| Metric (Unit) | Q4 2022 | Q1 2023 | Q2 2023 | Q3 2023 | Q4 2023 | Q1 2024 | Q2 2024 | Q3 2024 |
|---------------|---------|---------|---------|---------|---------|---------|---------|---------|
| SACROC Oil Production (MBbl/d) | **20.82**  **[0001506307-23-000002_kmi2022q48-kex991.htm:16]**  | **18.90**  **[0001506307-23-000036_kmi-20230331.htm:41]** **[0001506307-23-000034_kmi2023q18-kex991.htm:16]**  | **21.81**  **[0001506307-23-000081_kmi-20230630.htm:48]** **[0001506307-23-000058_kmi2023q28-kex991.htm:17]**  | **19.59**  **[0001506307-23-000118_kmi-20230930.htm:52]** **[0001506307-23-000116_kmi2023q38-kex991.htm:16]**  | **19.42**  **[0001506307-24-000004_kmi2023q48-kex991.htm:18]**  | **19.11**  **[0001506307-24-000031_kmi-20240331.htm:44]**  | **18.91**  **[0001506307-24-000074_kmi-20240630.htm:55]** **[0001506307-24-000051_kmi2024q28-kex991.htm:17]**  | **19.02**  **[0001506307-24-000117_kmi2024q38-kex991.htm:15]** **[0001506307-24-000119_kmi-20240930.htm:56]**  |
| Yates Oil Production (MBbl/d) | **6.52**  **[0001506307-23-000002_kmi2022q48-kex991.htm:16]**  | **6.74**  **[0001506307-23-000036_kmi-20230331.htm:41]**  | **6.55**  **[0001506307-23-000081_kmi-20230630.htm:48]**  | **6.66**  **[0001506307-23-000118_kmi-20230930.htm:52]** **[0001506307-23-000116_kmi2023q38-kex991.htm:16]**  | **6.58**  **[0001506307-24-000004_kmi2023q48-kex991.htm:18]**  | **6.25**  **[0001506307-24-000031_kmi-20240331.htm:44]**  | **6.09**  **[0001506307-24-000074_kmi-20240630.htm:55]** **[0001506307-24-000051_kmi2024q28-kex991.htm:17]**  | **5.90**  **[0001506307-24-000117_kmi2024q38-kex991.htm:15]** **[0001506307-24-000119_kmi-20240930.htm:56]**  |
| Total Oil Production, Net (MBbl/d) | **29.89**  **[0001506307-23-000002_kmi2022q48-kex991.htm:16]**  | **28.25**  **[0001506307-23-000034_kmi2023q18-kex991.htm:16]**  | **30.82**  **[0001506307-23-000081_kmi-20230630.htm:48]**  | **28.77**  **[0001506307-23-000118_kmi-20230930.htm:52]** **[0001506307-23-000116_kmi2023q38-kex991.htm:16]**  | **28.16**  **[0001506307-24-000004_kmi2023q48-kex991.htm:18]**  | **27.41**  **[0001506307-24-000031_kmi-20240331.htm:44]**  | **26.05**  **[0001506307-24-000074_kmi-20240630.htm:55]**  | **25.92**  **[0001506307-24-000117_kmi2024q38-kex991.htm:15]** **[0001506307-24-000119_kmi-20240930.htm:56]**  |
| NGL Sales Volumes, Net (MBbl/d) | **9.20**  **[0001506307-23-000002_kmi2022q48-kex991.htm:16]**  | **8.16**  **[0001506307-23-000034_kmi2023q18-kex991.htm:16]** **[0001506307-23-000036_kmi-20230331.htm:41]**  | **9.24**  **[0001506307-23-000081_kmi-20230630.htm:48]**  | **8.98**  **[0001506307-23-000118_kmi-20230930.htm:52]**  | **9.11**  **[0001506307-24-000004_kmi2023q48-kex991.htm:18]**  | **8.87**  **[0001506307-24-000031_kmi-20240331.htm:44]**  | **7.97**  **[0001506307-24-000074_kmi-20240630.htm:55]**  | **8.69**  **[0001506307-24-000119_kmi-20240930.htm:56]**  |
| CO2 Sales Volumes, Net (Bcf/d) | **0.38**  **[0001506307-23-000002_kmi2022q48-kex991.htm:16]**  | **0.36**  **[0001506307-23-000034_kmi2023q18-kex991.htm:16]**  | **0.342**  **[0001506307-23-000081_kmi-20230630.htm:48]** **[0001506307-23-000058_kmi2023q28-kex991.htm:17]**  | **0.311**  **[0001506307-23-000118_kmi-20230930.htm:52]** **[0001506307-23-000116_kmi2023q38-kex991.htm:16]**  | **0.328**  **[0001506307-24-000004_kmi2023q48-kex991.htm:18]**  | **0.335**  **[0001506307-24-000029_kmi2024q18-kex991.htm:13]**  | **0.316**  **[0001506307-24-000074_kmi-20240630.htm:55]** **[0001506307-24-000051_kmi2024q28-kex991.htm:17]**  | **0.319**  **[0001506307-24-000119_kmi-20240930.htm:56]** **[0001506307-24-000117_kmi2024q38-kex991.htm:15]**  |
| RNG Sales Volumes (BBtu/d) | **7**  **[0001506307-24-000004_kmi2023q48-kex991.htm:18]**  | **7**  **[0001506307-24-000031_kmi-20240331.htm:44]**  | **9**  **[0001506307-24-000051_kmi2024q28-kex991.htm:17]** **[0001506307-24-000074_kmi-20240630.htm:55]**  | **6**  **[0001506307-24-000117_kmi2024q38-kex991.htm:15]**  |
| Transport Volumes (BBtu/d) | **40,072**  **[0001506307-23-000002_kmi2022q48-kex991.htm:16]**  | **40,400**  **[0001506307-23-000034_kmi2023q18-kex991.htm:16]**  | **39,173**  **[0001506307-23-000058_kmi2023q28-kex991.htm:17]**  | **40,201**  **[0001506307-23-000116_kmi2023q38-kex991.htm:16]** **[0001506307-23-000118_kmi-20230930.htm:47]**  | **41,461**  **[0001506307-24-000004_kmi2023q48-kex991.htm:18]**  | **41,432**  **[0001506307-24-000029_kmi2024q18-kex991.htm:13]**  | **42,122**  **[0001506307-24-000051_kmi2024q28-kex991.htm:17]** **[0001506307-24-000074_kmi-20240630.htm:50]**  | **44,824**  **[0001506307-24-000117_kmi2024q38-kex991.htm:15]** **[0001506307-24-000119_kmi-20240930.htm:51]**  |
| Sales Volumes (BBtu/d) | **2,366**  **[0001506307-23-000002_kmi2022q48-kex991.htm:16]**  | **2,117**  **[0001506307-23-000034_kmi2023q18-kex991.htm:16]**  | **2,220**  **[0001506307-23-000058_kmi2023q28-kex991.htm:17]**  | **2,574**  **[0001506307-23-000116_kmi2023q38-kex991.htm:16]** **[0001506307-23-000118_kmi-20230930.htm:47]**  | **2,466**  **[0001506307-24-000004_kmi2023q48-kex991.htm:18]**  | **2,563**  **[0001506307-24-000029_kmi2024q18-kex991.htm:13]**  | **2,457**  **[0001506307-24-000051_kmi2024q28-kex991.htm:17]** **[0001506307-24-000074_kmi-20240630.htm:50]**  | **2,656**  **[0001506307-24-000117_kmi2024q38-kex991.htm:15]** **[0001506307-24-000119_kmi-20240930.htm:51]**  |
| Gathering Volumes (BBtu/d) | **3,183**  **[0001506307-23-000002_kmi2022q48-kex991.htm:16]**  | **3,325**  **[0001506307-23-000034_kmi2023q18-kex991.htm:16]**  | **3,518**  **[0001506307-23-000058_kmi2023q28-kex991.htm:17]**  | **3,474**  **[0001506307-23-000116_kmi2023q38-kex991.htm:16]**  | **3,973**  **[0001506307-24-000004_kmi2023q48-kex991.htm:18]**  | **3,584**  **[0001506307-24-000029_kmi2024q18-kex991.htm:13]** **[0001506307-24-000031_kmi-20240331.htm:41]**  | **4,013**  **[0001506307-24-000051_kmi2024q28-kex991.htm:17]** **[0001506307-24-000074_kmi-20240630.htm:50]**  | **3,825**  **[0001506307-24-000117_kmi2024q38-kex991.htm:15]**  |
| NGLs (MBbl/d) | **33**  **[0001506307-23-000002_kmi2022q48-kex991.htm:16]**  | **35**  **[0001506307-23-000034_kmi2023q18-kex991.htm:16]**  | **34**  **[0001506307-23-000058_kmi2023q28-kex991.htm:17]**  | **35**  **[0001506307-23-000116_kmi2023q38-kex991.htm:16]** **[0001506307-23-000118_kmi-20230930.htm:47]**  | **35**  **[0001506307-24-000004_kmi2023q48-kex991.htm:18]**  | **37**  **[0001506307-24-000029_kmi2024q18-kex991.htm:13]**  | **42**  **[0001506307-24-000051_kmi2024q28-kex991.htm:17]**  | **34**  **[0001506307-24-000117_kmi2024q38-kex991.htm:15]** **[0001506307-24-000119_kmi-20240930.htm:51]**  |
| Liquids Leasable Capacity (MMBbl) | **77.8**  **[0001506307-23-000002_kmi2022q48-kex991.htm:16]**  | **78.3**  **[0001506307-23-000036_kmi-20230331.htm:40]** **[0001506307-23-000034_kmi2023q18-kex991.htm:16]**  | **78.6**  **[0001506307-23-000081_kmi-20230630.htm:47]** **[0001506307-23-000058_kmi2023q28-kex991.htm:17]**  | **78.7**  **[0001506307-23-000118_kmi-20230930.htm:51]** **[0001506307-23-000116_kmi2023q38-kex991.htm:16]**  | **78.7**  **[0001506307-24-000004_kmi2023q48-kex991.htm:18]** **[0001506307-24-000011_kmi-20231231.htm:80]**  | **78.6**  **[0001506307-24-000031_kmi-20240331.htm:43]** **[0001506307-24-000029_kmi2024q18-kex991.htm:13]**  | **78.6**  **[0001506307-24-000074_kmi-20240630.htm:54]** **[0001506307-24-000051_kmi2024q28-kex991.htm:17]**  | **78.6**  **[0001506307-24-000119_kmi-20240930.htm:55]** **[0001506307-24-000117_kmi2024q38-kex991.htm:15]**  |
| Liquids Utilization (%) | **93.3**  **[0001506307-23-000002_kmi2022q48-kex991.htm:16]**  | **93**  **[KMI_3246819_2]**  | **94**  **[KMI_3384242_2]** **[KMI_3254892_2]**  | **95**  **[KMI_3337653_2]**  | **93.6**  **[0001506307-24-000011_kmi-20231231.htm:80]**  | **93.8**  **[0001506307-24-000031_kmi-20240331.htm:44]**  | **94.3**  **[0001506307-24-000074_kmi-20240630.htm:54]**  | **94.9**  **[0001506307-24-000119_kmi-20240930.htm:55]**  |
| Bulk Transload Tonnage (MMtons) | **13.2**  **[0001506307-23-000002_kmi2022q48-kex991.htm:16]**  | **13.4**  **[0001506307-23-000034_kmi2023q18-kex991.htm:16]**  | **13.7**  **[0001506307-23-000058_kmi2023q28-kex991.htm:17]**  | **12.6**  **[0001506307-23-000116_kmi2023q38-kex991.htm:16]**  | **13.5**  **[0001506307-24-000004_kmi2023q48-kex991.htm:18]**  | **13.5**  **[0001506307-24-000031_kmi-20240331.htm:43]**  | **14.1**  **[0001506307-24-000074_kmi-20240630.htm:54]** **[0001506307-24-000051_kmi2024q28-kex991.htm:17]**  | **13.4**  **[0001506307-24-000119_kmi-20240930.htm:55]** **[0001506307-24-000117_kmi2024q38-kex991.htm:15]**  |

