EnLink Midstream, LLC (ENLC): Business Model Canvas [Dec-2025 Updated]

You're looking at the newly integrated EnLink Midstream, LLC (ENLC) business, which is now fully baked into ONEOK as of early 2025, and honestly, you need to see the engine under the hood. Forget high-level press releases; this Business Model Canvas distills exactly how ENLC's extensive natural gas and NGL infrastructure-spanning the Permian to the Gulf Coast-is engineered to drive value, especially as it feeds into ONEOK's expected $8.225 billion Adjusted EBITDA midpoint for 2025. As someone who's spent two decades mapping these complex assets, I can tell you the real story is in the fee-based contracts and the strategic pivot to carbon capture, so keep reading to see the nine critical components defining this midstream powerhouse.

EnLink Midstream, LLC (ENLC) - Canvas Business Model: Key Partnerships

You're looking at the core relationships that make EnLink Midstream, LLC's (now fully integrated into ONEOK, Inc.) operations tick, especially as of late 2025. These aren't just handshake deals; these are multi-year contracts and equity stakes that underpin billions in infrastructure.

ONEOK, Inc. (OKE) as the parent company and strategic integrator

The most significant partnership is the full integration of EnLink Midstream into ONEOK, Inc., which closed on January 31, 2025. This move was preceded by ONEOK acquiring a 43% interest in EnLink Midstream from Global Infrastructure Partners (GIP) for approximately $3.3 billion in cash. ONEOK expects to realize annual synergies between $250 million and $450 million from the combined EnLink and Medallion acquisitions within three years. For context, ONEOK's 2025 adjusted EBITDA guidance, which now includes a full year of EnLink, targets a midpoint of $8.225 billion. As part of this realignment, ONEOK divested three interstate natural gas systems to DT Midstream for $1.2 billion in cash.

Major Exploration & Production (E&P) companies in the Permian and Oklahoma

The acquired EnLink assets significantly expand ONEOK's footprint, directly serving E&P partners in premier basins. These assets include 1.7 billion cubic feet per day (Bcf/d) of gas processing capacity in the Permian Basin and 1.6 million barrels per day (BBL/d) of crude gathering capacity there. The integration also bolsters the platform in Oklahoma, where EnLink's operations are directly connected to ONEOK's NGL pipelines leading to Mont Belvieu. The Louisiana assets, now under ONEOK, include 3,100 miles of natural gas transmission lines with 4 Bcf/d of capacity.

Joint venture partners like ExxonMobil (CCS) and others

EnLink Midstream has established itself as a key transporter for Carbon Capture and Sequestration (CCS) projects, forming critical alliances. For instance, ExxonMobil signed a 25-year agreement for CO2 transportation starting in 2025. ExxonMobil initially reserved capacity for 3.2 Mtpa (Million metric tons per annum), with potential to move up to 10 Mtpa. Separately, the commercial CCS project with BKV Corporation in the Barnett Shale is forecasted to sequester up to 210,000 metric tons of CO2-equivalent emissions per year. Furthermore, EnLink holds a 50% interest in the Ascension JV with Marathon Petroleum Corporation.

The Matterhorn Express Pipeline is a prime example of a complex, multi-party infrastructure partnership, designed to move gas from the Permian Basin to the Katy area near Houston. It started operations in November 2024 with a capacity of 2.5 billion cubic feet per day (Bcf/d). Here's the ownership breakdown of the Matterhorn JV as of May 2025:

LNG export facilities and industrial end-users on the Gulf Coast

The strategic location of EnLink's assets, now integrated with ONEOK, targets high-growth demand centers along the Gulf Coast. These partnerships are driven by the need to connect Permian and Mid-Continent supply to key markets, including those supporting LNG export terminals, power generation for data centers, and emerging ammonia and hydrogen facilities. The Matterhorn pipeline itself terminates near Houston, directly serving these Gulf Coast demand centers.

