Targa (NGLS) (TRGP) Maintains Distribution and Dividend Growth Estimates

Targa Resources Partners LP (NYSE: NGLS) (and Targa Resources Corp. (NYSE: TRGP) announced, after considering a weaker commodity price environment, they continue to maintain the pro forma distribution and dividend growth estimates originally provided in the Targa/Atlas transaction announcement dated October 13, 2014, including 2015 distribution growth for TRP of 11% to 13% and 2015 dividend growth for TRC of 35%.

The Partnership currently expects the above referenced pro forma distribution growth range for 2015, along with pro forma distribution coverage of approximately 1.0 times to 1.2 times, under a range of possible scenarios described below:

(i) (a) commodity prices of $3.75 per MMBtu for natural gas, $60 per barrel for crude oil and $0.60 per gallon for NGLs; (b) current expectations of activity levels at these prices, resulting in low single digit annual volume growth for pro forma TRP and APL field gathering and processing businesses compared to current estimated fourth quarter 2014 volumes; and (c) only LPG export volumes that are currently under contract; and

(ii) (a) commodity prices of $4.00 per MMBtu for natural gas, $80 per barrel for crude oil and $0.80 per gallon for NGLs; (b) volume growth in line with historical growth rates as expected at the time of announcement for pro forma TRP and APL field gathering and processing businesses; and (c) a modest level of export volumes above those currently under contract.

The Partnership is actively monitoring producer responses to changes in the commodity price environment and is developing alternative capital expenditure strategies and timing to meet expected producer volume requirements. The pro forma combination of TRP and Atlas Pipeline Partners, L.P. ("APL") assets provides additional opportunities for capital expenditure efficiency while still meeting producer needs.

With Hart-Scott-Rodino Antitrust Improvements Act clearance received in early November 2014, the Atlas transaction is proceeding as expected and Targa continues to expect the transaction to close in the first quarter of 2015.

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