MUMBAI (Thomson Financial) - Standard & Poor's Ratings Services said it
raised the issue rating on midstream energy company MarkWest Energy Partners
L.P.'s (MWE) $1 billion senior unsecured notes due 2014, 2016, and 2018 to 'B+'
from 'B'.
S&P also affirmed its 'B+' corporate credit rating on the company. The
outlook is stable.
The rating action reflects the improved recovery prospects of the unsecured
lenders following the repayment of the secured term loan using proceeds from the
upsized offering of senior unsecured notes due 2018, S&P said.
MarkWest Energy is a master limited partnership engaged in the gathering,
processing, and transmission of natural gas; transport, fractionation, and
storage of natural gas liquids; and gathering and transport of crude oil.
The rating on MarkWest Energy reflects a weak business risk profile due to
the company's commodity price sensitivity, small asset base, historically
aggressive growth strategy, and large capital-spending plan. Increasing
geographic diversity and the stability garnered from the company's hedging
program partially mitigate the aforementioned risks, S&P said.
TFN.newsdesk@thomsonreuters.com
ami/ssa
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