Houston, Texas, April 17, 2014 - Hi-Crush Partners LP (NYSE: HCLP), or Hi-Crush, announced today that the Board of Directors of its general partner has declared a cash distribution of $0.525 per unit on all common and subordinated units, or $2.10 on an annualized basis. The approved distribution represents a consecutive increase of 3% over the previous quarter's distribution and is the third increase over the minimum quarterly distribution declared by the partnership.
"We are pleased to continue a pattern of increasing payout to our unit holders as the result of solid operational performance and portfolio growth," said Laura Fulton, Chief Financial Officer of Hi-Crush. "In light of our recently announced Augusta dropdown, we intend to update our 2014 full year distribution and financial guidance on the first quarter earnings call."
The distribution will be paid on May 15, 2014 to all common and subordinated unit holders of record on May 1, 2014.
Distributions to Foreign Investors
The declaration of the distribution is intended to be a qualified notice to nominees under Treasury Regulation Section 1.1446-4(b), with 100% of the Partnership's distributions to foreign investors attributable to income that is effectively connected with a United States trade or business. Accordingly, the Partnership's distributions to foreign investors are subject to federal income tax withholding at the highest effective tax rate.
Hi-Crush is an integrated producer, transporter, marketer and distributor of high-quality monocrystalline sand, a specialized mineral that is used as a "proppant" (frac sand) to enhance the recovery rates of hydrocarbons from oil and natural gas wells. The Partnership's reserves, which are located in Wyeville, Wisconsin, consist of "Northern White" sand, a resource that exists predominately in Wisconsin and limited portions of the upper Midwest region of the United States. Hi-Crush owns and operates the largest distribution network in the Marcellus and Utica shales, and has distribution capabilities throughout North America. For more information, visit www.hicrushpartners.com.
Source: Hi-Crush Partners LP