NGL Energy Partners Provides Update and Announces Quarterly Distributions

NGL Energy Partners LP (NYSE: NGL) (“the Partnership” or “NGL”) is providing an update to the following:

• Fiscal Year 2020 Guidance (for year ended March 31, 2020)
• Fiscal Year 2021 Forecast
• Recent Financial Initiatives
• Approved Distributions for quarter ended March 31, 2020

Fiscal Year 2020 Guidance and Fiscal Year 2021 Forecast

The Partnership is re-confirming its Fiscal Year 2020 Guidance for Adjusted EBITDA from continuing operations and expects to be at the higher end of the Partnership’s previously issued guidance range of $565 million to $595 million. The Fiscal Year 2021 forecast (for the year ending March 31, 2021) has been approved by the Board of Directors of the Partnership’s general partner (“the Board”), with the following highlights:

• Adjusted EBITDA forecasted to be approximately $600 million
• Growth and Maintenance Capital Expenditures of approximately $50 million each. Growth Capital Expenditures are expected to be weighted to the first half of the fiscal year
• The Partnership anticipates being free cash flow positive in Fiscal 2021 as Adjusted EBITDA is expected to exceed all fixed charges, capital expenditures and distributions, as well as all of the remaining deferred payments associated with the Mesquite acquisition
• Improving leverage, increasing liquidity, optimizing assets, and reducing costs without sacrificing safety, are key focus items for the fiscal year
• Management will provide further details on its Fiscal 2020 year-end earnings call which is expected to occur in late May 2020

“We have developed the Fiscal 2021 Forecast using the most recent data and relevant information we have available, including updating our volumes and strategies in each of our business segments. Our storage assets have benefited in recent weeks from the contango markets, and we have worked closely with our producer customers to refine our views on water volumes for the year. However, like others, this uncertain environment presents significant opportunities and challenges for our businesses that are more difficult to predict, and which could impact our performance,” stated Mike Krimbill, NGL’s CEO.