January 2011 Vol. 238 No. 1
In The News
Kinder Morgan Foresees $1.4 Billion in Expansions, Acquisitions
Kinder Morgan Energy Partners LP said it will spend $1.4 billion in expansions and acquisitions in 2011. The amount is lower than the $1.5 billion it pledged to spend in 2010.
Jerry Swank, managing partner at investment firm Swank Capital, said the company would likely add or expand infrastructure in the Eagle Ford and Haynesville fields, the targets of much recent drilling for oil and gas.
The size of Kinder Morgan’s operations means it could also find smaller expansion projects just about anywhere in the country, Swank said.
Kinder Morgan plans to form a 50-50 joint venture with Copano Energy LLC to provide services to natural gas producer Chesapeake Energy Marketing in the Eagle Ford Shale. The company also bought a 50% interest in Petrohawk Energy Corp.’s natural gas gathering and treating business in the Haynesville Shale for $875 million in cash.
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