Kinder Morgan Commits $4.7B to Two Gas Pipelines as Backlog Hits Record $14.4B
KMI sits 35% above its 52-week low of $25.6.
Summary
Kinder Morgan approved $4.7 billion of its share of investment in two gas pipeline joint ventures: $3.1 billion for Southern Natural Gas' Southeast Connector (2.6 Bcf/d across roughly 470 miles into the Southeast) and $1.6 billion for NGPL's Permian Link (about 2.8 Bcf/d from the Permian to the Midcontinent system). The Permian Link is anchored by an investment-grade hyperscale data-center customer, and management said on the earnings call that other customers have expressed interest beyond that anchor. The approvals push the project backlog to a record $14.4 billion, including $13.2 billion of natural gas projects. This lands alongside the record Q3 results filed this evening — adjusted EPS of 35 cents versus the 32-cent consensus — and shares rose 2.7% after hours. The spending is multi-year and back-end loaded: Permian Link starts in Q3 2030 and Southeast Connector phases in from Q4 2030, so near-term cash flow impact is limited while capital commitments build.
At the time of this announcement, KMI was trading at $34.60 on NYSE in the Energy & Transportation sector, with a market capitalization of approximately $75.6B. The 52-week trading range was $25.60 to $34.81. This news item was assessed with positive market sentiment and an importance score of 7 out of 10. Source: Reuters.