Pipeline operators for interconnections and transportation (e.g., Matterhorn JV)

Interconnectivity with other major systems is crucial for flow assurance. The Matterhorn JV is a key example of this, but EnLink also previously held a 50% interest in the Ascension JV, which connects to Marathon Petroleum Corporation's Garyville refinery via an NGL pipeline. The ability to move CO2 via repurposed natural gas pipelines, as seen in the CCS projects, also relies on interconnection agreements with other pipeline operators.

Finance: draft Q4 2025 synergy realization report by next Tuesday.

EnLink Midstream, LLC (ENLC) - Canvas Business Model: Key Activities

You're looking at the core operations of EnLink Midstream, LLC, now fully integrated into ONEOK as of January 31, 2025. The key activities revolve around moving and treating hydrocarbons and, increasingly, capturing carbon dioxide.

Natural gas gathering, processing, and transmission operations remain central. For the full year 2025, ONEOK guides for natural gas processed across its system (which includes EnLink's assets) to be in the range of 5,420 to 6,160 MMcf/d. Specifically, the inherited ENLC-East Johnson system in the Barnett Shale is moving approximately 50 MMcf/d on average in 2025. The business is heavily fee-based; ONEOK noted that its overall business is primarily fee-based, with EnLink's contribution to Q3 2025 Adjusted EBITDA being nearly $470 million for the quarter, contributing to a $219 million increase in Adjusted EBITDA for the nine-month period compared to the prior year. The Natural Gas Pipelines segment itself posted an Adjusted EBITDA of $200 million for Q3 2025.

The Natural Gas Liquids (NGL) fractionation and transportation activity is a major driver, with ONEOK projecting NGL raw feed throughput for 2025 guidance between 1,425 to 1,525 MBbl/d. Prior to the full integration, EnLink's asset base included six fractionators with approximately 316,300 Bbls/d of fractionation capacity.

For Crude oil gathering and storage services, ONEOK's 2025 guidance for crude oil volume shipped is set between 1,900 to 2,100 MBbl/d, driven partly by the addition of crude oil gathering assets from the acquisitions. Prior to the full acquisition, EnLink's Permian segment included crude oil gathering systems and storage.

The company is executing on strategic capital projects to support this flow. The Matterhorn Express Pipeline, a joint venture in which EnLink Midstream is a stakeholder, began easing the transportation bottleneck from the Permian in late 2024, adding 2.5 Bcf/d of takeaway capacity. Furthermore, a key Louisiana expansion, the Henry Hub to the River pipeline, estimated to cost $70 million, is expected to begin commercial operations in late 2025 and is already fully subscribed, adding approximately 210 MMcf/d of capacity to the Mississippi River corridor. This capacity matches the figure cited for the Bridgeline pipeline expansion. [cite: 7, 8 from previous search]

Developing Carbon Capture and Sequestration (CCS) opportunities is a distinct, growing activity. EnLink has a commercial CCS operation with BKV Corporation at the Barnett Zero facility, forecasted to achieve an average sequestration rate of up to 210,000 metric tons of CO2e per year. Separately, EnLink has a 25-year agreement with ExxonMobil to transport captured CO2, with Exxon initially reserving 3.2 Mtpa starting in 2025, for which EnLink is investing approximately $200 million. EnLink has a goal to build a $300+ million EBITDA business from CO2 transportation by 2030. [cite: 1, 2 from previous search]

Here's a snapshot of the operational scale supporting these activities:

The core activities also involve managing a large physical footprint:

• Total Pipelines: Approximately 7,300 miles (prior to ONEOK divestitures).
• Natural Gas Processing Plants: 12 total (prior to ONEOK integration).
• NGL Fractionators: Six total (prior to ONEOK integration).
• NGL Cavern Storage: 3.1 million barrels (prior to ONEOK integration).

EnLink Midstream, LLC (ENLC) - Canvas Business Model: Key Resources

You're looking at the core assets that make EnLink Midstream, LLC-now fully integrated into ONEOK-a significant player in the energy infrastructure space as of late 2025. These resources are what underpin the company's ability to generate stable, long-term cash flow.

The physical infrastructure is massive, spanning key production and demand regions. This scale allows EnLink Midstream to offer comprehensive services from the wellhead to major market hubs.