56eb54fef7d0f4946984cd16d0ee492e9467e179473b307d1262dc6230ac1bdf

| Segment / Quarter | Q1 2023 | Q2 2023 | Q3 2023 | Q4 2023 | Q1 2024 | Q2 2024 | Q3 2024 | Q4 2024 |
|-------------------|---------|---------|---------|---------|---------|---------|---------|---------|
| **Natural Gas Pipelines** ($ million) | **2,466**  **[0001506307-23-000036_kmi-20230331.htm:20]**  | N/A | **2,273**  **[0001506307-23-000118_kmi-20230930.htm:23]**  | N/A | **2,336**  **[0001506307-24-000031_kmi-20240331.htm:21]**  | **1,993**  **[0001506307-24-000074_kmi-20240630.htm:21]**  | **2,176**  **[0001506307-24-000119_kmi-20240930.htm:21]**  | N/A |
| **Products Pipelines** ($ million) | **668**  **[0001506307-23-000036_kmi-20230331.htm:20]**  | N/A | **862**  **[0001506307-23-000118_kmi-20230930.htm:23]**  | N/A | **728**  **[0001506307-24-000031_kmi-20240331.htm:21]**  | **776**  **[0001506307-24-000074_kmi-20240630.htm:21]**  | **711**  **[0001506307-24-000119_kmi-20240930.htm:24]**  | N/A |
| **Terminals** ($ million) | **461**  **[0001506307-23-000036_kmi-20230331.htm:20]**  | N/A | **484**  **[0001506307-23-000118_kmi-20230930.htm:23]**  | N/A | **496**  **[0001506307-24-000031_kmi-20240331.htm:21]**  | **509**  **[0001506307-24-000074_kmi-20240630.htm:21]**  | **498**  **[0001506307-24-000119_kmi-20240930.htm:24]**  | N/A |
| **CO2** ($ million) | **297**  **[0001506307-23-000036_kmi-20230331.htm:20]**  | N/A | **297**  **[0001506307-23-000118_kmi-20230930.htm:23]**  | N/A | **288**  **[0001506307-24-000031_kmi-20240331.htm:21]**  | **298**  **[0001506307-24-000074_kmi-20240630.htm:21]**  | **319**  **[0001506307-24-000119_kmi-20240930.htm:24]**  | N/A |
| **Corporate and Eliminations** ($ million) | **-4**  **[0001506307-23-000036_kmi-20230331.htm:20]**  | N/A | **-9**  **[0001506307-23-000118_kmi-20230930.htm:23]**  | N/A | **-6**  **[0001506307-24-000031_kmi-20240331.htm:21]**  | **-4**  **[0001506307-24-000074_kmi-20240630.htm:21]**  | **-5**  **[0001506307-24-000119_kmi-20240930.htm:24]**  | N/A |
| **Total Revenue** ($ million) | **3,888**  **[0001506307-23-000036_kmi-20230331.htm:20]**  | **3,500**  **[KMI_3254892_4]**  | **3,907**  **[0001506307-23-000118_kmi-20230930.htm:23]**  | N/A | **3,842**  **[0001506307-24-000031_kmi-20240331.htm:21]**  | **3,572**  **[0001506307-24-000074_kmi-20240630.htm:21]**  | **3,699**  **[0001506307-24-000119_kmi-20240930.htm:24]**  | N/A |

eae2e7df735b1ab9137862b63482ee4defbca2d216bd915a82116f183252aeef

KMI is one of the largest energy infrastructure companies in North America, operating approximately 82,000 miles of pipelines and 139 terminals as of December 31, 2023. The company is primarily involved in the transportation and storage of energy products, including natural gas, petroleum products, and CO2, contributing to enhanced oil recovery **[0001506307-24-000011_kmi-20231231.htm:7]** **[KMI_3370767_3]**. KMI's business is divided into several segments, with the Natural Gas Pipelines segment being the largest contributor, followed by Products Pipelines, Terminals, and CO2 **[KMI_3370767_3]** **[0001506307-24-000011_kmi-20231231.htm:16]**.

1. **Natural Gas Pipelines** - Operates major interstate and intrastate pipelines, storage systems, and LNG facilities, providing transportation and storage services that significantly contribute to the company's revenue **[0001506307-24-000011_kmi-20231231.htm:7]** **[KMI_3370767_3]**.
2. **Products Pipelines** - Transports refined petroleum products, crude oil, and condensate, making KMI the largest independent transporter of petroleum products in the U.S. **[KMI_3370767_3]**.
3. **Terminals** - Handles various commodities, including gasoline, diesel, and chemicals, under long-term contracts, contributing to a stable revenue stream **[0001506307-24-000011_kmi-20231231.htm:16]**.
4. **CO2** - Involved in CO2 production and transportation for enhanced oil recovery, contributing to the company's business **[KMI_3370767_3]**.

938c1fd7ce3dc6ffbdafc7c441e0868fbaee93676eb2e5070e1db2286e6820b8

1. Given the significant increase in your capital backlog to **$5.1 billion**  **[KMI_3402893_4]** , and the expectation of additional large projects, how do you plan to manage higher capital expenditures while maintaining your target debt-to-EBITDA ratio, especially if annual CapEx exceeds the **$2.5 billion** you can fund from cash flow?  **[KMI_3402893_6]** ,  **[KMI_3402893_18]** 

2. Considering the ongoing legal challenges to infrastructure projects, such as the issues encountered with the Cumberland project  **[KMI_3402893_19]** , how are you adapting your permitting strategy and risk management to mitigate the impact of potential court delays and ensure timely project completion?  **[KMI_3402893_19]** 

3. With the reported weakness in gathering and processing volumes due to lower commodity prices  **[KMI_3402893_5]** , and uncertainty about G&P volumes into 2025  **[KMI_3402893_5]** , what measures are you taking to address this softness and what is your outlook for this segment?

4. As you engage in discussions with power plants across multiple states and see significant opportunities in power demand  **[KMI_3402893_4]** , but currently have no concrete plans to provide power directly  **[KMI_3402893_17]** , how do you intend to capture the full value of this power demand growth, and would you consider expanding into power generation or behind-the-meter solutions in the future?  **[KMI_3402893_4]** ,  **[KMI_3402893_17]** 

5. Given that only about **25%** of your storage capacity is at market-based rates and some contracts are yet to roll over  **[KMI_3402893_13]** , how much incremental revenue do you expect from rolling these contracts to higher market rates, and over what timeframe will this tailwind materialize?  **[KMI_3402893_13]** 

900116f0f52cbf330fd6b68b5e3ead0bb53c41fc89f8ae16cc0c0ceacc932fc0

- Suppliers with ownership interest in McElmo Dome, Bravo Dome, and Sheep Mountain CO2 resources  **[0001506307-24-000011_kmi-20231231.htm:18]** 
- Other CO2 pipelines competing with Kinder Morgan's ownership interests in the Central Basin, Cortez, and Bravo pipelines  **[0001506307-24-000011_kmi-20231231.htm:18]** 
- Other interest owners in the McElmo Dome unit and the Bravo Dome unit for transportation of CO2 to the Denver City, Texas market area  **[0001506307-24-000011_kmi-20231231.htm:18]** 
- Interstate and intrastate pipelines for connections to new markets and supplies and for transportation, processing, storage, and treating services  **[0001506307-24-000011_kmi-20231231.htm:14]** 
- Proprietary pipelines and terminals owned and operated by major oil companies, other independent products pipelines and terminals, trucking, and marine transportation firms  **[0001506307-24-000011_kmi-20231231.htm:15]** 
- Refineries owned by major oil companies and independent transmix facilities  **[0001506307-24-000011_kmi-20231231.htm:15]** 

