Reports related to this article:
Project(s): View 6 related projects in PECWeb
Plant(s): View 7 related plants in PECWeb
Released July 25, 2023 | SUGAR LAND
en
Researched by Industrial Info Resources (Sugar Land, Texas)--Lower commodity prices have hampered Kinder Morgan Incorporated's (NYSE:KMI) revenues so far in 2023, but executives remain confident in the company's operational performance and are revisiting a proposed expansion of the Gulf Coast Express (GCX) pipeline. Skyrocketing demand for liquefied natural gas (LNG) is pushing Kinder Morgan to take advantage of its takeaway capacity from the Eagle Ford and Haynesville shale plays, with export facilities along the Texas and Louisiana Gulf Coast expected to continue their buildouts. Industrial Info is tracking more than $12.6 billion worth of active projects across the U.S. from Kinder Morgan, more than half of which is attributed to grassroot projects.
Click on the image at right to see a graph detailing Kinder Morgan's active, U.S.-based projects, by type.
Kinder Morgan is now carrying more gas out of the Eagle Ford than it was before the COVID-19 pandemic. In May, the company reached an agreement with Underground Services Markham, a subsidiary of Texas Brine Company LLC (Houston, Texas), to lease an additional cavern at a gas-storage facility in Markham, Texas, to provide more than 6 billion cubic feet of incremental capacity for Kinder Morgan's pipeline system. Subscribers to Industrial Info's Global Market Intelligence (GMI) Terminals Plant Database can learn more in a detailed plant profile.
Later this year, Kinder Morgan and joint-venture partner Howard Energy Partners (HEP) (Houston) agreed to expand their Tejas Pipeline System on the Texas Gulf Coast. Kinder Morgan is adding a 67-mile, 42-inch line connecting its compressor station near Freer, Texas, to the Tejas system near Sinton; Dos Caminos, a subsidiary of HEP, plans to build a 62-mile, 36-inch line from Webb County to the Freer station. The project is scheduled to be completed toward the end of 2023 and will be capable of delivering up to 2 billion cubic feet per day of natural gas to the Gulf Coast markets. Subscribers to Industrial Info's GMI Oil & Gas Pipeline Project Database can read more in a detailed project report.
Producers in the Haynesville Shale and other hotspots also are anticipating greater volumes of LNG demand from the Gulf Coast. "We forecast U.S. natural gas demand will grow by about 20 billion cubic feet a day between 2023 and 2028, to about 121 billion cubic feet a day," said Rich Kinder, the executive chairman of Kinder Morgan, in a recent quarterly earnings-related conference call. "And that's a 20% increase. We expect 13.5 billion cubic feet a day of that growth to come from LNG and Mexico exports, with moderate growth in the power, residential, and commercial sectors. Almost all of that LNG and Mexico growth will occur in Texas and the Gulf Coast."
Kinder Morgan executives also acknowledged that growing demand in the Corpus Christi area has revived interest in expanding the Gulf Coast Express system (GCX), for which the company is exploring a trio of proposed compressor station expansions. The system--which runs from the Waha Hub in the Permian Basin to Agua Dulce, which is just west of Corpus Christi--would add up to 570 million standard cubic feet per day to the current 2.1 billion capacity. Subscribers can read detailed reports on the proposed expansions in Coyanosa, Del Rio and Big Wells, Texas.
Sital Mody, the president of natural gas for Kinder Morgan, noted the interest in GCX in the conference call. "Those conversations are happening. But as you know, we're in a very competitive environment, and returns are going to determine whether or not we proceed with the next project."
The company also expects to finish construction toward the end of the year on a pair of compressor-station expansions on its Permian Highway Pipeline, which is expected to add about 550 million standard cubic feet per day to the 2.1 million-capacity system. Both are expected to wrap up toward the end of the year. Subscribers can read detailed reports on the expansions in Fredericksburg and Big Lake, Texas.
Subscribers to Industrial Info's GMI Project Database can click here for a full list of detailed reports for projects mentioned in this article, and click here for a full list of related plant profiles.
Subscribers can click here for a list of detailed reports for active projects across the U.S. from Kinder Morgan.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) platform helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking more than 200,000 current and future projects worth $17.8 trillion (USD).
Click on the image at right to see a graph detailing Kinder Morgan's active, U.S.-based projects, by type.Kinder Morgan is now carrying more gas out of the Eagle Ford than it was before the COVID-19 pandemic. In May, the company reached an agreement with Underground Services Markham, a subsidiary of Texas Brine Company LLC (Houston, Texas), to lease an additional cavern at a gas-storage facility in Markham, Texas, to provide more than 6 billion cubic feet of incremental capacity for Kinder Morgan's pipeline system. Subscribers to Industrial Info's Global Market Intelligence (GMI) Terminals Plant Database can learn more in a detailed plant profile.
Later this year, Kinder Morgan and joint-venture partner Howard Energy Partners (HEP) (Houston) agreed to expand their Tejas Pipeline System on the Texas Gulf Coast. Kinder Morgan is adding a 67-mile, 42-inch line connecting its compressor station near Freer, Texas, to the Tejas system near Sinton; Dos Caminos, a subsidiary of HEP, plans to build a 62-mile, 36-inch line from Webb County to the Freer station. The project is scheduled to be completed toward the end of 2023 and will be capable of delivering up to 2 billion cubic feet per day of natural gas to the Gulf Coast markets. Subscribers to Industrial Info's GMI Oil & Gas Pipeline Project Database can read more in a detailed project report.
Producers in the Haynesville Shale and other hotspots also are anticipating greater volumes of LNG demand from the Gulf Coast. "We forecast U.S. natural gas demand will grow by about 20 billion cubic feet a day between 2023 and 2028, to about 121 billion cubic feet a day," said Rich Kinder, the executive chairman of Kinder Morgan, in a recent quarterly earnings-related conference call. "And that's a 20% increase. We expect 13.5 billion cubic feet a day of that growth to come from LNG and Mexico exports, with moderate growth in the power, residential, and commercial sectors. Almost all of that LNG and Mexico growth will occur in Texas and the Gulf Coast."
Kinder Morgan executives also acknowledged that growing demand in the Corpus Christi area has revived interest in expanding the Gulf Coast Express system (GCX), for which the company is exploring a trio of proposed compressor station expansions. The system--which runs from the Waha Hub in the Permian Basin to Agua Dulce, which is just west of Corpus Christi--would add up to 570 million standard cubic feet per day to the current 2.1 billion capacity. Subscribers can read detailed reports on the proposed expansions in Coyanosa, Del Rio and Big Wells, Texas.
Sital Mody, the president of natural gas for Kinder Morgan, noted the interest in GCX in the conference call. "Those conversations are happening. But as you know, we're in a very competitive environment, and returns are going to determine whether or not we proceed with the next project."
The company also expects to finish construction toward the end of the year on a pair of compressor-station expansions on its Permian Highway Pipeline, which is expected to add about 550 million standard cubic feet per day to the 2.1 million-capacity system. Both are expected to wrap up toward the end of the year. Subscribers can read detailed reports on the expansions in Fredericksburg and Big Lake, Texas.
Subscribers to Industrial Info's GMI Project Database can click here for a full list of detailed reports for projects mentioned in this article, and click here for a full list of related plant profiles.
Subscribers can click here for a list of detailed reports for active projects across the U.S. from Kinder Morgan.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) platform helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking more than 200,000 current and future projects worth $17.8 trillion (USD).