The revenue model is heavily weighted toward stability, which is a direct result of the contractual structure. This minimizes volatility tied to fluctuating commodity prices.

• Approximately 90% of the adjusted gross margin for the nine months ended September 30, 2024, was generated from fee-based structures.
• Minimal direct commodity price exposure on the majority of the margin.
• The remaining margin is subject to more direct commodity price exposure, primarily in the natural gas processing component of the business.

Beyond the physical pipes and plants, the intellectual capital is a critical, though less tangible, resource. This expertise is what allows EnLink Midstream to execute complex projects and maintain high service levels.

• Decades of relationships and reliable operating experience in key corridors like the Mississippi River.
• Expertise in executing complex midstream logistics, including plant relocations like the Thunderbird and Tiger II projects.
• Operational experience supporting emerging areas like Carbon Capture and Sequestration (CCS) projects in Louisiana.

The company also has strategic, contracted positions that secure future throughput. For instance, the Matterhorn Express Pipeline, in which EnLink Midstream is a stakeholder, adds 2.5 Bcf/d of takeaway capacity from the Permian Basin.

Finance: draft 13-week cash view by Friday.

EnLink Midstream, LLC (ENLC) - Canvas Business Model: Value Propositions

You're looking at the core reasons customers choose EnLink Midstream, LLC (ENLC), especially now that it's operating as part of the larger ONEOK platform following the acquisition closing on January 31, 2025.

Integrated, full-service midstream solutions from wellhead to market

EnLink Midstream, LLC provides services across the entire midstream value chain for natural gas, crude oil, condensate, and NGLs (Natural Gas Liquids). This integrated approach means they handle the journey from the wellhead through processing, transportation, and storage to the end market. The asset footprint is strategically placed in premier production basins and core demand centers.

• Asset locations include the Permian Basin, Oklahoma, North Texas, and the Gulf Coast.
• New capacity additions support producer needs, such as the Tiger II processing plant in the Permian Basin, which began operations in May 2024, adding 150 MMcf/d of processing capacity.
• The Matterhorn Express Pipeline, a joint venture EnLink is part of, began service in Q3 2024, adding up to 2.5 Bcf/d of natural gas takeaway capacity from the Permian to the Houston area.

Reliable access to premium Gulf Coast demand and export markets

A key value is connecting supply growth in basins like the Permian to high-demand Gulf Coast markets, particularly for LNG (Liquefied Natural Gas) exports. This connectivity is being actively enhanced.

• The 26-inch diameter Henry Hub to the River pipeline project, estimated to cost around $70 million, is expected to begin commercial operations in late 2025, and it is already fully subscribed.
• This pipeline expansion is geared to supply the high-demand market for natural gas, including export to overseas LNG markets.
• EnLink Midstream, LLC also commenced operations expanding deliveries to Venture Global Inc.'s Calcasieu Pass LNG export facility.

Operational excellence with high infrastructure uptime

EnLink Midstream, LLC focuses on reliability through its dedicated Operational Excellence team, using data analytics to improve plant and equipment reliability. While a specific uptime guarantee like 98.7% isn't explicitly stated in the latest data, the focus is on continuous improvement and efficiency gains.

• The team uses facility scorecards to track reliability against industry standards.
• The company is implementing new tools like remote operations and predictive maintenance technologies.
• Capacity expansion on the West Texas NGL Pipeline system, which completed full looping, expanded capacity to 515,000 bpd; additional pump stations expected in mid-2025 will further increase system capacity to 740,000 bpd.
• Future natural gas transmission capacity expansion on the Bridgeline pipeline, from the Henry Hub to the Mississippi River Corridor, is expected to complete in Q4 2025, adding 210 MMcf/d.

Strategic positioning for low-carbon energy, including CO2 transport

EnLink Midstream, LLC is building out a Carbon Solutions business, leveraging its pipeline expertise to transport captured CO2 for sequestration. This positions the company to support industrial decarbonization efforts.

