Since March, several factors have helped drive the midstream recovery. The rebound in oil prices, aided by OPEC’s agreement to substantially curb oil output and then to extended those cuts was probably the most significant factor. Magellan Midstream and Energy Transfer are among those bucking the trend of increasing leverage and hence may find themselves better able to withstand the pressure to cut distributions. Since the March lows, the midstream sector of the oil and gas industry has recovered most of its losses. While the overall sector is still down for the year, the 19.5% year-to-date loss in the Alerian Midstream Energy Select Index (AMEI) is still better than all other major energy sector benchmarks. The latest research note from independent energy infrastructure and master limited partnership (MLP) market intelligence data provider Alerian discusses this year’s roller coaster in the midstream sector. The report notes that from December 31 […]