MWE MarkWest Energy Feb 2010 Presentation

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Credit Suisse 2010 Energy Summit

February 2, 2010







Topics for Discussion

■ Overview of MarkWest

■ Marcellus Joint Venture

■ Keys to Success

44



MWE: Key Investment Considerations

High Quality / Diversified Assets

■ Leading presence in five core natural-gas producing regions of the U.S.

■ Key long-term contracts with high-quality producers to develop the MarcellusShale, Woodford Shale, Haynesvi lle Shale, and Granite Wash formation

■

No incentive distribution rights■ Since IPO, distributions have increased by 156% (13% CAGR)

■ 11 acquisitions totaling ~$875 million (excluding the MarkWest Hydrocarbonmerger) since IPO

Proven Track Recordof Growth

■ Proven ability to expand organizational capabilities

■ 2009 growth capital forecast of approximately $465 million■ 2010 rowth ca ital forecast of a roximatel 480 million

■ Growth pro jects are well diversified across the asset base

■ Long-term organic growth opportunities focused on unconventionalresource plays

u s an aGrowth Opportunities

■ Committed to maintaining strong credit ratios□ Debt / book capitalization of approximately 50%

□ Debt / Adjusted EBITDA with Material Project Adjustments (MPAs) of approximately 4.3x

□ Adjusted EBITDA w/MPAs / Interest Expense of approximately 3.3x

Strong Financial Profile

55



Geographic Footprint

■ Michigan

□ 250-mile intrastate crude

pipeline

■ East Texas

□ 500 MMcf/d gathering capacity

■

Liberty M&R JV□ 155 MMcf/d gathering

capacity

□ 155 MMcf/d cryogenic

■ Western Oklahoma

□ 275 MMcf/d gatheringcapacity

□ 160 MMcf/d processing

process ng capac y

□ 65 MMcf/d interimmechanical refrigerationprocessing capacity

p an

■ Southeast Oklahoma

□ 500 MMcf/d gatheringcapacity

□ Centrahoma processing JV

■

□ Four processing plants with combined330 MMcf/d processing capacity

□ 24,000 Bbl/d NGL fractionation facility

□ 260,000 barrel storage capacity

□

Arkoma Connector JV with ArcLight Capital Partners

□

80-mile NGL pipeline

■ Javelina

□ Refinery off-gas processing,

fractionation, and transportation

facilities

■ Other Southwest

□ 12 gas gathering systems

□ 4 lateral gas pipelines

66



Growth Driven by Customer Satisfaction

ar es an e n an n a ura as s ream erv ces us omer a s ac onEnergyPoint Research, Inc. Customer Satisfaction Survey

R N G E

R SOUR S

77



Distribution Growth Since IPO

$3.00

$2.00

$2.50

U n i t

$1.50

b u t i o n

p e r C o m m o n

$0.50

$1.00 D i s t r i

$0.00

2002* 2003 2004 2005 2006 2007 2008 2009

88

* Distributions have been annualized



2010 Growth Capital Forecast

2010 growth capital forecast ~$ 480 mil lion

Less funding through

joint venture contributions ~$(180) mill ion

Net MarkWest growth capital ~$ 300 million

Southwest

Southwest~$70 MM

Liberty

• Compressor / pipeline

additions

• New well connects

• Other expansion

• Houston II processing plant

• Houston III processing plant

• Majorsville I processing plant

•

Liberty~$410 MM

• Railyard / truck loading facility

99



Strategic Investments in Unconventional Gas

■ Recent advances in horizontal dril lin and com letion technolo have revolutionizedthe natural gas industry

■ As a result of the revolut ion, the U.S. reserve replacement index (total reserves/annualU.S. production) has grown from under 10 years to in excess of 100 years

■ Location, Location, Location… the revolut ion has created big winners and big losers

based on location of assets and technology applied

■ MarkWest has made a significant commitment to the rapidly emerging resource plays

Capital Investment

$600

cqu s ons

Growth Capital toDevelop EmergingResource Plays

m i l l i o n s

$300

$400

Build BaseProduction

$0

$100

$200

2004 2005 2006 2007 2008 2009F* 2010F*

10

* Approximately $310 million and $180 million in 2009 and 2010, respectively, is expected to befunded through joint ventures and divestiture activities.



The Rise of Gas Unconventional Gas Production

Even before the “discovery” of the Haynesville, Fayetteville, Woodford,

and Marcellus shale plays, the paradigm shift was clear

12.0

14.0

35.0

40.0

Sources of Natural Gas Supply Historical and Projected Production Growth

8.0

10.0

f p e r Y

e a r

20.0

25.0

30.0

B

c f p d

2.0

4.0

.