• EnLink has commercial CCS (Carbon Capture and Sequestration) operations in North Texas with BKV Corp., forecasting an average sequestration rate of up to 210,000 metric tons of CO2e per year.
• ExxonMobil Corporation has a 25-year, ship-or-pay agreement with EnLink Midstream, LLC for CO2 transport starting in 2025, with an initial reservation of 3.2 Mtpa (Million tons per annum).
• The company is exploring opportunities to support ExxonMobil's CCS efforts beyond the southeast Louisiana Mississippi River Corridor into several additional Gulf Coast areas.

Financial stability and scale as part of ONEOK's larger platform

The acquisition by ONEOK, Inc. on January 31, 2025, immediately brings EnLink Midstream, LLC onto a larger, more diversified platform, which is expected to generate significant synergies.

Here's the quick math on the scale and expected benefits post-acquisition, based on ONEOK's February 24, 2025 guidance:

The combined entity is one of the largest diversified energy infrastructure companies in North America. What this estimate hides is the specific impact of the Magellan Midstream Partners acquisition announced later in 2025, which will further increase the combined scale.

EnLink Midstream, LLC (ENLC) - Canvas Business Model: Customer Relationships

You're looking at how EnLink Midstream, LLC (ENLC) locks in revenue and builds stability with its producers and end-users. The core of their customer relationship strategy revolves around securing long-term, predictable cash flows, which is the bedrock for supporting those attractive yields investors look for in the midstream space.

Dedicated commercial teams managing long-term, fee-based contracts

EnLink Midstream, LLC (ENLC) structures the bulk of its service agreements to minimize direct commodity price exposure, relying heavily on fee-based arrangements. These contracts typically fall into two categories: those with a stated fixed fee per unit of volume, or arrangements where ENLC purchases and resells commodities but earns a net margin via a fee-like deduction from the purchase price. As of the latest reporting, a significant portion of the revenue is generated from these fee-based structures, providing a strong hedge against volatility in the natural gas and NGL markets. For instance, the company is focused on contract structures that reduce volatility and support long-term stability of cash flows.

The focus on long-term agreements is standard for infrastructure build-out; for example, contracts supporting major projects often require 85-100% capacity to be contracted before construction proceeds. While specific contract tenor data for all agreements isn't public, the industry norm for such assets can range from a few years up to 20+ years, especially for projects tied to major export facilities.

Performance-based service level agreements for critical infrastructure

While the search results don't detail specific financial penalties or bonuses tied to performance-based service level agreements (SLAs) for ENLC, the company's commitment to transparency suggests these mechanisms are in place, especially for critical infrastructure. The focus on quality, timeliness, and transparency in their sustainability reporting, which includes metrics reviewed by Internal Audit, points to a disciplined approach to operational execution that underpins customer confidence. The nature of fee-based contracts often implies performance standards are met for the fee to be fully realized. For example, the company's Q1 2024 adjusted EBITDA was $337.7 million, and Free Cash Flow After Distributions (FCFAD) was $74.0 million, figures directly supported by reliable service delivery to customers.

Strategic, high-touch relationships with key anchor producers

ENLC maintains strategic, high-touch relationships, often with major anchor producers. A concrete example from the past shows a bolt-on project to the Cajun-Sibon NGL system was supported by long-term, fee-based contracts with Marathon Petroleum Corporation, where ENLC served as the construction manager and operator. This type of integrated partnership signifies a deep, high-touch relationship with a major customer, ensuring long-term volume commitments for critical assets. The company's structure, including joint ventures like the Ascension JV where ENLC owns a 50% interest alongside Marathon Petroleum Corporation, further solidifies these anchor relationships.

The company's overall strategy is to span the energy value chain, providing services across gathering, transportation, processing, and storage for natural gas, NGLs, crude oil, and condensate, which requires close coordination with upstream and downstream partners.

Focus on contract renewals at higher rates and longer tenor in Louisiana

The Louisiana segment is a key area of focus for relationship optimization. Management has explicitly stated plans to optimize this system by renewing expiring contracts with businesses at higher rates and for longer terms. This focus is driving near-term growth; in fact, Louisiana is expected to surpass Oklahoma to become ENLC's second largest segment in 2024, up from Oklahoma and North Texas representing over 60% of the segment profit mix back in 2019. This renewal strategy is part of a three-phase Louisiana growth plan.