6477a5739f69c79c76cd40d1c960345823c972a082c54cf2b50fda31a0c4ec45

SACROC Oil Production (MBbl/d)

Yates Oil Production (MBbl/d)

NGL Sales Volumes, Net (MBbl/d)

CO2 Sales Volumes, Net (Bcf/d)

RNG Sales Volumes (BBtu/d)

Transport Volumes (BBtu/d)

Sales Volumes (BBtu/d)

Gathering Volumes (BBtu/d)

NGLs (MBbl/d)

Liquids Leasable Capacity (MMBbl)

Liquids Utilization (%)

Bulk Transload Tonnage (MMtons)

ddeb7265865a9745c52e8ebfc0b64ba0248422cc8bb4978a2ba413f136f2f48a

eead27f52210730546829f1924bf13b1c3a012efa17be41d4b2940bdcc5f4645

Adjustments for Non-Cash Items [USD, Millions]

Stock-Based Compensation [USD, Millions]

Changes in Working Capital [USD, Millions]

Capital Expenditures (CapEx) [USD, Millions]

Proceeds from / Repayments of Debt [USD, Millions]

Share Repurchases [USD, Millions]

Dividend Payments [USD, Millions]

Net Change in Cash [USD, Millions]

faecbd8bc15048d6a3ae541f032872d1e84f7c7da9eb507e8882e789f344395e

Total Revenue [USD, Millions]

Cost of Goods Sold (COGS) [USD, Millions]

SG&A [USD, Millions]

R&D [USD, Millions]

D&A [USD, Millions]

Interest Expense [USD, Millions]

Operating Income (EBIT) [USD, Millions]

Net Income [USD, Millions]

EPS - Basic [USD, Per Share]

EPS - Diluted [USD, Per Share]

640b0b14f343e6bd93a6b53f6986805699ced26014a7e94760d9455efa6149ff

- **Kinder Morgan Inc. (KMI) has increased its adjusted EPS growth guidance for 2025 to 10%, up from the previously expected 8%, with potential for further upside due to higher commodity prices and favorable macro trends.**  **[KMI_3413019_6]**
- **KMI has expanded its project backlog to $8.1 billion, the largest in recent years, indicating a strong pipeline of growth projects.** The company expects to continue adding to this backlog due to significant opportunities in the natural gas market.  **[KMI_3413019_15]**
- **KMI is well-positioned to benefit from the projected 28 Bcf/day increase in natural gas demand by 2030,** driven by factors such as increased power demand from data centers and AI infrastructure investments. Their strategically located infrastructure enables them to capitalize on these opportunities.  **[KMI_3413019_7]** **[KMI_3413019_9]**

248e3f8e82ba4816e5d66c76a565615046246fa2afc5dedced75fd9a03ccd2b8

- **Potential cost inflation risks on large capital projects due to inflationary pressures**, as the company is expanding significantly with over **$5 billion** in new projects. Analysts express concern that large simultaneous projects could lead to cost overruns similar to past experiences (e.g., Rockies Express in 2009). While management is taking steps to mitigate this risk, cost inflation remains a potential headwind.  **[KMI_3413019_24]**
- **Lower than expected Q4 2024 EBITDA**, with the company reporting about **$100 million below the initial quarterly budget** due to commodity headwinds, lower than expected Renewable Natural Gas (RNG) sales, and delays in Renewable Identification Numbers (RINs) sales because of market illiquidity. This underperformance could indicate challenges in achieving forecasted earnings growth.  **[KMI_3413019_12]**
- **Continued challenges in obtaining state-level permits for pipeline expansions in the Northeast**, limiting the company's ability to capitalize on growth opportunities in that region. Management acknowledges that they have not seen any changes in the permitting environment, suggesting that expansion in the Northeast remains constrained.  **[KMI_3413019_23]**

4f5d0960df869a1c818f31264acda7aa8f96f8d995fdd6b314ffc054b996751d

1. **EPS Growth Outlook**  
   **Q:** Can EPS growth exceed 10% in 2025?  
   **A:** Management indicated that with favorable commodity prices and the accretive Outrigger acquisition, there is potential for EPS growth to exceed **10%** in 2025.  **[KMI_3413019_6]**  Higher crude and natural gas prices could boost gathering and processing volumes, and they also see upside in the Jones Act tankers. While it's early in the year, they are optimistic but are not changing guidance yet.  **[KMI_3413019_6]** 

2. **Project Backlog and CapEx Plans**  
   **Q:** Can you elaborate on the $8.1 billion backlog and future capital expenditure plans?  
   **A:** The project backlog is at **$8.1 billion**, the largest in some time.  **[KMI_3413019_17]**  Management plans to spend around **$2.5 billion per year** on capital projects over the next several years, funded internally  **[KMI_3413019_17]** ,.  **[KMI_3413019_19]**  Although adding over **$5 billion** of projects last year is hard to repeat, they see significant opportunities due to expected natural gas demand growth of **28 Bcf/day** by 2030  **[KMI_3413019_17]** ,.  **[KMI_3413019_6]**  They anticipate ongoing additions to the backlog, including both large-scale and smaller projects.  **[KMI_3413019_15]** 

3. **Acquisition Strategy**  
   **Q:** How are you balancing acquisitions with increased organic investment opportunities?  
   **A:** The company approaches M&A opportunistically, evaluating each opportunity individually.  **[KMI_3413019_13]**  Their acquisition criteria remain unchanged. Currently, they can fully fund contracts with internally generated cash and have no need to issue equity. However, for a substantial acquisition that makes economic sense, they are not opposed to issuing equity.  **[KMI_3413019_13]** 

4. **LNG Export Opportunities**  
   **Q:** Can you speak to your positioning regarding LNG exports?  
   **A:** Kinder Morgan serves about **45%** of the LNG export market.  **[KMI_3413019_12]**  They have total contracts of approximately **10.7 Bcf/day** for LNG exports, which will grow over time.  **[KMI_3413019_12]**  With an anticipated future capacity addition of **15 Bcf/day**, they see significant opportunities to capture more market share as LNG demand grows.  **[KMI_3413019_12]** 

5. **Impact of New Administration on Natural Gas Demand**  
   **Q:** How does the new administration's emphasis on AI and data centers affect natural gas demand and Kinder Morgan?  
   **A:** Management believes they are in the early stages of a positive trend with increasing power demand from data centers  **[KMI_3413019_7]** ,.  **[KMI_3413019_8]**  The administration's support for data center development and American energy contributes to promising long-term natural gas demand growth, projected to increase by **28 Bcf/day** by 2030.  **[KMI_3413019_7]**  They see potential for power demand growth to exceed current estimates of **3 Bcf/day**, possibly reaching **10 Bcf/day**.  **[KMI_3413019_7]** 

6. **Q4 EBITDA Shortfall Explanation**  
   **Q:** What factors contributed to the Q4 EBITDA being $100 million below budget?  
   **A:** The shortfall was due to commodity headwinds, lower than expected Renewable Natural Gas (RNG) sales, and a delay in Renewable Identification Numbers (RINs) sales caused by market liquidity issues.  **[KMI_3413019_14]**  Some RINs produced in the quarter were pushed into the next year.  **[KMI_3413019_14]** 

7. **Shift Toward Smaller Projects**  
   **Q:** Do you foresee a shift to smaller end-user projects like laterals to power plants or data centers?  
   **A:** Management anticipates opportunities in both large-scale projects and smaller "singles and doubles" connecting to power plants and data centers.  **[KMI_3413019_15]**  While larger projects are more complex and less frequent, they expect more opportunities in smaller capital-efficient projects, which may offer better multiples.  **[KMI_3413019_15]** 

8. **Haynesville Volume Outlook**  
   **Q:** How are you forecasting the return of Haynesville volumes?  
   **A:** After a pullback due to lower prices, activity in the Haynesville is picking up, driven by expectations of increased LNG demand.  **[KMI_3413019_16]**  If current prices are sustained, they anticipate more activity in the basin.  **[KMI_3413019_16]** 

9. **Leverage and Funding Capacity**  
   **Q:** Is $2.5 billion per year a spending ceiling, and how do you fund it?  
   **A:** The **$2.5 billion per year** is an average estimate based on current projects and likely opportunities over the next 3–4 years.  **[KMI_3413019_19]**  They can fund this amount internally without external capital and can handle annual fluctuations due to their strong balance sheet, ending the year at **4x** leverage and expecting to reach **3.8x** by the end of 2025.  **[KMI_3413019_19]** 

10. **Impact of Weather Events**  
    **Q:** How have recent weather events impacted operations?  
    **A:** There was no significant impact from California fires or cold weather events.  **[KMI_3413019_18]**  Operations were briefly down for two days on some pipelines in California, but volumes are expected to be made up.  **[KMI_3413019_18]**  Their operations team managed the cold weather effectively with minimal disruptions.  **[KMI_3413019_18]** 

11. **Procurement Strategies Amid Inflation**  
    **Q:** How are you mitigating cost inflation risks in your projects?  
    **A:** Management is proactively engaged in procurement for all three major pipeline projects.    They have agreements in place to purchase steel and compression equipment, working diligently to mitigate cost inflation risks.   

