Mplx (NYSE:MPLX) executives used the company’s fourth-quarter 2025 earnings call to highlight what management described as a year of “disciplined investment and strong returns,” driven largely by natural gas and NGL-related growth projects and portfolio optimization.
2025 results and capital returns
President and CEO Maryann Mannen said 2025 marked the company’s fourth consecutive year of mid-single-digit, three-year Adjusted EBITDA growth, with Adjusted EBITDA reaching “just over $7 billion.” Mannen said the performance supported continued capital returns to unitholders, including a 12.5% distribution increase. She said total returns in 2025 were $4.4 billion.
2026 capital plan and demand outlook
Management announced a 2026 capital plan of $2.4 billion, with Mannen saying roughly 90% of growth capital will be directed to the natural gas and NGL services segment. The company framed that investment stance around structural demand expectations, including anticipated U.S. natural gas demand growth of more than 15% through 2030, driven by LNG export capacity expansion and increased power needs, including from data centers.
Mannen also cited rising gas-to-oil ratios in key shale basins, which she said is increasing NGL-rich gas supply and underscoring the importance of MPLX’s Permian infrastructure. She added that global petrochemical demand for ethane and propane is contributing to increased NGL exports.
The company said many of its growth projects are concentrated in the Permian and Marcellus basins and are expected to generate “mid-teens returns” when placed into service in 2028 and beyond.
Project updates: Permian and Gulf Coast
On the Permian, Mannen said execution continues on the “NGL Wellhead to Water” strategy, including integration of sour gas treating operations acquired last year. She said construction of the Titan Treating Complex is “on time and on budget,” and by the end of 2026 the company expects to be treating more than 400 million cubic feet per day of sour gas.
MPLX also announced Secretariat II, a new 300 million cubic feet per day processing plant in the Delaware Basin. Management said the $320 million plant is expected to be the company’s eighth gas processing facility in the Delaware and is targeted to come online in the second half of 2028. Once in service, total processing capacity in the basin is expected to reach approximately 1.7 billion cubic feet per day.
Further downstream, Mannen said the BANGL pipeline expansion remains on schedule, with incremental capacity expected online in the fourth quarter of “this year.” She added that the company is advancing construction of 300,000 barrels per day of Gulf Coast fractionation capacity and a 400,000 barrels per day LPG export terminal joint venture. She said engineering and construction are ongoing and that key construction permits have been secured. Site grading is “near completion,” and the LPG export terminal is expected online in 2028.
Mannen also referenced expanded Permian takeaway demand, noting that MPLX and joint venture partners announced an expansion of the Eiger Express natural gas pipeline to 3.7 billion cubic feet per day. She said construction is also progressing on “several long-haul JV pipeline systems,” supported by commitments from leading basin producers.
Marcellus buildout and utilization
In the Marcellus, Mannen said construction is advancing on the 300 million cubic feet per day Harmon Creek III gas processing and fractionation complex. Upon completion—expected in the third quarter of 2026—MPLX expects Northeast processing capacity to reach 8.1 billion cubic feet per day and fractionation capacity to reach 800,000 barrels per day.
The company also described a $450 million Marcellus gathering expansion project intended to add compression, support well connections, and enhance the Majorsville gas processing complex. Management said the project is expected to deliver mid-teens returns and enter service in the first half of 2028.
During Q&A, executives said Marcellus processing utilization was 97% in the quarter, with management describing the system as “nearly full.”
Fourth-quarter segment performance and financial highlights
Chief Financial Officer Chris Hagedorn said fourth-quarter adjusted EBITDA was $1.8 billion, up 2% year over year, while distributable cash flow was $1.4 billion, down 4%, primarily due to interest expense associated with incremental debt used to finance acquisitions and growth capital.
Hagedorn said MPLX returned $1.2 billion to unitholders during the quarter through distributions and unit repurchases and ended the quarter with $2.1 billion of cash.
- Crude oil and products logistics: Segment adjusted EBITDA increased $52 million versus fourth-quarter 2024, driven primarily by a $37 million benefit from a revised FERC tariff issued in November and higher rates, partially offset by higher planned project-related expenses. Pipeline volumes rose 1%, while terminal volumes fell 2%.
- Natural gas and NGL services: Segment adjusted EBITDA decreased $10 million year over year, as the divestiture of non-core gathering and processing assets and lower NGL prices more than offset growth from acquired assets and higher volumes. Hagedorn noted that excluding the $23 million impact from divestitures, the segment grew 2.1% year over year for the quarter.
Operationally, the company said gathered volumes rose 2% year over year, primarily from production growth in the Utica. Processing volumes declined 1% year over year, with increases in the Marcellus more than offset by the asset sale. Utica processing volumes rose 4%. Total fractionation volumes declined 2% year over year, as higher ethane recoveries in the Marcellus and Utica were more than offset by the sale of Rockies assets.
Management also said recent freezing conditions had minimal impact on MPLX assets, though some producer customers experienced frozen well pads and equipment that affected volumes at a few Permian facilities.
On the balance sheet, Hagedorn said $1.5 billion of 1.75% senior notes mature in March and MPLX intends to refinance them. He added that leverage is expected to fall over time as acquisitions reach full run-rate and as organic projects enter service.
In closing comments, Mannen said MPLX expects distribution growth at the 12.5% level for “two more years.” She said contributions are expected in the second half of the year from the second Titan sour gas treatment plant, Harmon Creek III, the BANGL pipeline expansion, and the Bayrunner and Blackcomb pipelines. Mannen said the company expects growth in 2026 to exceed 2025, including the headwind from the Rockies asset sale, and anticipates mid-single-digit EBITDA growth in 2027 as new assets ramp to capacity.
About Mplx (NYSE:MPLX)
MPLX LP (NYSE: MPLX) is a midstream master limited partnership that owns, operates and develops energy infrastructure primarily across the United States. The company provides a range of midstream services including the gathering, transportation, storage and distribution of crude oil, refined petroleum products, natural gas and natural gas liquids (NGLs). MPLX also operates processing and fractionation facilities and supplies logistics services that connect producers, refiners and end-use markets.
The partnership’s asset base includes pipelines, storage terminals, rail and marine facilities, natural gas processing plants and NGL fractionators.
