Comments on: Atlas Pipeline Partners – Prospects look bright

By: Tim

Tim — Sun, 02 Mar 2008 20:46:13 +0000

Andy, thanks for the informative comments. As I wrote, I have not taken time to get my head around the corporate interconnects of the “A’s”. I think your info will be helpful to other readers here.

Tim

By: andy dee

andy dee — Sun, 02 Mar 2008 20:23:30 +0000

Found four more “Cohen” Corporations – all publicly traded this morning. Doesn’t say anything with regard to APL, but it seems as though the “Cohen Energy” has to be dissipated a bit watching over all of these “children”.

Anyway Ed Cohen, the “pater nostra” of the family has at least two sons, Jonathan and Daniel, and a wife Betsy.

Jonathan in addition to serving as vice-chairman of one of the energy companies, also runs Resource America, REXI, and RSO, Resource Capital Co.. Daniel in turn runs RAS, RAIT Financial Trust and is the Executive Chairman of AFN, Alesco Financial. Betsy, half of the duo that produced these talented children, is no slouch herself – she is the CEO and founder of TBBK, The Bancorp Corp. These companies appear to do business with each other – nothing wrong there…good to keep it in the family.

Have I missed anything?

By: andy dee

andy dee — Sun, 02 Mar 2008 18:08:53 +0000

Of the many, many entities in this complex corporate conglomerate – (including, but not limited to…APL, AHD, ATN, ATLS, REXI, Lightfoot), I like ATN which is Atlas Energy Resources.

In 30 words or less…

They have significant acreage in the Marcellus Shale, and have drilled enough wells to know they are in a sweet spot. They have APL as their “gatherer”, by contract, and they finance drilling through partnerships where they put up only about 25% of the expenses but get almost 40% of the returns plus management fees.

That’s 52 words. Sorry.

Re: APL. Also interesting, but a bit riskier than your normal “upstream” pipeline gatherer/processor, because a good deal of their revenue comes from reselling NG and NGLs, at the “tailgate” of their processing plants. The major “fee” income is from collection for ATN, principally in Appalachia, and soon in Tennessee.

I’m not an expert in these areas – I’ve been studying the companies and MLPs in general for about three weeks now. Have a lot to learn.