T c

5.0

10.0

15.0

0.0

1 9 9 8

2 0 0 2

2 0 0 6

2 0 1 0

2 0 1 4

2 0 1 8

2 0 2 2

2 0 2 6

2 0 3 0

Onshore conventional Onshore unconvent ional Offshore A laska

0.0

1 9 9 8

2 0 0 2

2 0 0 6

2 0 1 0

2 0 1 4

2 0 1 8

2 0 2 2

2 0 2 6

2 0 3 0

Tight Sands CBM Shale

1111

Source: RBC Capital Markets/RBC Richardson Barr



Not All Unconventional Shales Are Created Equally

0.5

Go-Forward Economics

Haynesville - F&D 1.25 - 1.75 ($/mcfe)

0.3

0.4- . - .

Woodford - F&D 1.25 - 1.75 ($/mcfe)

Barnett Core - F&D 1.00 - 1.25 ($/mcfe)

0.2

I R R %

Marcellus- F&D 1.00 - 1.25 ($/mcfe)

0

0.1

-0.1

3 4 5 6 7 8

Henry Hub Gas Price ($/mcfe)

1212

Source: Barclays Capital



MarkWest’s Position In Major Unconventional Resource Plays

Total U.S. Gas Resource PlaysMarkWest’s Role in Emerging Resource Plays

Marcellus300 Tcf ■ Our Arkoma system covers

more than 750 square miles ofthe core Woodford (Arkoma)shale and we are the largest

Fa etteville

Woodford(Arkoma) 60 Tcf

Granite Wash

Granite

Wash

■ Our East Texas system coversmore than 1,200 square miles

of the Haynesville shale

MarkWest’sRole in the

Developmentof Four

BarnettHaynesville

Fayetteville32 Tcf

Barnett85 Tcf

Ha nesvil le

Woodford

Eagle

Ford

■ We expanded our westernOklahoma system to gathersignificant new Granite Washproduction

EmergingResourcePlays

Eagle Ford

208 Tcf

■ MarkWest Liberty is thelargest gatherer and processorin the Marcellus

1313

Source: RBC Capital Markets/RBC Richardson Barr





Appalachia Overview

□ MarkWest is the largest gas processor in the prolific Appalachian Basin, a critical source of natural gas and natural gas liquids to

Northeastern markets, with more than 20 years of operational experience

ong e ore t e arce us was ent e as an mportant new emerg ng a e p ay, we

understood the advantage that we would have in the hydrocarbon rich areas of Southwest PA

□ NGLs from four processing gas plants are shipped to Siloam for fractionation, storage, and marketing

• Siloam produces purity propane, iso-butane, normal butane, and natural gasoline• Strategic and longstanding marketing relationships with sales by truck, rail, and barge

• Propane storage capacity of more than 10 million gallons

■ Vertical integration in the Appalachian

basin is critical to success and has

□ Gas processing capacity of approximately

330 MMcf/d

□ Siloam Fractionation capacity of 24,000 Bbl/d

□

Storage capacity of approximately 260,000barrels

1515



MarkWest Liberty Overview

■ Joint Venture with NGP Midstream & Resources M&R□ Long-term partnership to develop midstream services in the Marcellus

□ Partners one of the best midstream companies with a strong financialpartner that shares a common view towards the inherent value of theMarcellus

its producer customers while significantly reducing MWE’s up-front capital

■ Competitive advantages

□ Significant first mover advantage in the prolific Marcellus Shale with keyproducer acreage dedications of up to 300,000 rich-gas acres

□ Critical gathering, processing, transportation, fractionation, and storageinfrastructure that currently did not exist in the Northeast

□ System and plants are new; highly fuel efficient with minimal losses

□ Low-pressure service-

Majorsville

experience

■ Market Access

□ Interconnected to Columbia Gas Transmission (CGT)

■ Gathering system

□ 155 MMcf/d gathering capacity□ More than 60 miles of pipe and 25,000 hp of compression

■ Gas processing plant

□ 155 MMcf/d cryogenic processing capacity

1616

□ 65 MMcf/d interim mechanical refrigeration processing capacity



Marcellus Project Schedule

Houston Processing ComplexInterim Plant (4Q08) 65 MMcf/d

Houston I (1Q09) 35 MMcf/d

Houston II (4Q09) 120 MMcf/dGathering Facil ities

c

c

cc c

c

c

ouston c

Houston IV (TBD) 200 MMcf/dHP Pipel ines (4Q09) 45 miles

HP Pipeline (4Q12) 150 – 175 miles

LP Pipelines (4Q09) 20 miles

LP Pipeline (4Q12) 70 – 80 miles

Compressor stations (4Q09) 10

Ohio

c Houston Fractionation ComplexDepropanizer (1Q09) 1,000 Bbl/day

Depropanizer (4Q09) 4,000 Bbl/day

Full Fractionation (1Q11) 37,000 Bbl/day

Rail Loading (1Q11) 200 Rail Cars

ompressor stat ons –

Compression (4Q09) 27,000 Hp

Compression (4Q12) 90,000 Hp

ruc oa ng ays

Pipel ine (1Q10) C3 TEPPCO Deliver ies

NGL Storage 1.3 MBbls

a orsv e rocess ng omp exMajorsvi lle I (3Q10) 120 MMcf/d

Majorsvi lle II (TBD) 120 MMcf/d

NGL Pipeline to Houston (3Q10)

