CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 79.75% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Open platformOpen platform

Kinder Morgan to invest $4.7 billion in two gas pipeline projects as demand surges

By Reuters News

By Varun Sahay

Oct 21 (Reuters) - US pipeline operator Kinder Morgan KMI.N said on Wednesday it has approved a total of $4.7 billion as its share of investments in two major natural gas pipeline joint ventures, citing rising demand from power plants, data centers and LNG exporters.

The projects helped lift Kinder Morgan's natural-gas project backlog to a record level, underscoring the industry's efforts to expand infrastructure to serve the new demand.

Shares of the company rose 2.7% in extended trading after it also beat estimates for quarterly profits.

Kinder Morgan would invest about $3.1 billion in Southern Natural Gas' Southeast Connector project and $1.6 billion in Natural Gas Pipeline Company of America's (NGPL) Permian Link project.

The Southeast Connector project would transport up to 2.6 billion cubic feet per day (Bcf/d) of natural gas through about 470 miles of new pipeline to growing markets in the US Southeast.

The Permian Link is designed to transport roughly 2.8 Bcf/d of natural gas from the Permian Basin near Pecos County, Texas, to NGPL's Midcontinent system through about 434 miles of new pipeline.

The approvals lifted Kinder Morgan's project backlog to $14.4 billion, including a record $13.2 billion of natural gas projects.

Permian Link will supply gas to power providers serving an investment-grade hyperscale data-center customer, Kinder Morgan said. Executives said on an earnings call that the project had drawn interest from customers beyond the anchor hyperscaler.

The Permian Link is expected to enter service in the third quarter of 2030, while Southeast Connector is expected to start in phases beginning in the fourth quarter of 2030.

The Houston, Texas-based firm posted an adjusted profit of 35 cents per share for the three months ended September 30, compared with analysts' estimate of 32 cents per share, according to data compiled by LSEG.

Capital.com is an execution-only brokerage platform and the content provided on the Capital.com website is intended for informational purposes only and should not be regarded as an offer to sell or a solicitation of an offer to buy the products or securities to which it applies. No representation or warranty is given as to the accuracy or completeness of the information provided.

The information provided does not constitute investment advice nor take into account the individual financial circumstances or objectives of any investor. Any information that may be provided relating to past performance is not a reliable indicator of future results or performance.

To the extent permitted by law, in no event shall Capital.com (or any affiliate or employee) have any liability for any loss arising from the use of the information provided. Any person acting on the information does so entirely at their own risk.

Any information which could be construed as “investment research” has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication.