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06/14/2010

Kinder Morgan Energy Partners Announces Non-Binding Open Season for Moving NGLs from Marcellus

Kinder Morgan Energy Partners, L.P. (NYSE: KMP) today launched a 30-day non-binding open season to further gauge shipper interest for its Marcellus Lateral Project, which would enable the company to offer a new service for moving natural gas liquids (NGL) from the Marcellus Shale Basin to fractionation plants and petrochemical facilities near Sarnia, Ontario. The NGLs would be transported via approximately 230 miles of new pipeline and KMP’s existing Cochin pipeline system. Subject to regulatory approvals and necessary capital investments, Marcellus NGL shipments could begin as soon as mid-2012. Given appropriate levels of shipper support, Kinder Morgan could move over 150,000 barrels per day (bpd) at a rate as low as nine cents per gallon.

“We have developed our proposal based on discussions with Marcellus producers and gas processors and believe that Kinder Morgan offers the quickest and most efficient solution for the delivery of NGLs to the premium Ontario market,” said Don Lindley, vice president of business development for KMP’s Products Pipeline group. “We also anticipate, at some point in time, reversing a section of Cochin to offer service to Chicago area refiners, fractionation plants and petrochemical facilities.”

Those interested in obtaining more detailed information about this open season can visit the Kinder Morgan web site or contact either Karen Kabin at (713) 369-9268 or Karen_Kabin@kindermorgan.com, or Don Lindley at (713) 369-8840 or Don_Lindley@kindermorgan.com.

Cochin is a multi-product pipeline consisting of approximately 1,900 miles of 12-inch pipeline operating between Fort Saskatchewan, Alberta, and Windsor, Ontario. Cochin traverses three provinces in Canada and seven states in the United States, transporting propane, butane and natural gas liquids to the midwestern United States and eastern Canadian petrochemical and fuel markets. The pipeline includes 31 pump stations spaced at 60-mile intervals and five U.S. propane terminals. Underground storage, owned by third parties and KMP, is available at Fort Saskatchewan and Windsor.

Kinder Morgan Energy Partners, L.P. (NYSE: KMP) is a leading pipeline transportation and energy storage company in North America. KMP owns an interest in or operates more than 28,000 miles of pipelines and 180 terminals. Its pipelines transport natural gas, gasoline, crude oil, CO2 and other products, and its terminals store petroleum products and chemicals and handle bulk materials like coal and petroleum coke. KMP is also the leading provider of CO2 for enhanced oil recovery projects in North America. One of the largest publicly traded pipeline limited partnerships in America, KMP has an enterprise value of over $30 billion. The general partner of KMP is owned by Kinder Morgan, Inc., a private company.

This news release includes forward-looking statements. Although Kinder Morgan believes that its expectations are based on reasonable assumptions, it can give no assurance that such assumptions will materialize. Important factors that could cause actual results to differ materially from those in the forward-looking statements herein are enumerated in Kinder Morgan’s Forms 10-K and 10-Q as filed with the Securities and Exchange Commission.

Contact:

Kinder Morgan Energy Partners, L.P.
Karen Kabin, (713) 369-9268
Karen_Kabin@kindermorgan.com
or
Don Lindley, (713) 369-8840
Don_Lindley@kindermorgan.com

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