BREITBURN ENERGY PARTNERS, L.P. - COMMON UNITS REP Reports Operating Results (10-Q)

BREITBURN ENERGY PARTNERS, L.P. - COMMON UNITS REP (BBEP, Financial) filed Quarterly Report for the period ended 2010-03-31.

Breitburn Energy Partners, L.p. - Common Units Rep has a market cap of $745.05 million; its shares were traded at around $13.98 with a P/E ratio of 28.53 and P/S ratio of 3.64. The dividend yield of Breitburn Energy Partners, L.p. - Common Units Rep stocks is 10.73%.BBEP is in the portfolios of Seth Klarman of The Baupost Group, Jim Simons of Renaissance Technologies LLC.

Highlight of Business Operations:

As of April 30, 2010, we had approximately $525 million in borrowings outstanding under our credit facility. Our credit facility limits the amounts we can borrow to a borrowing base amount, determined by the lenders in their sole discretion based on their valuation of our proved reserves and their internal criteria. For example, in April 2009, our borrowing base was decreased from $900 million to $760 million as a result of a scheduled borrowing base redetermination; in June 2009, it was decreased to $735 million as a result of the monetization of $25 million in crude oil and natural gas derivative contracts in June 2009; and in July 2009, it was decreased to $732 million as a result of the sale of the Lazy JL Field. The borrowing base is redetermined semi-annually and the available borrowing amount could be further decreased as a result of such redeterminations. Decreases in the available borrowing amount could result from declines in oil and natural gas prices, operating difficulties or increased costs, declines in reserves, lending requirements or regulations or certain other circumstances. Our borrowing base was increased to $735 million in May 2010, in connection with our entry into the Second Amended and Restated Credit Agreement. Our next borrowing base redetermination will be in October 2010. A future decrease in our borrowing base could be substantial and could be to a level below our outstanding borrowings. Outstanding borrowings in excess of the borrowing base are required to be repaid in five equal monthly payments, or we are required to pledge other oil and natural gas properties as additional collateral, within 30 days following notice from the administrative agent of the new or adjusted borrowing base. If we do not have sufficient funds on hand for repayment, we may be required to seek a waiver or amendment from our lenders, refinance our credit facility or sell assets or debt or Common Units. We may not be able to obtain such financing or complete such transactions on terms acceptable to us, or at all. Failure to make the required repayment could result in a default under our credit facility, which could adversely affect our business, financial condition and results or operations.

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