Phase 2 of this strategy involves the capital-efficient 'Henry Hub to the River' project, which adds approximately 210 million cubic feet per day (MMcf/d) of expanded capacity. This project, expected to be in-service in the fourth quarter of 2025, is supported by the demand generated from these renewed customer relationships and is expected to cost approximately $70 million.

Here's a quick look at how key operational areas and financial metrics relate to customer-driven stability:

The success of the Louisiana optimization, which includes renewing the vast majority of existing contracts at higher rates and longer tenor, is a direct indicator of the strength of these commercial relationships. This focus is crucial, as the company is on pace to complete its 2024 unit repurchase authorization of $200 million, a move often supported by the visibility provided by long-term customer commitments.

• Renewing contracts at higher rates.
• Securing longer tenor on renewed contracts.
• Louisiana segment expected to be ENLC's second largest in 2024.
• Phase 2 Louisiana project targets Q4 2025 in-service.
• Fee-based revenue structures minimize direct commodity exposure.

EnLink Midstream, LLC (ENLC) - Canvas Business Model: Channels

You're looking at how EnLink Midstream, LLC moves its product-the physical pipes, plants, and market access points that make up its service delivery. This is the backbone of their fee-based revenue model.

The physical infrastructure network for EnLink Midstream, LLC spans premier production basins and core demand centers, including the Permian Basin, Oklahoma, North Texas, and the Gulf Coast. This network includes gathering and transportation pipelines, processing plants, fractionators, barge and rail terminals, and product storage facilities. As of late 2025, the company's strategy involves leveraging this existing asset mix for platform expansions.

Here's a snapshot of the operational scale:

The commercial channel relies heavily on long-term contracts. For the nine months ending September 30, 2024, approximately 90% of EnLink Midstream, LLC's adjusted gross margin came from fee-based structures, minimizing direct commodity price exposure.

Direct interconnections are key to getting volumes to market. EnLink Midstream, LLC's assets have a direct connection to the 3.2 Bcf/d Agua Blanca Pipeline. Furthermore, the Matterhorn Express Pipeline was expected to be in service in the third quarter of 2024. You should note that EnLink Midstream, LLC expected to complete the Bridgeline pipeline expansion by Q4 2025.

The Gulf Coast access is critical for NGLs. EnLink Midstream, LLC holds a 38.75% ownership interest in the Gulf Coast Fractionators (GCF) facility located in Mont Belvieu, Texas. This facility was planned to restart by Q2 2024. The market anticipated that with the GCF restart, an estimated 815 Mb/d of fractionation capacity would be added to the Texas Gulf Coast by the first half of 2025, pushing total regional capacity to 5.0 MMb/d.

Storage capacity is also a channel component, ensuring flow reliability. EnLink Midstream, LLC reached a Final Investment Decision (FID) on the Stage 1 brownfield expansion project at JISH (Jefferson Island Storage Hub), which is set to add approximately 8 Bcf of working gas storage. The company also focuses on optimizing existing assets.

The commercial and marketing teams drive throughput by securing capacity sales and optimizing asset utilization. Key activities include:

• Securing long-term, investment-grade customer contracts for new projects.
• Maximizing utilization of existing assets in basins like the Haynesville, where some processing capacity remains idled.
• Leveraging the expanded footprint following the January 31, 2025, acquisition by ONEOK.
• Focusing on growth driven by industrial demand, including data centers and LNG facilities.

Post-acquisition, the combined ONEOK NGL segment, which includes EnLink Midstream, LLC, is expected to have >1.2 million bpd of fractionation capacity, with 2025 earnings projected to be >90% fee-based.

EnLink Midstream, LLC (ENLC) - Canvas Business Model: Customer Segments

You're looking at the customer base for the assets that were EnLink Midstream, LLC (ENLC) as of late 2025, now integrated into ONEOK following the full acquisition in the first quarter of 2025. The customer base is heavily weighted toward large-scale producers and major industrial/export demand centers along the Gulf Coast and in key shale basins. Honestly, the shift in focus is clearly toward the Gulf Coast demand driven by LNG and data centers.

