- Projects designed to deliver nearly 2 Bcf/d of Eagle Ford production to Gulf Coast markets
Kinder Morgan Tejas Pipeline LLC (Tejas), a subsidiary of Kinder Morgan, Inc. (NYSE: KMI) and Howard Energy Partners (HEP), through its joint venture Dos Caminos, LLC (Dos Caminos), today announced the receipt of the necessary binding commercial agreements to expand their respective Eagle Ford natural gas transportation systems. Dos Caminos is a joint venture between HEP and an affiliate of Eagle Ford Midstream LP.
Tejas is constructing an approximately 67 mile, 42-inch pipeline commencing at the existing Kinder Morgan Texas Pipeline (KMTP) compressor station near Freer, Texas to the Tejas pipeline system near Sinton, Texas. Dos Caminos is constructing an approximately 62 mile, 36-inch pipeline, as well as compression, treating and dehydration facilities commencing near HEP’s existing midstream pipelines and facilities in Webb County, Texas to the KMTP compressor station in Freer, Texas. The projects are planned to be completed in the fourth quarter of 2023 and will be capable of delivering up to 2 billion cubic feet per day (Bcf/d) of natural gas to U.S. Gulf Coast markets.
“We are pleased to be working with Dos Caminos and HEP to provide Gulf Coast market access to Eagle Ford natural gas supply,” said KMI’s Natural Gas Midstream President Tom Dender. “This approximately $251 million expansion project, referred to as the Eagle Ford project in our January backlog, will be a critical supply link for the impending growth being discussed with power generators, industrial customers and LNG exporters along our Texas intrastate pipeline network.”
“We are excited to have begun construction on our Spears expansion project,” said Mike Howard, Chief Executive Officer of HEP. “We have a long history of helping producers in Webb County and surrounding areas find access to premier natural gas markets. We believe this expansion, in conjunction with Kinder Morgan’s expansion, will be an important next chapter in that history.”
Interested shippers can obtain more information by contacting Larry Bell, Chief Commercial Officer for Intrastate Pipelines in KMI’s Midstream group at 713.369.8776 or Larry_Bell@kindermorgan.com. To obtain more information about Dos Caminos’ Spears Expansion Project, contact Tres Peacock, Commercial Director for HEP at 210.298.2222.
About Kinder Morgan, Inc.
Kinder Morgan, Inc. (NYSE: KMI) is one of the largest energy infrastructure companies in North America. Access to reliable, affordable energy is a critical component for improving lives around the world. We are committed to providing energy transportation and storage services in a safe, efficient and environmentally responsible manner for the benefit of the people, communities and businesses we serve. We own an interest in or operate approximately 82,000 miles of pipelines, 140 terminals, and 700 billion cubic feet of working natural gas storage capacity and have renewable natural gas generation capacity of approximately 2.2 Bcf per year of gross production with up to an additional 5.2 Bcf in development. Our pipelines transport natural gas, refined petroleum products, crude oil, condensate, CO2 and other products, and our terminals store and handle various commodities including gasoline, diesel fuel, chemicals, ethanol, metals and petroleum coke. Learn more about our renewables initiatives on the lower carbon initiatives page at kindermorgan.com.
Important information relating to forward-looking statements
This news release includes forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995 and Section 21E of the Securities and Exchange Act of 1934. Generally the words “expects,” “believes,” anticipates,” “plans,” “will,” “shall,” “estimates,” and similar expressions identify forward-looking statements, which are not historical in nature. Forward-looking statements in this news release include express or implied statements concerning the anticipated capacity, timing and benefits of the proposed Eagle Ford project. Forward-looking statements are subject to risks and uncertainties and are based on the beliefs and assumptions of management, based on information currently available to them.
Although KMI believes that these forward-looking statements are based on reasonable assumptions, it can give no assurance as to when or if any such forward-looking statements will materialize or their ultimate impact on KMI’s operations or financial condition. Important factors that could cause actual results to differ materially from those expressed in or implied by these forward-looking statements include the risks and uncertainties described in KMI’s reports filed with the Securities and Exchange Commission (SEC), including its Annual Report on Form 10-K for the year-ended December 31, 2022 (under the headings “Risk Factors” and “Information Regarding Forward-Looking Statements” and elsewhere) and its subsequent reports, which are available through the SEC’s EDGAR system at ***.sec.gov and on KMI’s website at ir.kindermorgan.com. Forward-looking statements speak only as of the date they were made, and except to the extent required by law, KMI undertakes no obligation to update any forward-looking statement because of new information, future events or other factors. Because of these risks and uncertainties, readers should not place undue reliance on these forward-looking statements.