12. **Northeast Expansion Challenges**  
    **Q:** Are there changes that might make Northeast pipeline expansions more feasible?  
    **A:** The main challenges in the Northeast are state-level permits and commercial structures, not federal permitting.  **[KMI_3413019_23]**  The inability for Independent Power Producers to pass through fixed demand charges makes it harder for them to contract on a firm basis. There have been no changes in these hurdles.  **[KMI_3413019_23]** 

14f96290c2c192fae22885461f16d0baca5114bc438fb90ec1c841915c862d21

8ea1d8961f4c457071d7f724eacb41fa598a92d27ce31389d074711284c63b2d

KMI lifts 2025 EPS growth guidance to 10% (from 8%) on favorable commodity trends, with potential upside ahead. Project backlog of $8.1B, the largest in years, underpins expansion. Despite a $100M Q4 EBITDA shortfall, management remains confident.

f98266d611a869371b97d3cf5f881d8219740dec9dc3750d71d8fbc6c131b877

United States

Canada

Mexico

Mexico and other foreign

Total Revenue

a283002f8a98de0e2fdfe53cf5bfc709ee5229361d0dba74b60144d97c70ac0b

23794d91c53ae875c8e247d72561e35d9d06ee07c70c9e0dbcc977a6d161504a

### Q3 2024 Earnings Call
- **Issued Period**: Q3 2024
- **Guided Period**: FY 2024 and looking ahead into FY 2025
- **Guidance**:
  1. **Natural Gas Gathering Volumes**: Expected to average **8% below** their 2024 plan but **5% over** 2023 levels  **[KMI_3402893_2]** .
  2. **Refined Products Volumes**: Expected to be slightly below their plan to **2% over** 2023 levels for the full year  **[KMI_3402893_2]** .
  3. **Oil Volumes**: Expected to be roughly flat to budget for the full year  **[KMI_3402893_2]** .
  4. **EBITDA Growth**: Expected to grow by **5%** for the year compared to 2023  **[KMI_3402893_1]** .
  5. **Earnings Per Share (EPS) Growth**: Expected to grow by **9%** for the year compared to 2023  **[KMI_3402893_1]** .
  6. **Adjusted EBITDA**: Expected to be **5% higher** than 2023 for the full year  **[KMI_3402893_3]** .
  7. **Adjusted EPS**: Expected to be **9% higher** than 2023 for the full year  **[KMI_3402893_3]** .
  8. **Debt to EBITDA Ratio**: Expected to end the year around **4x**  **[KMI_3402893_18]** .
  9. **Sustaining Capital**: Expected to be in line with the budget for the full year  **[KMI_3402893_3]** .
  10. **Cash Taxes**: Expected to increase slightly but not be overly significant  **[KMI_3402893_5]** .

### Q2 2024 Earnings Call
- **Issued Period**: Q2 2024
- **Guided Period**: FY 2024
- **Guidance**:
  1. **Dividend**: Declared a dividend of **$0.2875 per share**, which is **$1.15 per share annualized**, up 2% from the 2023 dividend  **[KMI_3393401_4]** .
  2. **Natural Gas Gathering Volumes**: Expected to average about **6% below the 2024 plan** but still **8% over 2023**  **[KMI_3393401_3]** .
  3. **Refined Product Volumes**: Expected to be slightly below the plan by about **1%** but **2% over 2023**  **[KMI_3393401_3]** .
  4. **Oil Volumes in CO2 Segment**: Expected to be **2% below budget** and **10% below 2023** for the full year  **[KMI_3393401_3]** .
  5. **Sustaining Capital Expenditures**: Expected to be in line with the budget for the full year  **[KMI_3393401_4]** .
  6. **Cash Taxes**: Expected to be favorable for the full year  **[KMI_3393401_4]** .
  7. **Debt-to-EBITDA Ratio**: Ended the quarter at **4.1x**, consistent with the budget  **[KMI_3393401_2]** .
  8. **Capital Expenditures**: Expected to be around **$2 billion** annually, with potential variations  **[KMI_3393401_15]** .
  9. **Backlog**: Increased by **$1.9 billion** to **$5.2 billion** during the quarter  **[KMI_3393401_2]** .

### Q1 2024 Earnings Call
- **Issued Period**: Q1 2024
- **Guided Period**: FY 2024
- **Guidance**:
  1. **Dividend**: Declared a dividend of **$0.2875 per share**, which is **$1.15 per share annualized**, up 2% from 2023  **[KMI_3379933_4]** .
  2. **Adjusted EPS Growth**: Financial outlook includes a **14% growth in adjusted EPS** for the year  **[KMI_3379933_2]** .
  3. **Debt to EBITDA Ratio**: Ended the quarter at **4.1x debt to EBITDA** and adjusted their long-term leverage target to a range of **3.5 to 4.5x**  **[KMI_3379933_2]** **[KMI_3379933_5]** .
  4. **Cash Taxes and Sustaining CapEx**: First quarter DCF was impacted by higher cash taxes and sustaining CapEx, but they expect cash taxes to be favorable for the full year and sustaining capital to be in line with their budget for the full year  **[KMI_3379933_4]** .
  5. **Natural Gas Demand**: Anticipated significant growth in natural gas demand, with expectations of more than doubling LNG exports and a 50% increase in exports to Mexico by 2030. Additionally, there is an expected substantial increase in gas demand from power associated with AI and data centers  **[KMI_3379933_2]** .
  6. **Backlog of Projects**: Increased by about **$300 million** during the quarter due to new natural gas projects added  **[KMI_3379933_2]** **[KMI_3379933_13]** .

### Q4 2023 Earnings Call
- **Issued Period**: Q4 2023
- **Guided Period**: FY 2024
- **Guidance**:
  1. **Earnings Per Share (EPS)**: Projected to grow by **15%** compared to 2023  **[KMI_3370332_1]** .
  2. **Distributable Cash Flow (DCF) per Share**: Expected to grow by **8%** over 2023  **[KMI_3370332_1]** .
  3. **EBITDA Growth**: Projected growth of **8%**  **[KMI_3370332_3]** .
  4. **Leverage Ratio**: Expected to improve to **3.9x** by the end of 2024  **[KMI_3370332_3]** .
  5. **Commodity Price Assumptions**: Assumed WTI price of **$82 per barrel** and Henry Hub natural gas price of **$3.50**  **[KMI_3370332_1]** .
  6. **Capital Expenditures**: Expected to be at the high end of the **$1 billion to $2 billion** per year discretionary CapEx range  **[KMI_3370332_1]** .
  7. **Natural Gas Market Growth**: Anticipated **20% growth** in the natural gas market by 2030, driven by LNG exports, exports to Mexico, and industrial demand  **[KMI_3370332_1]** .

ec85186e8c6c55acf4ac5102dd9131a69a8a8569e15b34633d86d61006d6b6d4

| Name                | Position                                      | Start Date         | Short Bio                                                                                                                                                                                                 |
|---------------------|-----------------------------------------------|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| Richard D. Kinder   | Director and Executive Chairman               | 1999               | Richard D. Kinder has been a Director and the Executive Chairman of KMI since 1999. He served as CEO until 2015, providing unmatched familiarity with the company's strategy, operations, and finances  **[0001506307-24-000022_kmi-20240326.htm:11]** **[0001104659-23-039853_tm231838d4_def14a.htm:11]** **[0001104659-23-030010_tm231838d2_pre14a.htm:11]** .                                |
| Kimberly A. Dang    | Director and Chief Executive Officer          | August 1, 2023     | Kimberly A. Dang has been a director since 2017 and became CEO on August 1, 2023. She was President from 2018 to August 2023 and has held various roles since 2001  **[0001506307-24-000022_kmi-20240326.htm:11]** **[0001104659-23-039853_tm231838d4_def14a.htm:11]** **[0001104659-23-030010_tm231838d2_pre14a.htm:11]** .                                                                  |
| Thomas A. Martin    | President                                     | August 2023        | Thomas A. Martin became President in August 2023 after serving as Executive Vice President. He has been with Kinder Morgan since 2003 in various roles  **[0001506307-24-000022_kmi-20240326.htm:33]** **[0001104659-23-039853_tm231838d4_def14a.htm:35]** .                                                                                  |
| Anthony B. Ashley   | Vice President (President, CO2 and Energy Transition Ventures) | June 2022          | Anthony B. Ashley was elected Vice President in June 2022. He previously served as Vice President, Energy Transition Ventures from February 2021  **[0001506307-24-000022_kmi-20240326.htm:33]** **[0001104659-23-039853_tm231838d4_def14a.htm:34]** **[0001104659-23-030010_tm231838d2_pre14a.htm:34]** .                                                                                     |
| Kevin Grahmann      | Vice President, Corporate Development         | July 2020          | Kevin Grahmann was elected Vice President in July 2020. He joined Kinder Morgan's Corporate Development group in 2012 and was named a Vice President in July 2017  **[0001506307-24-000022_kmi-20240326.htm:33]** **[0001104659-23-039853_tm231838d4_def14a.htm:34]** **[0001104659-23-030010_tm231838d2_pre14a.htm:34]** .                                                                    |
| James E. Holland    | Vice President and Chief Operating Officer    | July 2020          | James E. Holland was elected Vice President and COO in July 2020. He has been with Kinder Morgan for over 25 years, holding various operations and engineering positions  **[0001506307-24-000022_kmi-20240326.htm:34]** **[0001104659-23-039853_tm231838d4_def14a.htm:34]** **[0001104659-23-030010_tm231838d2_pre14a.htm:34]** .                                                              |
| Catherine C. James  | Vice President and General Counsel            | February 2019      | Catherine C. James was elected Vice President and General Counsel in February 2019. She previously served as Executive Vice President and General Counsel of Dynegy, Inc.  **[0001506307-24-000022_kmi-20240326.htm:34]** **[0001104659-23-039853_tm231838d4_def14a.htm:35]** **[0001104659-23-030010_tm231838d2_pre14a.htm:35]** .                                                            |
| David P. Michels    | Vice President and Chief Financial Officer    | April 2018         | David P. Michels has served as Vice President and CFO since April 2018. He previously worked at Barclays and Lehman Brothers in energy investment banking  **[0001506307-24-000022_kmi-20240326.htm:34]** **[0001104659-23-039853_tm231838d4_def14a.htm:35]** **[0001104659-23-030010_tm231838d2_pre14a.htm:35]** .                                                                             |
| Sital K. Mody       | Vice President (President, Natural Gas Pipelines) | February 2023     | Sital K. Mody was elected Vice President in February 2023. He served as President of KMI's Midstream Group from August 2018 to February 2023  **[0001506307-24-000022_kmi-20240326.htm:34]** **[0001104659-23-039853_tm231838d4_def14a.htm:35]** .                                                                                            |
| Michael J. Pitta    | Vice President and Chief Administrative Officer | February 26, 2024 | Michael J. Pitta will be Vice President and Chief Administrative Officer effective February 26, 2024. He has held various leadership roles over his 19-year career with KMI  **[0001506307-24-000022_kmi-20240326.htm:34]** .                                                               |
| Dax A. Sanders      | Vice President (President, Products Pipelines) | July 2020          | Dax A. Sanders was elected Vice President in July 2020. He joined Kinder Morgan in 2000 and has served in various finance and business development roles  **[0001506307-24-000022_kmi-20240326.htm:35]** **[0001104659-23-039853_tm231838d4_def14a.htm:36]** **[0001104659-23-030010_tm231838d2_pre14a.htm:36]** .                                                                            |
| John W. Schlosser   | Vice President (President, Terminals)         | December 2014      | John W. Schlosser was elected Vice President in December 2014. He joined Kinder Morgan in 2001 and has over 39 years of experience in commodity transportation and logistics  **[0001506307-24-000022_kmi-20240326.htm:35]** **[0001104659-23-039853_tm231838d4_def14a.htm:36]** **[0001104659-23-030010_tm231838d2_pre14a.htm:36]** .                                                        |

cd84d4462b8f714af3a10c1d2a643254e5f8c4fd7b66ee8236cdad65e9dc7627

| Program Details           | Program 1       |
|---------------------------|-----------------|
| Approval Date             | N/A             |
| End Date/Duration         | N/A             |
| Total additional amount   | **$3 billion**  **[0001506307-24-000119_kmi-20240930.htm:15]**  |
| Remaining authorization amount | **$1.5 billion**  **[0001506307-24-000011_kmi-20231231.htm:151]** **[0001506307-24-000011_kmi-20231231.htm:10]**  |
| Details                   | The program is part of the company's strategy to enhance and return value to its stockholders. It aims to reduce the number of outstanding shares to increase the value of remaining shares and improve financial metrics such as earnings per share.  **[0001506307-24-000011_kmi-20231231.htm:151]** **[0001506307-24-000011_kmi-20231231.htm:10]**  |

c0ccfb3f5e820b2d9ed7e545da3c31c28a32480e7e3246564dc971fab369eb46

0cfde0b6ce3510be604a3a377faeea9277eb7f34ac325371e78a74c755d3a8cb

**Annual guidance for FY 2025:**
- **Net Income Growth**: 8%  **[KMI_3413019_3]**  (no prior guidance)  
- **EBITDA Growth**: 4%  **[KMI_3413019_3]**  (lowered from 5%  **[KMI_3402893_1]** )  
- **Adjusted EPS Growth**: 10%  **[KMI_3413019_3]**  (raised from 9%  **[KMI_3402893_1]** )  
- **Leverage Ratio**: 3.8x  **[KMI_3413019_3]**  (lowered from 4.0x  **[KMI_3402893_18]** )  
- **Expansion CapEx**: $2.5B  **[KMI_3413019_1]**  (no prior guidance)  
- **Natural Gas Gathering Volumes**: 5% increase  **[KMI_3413019_2]**  (no change from 5%  **[KMI_3402893_2]** )  
- **Refined Products Volumes**: 1% increase  **[KMI_3413019_2]**  (lowered from 2%  **[KMI_3402893_2]** )  

2734810558da5024af28189424677383d3f0fb7ba6aacfb2421e2d054316ca5f

| Name                          | Start Date | End Date | Reason for Change |
|-------------------------------|------------|----------|-------------------|
| PricewaterhouseCoopers LLP    | 1997  **[0001506307-24-000011_kmi-20231231.htm:106]**    | Present  | Current auditor   |

55fcc4911e15dc2e1b26b14eb7c3e553fe4705c7eea4024ee8d48d9705c89ecb

1. **Backlog Growth and CapEx**  
   **Q:** How will growth projects affect CapEx plans?  
   **A:** Our backlog has increased **34%** from **$3.8 billion to $5.1 billion** over the past year \[0\]. We expect annual CapEx to remain at approximately **$2 billion**, but it could exceed that if needed \[2\]. We can fund up to **$2.5 billion per year** from cash flow and have balance sheet capacity for more \[2\]\[14\].

2. **Cumberland Project Court Decision**  
   **Q:** How does the court ruling affect the Cumberland project?  
   **A:** The Sixth Circuit stayed our Army Corps and Tennessee permits, preventing us from starting construction \[6\]. We believe the decision is wrong and are working with agencies to vigorously defend the permits \[6\]. We've overcome similar challenges successfully in the past \[6\].

3. **Mississippi Crossing and Trident Projects**  
   **Q:** What's the outlook for Mississippi Crossing and Trident?  
   **A:** These projects address the need for more gas moving from west to east \[0\]. Mississippi Crossing can be scaled up to **2 Bcf** to serve Southeast markets \[0\]\[4\]. We're excited about these projects and are working closely with customers \[0\].

4. **Demand Risk at Agua Dulce**  
   **Q:** Is there a risk of oversupply at Agua Dulce in 2026?  
   **A:** If LNG projects are delayed, there could be pricing exposure \[8\]. However, we have long-term contracts with shippers \[8\]. Additionally, we can buy cheap gas during such times, which presents an opportunity \[8\].

5. **Expected Returns on Projects**  
   **Q:** Are returns improving on new projects?  
   **A:** Returns are consistent with what we've achieved historically and what we've targeted \[3\]. While multiples may vary, overall returns meet our objectives \[3\].

6. **Operating Leverage and Capacity**  
   **Q:** How does increased gas demand impact capacity?  
   **A:** We have capacity on some gathering systems, especially in the Eagle Ford \[12\]. Our transmission pipelines are running nearly full; upside comes as contracts roll and from providing ancillary services during volatility \[12\].

7. **CO2 Project Expansion**  
   **Q:** What's happening with the CO2 portfolio?  
   **A:** Our Board approved **$150 million** in new CO2 floods, which will add an incremental **5,000 barrels per day** at peak production \[11\].

8. **Strength of Storage Market**  
   **Q:** Is the storage market still a tailwind?  
   **A:** Yes, about **25%** of our storage is at market-based rates \[9\]. We recently signed a three-year deal at a high watermark \[9\]. Contracts roll over approximately every three years, offering ongoing opportunities \[9\].

9. **Impact of Commodity Prices on Guidance**  
   **Q:** How are commodity prices affecting results?  
   **A:** Lower commodity prices have impacted gathering volumes \[1\]. However, strong performance in our transmission assets has offset some of the downside \[1\].

10. **Business Separation Consideration**  
    **Q:** Any thoughts on splitting the products and gas businesses?  
    **A:** We believe owning these businesses together is strategic due to shared benefits \[5\]. There would be dis-synergies and no significant incentive to break up the company now \[5\].

572898f70535799e0c5fa75eb07102bc16a6c0e4940946503ef8e2ad6b066ef5

- Total Revenue: $3,987 million (‑1% YoY)  **[0001506307-25-000002_kmi2024q48-kex991.htm:12]** **[0001506307-24-000011_kmi-20231231.htm:107]**   
- Cost of Goods Sold: $1,239 million (‑8% YoY)  **[0001506307-25-000002_kmi2024q48-kex991.htm:12]** **[0001506307-24-000011_kmi-20231231.htm:107]**   
- SG&A: $182 million (**‑80% YoY**)  **[0001506307-25-000002_kmi2024q48-kex991.htm:12]** **[0001506307-24-000011_kmi-20231231.htm:107]**   
- Net Income: $667 million (**+28% YoY**)  **[0001506307-25-000002_kmi2024q48-kex991.htm:12]** **[0001506307-24-000011_kmi-20231231.htm:107]**   
- EPS: $0.30 (+15% YoY)  **[0001506307-25-000002_kmi2024q48-kex991.htm:12]** **[0001506307-24-000011_kmi-20231231.htm:107]**   

db28f5e79a6bed6df841eacd3449165413b743d4f423f935fc08255e4767851c

7765cc232a05b065aba221d933e32652d449a8ee354338b6d3c1bdf1d7b1ec2c

071f7b2da6c3ab2adb42beb89dddddbc94af6d326fbcc0c43c29a3b9dbefc8d8

| Year | Amount Due (in millions) | Debt Type | Interest Rate (%) | % of Total Debt |
|------|--------------------------|-----------|-------------------|-----------------|
| 2025 | $1,500 **[0001506307-24-000119_kmi-20240930.htm:14]** | 4.30% Notes **[0001506307-24-000119_kmi-20240930.htm:14]** | 4.30 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 4.7% = (1,500 / 32,031) * 100 **[0001506307-24-000119_kmi-20240930.htm:14]** **[0001506307-24-000119_kmi-20240930.htm:14]** |
| 2026 | $1,853 **[0001506307-24-000119_kmi-20240930.htm:14]** | 1.75% Notes **[0001506307-24-000119_kmi-20240930.htm:14]** | 1.75 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 5.8% = (1,853 / 32,031) * 100 **[0001506307-24-000119_kmi-20240930.htm:14]** **[0001506307-24-000119_kmi-20240930.htm:14]** |
| 2027 | $4,750 **[0001506307-24-000119_kmi-20240930.htm:14]** | 6.70% Bonds **[0001506307-24-000119_kmi-20240930.htm:14]** | 6.70 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 14.8% = (4,750 / 32,031) * 100 **[0001506307-24-000119_kmi-20240930.htm:14]** **[0001506307-24-000119_kmi-20240930.htm:14]** |
| 2028 | $1,000 **[0001506307-24-000119_kmi-20240930.htm:14]** | 7.25% Debentures **[0001506307-24-000119_kmi-20240930.htm:14]** | 7.25 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 3.1% = (1,000 / 32,031) * 100 **[0001506307-24-000119_kmi-20240930.htm:14]** **[0001506307-24-000119_kmi-20240930.htm:14]** |
| 2029 | $1,750 **[0001506307-24-000119_kmi-20240930.htm:14]** | 5.00% Bonds **[0001506307-24-000119_kmi-20240930.htm:14]** | 5.00 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 5.5% = (1,750 / 32,031) * 100 **[0001506307-24-000119_kmi-20240930.htm:14]** **[0001506307-24-000119_kmi-20240930.htm:14]** |
| 2030 | $2,900 **[0001506307-24-000119_kmi-09302024ex101.htm:21]** | 2.90% Bonds **[0001506307-24-000119_kmi-09302024ex101.htm:21]** | 2.90 **[0001506307-24-000119_kmi-09302024ex101.htm:21]** | 9.1% = (2,900 / 32,031) * 100 **[0001506307-24-000119_kmi-09302024ex101.htm:21]** **[0001506307-24-000119_kmi-20240930.htm:14]** |
| 2031 | $7,400 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 7.40% Bonds **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 7.40 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 23.1% = (7,400 / 32,031) * 100 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** **[0001506307-24-000119_kmi-20240930.htm:14]** |
| 2032 | $8,375 **[0001506307-24-000119_kmi-09302024ex101.htm:21]** | 8.375% Bonds **[0001506307-24-000119_kmi-09302024ex101.htm:21]** | 8.375 **[0001506307-24-000119_kmi-09302024ex101.htm:21]** | 26.1% = (8,375 / 32,031) * 100 **[0001506307-24-000119_kmi-09302024ex101.htm:21]** **[0001506307-24-000119_kmi-20240930.htm:14]** |
| 2033 | $5,200 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 5.20% Bonds **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 5.20 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 16.2% = (5,200 / 32,031) * 100 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** **[0001506307-24-000119_kmi-20240930.htm:14]** |
| 2034 | $5,400 **[0001506307-24-000119_kmi-20240930.htm:14]** | 5.40% Bonds **[0001506307-24-000119_kmi-20240930.htm:14]** | 5.40 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 16.9% = (5,400 / 32,031) * 100 **[0001506307-24-000119_kmi-20240930.htm:14]** **[0001506307-24-000119_kmi-20240930.htm:14]** |
| 2035 | $5,550 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 5.55% Notes **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 5.55 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 17.3% = (5,550 / 32,031) * 100 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** **[0001506307-24-000119_kmi-20240930.htm:14]** |
| 2036 | $6,400 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 6.40% Notes **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 6.40 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 20.0% = (6,400 / 32,031) * 100 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** **[0001506307-24-000119_kmi-20240930.htm:14]** |
| 2037 | $6,850 **[0001506307-24-000119_kmi-09302024ex101.htm:21]** | 6.85% Bonds **[0001506307-24-000119_kmi-09302024ex101.htm:21]** | 6.85 **[0001506307-24-000119_kmi-09302024ex101.htm:21]** | 21.4% = (6,850 / 32,031) * 100 **[0001506307-24-000119_kmi-09302024ex101.htm:21]** **[0001506307-24-000119_kmi-20240930.htm:14]** |
| 2038 | $6,950 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 6.95% Bonds **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 6.95 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 21.7% = (6,950 / 32,031) * 100 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** **[0001506307-24-000119_kmi-20240930.htm:14]** |
| 2039 | $6,500 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 6.50% Bonds **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 6.50 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 20.3% = (6,500 / 32,031) * 100 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** **[0001506307-24-000119_kmi-20240930.htm:14]** |
| 2040 | $6,550 **[0001506307-24-000119_kmi-09302024ex101.htm:21]** | 6.55% Bonds **[0001506307-24-000119_kmi-09302024ex101.htm:21]** | 6.55 **[0001506307-24-000119_kmi-09302024ex101.htm:21]** | 20.5% = (6,550 / 32,031) * 100 **[0001506307-24-000119_kmi-09302024ex101.htm:21]** **[0001506307-24-000119_kmi-20240930.htm:14]** |
| 2041 | $6,375 **[0001506307-24-000119_kmi-09302024ex101.htm:21]** | 6.375% Bonds **[0001506307-24-000119_kmi-09302024ex101.htm:21]** | 6.375 **[0001506307-24-000119_kmi-09302024ex101.htm:21]** | 19.9% = (6,375 / 32,031) * 100 **[0001506307-24-000119_kmi-09302024ex101.htm:21]** **[0001506307-24-000119_kmi-20240930.htm:14]** |
| 2042 | $5,000 **[0001506307-24-000119_kmi-09302024ex101.htm:21]** | 5.00% Bonds **[0001506307-24-000119_kmi-09302024ex101.htm:21]** | 5.00 **[0001506307-24-000119_kmi-09302024ex101.htm:21]** | 15.6% = (5,000 / 32,031) * 100 **[0001506307-24-000119_kmi-09302024ex101.htm:21]** **[0001506307-24-000119_kmi-20240930.htm:14]** |
| 2043 | $5,000 **[0001506307-24-000119_kmi-09302024ex101.htm:21]** | 5.00% Bonds **[0001506307-24-000119_kmi-09302024ex101.htm:21]** | 5.00 **[0001506307-24-000119_kmi-09302024ex101.htm:21]** | 15.6% = (5,000 / 32,031) * 100 **[0001506307-24-000119_kmi-09302024ex101.htm:21]** **[0001506307-24-000119_kmi-20240930.htm:14]** |
| 2044 | $5,500 **[0001506307-24-000119_kmi-09302024ex101.htm:21]** | 5.50% Bonds **[0001506307-24-000119_kmi-09302024ex101.htm:21]** | 5.50 **[0001506307-24-000119_kmi-09302024ex101.htm:21]** | 17.2% = (5,500 / 32,031) * 100 **[0001506307-24-000119_kmi-09302024ex101.htm:21]** **[0001506307-24-000119_kmi-20240930.htm:14]** |
| 2045 | $5,550 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 5.55% Notes **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 5.55 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 17.3% = (5,550 / 32,031) * 100 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** **[0001506307-24-000119_kmi-20240930.htm:14]** |
| 2046 | $5,050 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 5.050% Notes **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 5.050 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 15.8% = (5,050 / 32,031) * 100 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** **[0001506307-24-000119_kmi-20240930.htm:14]** |
| 2048 | $5,200 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 5.20% Notes **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 5.20 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 16.2% = (5,200 / 32,031) * 100 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** **[0001506307-24-000119_kmi-20240930.htm:14]** |
| 2050 | $3,250 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 3.25% Notes **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 3.25 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 10.1% = (3,250 / 32,031) * 100 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** **[0001506307-24-000119_kmi-20240930.htm:14]** |
| 2051 | $3,600 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 3.60% Notes **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 3.60 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 11.2% = (3,600 / 32,031) * 100 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** **[0001506307-24-000119_kmi-20240930.htm:14]** |
| 2052 | $5,450 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 5.45% Notes **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 5.45 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 17.0% = (5,450 / 32,031) * 100 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** **[0001506307-24-000119_kmi-20240930.htm:14]** |
| 2054 | $5,950 **[0001506307-24-000119_kmi-20240930.htm:14]** | 5.95% Notes **[0001506307-24-000119_kmi-20240930.htm:14]** | 5.95 **[0001506307-24-000119_kmi-09302024exh41.htm:1]** | 18.6% = (5,950 / 32,031) * 100 **[0001506307-24-000119_kmi-20240930.htm:14]** **[0001506307-24-000119_kmi-20240930.htm:14]** |
| 2098 | $7,450 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 7.45% Debentures **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 7.45 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** | 23.3% = (7,450 / 32,031) * 100 **[0001506307-24-000119_kmi-09302024ex101.htm:20]** **[0001506307-24-000119_kmi-20240930.htm:14]** |

9855a4cbc363fbff6898d81aeb2f2af4c0705b6a0e4f5a7afb730cb0d56df4d7

5bcd08100e9c7ae67efbd60e3c5ecf78b0240b7dda92a409779f23aebfccc291

1. **Capital Spending Outlook**  
   **Q:** With larger projects like SNG and power demand, will capital spending stay around $2B long term?  
   **A:** Yes, capital spending is expected to be around **$2 billion**, potentially up to **$2.3 billion**. Projects like SNG will fill out CapEx in the outer years, giving confidence in maintaining this level of spending for years to come.  **[KMI_3393401_15]** **[KMI_3393401_16]** 

2. **Permian Gas Egress**  
   **Q:** Any updates on expansions for Permian gas egress?  
   **A:** There are no significant updates; they are not prepared to sanction the GCX project yet and are still in discussions with customers on broader Permian egress opportunities. It's a competitive space, and they are open to various structures to determine what's best for the basin.  **[KMI_3393401_13]** 

3. **Backlog Increase and Returns**  
   **Q:** Backlog increased by $1.9B, and the multiple went up; what's driving this?  
   **A:** The backlog is up by **$1.9 billion**, driven by two projects: South System 4 and Double H. Although the multiple increased slightly, these projects offer very attractive returns with internal rates well above the cost of capital.  **[KMI_3393401_5]** 

4. **Interest Rate Exposure**  
   **Q:** How does floating rate debt exposure look for 2025 amid potential rate cuts?  
   **A:** Floating rate debt exposure has decreased from about **$7.5 billion** to **$5.3 billion**. They've locked in about **10%** of the $5.3 billion for 2025 at favorable rates, and potential rate cuts could be a tailwind.  **[KMI_3393401_16]** 

5. **Data Center Demand and Returns**  
   **Q:** Could data center demand lead to higher returns on gas pipeline projects?  
   **A:** It's too early to judge whether higher returns will be earned. Data centers prioritize reliability and speed to market. While confident in meeting return hurdles, they don't expect to achieve outrageous returns due to competition.  **[KMI_3393401_17]** 

6. **Funding South System Expansion 4**  
   **Q:** How will South System Expansion 4 be funded—any non-recourse debt financing?  
   **A:** Funding options are being evaluated. They generally prefer funding at the parent level due to their attractive cost of capital and are not big fans of project financing. A fair amount of equity contributions is likely to fund the project.  **[KMI_3393401_21]** 

7. **Gathering Volumes Below Budget**  
   **Q:** Which basins are tracking below expectations in gathering volumes?  
   **A:** Volumes are expected to remain flat in the second half. Weakness has been seen in the **Eagle Ford**, **Haynesville**, and **Bakken**, with more in Haynesville due to producers reacting to pricing. Improvement is expected as demand picks up later this year and next.  **[KMI_3393401_24]** 

8. **Portfolio Optimization**  
   **Q:** What's the approach to portfolio pruning and optimization over time?  
   **A:** They sold a non-core natural gas gathering asset earlier in the year. In the CO2 segment, they sold 3-4 fields with limited CO2 flood potential and acquired the **North McElroy** field and adjacent leasehold interest at **SACROC** with better potential.  **[KMI_3393401_8]** 

9. **Double H Pipeline Conversion**  
   **Q:** What is the capacity of Double H after converting to NGL service?  
   **A:** Capacity depends on customer demand and supply configurations. They have a firm commitment starting day one in Q1 2026, and the line is scalable from the **Bakken** and **Powder River** basins. Ultimate capacity depends on customers.  **[KMI_3393401_14]** 

10. **RNG Business Acquisitions**  
    **Q:** Are acquisition opportunities in RNG being considered?  
    **A:** They are not currently pursuing significant RNG acquisitions until existing operations perform consistently. Once plants operate more reliably, they may reevaluate acquisition opportunities.  **[KMI_3393401_22]** 

f585ce5a74c3dd546bd41373a9e50eeef067eaf92bd290be6e7b786e25843dc5

1. **Capital Allocation**  
   **Q:** How will you balance share repurchases and M&A?  
   **A:** Kinder Morgan plans to maintain flexibility on their balance sheet, allowing for **share repurchases and acquisitions**.  **[KMI_3370332_5]**  Last year, they executed **$522 million** in share repurchases and made a **$1.8 billion acquisition**, ending the year with leverage essentially unchanged.  **[KMI_3370332_5]**  They will continue this disciplined approach, with a leverage target of **4.5x**, providing capacity for attractive opportunities.  **[KMI_3370332_13]** **[KMI_3370332_17]** 

2. **Permian Pipeline Projects**  
   **Q:** What's the outlook for Permian gas egress projects?  
   **A:** Kinder Morgan sees a need for additional Permian egress pipelines in the **late 2026 to early 2027** timeframe.  **[KMI_3370332_7]** **[KMI_3370332_14]**  They are considering both expansion of existing pipelines like **GCX** and potential new builds, leveraging their successful track record.  **[KMI_3370332_7]** **[KMI_3370332_18]** **[KMI_3370332_21]**  Customer contracts will drive these projects, and the company is disciplined in ensuring attractive returns.  **[KMI_3370332_7]** **[KMI_3370332_18]** 

3. **STX Acquisition Impact**  
   **Q:** How does the STX acquisition affect 2024 guidance?  
   **A:** The increase in 2024 guidance to **$8.16 billion** from **$8.0 billion** is due to the EBITDA from the NextEra acquisition, consistent with expectations.  **[KMI_3370332_10]**  Between 2023 and 2024, an expansion project came online, adding incremental EBITDA driven by customer contracts.  **[KMI_3370332_12]**  Over the next few years, they expect the acquisition multiple to decrease from **8.6x** to between **7x and 7.5x**, with minimal additional CapEx.  **[KMI_3370332_19]** 

4. **Leverage and Flexibility**  
   **Q:** What's your stance on leverage targets?  
   **A:** Kinder Morgan is comfortable with a leverage target of **4.5x**, appropriate for the stability of their assets and cash flows.  **[KMI_3370332_13]** **[KMI_3370332_17]**  They have operated around **4x** leverage in recent years, providing capacity to pursue attractive opportunities without significant impact on debt metrics.  **[KMI_3370332_5]** **[KMI_3370332_13]** **[KMI_3370332_17]** 

5. **EPA Methane Rule Impact**  
   **Q:** How will EPA's methane rule affect you financially?  
   **A:** Kinder Morgan believes the EPA's methane rule is flawed and heavily challenged.  **[KMI_3370332_23]**  The rule has been stayed in multiple circuit courts, and only impacts three states where they operate.  **[KMI_3370332_23]**  Potential impacts disclosed are smaller, and the Supreme Court's agreement to hear the case is seen as a positive sign.  **[KMI_3370332_23]** 

6. **Haynesville Production Growth**  
   **Q:** What trends are you seeing in Haynesville volumes?  
   **A:** Haynesville volumes were up over **30%** quarter-over-quarter.  **[KMI_3370332_8]**  Kinder Morgan continues to see increased volumes, with acreage positioned in prime **Tier 1** areas.  **[KMI_3370332_8]**  Their largest customer is preparing for upcoming LNG demand, and they have nearly doubled volumes over the last couple of years.  **[KMI_3370332_8]** 

7. **Renewable Natural Gas Performance**  
   **Q:** How did RNG assets perform this quarter?  
   **A:** Contribution from RNG plants was relatively small.  **[KMI_3370332_11]**  They have **three plants** in service but not running as consistently as desired.  **[KMI_3370332_11]**  After recently taking over operations, they expect to improve performance over the next few months in 2024.  **[KMI_3370332_11]** 

8. **California Renewable Diesel Expansion**  
   **Q:** Are there opportunities to expand RD projects in California?  
   **A:** Kinder Morgan sees potential to double capacity at their Los Angeles Harbor facilities, both in storage and throughput.  **[KMI_3370332_15]** **[KMI_3370332_20]**  They have about **60,000 barrels per day** of capacity across two hubs and could scale up based on market demand and customer needs.  **[KMI_3370332_15]** 

9. **Bakken Gas Infrastructure**  
   **Q:** Will gas infrastructure limit Bakken growth?  
   **A:** They do not expect gas infrastructure to limit growth.  **[KMI_3370332_9]**  Kinder Morgan recently brought online the **Bakken Express Phase I**, adding **92,000 barrels per day** of capacity.  **[KMI_3370332_9]**  Phase II is planned, which will further support customers and meet demand.  **[KMI_3370332_9]** 

10. **International M&A Consideration**  
    **Q:** Will you consider assets outside the U.S.?  
    **A:** While Kinder Morgan evaluates opportunities, they doubt making acquisitions outside the U.S..  **[KMI_3370332_22]**  They find it challenging to achieve attractive risk-adjusted returns internationally due to tax issues and generally lower returns.  **[KMI_3370332_22]** 

11. **Weather Impact on Earnings**  
    **Q:** How did recent cold weather affect earnings?  
    **A:** Cold weather leads to incremental opportunities but not on the same magnitude as winter storm Yuri.  **[KMI_3370332_4]** **[KMI_3370332_6]**  They budget for some cold weather, and recent fronts have helped progress toward achieving those budget assumptions.  **[KMI_3370332_4]** 

4da3b34231a8ad2c96c0a3a7cc50b778336c25f85150915b75e5aa4f3ef473b3

- **Kinder Morgan's project backlog has increased by 34% from $3.8 billion to $5.1 billion**, indicating significant growth opportunities driven by LNG exports, power, and industrial demand growth.  **[KMI_3402893_4]**
- **The company can fund approximately $2.5 billion per year in growth capital expenditures from cash flow**, with additional balance sheet capacity, while **maintaining a strong debt-to-EBITDA ratio around 4x**, showcasing financial flexibility and prudent management.  **[KMI_3402893_18]** **[KMI_3402893_6]**
- **Kinder Morgan is pursuing significant new projects like the Mississippi Crossing and Trident pipelines**, aiming to capitalize on the growing need for natural gas in the Southeast and Gulf Coast regions, positioning the company for continued growth.  **[KMI_3402893_8]** **[KMI_3402893_4]**

7560452c95e25953a6099d8105eb1e31e2c731908799c52d457f764c1c1aac6f

- **KMI is well-positioned to capitalize on the growing demand for LNG and natural gas exports**, with infrastructure expansions like the **Bakken Express pipeline, Phase I already in service and flowing at 92,000 dekatherms per day**, ensuring capacity to meet increased production without limitations.  **[KMI_3370332_9]**
- **The recent South Texas (STX) acquisition is highly accretive**, expected to achieve a **7 to 7.5x EBITDA multiple over multiple years without significant additional CapEx**, indicating strong future earnings growth from these assets.  **[KMI_3370332_20]**
- **KMI maintains a strong balance sheet, operating with leverage below their targeted 4.5x**, providing financial flexibility for future opportunities and **demonstrating confidence in their stable cash flows** due to the size and scope of their assets.  **[KMI_3370332_17]**

d82a739d0d436eb93f0d0a1da2477a06bf9bfaee0cb353f453b4e3004b4c4ad6

- **Integration of the South Texas Midstream assets is going well**, with commercial opportunities progressing **sooner than expected**, and the company feels very good about the **long-term earnings expectation and valuation multiple** for the acquisition.  **[KMI_3379933_12]**
- **Kinder Morgan is positioned to capitalize on the growing demand for natural gas driven by AI and data centers**, with ongoing projects and discussions to support increased power generation needs, leveraging their extensive network which **moves 40% of the gas in the U.S.**  **[KMI_3379933_14]** **[KMI_3379933_6]**
- **The project backlog increased by $300 million net**, due to **$400 million** in new natural gas projects added, and the expectation to add significant projects to the backlog within the next year, supported by opportunities in both supply (Permian, Haynesville, Eagle Ford) and demand (LNG exports, power generation growth), indicating strong future growth prospects.  **[KMI_3379933_13]** **[KMI_3379933_15]**