1717

West Virginia



Typical Compressor Station Installation

Johnston Compressor Station

Godwin Compressor Station

1818



Houston Plant Site – September 2009

1919



2009 Capital Markets and Liquidity Update

■ common units in 2009

□ May 2009 – $150 million of 6.875% senior unsecured notes due 2014

• Priced at 12.59% yield to maturity

• Net proceeds of approximately $113.8 million

□ June 2009 – 3.3 million common unit offering at $18.15


□ Au ust 2009 – 6.0 million common unit offerin at 20.95


■

In addition, MarkWest executed two joint ventures in 2009□ anuary – o n ven ure w s ream esources

• Dedicated to the construction and operation of natural gas midstream services in the Marcellus Shale

□ May 2009 – joint venture with ArcLight Capital Partners

• Dedicated to the Arkoma Connector pipeline, a 50-mile interstate pipeline that provides Woodford Shalea eaway capac y an n erconnec s w con nen xpress pe ne an u ross ng pe ne

■ In September 2009, MarkWest sold to Air Products and Chemicals, Inc. the steam methane

reformer (SMR) facili ty currently being constructed at its Javelina processing facility

2020



Capital Structure

($ in millions)

As of

December 31, 2008

As of

September 30, 2009

Cash $ 3.3 $ 65.3

Credit Facilit 184.7 51.8

6-7/8% Senior Notes due 2014 215.3 216.5

6-7/8% Senior Notes due 2014 119.1

8-1/2% Senior Notes due 2016 274.1 274.2

8-3/4% Senior Notes due 2018 498.8 498.9

Total Debt $ 1,172.9 $ 1,160.5

Partners' Capital $ 1,204.5 $ 1,163.5

Total Capitalization $ 2,377.4 $ 2,324.0

LTM Adjusted EBITDA (1) $ 289.0 $ 261.0

Total Debt / Capitalization 49% 50%

Total Debt / LTM Adjusted EBITDA 4.1x 4.4x

. .

Total Debt / LTM Adjusted EBITDA w//MPAs (2) 3.8x 4.3x

Adjusted EBITDA w/ MPAs / Interest Expense (2) 4.5x 3.3x

(1) Adjusted EBITDA calculated in accordance with Credit Facility covenants; See Appendix for reconciliation of Adjusted EBITDA to net income attributable to the Partnership.

(2) Adjusted EBITDA w/ MPAs and leverage and interest coverage ratios are calculated in accordance with Credit Facility covenants.

2121



Risk Management Program

1 1

POP&POI30%

Fee-Based41%

Hedged

Fee-Based40%

Keep-Whole29%

(1) For the nine months ended September 30, 2009. Net Operating Margin is calculated as revenue less purchased product costs.

CommodityBased17%

60%

70%

80%

90%

e d g e d

– om ne e ge ercen age

0%

10%

20%

30%

40%

50%

P e r c e n t a g e

H

2222

2009 2010 2011 2012



2009 and 2010 Guidance

■ 2009 Financial Guidance

□ s r u a e cas ow o m on o m on

□ Growth capital expenditures of approximately $465 million

• approximately $310 million is expected to be funded by joint venture and

■

2010 Financial Guidance□ s r u a e cas ow o m on o m on

□ Growth capital expenditures of approximately $480 million

• approximately $180 million is expected to be funded by joint venture and

2323



MarkWest: Keys to Success

■ Maintain Capital Flexibility

■ Organizational Development

■ Joint Planning with Producer Customers

■ Environmental and Regulatory Compliance■ Development of Downstream Solutions

■ EXECUTE, EXECUTE, EXECUTE

2424



Appendix



Reconcil iation of Adjusted EBITDA

($ in millions)

Year ended

December 31,

2007

Year ended

December 31,

2008

LTM ended

September 30,2009

Net income (loss) attributable to the Partnership $ (39.4) $ 208.1 $ 91.4

Depreciation, amortization, accretion, impairments, and other non-cash operating expenses 66.2 184.3 210.2

Provision for income tax (24.6) 68.8 24.2

Interest expense 42.4 72.9 88.6

Non-cash derivative activity 150.4 (263.1) (152.7)

Non-cash compensation expense 20.5 14.9 6.7

Adjustment for cash flow from unconsolidated investments 6.5 1.9

Adjustment for non-controlling interest of consolidated subsidiaries4.9 (3.4) (9.4)

Adjusted EBITDA $ 220.4 $ 289.0 $ 261.0

2626



1515 Arapahoe StreetTower 2 Suite 700

Denver, CO 80202Phone: 303-925-9200Investor Relations: 866-858-0482Email: investorrelations markwest.comWebsite: www.markwest.com

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MWE MarkWest Energy Feb 2010 Presentation

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