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04/02/2013

Kinder Morgan Energy Partners Announces Open Season for Proposed Freedom Crude Oil Pipeline to Serve California Refining Centers

30-day binding open season to close at 5 p.m. CDT May 2, 2013

Kinder Morgan Freedom Pipeline LLC, a subsidiary of Kinder Morgan Energy Partners, L.P. (NYSE: KMP), is conducting a binding open season to determine industry interest in the development of an oil pipeline to transport crude oil from the Permian Basin of West Texas to serve the refining complexes of northern and southern California. The Kinder Morgan Freedom Pipeline is the only westbound crude oil pipeline proposed from the Permian Basin and would enable the transportation of crude oil from the Wink-Midland, Texas area to anticipated intrastate pipeline interconnection locations near Emidio and Pentland, California. As currently conceived, the project would have an initial capacity of approximately 277,000 barrels per day.

Subject to receiving customer support and regulatory approvals, construction of crude oil facilities and natural gas replacement facilities owned by Kinder Morgan affiliate El Paso Natural Gas Company, L.L.C. (EPNG) could begin by June 2015, with in-service of the Kinder Morgan Freedom Pipeline planned in the late fourth quarter of 2016.

Construction of the Kinder Morgan Freedom Pipeline largely will be within, or co-located adjacent to, existing utility rights-of-way for almost its entire approximately 1,025-mile length, which will minimize environmental impacts. As currently planned, the Kinder Morgan Freedom Pipeline Project will consist of the following major components:

  • Conversion to crude oil service of approximately 740 miles of existing natural gas pipeline currently owned by EPNG, as well as a return to service of inactive EPNG lines and construction of new crude pipeline and pumping stations;
  • Construction of approximately 22 miles of new pipeline for interconnections in California and approximately 200 miles of pipeline between Wink and El Paso, Texas; and
  • Construction of operational tank facilities in the receipt area of Wink and Midland, Texas, and at the points of delivery in California.

EPNG currently operates a multiple pipeline system that transports natural gas between the Permian Basin in West Texas and San Bernardino County, California. Kinder Morgan Freedom Pipeline is planning to pursue the acquisition of required pipelines owned by EPNG, subject to approval from the Federal Energy Regulatory Commission, and make improvements to such lines that will enable Kinder Morgan Freedom Pipeline to transport crude oil from West Texas to anticipated intrastate pipeline interconnection locations near Emidio and Pentland, California.

In order to participate in the open season, parties must have executed and delivered a confidentiality agreement and nomination of interest to Kinder Morgan by the close of the open season, at 5 p.m. CDT, May 2, 2013. For additional information on the open season, and to receive a confidentiality agreement, contact Tom Dobson at 719-520-4606 or tom_dobson@kindermorgan.com.

Potential shippers should direct any questions about this open season to the following:

Gregory W. Ruben
Vice President, Business Development
Two North Nevada Avenue
Colorado Springs, Colorado
Telephone: 719-520-4870
Email: Gregory_Ruben@kindermorgan.com

Tom Dobson
Account Director, Business Development
Two North Nevada Avenue
Colorado Springs, Colorado
Telephone: 719-520-4606
Email: Tom_Dobson@kindermorgan.com

Kinder Morgan Energy Partners, L.P. (NYSE: KMP) is a leading pipeline transportation and energy storage company and one of the largest publicly traded pipeline limited partnerships in America. It owns an interest in or operates approximately 44,000 miles of pipelines and 180 terminals. The general partner of KMP is owned by Kinder Morgan, Inc. (NYSE: KMI). Kinder Morgan is the largest midstream and the third largest energy company in North America with a combined enterprise value of approximately $100 billion. It owns an interest in or operates approximately 73,000 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 such products as ethanol, coal, petroleum coke and steel. KMI owns the general partner interests of KMP and El Paso Pipeline Partners, L.P. (NYSE: EPB), along with limited partner interests in KMP, Kinder Morgan Management, LLC (NYSE: KMR) and EPB. For more information please visit http://www.kindermorgan.com/.

This news release includes forward-looking statements. These 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 Kinder Morgan believes that these forward-looking statements 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 include those enumerated in Kinder Morgan’s reports filed with the Securities and Exchange Commission. Forward-looking statements speak only as of the date they were made, and except to the extent required by law, Kinder Morgan undertakes no obligation to update or review any forward-looking statement because of new information, future events or other factors. Because of these uncertainties, readers should not place undue reliance on these forward-looking statements.

Contact:

Media Relations
Richard Wheatley
(713) 420-6828
richard_wheatley@kindermorgan.com
or
Investor Relations
(713) 369-9490
km_IR@kindermorgan.com
www.kindermorgan.com

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