NuStar lifted its fourth-quarter 2015 EBITDA by 10.7% from a year ago, thanks to strong contributions from storage terminals and higher crude volumes at its marine docks.

“Our overall expectations for 2016 are essentially unchanged from what we conveyed to you previously, but we have adjusted our EBITDA expectations for our storage and pipeline segments. We now expect our storage segment 2016 EBITDA to be $310 [million] to $330 million, up approximately $15 million from previous guidance, due to an increase in our expected storage rates and throughput activity at some of our terminals,” Barron said.

Pipeline segment 2016 EBITDA is now expected to be $335 million to $355 million, lower than its previous guidance due to reduced Eagle Ford volume projections for 2016, he said.

Fuels marketing segment EBITDA is still projected to be in the range of $15 million to $35 million, Barron said.

NuStar’s 2016 capital spending projections remain unchanged. The company budgeted to spend $360 million to $380 million for strategic capital and $35 million to $45 million on reliability capital spending.

However, NuStar is in the process of prioritizing all capital spending for 2016 to avoid accessing the public debt and equity markets.

NuStar plans to finance 2016 spending with excess cash on its balance sheet, borrowings from its $1.5 billion credit facility and possibly by accessing the convertible preferred market.

NuStar’s fourth-quarter 2015 earnings before interest, taxes, depreciation and amortization (EBITDA) from continuing operations were $150.6 million, compared to fourth-quarter 2014 EBITDA of $136.0 million.

For the year ended Dec. 31, 2015, the partnership reported $662.7 million of EBITDA from continuing operations, an increase of 21% over the $547.9 million reported for the year ended Dec. 31, 2014, and the highest reported in the partnership’s history.

Fourth-quarter 2015 distributable cash flow (DCF) from continuing operations available to limited partners was $89.6 million, or $1.15 per unit, compared to 2014 fourth-quarter DCF from continuing operations available to limited partners of $95.4 million, or $1.23 per unit.

For the year ended Dec. 31, 2015, DCF from continuing operations available to limited partners was $377.9 million, or $4.85 per unit, which was higher than the $354.8 million, or $4.56 per unit, earned in 2014.

“Key contributions from our Linden terminal acquisition, increased storage renewal rates at many of our terminal locations, higher utilization across our terminal system and strong South Texas crude volumes across our docks at our Corpus Christi North Beach facility provided for an 11% increase in storage revenues compared to 2014,” Barron said.

NuStar’s pipeline segment continued to benefit from its investments in its South Texas Crude Oil Pipeline system, as pipeline revenues increased 7% year over year, he said.