1dd69620e6da47da093efb87c25be5f7be4048876eaa930bbc613d0dc1ecf66a

1. **Leverage Target Adjustment**  
   **Q:** Why did you lower the leverage target?  
   **A:** We adjusted our leverage target to **3.5x to 4.5x** from 4.5x to align our policy with how we have been operating.  **[KMI_3379933_5]**  Our actual operating leverage has been gravitating below **4.5x**, with the **2024 budget at 3.9x**.  **[KMI_3379933_5]**  There is **no change** to how we operate or our capital allocation philosophy  **[KMI_3379933_5]** ,.  **[KMI_3379933_11]** 

2. **Capital Allocation Philosophy**  
   **Q:** Will the new leverage plan change dividends or buybacks?  
   **A:** **No**, there is **zero change** to our capital allocation philosophy.  **[KMI_3379933_11]**  This change simply brings our policy in line with how we've operated over the last few years.  **[KMI_3379933_11]** 

3. **Demand Opportunities from AI and Data Centers**  
   **Q:** How will you capitalize on power demand from AI and data centers?  
   **A:** We see significant opportunities as we currently serve **20%** of the U.S. power market and move **40%** of the gas.  **[KMI_3379933_6]**  While it's early and we can't put exact numbers, we expect to realize a significant portion of this demand growth.  **[KMI_3379933_6]**  Our extensive network positions us well to serve this market wherever it develops.  **[KMI_3379933_6]** 

4. **Negative Waha Gas Prices Impact**  
   **Q:** How do negative Waha gas prices affect you?  
   **A:** The negative prices are due to a warm winter and are temporary.  **[KMI_3379933_7]**  We share in some upside through proprietary storage and have hedged much of our capacity for this year  **[KMI_3379933_7]** ,.  **[KMI_3379933_8]**  Longer term, we see a need for another pipeline out of the Permian and are working on commercializing one  **[KMI_3379933_7]** ,.  **[KMI_3379933_8]** 

5. **New Permian Pipeline Projects**  
   **Q:** Any updates on new Permian pipelines?  
   **A:** We continue to work on commercializing both a new pipeline like Permian Pass and expansions like TDC.  **[KMI_3379933_8]**  It's highly competitive, and we need contracts to support the investment.  **[KMI_3379933_8]**  There's nothing to announce today, but discussions with customers are ongoing  **[KMI_3379933_7]** ,.  **[KMI_3379933_8]** 

6. **Gathering Volumes Below Budget**  
   **Q:** Which basins have lower gathering volumes?  
   **A:** Volumes are slightly below budget in the **Eagle Ford**, **Bakken**, and **Haynesville**  **[KMI_3379933_9]** ,.  **[KMI_3379933_12]**  However, we have good growth year-over-year and expect this to be temporary due to the current price environment  **[KMI_3379933_9]** ,.  **[KMI_3379933_12]** 

7. **Business Structure Synergies**  
   **Q:** Any thoughts on separating businesses by commodity?  
   **A:** We like all the businesses we own and see synergies among them.  **[KMI_3379933_10]**  Our CO₂ business provides expertise for our carbon capture efforts.  **[KMI_3379933_10]**  We're happy with our assets and will continue to operate them unless offered a great price.  **[KMI_3379933_10]** 

8. **Integration of South Texas Assets**  
   **Q:** How is the integration of South Texas assets progressing?  
   **A:** Early days, but we're seeing commercial opportunities materialize sooner than expected.  **[KMI_3379933_12]**  Some opportunities we thought were years away may come together late this year or next.  **[KMI_3379933_12]**  We expect to be on our acquisition model for **2024 and beyond**.  **[KMI_3379933_12]** 

9. **Backlog Increase Details**  
   **Q:** Can you provide details on the $300 million backlog increase?  
   **A:** We added **$400 million** in projects and placed **$100 million** in service.  **[KMI_3379933_13]**  New projects include an interstate project on **Tennessee Gas Pipeline**, an intrastate lateral in Texas, and a pipeline egress project in **Altamont**.  **[KMI_3379933_13]** 

10. **Upcoming Growth Opportunities**  
    **Q:** Is the backlog increase related to a Permian egress solution?  
    **A:** It refers to a broad set of opportunities on both supply and demand sides.  **[KMI_3379933_14]**  Supply-side includes basins like **Haynesville**, **Permian**, and **Eagle Ford**.  **[KMI_3379933_14]**  Demand-side includes **LNG**, industrial growth, and power growth in the West and Mexico.  **[KMI_3379933_14]**  We expect some opportunities to come to fruition within the next year.  **[KMI_3379933_14]** 

11. **Factors Affecting Leverage Range**  
    **Q:** What factors will move leverage within the new target range?  
    **A:** Acquisitions or large expansion opportunities could result in higher leverage for a time.  **[KMI_3379933_16]**  In periods with less opportunity, we produce significant cash flow and can create balance sheet capacity.  **[KMI_3379933_16]**  The range gives us flexibility depending on the environment.  **[KMI_3379933_16]** 

12. **Impact on Credit Ratings**  
    **Q:** Does the leverage target change rating agencies' views?  
    **A:** We think it will impact how rating agencies and fixed income investors view our financial policy.  **[KMI_3379933_17]**  By making this change, our leverage target reflects how we've been operating.  **[KMI_3379933_17]** 

042c96defe2b1caab195726c0a84981848e903e0e56e6ec0142de527aa288524

- **Natural gas gathering volumes are expected to average about 6% below KMI's 2024 plan** due to the current gas price environment, with weakness seen in key basins like Eagle Ford, Haynesville, and Bakken.  **[KMI_3393401_3]** **[KMI_3393401_24]**
- **The Renewable Natural Gas (RNG) business has been harder to operate than expected**, leading KMI to pause significant acquisition opportunities until existing operations are running consistently, potentially impacting growth in their Energy Transition Ventures group.  **[KMI_3393401_22]**
- **Refined product volumes are projected to be slightly below budget for the full year—about 1% below initial budget**, with gasoline volumes flat compared to the prior year, suggesting weaker than expected demand in this segment.  **[KMI_3393401_20]**

89d658961ac77f9d82dc45360e7e50a7d738ae41496eda4b26cd03d6ff4b9c64

- **Potential financial impacts from an EPA rule:** KMI acknowledged potential **material financial effects** from an EPA rule that is being legally challenged. The outcome remains uncertain, and only **three states** where the rule is not stayed currently impact KMI.  **[KMI_3370332_25]**
- **High leverage target may raise concerns:** KMI maintains a leverage target of **4.5x**, and plans to keep it at this level even with potential acquisitions, which may be considered high and could raise concerns about debt levels.  **[KMI_3370332_17]** **[KMI_3370332_13]**
- **Competition and uncertainty in pipeline projects may limit growth:** KMI faces a **highly competitive environment** for new pipeline projects, and there is uncertainty about securing contracts for projects like the Permian pipeline, which could impact future growth opportunities.  **[KMI_3370332_14]** **[KMI_3370332_9]** **[KMI_3370332_23]**

016eabd6495c95dfb24059082cd043fb768952f5fc6b4889d54e12029a2969f6

- **Kinder Morgan has secured 20-year take-or-pay contracts with creditworthy shippers** for its new **South System 4 expansion** and **Double H pipeline conversion projects**, ensuring stable and long-term cash flows.  **[KMI_3393401_23]** **[KMI_3393401_5]** **[KMI_3393401_9]**
- **Growing demand from data centers for reliable and speedy energy solutions** is leading to increased opportunities for natural gas, with Kinder Morgan engaging in significant commercial discussions with data center operators, indicating potential for substantial growth in this sector.  **[KMI_3393401_6]** **[KMI_3393401_17]**
- **The company's project backlog increased by $1.9 billion to $5.2 billion**, driven by the **South System 4 expansion** and **Double H pipeline** projects, which are expected to deliver attractive returns, demonstrating strong growth prospects.  **[KMI_3393401_5]**

16f63b31535e8b04adc60c841f1a84c5f10040e8ef9d52493dcff7df53cd2ba1

- **Kinder Morgan's natural gas gathering volumes are coming in below budget** due to decreased volumes in key basins such as the Eagle Ford, Bakken, and Haynesville. This could impact earnings as lower volumes may reduce revenues from gathering operations.  **[KMI_3379933_9]**
- **Negative Waha natural gas prices** could adversely affect Kinder Morgan's earnings. Although the company has hedged much of its capacity for this year, more capacity will become unhedged over time, potentially exposing KMI to price risks if negative pricing persists.  **[KMI_3379933_7]**
- **Challenges in securing contracts for new pipeline projects** like the Permian Pass and TCS expansion suggest difficulties in future growth. The company acknowledges that it's a matter of making sure they have the contracts to support the investment, indicating potential hurdles in project commercialization.  **[KMI_3379933_8]**

36d90cb569cf6bb731b02e122ebc7fa11d8f5592cb79588322c190cfad54cace

- **Uncertainty in Project Realization:** Kinder Morgan acknowledges that not all projects in their potential pipeline may come to fruition, especially the larger ones which "can take longer to develop"  **[KMI_3402893_4]** . This uncertainty might impact the company's future growth projections.
- **Potential Increase in Capital Expenditures and Debt:** The company indicates that capital expenditures could increase beyond the current guidance of **$2 billion** per year, potentially to "**$2 billion, $3 billion or something like that**"  **[KMI_3402893_6]** . They also mention the possibility of using balance sheet capacity, which implies taking on additional debt, to fund these projects  **[KMI_3402893_6]** .
- **Reluctance to Unlock Shareholder Value through Asset Separation:** Despite a competitor's success in spinning out their liquids business, Kinder Morgan does not see significant benefits in separating their products business from their natural gas assets. They mention "there's not a big incentive to incur transaction costs, dis-synergies... that would make sense right now"  **[KMI_3402893_9]** , potentially missing opportunities to reflect better value in each segment.

bed2a972bcda3c68b8d7ba3febdb3a5503e48ba5e045f7f068ee78e7c466d75c

Kinder Morgan Inc (KMI)

Financials