Question · Q3 2025
Zach Guan asked about the contract breakout for Hugh Brinson Phase 1, specifically the proportion of supply push contracts from Waha versus demand pull contracts from data centers and other demand sources. He also inquired if Energy Transfer's customers are beginning to sign supply deals out of Waha, given the significant increase in Permian gas pipeline capacity expected by the end of the decade.
Answer
Mackie McCrea (Co-CEO) clarified that Hugh Brinson started with a mix of demand pull and producer push, but as it has grown and expanded, it is now primarily demand pull. Regarding Permian gas supply, McCrea noted that while some end-users have reached out to producers for supply deals, the market needs to see dramatic growth (12-15%) just to fill announced pipelines. He suggested that the market should be locking up production today.
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