MPLX LP (MPLX), a diversified master limited partnership that owns midstream energy infrastructure, raised its quarterly distribution 12.5% for the third consecutive year, to $4.84 a unit annualized, after reporting third-quarter 2026 distributable cash flow of $1,537 million.

The partnership declared a third-quarter distribution of $1.2111 a common unit, producing distribution coverage of 1.3 times. Chairman, president and chief executive officer Maryann Mannen said the durability of cash flows enabled the increase.

Adjusted EBITDA attributable to MPLX was $1,859 million, up $93 million, or 5.3%, from $1,766 million a year earlier. The company said $77 million of incentive-compensation expenses, versus $40 million a year earlier, reduced EBITDA growth by 2%. Net income attributable to MPLX was $1,164 million, compared with $1,545 million a year earlier.

Adjusted EBITDA rose sequentially from $1,775 million in the second quarter, after a $46 million sequential increase from $1,729 million in the first quarter. Net income rose sequentially from $1,077 million in the second quarter.

Crude Oil and Products Logistics, the larger of the two reportable segments, posted adjusted EBITDA of $1,204 million, up $67 million from $1,137 million a year earlier. The company said the increase was primarily driven by higher rates across the business units and increased butane blending, partially offset by higher operating expenses, including incentive compensation. Terminal throughput was 3,375 thousand barrels a day, up 6% from 3,173 thousand barrels a day a year earlier. Average pipeline tariff rates were $1.09 a barrel, up 1% from $1.08. Pipeline throughput was 5,951 thousand barrels a day, essentially unchanged from 5,922 thousand barrels a day.

Natural Gas and NGL Services adjusted EBITDA was $655 million, up $26 million from $629 million a year earlier. The company said the increase was driven by increased volumes, including growth from acquisitions, partially offset by the 2025 divestiture of non-core gathering and processing assets and higher operating expenses, including incentive compensation. Gathering throughput was 7,216 million cubic feet a day, up 4% from 6,906 million cubic feet a day. Natural gas processed was 9,941 million cubic feet a day, down 1% from 10,075 million cubic feet a day. C2+ NGLs fractionated was 696 thousand barrels a day, up 3% from 677 thousand barrels a day.

During the quarter, MPLX generated $1,477 million in net cash provided by operating activities and $447 million of adjusted free cash flow. Distributable cash flow rose sequentially from $1,450 million in the second quarter.

The partnership is executing a natural gas and NGL value-chain growth strategy. Harmon Creek III, a 300 million cubic feet a day gas processing plant and 40 thousand barrel a day de-ethanizer in the Marcellus, began operations in August. Secretariat I, a 200 million cubic feet a day Delaware Basin plant, was placed in service in April. Titan Complex sour-gas treating expansion to over 400 million cubic feet a day, a BANGL expansion to 300 thousand barrels a day, Bay Runner, and Blackcomb are targeted for the fourth quarter of 2026. Mannen said MPLX is positioned to meet global demand for U.S. energy and deliver mid-single-digit adjusted EBITDA growth as utilization increases and key growth projects enter service.

In conjunction with Marathon Petroleum’s announced sale of its St. Paul Park and Mandan refineries, MPLX announced the sale of associated logistics assets for $750 million, a 9 times multiple on forecast 2027 adjusted EBITDA. The company said proceeds are expected to be redeployed in support of growth plans anchored in the Permian and Marcellus basins, and that the transaction is expected to close at the end of 2026. MPLX is investing $2.9 billion of organic growth capital, with over 90% allocated to natural gas and NGL infrastructure.

The leverage ratio was 3.8 times at September 30, 2026, up from 3.7 times at June 30. The company said cash-flow stability supports leverage in the range of 4.0 times. On August 24, MPLX issued $2.25 billion of senior notes; on September 23, it redeemed $1.25 billion of notes due March 2027. On October 30, it and MPC amended their intercompany loan agreement to increase borrowing capacity from $1.5 billion to $2.5 billion and extend the term to October 30, 2031. Cash paid for common unit repurchases was $50 million in the third quarter, versus $100 million a year earlier; about $1.0 billion remained available under unit repurchase authorizations at September 30.