Dave Winans

Dave Winans asked about the CO2 business, specifically the potential for using CO2 sweeps in tight plays in the Midland and Delaware basins, and whether this represents a business opportunity for Kinder Morgan.

Answer

Anthony Ashley (President of CO2 and Energy Transition Ventures) expressed interest in supplying CO2 for such applications but stated that investing in the other side (participating in the sweeps) would require a close evaluation of risk and return. Kim Dang (CEO) added that the success of CO2 sweeps depends on how the field was initially fracked, and new ventures require higher returns to compensate for increased risk.

Dave Winans asked about Kinder Morgan's CO2 business, specifically if the company has looked into using CO2 sweeps in tight plays in the Midland and Delaware Basins, whether this represents a business opportunity, and if more proof of concept is needed.

Answer

Anthony Ashley, President of CO2 and Energy Transition Ventures, stated that Kinder Morgan would be interested in supplying CO2 for such applications but would need to closely evaluate the risk-return profile before considering investment in the operational side. Kim Dang, CEO, added that the success of CO2 flooding in previously fracked fields depends on the initial fracking method, and new ventures require a higher return to compensate for the increased risk of doing something less familiar.