for our positions. Wait for volume to improve if you want to add. The company says they are moving.. Their stock says show me! Dow down 500 now.

DKL -$1 or -3% General market correction drags even the best down with it.

DKL is currently in the never mind pile.