This page is part of our public exclusion list — a transparency tool that shows which companies we screen out and why. It is not investment advice, and it is not an accusation. But it is subject to change as our understanding of the facts evolves.
NGL Energy Partners LP operates across the fossil fuel value chain, providing midstream services that are integral to oil and gas extraction and distribution. The company manages an extensive network of crude oil and natural gas liquids transportation pipelines, storage terminals, and processing facilities. Its operations also include the largest integrated network of large-diameter wastewater pipelines and disposal wells servicing major shale plays, a business directly supporting hydraulic fracturing (fracking) operations.
The company’s core activities—transportation, storage, blending, and marketing of crude oil, natural gas liquids, and produced water—are classified under legacy exclusions for integrated oil and gas operations. This broad operational scope spans upstream, midstream, and downstream segments, making it a facilitator of fossil fuel production. NGL Energy Partners has been subject to litigation concerning its business conduct, including a 2020 case where a jury found the company liable for breaching fiduciary duties and awarded damages, highlighting governance risks. Furthermore, the company acknowledges in its regulatory filings that it is subject to anti-market manipulation rules under the Natural Gas Act, with the Federal Energy Regulatory Commission authorized to impose penalties of up to $1 million per violation per day.
NGL Energy Partners LP operates a diversified midstream business centered on the transportation, storage, and marketing of crude oil, natural gas liquids, and refined products. Its core segments include crude oil logistics, water solutions for oilfield production, and refined products/renewables. The company's infrastructure, including pipelines, terminals, and storage facilities, is essential for the ongoing operation of the fossil fuel supply chain.
The partnership's operations have been marked by significant regulatory and legal issues. In 2018, NGL reached a $25 million Clean Air Act settlement with the U.S. government, agreeing to retire 36 million renewable fuel credits to resolve allegations of violations. Furthermore, in 2021, a jury found NGL liable for breach of contract and breach of fiduciary duty in a lawsuit brought by LCT Capital, awarding damages. The company's financial reporting has also required restatements of unaudited quarterly results.
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A digest of changes to our exclusion list — new additions, removals, and the evidence behind them. We review the list continuously as new evidence surfaces.
Companies appear on our exclusion list based on our investment judgment — not because they've done anything illegal. This is a difference of values and opinion, not an accusation of wrongdoing. Exclusion does not constitute a recommendation against investing in any company, and absence from the list does not constitute a recommendation to invest.
This information is provided for educational and transparency purposes only and should not be relied upon as investment advice. Data is drawn from independent watchdogs, NGOs, government registries, and Ethical Capital's ongoing research — see Research Sources for the full list.
Ethical Capital LLC is a state-registered investment adviser in Utah (CRD #316032). Registration does not imply a certain level of skill or training.