Kinder Morgan (KMI) Update - Jan 5
Posted: Tue Jan 05, 2021 12:49 pm
From BofA Equity Research Team: KMI places Permian Highway Pipeline into service
This morning, KMI announced that it placed the Permian Highway Pipeline (PHP) into full commercial service on 1 January 2021. PHP has already been flowing volumes during the
commissioning process for several weeks before the full in-service. According to KMI, PHP’s 2.1 bcf/d capacity is fully subscribed under long-term contracts. We expect PHP to address the
anticipated Permian natural gas takeaway constraints and also help reduce natural gas flaring. KMI owns a 26.7% interest in PHP along with 26.7% each for Eagle Claw Midstream and Altus Midstream while an affiliate of an anchor shipper has a 20% interest.
This morning, KMI announced that it placed the Permian Highway Pipeline (PHP) into full commercial service on 1 January 2021. PHP has already been flowing volumes during the
commissioning process for several weeks before the full in-service. According to KMI, PHP’s 2.1 bcf/d capacity is fully subscribed under long-term contracts. We expect PHP to address the
anticipated Permian natural gas takeaway constraints and also help reduce natural gas flaring. KMI owns a 26.7% interest in PHP along with 26.7% each for Eagle Claw Midstream and Altus Midstream while an affiliate of an anchor shipper has a 20% interest.