Large-scale E&P companies operating in the Permian and Mid-Continent

The Permian Basin remains a core area, serving large Exploration & Production (E&P) companies. Growth here is tied to associated gas from oil production. For instance, the Matterhorn Express Pipeline, a joint venture where EnLink Midstream held a 15% stake, began service in Q3 2024 with a capacity of 2.5 billion cubic feet per day (Bcf/d), designed to move gas from the Permian to Katy, Texas. The company was adding processing capacity in the region, with the Tiger II plant in the Permian Basin adding 150 MMcf/d of processing capacity in May 2024. Segment profit for the Permian Basin in Q3 2024 was $89.0 million. Management projected modest growth driven by the Permian in 2024, with expectations for continued activity beyond that.

Natural gas power generators and local distribution companies (LDCs)

Natural gas power generators, especially in Texas, are a critical customer group, with natural gas being the largest component of the fuel mix during peak months. LDCs also rely on EnLink Midstream's assets for reliable supply. The business model across these areas is largely fee-based; for the combined entity, the expectation for 2025 earnings is that they will be approximately 95% fee-based.

Petrochemical and industrial users on the Louisiana Gulf Coast

The Louisiana segment serves a dense concentration of industrial users, including major chemical manufacturers. A significant customer, Marathon Petroleum Corporation, accounted for 22.1% of consolidated revenues for Q3 2024. Other key industrial customers include The Dow Chemical Company and ExxonMobil Corporation. The Louisiana system is being strategically expanded to meet this industrial demand. The Q3 2024 revenue for the Louisiana segment was $837.5 million.

EnLink Midstream, LLC has been executing a multi-prong growth strategy in Louisiana, which includes:

• The Henry Hub to the River project, adding approximately 210 million cubic feet per day (MMcf/d) of expanded capacity, targeted for in-service in the fourth quarter of 2025, and it is already fully subscribed.
• Sanctioning the Jefferson Island Storage & Hub (JISH) expansion to increase working gas storage to 10 Bcf from 2 Bcf by 2028, an estimated $85 million project.

LNG export terminals and other high-growth demand centers

LNG export terminals represent a massive, high-growth demand center for the natural gas flowing through EnLink Midstream's Gulf Coast assets. U.S. LNG export capacity is projected to grow significantly, with nearly all new projects sited on the Gulf Coast.

Here's a look at the demand coming online around the time of the acquisition and in the near term:

The Louisiana system assets include 3,100 miles of natural gas transmission lines with 4 Bcf/d of capacity, 220,000 barrels per day (b/d) of NGL fractionation capacity, and two natural gas processing facilities with 710 MMcf/d capacity. These assets connect directly to end-use markets, including LNG facilities.

The core customer base is served by a system that, as of the Q1 2024 report, had $293.3 million in net cash provided by operating activities.

EnLink Midstream, LLC (ENLC) - Canvas Business Model: Cost Structure

Since ONEOK completed the acquisition of EnLink Midstream, LLC on January 31, 2025, the cost structure is now integrated into ONEOK's consolidated figures, but the former cost components and realized synergies provide concrete numbers for this block.

High fixed costs related to pipeline and plant maintenance capital expenditures are now part of ONEOK's overall capital plan. For the full-year 2025 guidance, ONEOK projected Maintenance capital expenditures to range between $475 million and $525 million.

Significant operating expenses for compression, processing, and utilities are reflected in ONEOK's consolidated operating costs. For the nine months ended September 30, 2025, ONEOK reported Operating costs of $2,196 million. This figure includes costs from the acquired EnLink assets. Furthermore, the former ENLC structure included operating expenses related to plant relocation, with an expected 2024 cost of approximately $15 million net to EnLink.

The former cost structure element of interest expense on outstanding debt is now managed under ONEOK's capital structure. A key cost benefit realized post-acquisition is the expected reduction in EnLink's former interest and preferred distributions, estimated at approximately $100 million annually.

