Green Plains Partners LP Stock

Green Plains Partners LP provides fuel storage and transportation services by owning, operating, developing and acquiring ethanol and fuel storage facilities, terminals, transportation assets and other related assets and businesses. Green Plains Holdings LLC (Green Plains Trade) serves as the general partner of the company. The company is a subsidiary of Green Plains Inc. (the parent).

Assets and Operations

Ethanol Storage

The company's ethanol storage assets are the principal method of storing ethanol produced at its parent's ethanol production plants. Most of the company's parent's ethanol production plants are located near major rail lines. Ethanol can be distributed from its storage facilities to bulk terminals via truck, railcar or barge.

The company owns or leases 27 ethanol storage tanks and approximately 43 acres of land. The company's storage tanks are located at or near its parent's 11 ethanol plants in Illinois, Indiana, Iowa, Minnesota, Nebraska, and Tennessee.

The company's ethanol storage tanks have combined storage capacity of 25.1 million gallons (mmg) and aggregate throughput capacity sufficient to support its parent's annual production capacity of 958 mmg per year (mmgy). For the year ended December 31, 2022, the company's parent operated its ethanol production facilities at an average utilization rate of approximately 91%.

Terminal and Distribution Services

The company owns and operates two fuel terminals in Alabama and Mississippi with combined total storage capacity of approximately 6.7 mmg and access to major rail lines. The company also owns approximately five acres of land and lease approximately 29 acres of land where its fuel terminals are located. Ethanol and other products are transported to the company's terminals primarily by rail and shipped from its terminals by truck to third parties, including refiners, blenders and other obligated and non-obligated parties. For the year ended December 31, 2022, the aggregate throughput at these facilities was approximately 198.8 mmg.

Transportation and Delivery

The company's railcar volumetric capacity is used to transport product primarily from its ethanol storage facilities and third-party production facilities to fuel terminals, including its own, international export terminals and refineries located throughout the United States. As of December 31, 2022, the company's leased railcar fleet consisted of approximately 2,500 railcars with an aggregate capacity of 75.0 mmg. The company expects its railcar volumetric capacity to fluctuate over the normal course of business as its existing railcar leases expire and it enter into or acquire new railcar leases.

The company also owns and operates a fleet of 19 trucks and tankers that transport ethanol and other products.

Business Strategy

The key elements of the company's strategy are to growing organically; acquiring strategic assets; and developing downstream distribution services.

Seasonality

The company's business is directly affected by the supply and demand for ethanol and other fuels in the markets served by its assets. However, the effects of seasonality on the company's revenues are substantially mitigated through its fee-based commercial agreements with Green Plains Trade, which include minimum volume or take-or-pay capacity commitments.

Customers

Revenues from Green Plains Trade totaled approximately 95.0% of the company's total revenue during the year ended December 31, 2022.

History

Green Plains Partners LP, a master limited partnership, was founded in 2015. The company was incorporated in 2015.