When a master limited partnership struggles to cover its distribution with cash flow, it can make investors very, very nervous. So anyone invested in Vanguard Natural Resources (NASDAQ:VNR) is probably biting their fingers since the company was unable to even meet 85% of its distribution with cash flow over the past two quarters on average. A large factor that has influenced Vanguard's distribution is its recent acquisition in the Pinedale and Jonah gas fields in Wyoming, but based on the results other players are having in the field, Vanguard's woes will not likely last for long.
Find out why this was a bold move by Vanguard's management to get involved in the Pinedale/Jonah fields, and how working with a top flight operator in Ultra Petroleum (NASDAQOTH:UPLMQ) is the best chance for Vanguard to get back to covering both covering and growing its distribution over time by tuning into the video below.
The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.