Integration and synergy realization costs following the $4.3 billion acquisition are tracked as transaction costs. For the nine months ended September 30, 2025, ONEOK reported transaction costs related primarily to the EnLink acquisition totaling $59 million. The expected cost savings from synergies, which directly reduce the combined entity's operating expenses, were estimated to be between $100 million and $150 million annually, with the SG&A cost reduction component alone estimated at approximately $120 million per year.

Here is a summary of the key cost-related figures impacting the structure post-acquisition:

The total expected cost and commercial synergies from the acquisitions for 2025 were guided by ONEOK to be approximately $250 million.

• Former ENLC annual SG&A cost reduction: $120 million.
• Former ENLC annual interest/distribution reduction: $100 million.
• Total expected cost synergies: $100 million to $150 million.
• ONEOK Q3 2025 Adjusted EBITDA included $7 million in EnLink-related transaction costs.

EnLink Midstream, LLC (ENLC) - Canvas Business Model: Revenue Streams

You're looking at the revenue side of EnLink Midstream, LLC (ENLC) now that it's part of the ONEOK family as of early 2025. The model is heavily weighted toward stable, fee-based contracts, which is exactly what you want to see in this sector.

Fee-based revenue from natural gas gathering and processing forms the backbone. This revenue is generated from the physical movement and handling of gas. For instance, looking at the operational scale feeding this revenue, the Louisiana Gas Gathering & Transportation segment handled approximately 2,693,500 MMBtu/d in the first quarter of 2024. The Permian segment saw crude gathering volumes grow approximately 23% over the second quarter of 2023. The focus here is on volume commitments, not the fluctuating price of the gas itself.

The structure is designed to be resilient; for context, approximately 90% of ONEOK's adjusted gross margin is expected to be fee-based, minimizing direct commodity price exposure for the combined entity.

Fixed-fee transportation and storage tariffs provide another layer of predictable cash flow. This covers moving natural gas, NGLs, and crude oil through pipelines and holding them in storage. A key development supporting future revenue is the Phase 2 "Henry Hub to the River" project in Louisiana, which adds approximately 210 MMcf/d of capacity and is slated to be in service in the fourth quarter of 2025. This project represents a capital-efficient investment, costing approximately $70 million.

Fractionation fees from NGL processing are crucial, especially following the integration of assets. EnLink's Haynesville assets include three NGL fractionation facilities. Post-acquisition, ONEOK is leveraging EnLink's NGL value chain to fill 75% of the Haynesville fractionation capacity with its own assets. In the first quarter of 2024, Louisiana NGL Fractionation volumes were around 183,100 Bbls/d.

Commodity sales are less significant to the overall revenue profile, primarily stemming from percent-of-proceeds contracts where EnLink receives a portion of the realized value rather than a fixed fee for the service. This introduces some direct commodity exposure, though it's managed within the larger fee-based structure.

The ultimate financial impact is seen through the parent company's guidance. EnLink Midstream, LLC's operations are a major driver for ONEOK's 2025 outlook. ONEOK has set its 2025 Adjusted EBITDA midpoint guidance at $8.225 billion. Furthermore, the integration is expected to yield approximately $250 million in synergy-related Adjusted EBITDA contributions for ONEOK in 2025, a significant portion of which is attributable to the successful integration of ENLC and Medallion.

Here's a quick look at some operational scale metrics that underpin these revenue streams, using the latest available segment data:

The revenue streams are characterized by their stability, but you should watch the recontracting cadence. While there was an expected uplift embedded in 2024 contracts, the uplift expected for 2025 is noted as marginal, shifting the focus to debottlenecking and storage economics.

You can see the revenue-generating activities broken down by segment in the table below, showing where the physical throughput is happening:

• Gathering and transporting natural gas, NGLs, and crude oil.
• Processing natural gas across key basins like Permian and Oklahoma.
• Fractionating and marketing recovered NGLs.
• Providing compression services.
• Providing crude oil and condensate transportation and terminal services.
• Providing natural gas, crude oil, and NGL storage.

The integration with ONEOK is designed to enhance these streams through synergy capture, which is why the expected contribution to the parent company's $8.225 billion Adjusted EBITDA midpoint is so important. Finance: draft 13-week cash view by Friday.