Kinder Morgan Energy Partners News

Kinder Morgan Energy Partners said on Friday that crews have resumed survey work related to its Trans Mountain pipeline expansion project in the Vancouver suburb of Burnaby, even as Canadian police arrested more protesters at two work sites. Kinder Morgan said it was able to move its equipment onto Burnaby Mountain overnight and that crews would be working 24 hours a day for the next 10 to 12 days to complete drilling work required by regulators. The company, which hopes to nearly triple the capacity of the existing 300,000 barrel-per-day pipeline, plans to bore two holes deep into the mountain to test if it can run the expanded line under the conservation site, which is a popular hiking and picnic area for locals.

Kinder Morgan Energy Partners, L.P. said it will add 2.1 million barrels of storage at its Pasadena and Galena Park terminals just outside Houston. The $210 million project - supported by long-term contracts with existing customers - will also include the construction of a new ship dock and other improvements at the Galena Park terminal that will boost vessel load rates. The new dock and the existing ones at Galena Park will be capable of loading vessels at rates up to 15,000 barrels per hour, the company said. "The new tankage will provide refined product producers and traders the ability to send more barrels to the water for international exports or to the network of pipelines for domestic use…

General Dynamics NASSCO and City of San Diego Mayor Kevin Faulconer today signaled the start of construction of five American Petroleum Tankers at a steel cutting ceremony for the first tanker, the APT-1, at the NASSCO shipyard in San Diego. Joined by General Dynamics NASSCO executive leadership and Mayor Faulconer were representatives from Kinder Morgan Energy Partners, L.P., and Rob Kurz, vice president of Kinder Morgan Terminals and president of KMP subsidiary American Petroleum Tankers. “Today’s start of construction ceremony signifies our ongoing relationship with American Petroleum Tankers. NASSCO is pleased to continue our commitment…

General Dynamics NASSCO, a wholly owned subsidiary of General Dynamics (GD), has entered into a contract with an affiliate of American Petroleum Tankers (APT), a wholly owned subsidiary of Kinder Morgan Energy Partners, L.P. (KMP), for the design and construction of an additional 50,000 deadweight ton LNG-conversion-ready product carrier with a 330,000 barrel cargo capacity. Construction is scheduled to begin the fourth quarter of 2015, with delivery scheduled for the second quarter of 2017. This new tanker, supported by a long-term charter, will be constructed at the NASSCO shipyard in San Diego, meeting the Jones Act requirement that ships carrying cargo between U.S. ports be built in U.S. shipyards.

Six years after applying to build the Keystone XL pipeline, Canada's frustrated oil industry appears steadfast in its support of the plan even though Washington has again delayed a decision on whether to approve the politically charged project. The reason is simple: A massive new pipeline to the U.S. Gulf Coast remains the most elegant solution for producers looking to export burgeoning supplies of crude from Canada's oil sands to the United States. TransCanada Corp's $5.4 billion pipeline would seamlessly pump enough crude from Alberta to Texas to meet 4 percent of total U.S. demand. "We're definitely supportive of the project," said Brad Bellows, a spokesman for MEG Energy Corp, which produces crude from Alberta's oil sands though it has not committed to ship on Keystone.

Huntington Ingalls Industries announced today it will conduct a study with Kinder Morgan Energy Partners, L.P. (NYSE:KMP) to explore redeveloping Huntington Ingalls Industries' Avondale shipyard in Louisiana. Since the July 2010 announcement to close Avondale, HII has aggressively sought a strategic solution to redevelop the facility. The study will explore and evaluate best-use opportunities for the facility. Once the study is completed and a determination has been made for an economically viable, best use of the facility, HII and Kinder Morgan Energy Partners may pursue the formation of a joint venture to re-purpose the Avondale site. Avondale's location on the Mississippi River offers unparalleled access to major markets by truck, rail and sea, making it attractive for many uses.

Double Eagle Pipeline LLC, a 50/50 joint venture between Magellan Midstream Partners, L.P. and Kinder Morgan Energy Partners, L.P.,today announced that the entire pipeline system, comprised of 195 miles of pipe, is now in full operation to Corpus Christi, Texas as designed. The 84-mile western leg of the Double Eagle pipeline system is connected into four central gathering facilities and is moving condensate from Gardendale near Cotulla, Texas, in LaSalle County through Three Riverstruck unloading and storage facility in Live Oak County to Magellan’s Corpus Christi Terminal. The 37-mile eastern leg of the Double Eagle pipeline system is moving condensate from Karnes County, Texas, also through Three Rivers, and down to Magellan’s Corpus Christi Terminal.

Kinder Morgan Announces Acquisition of Jones Act Shipping Tankers in U.S. for Approximately $962 Million. Kinder Morgan Energy Partners, L.P. (NYSE: KMP) today announced it has entered into a definitive agreement to acquire American Petroleum Tankers (APT) and State Class Tankers (SCT) from affiliates of The Blackstone Group and Cerberus Capital Management for $962 million in cash. APT and SCT are engaged in the marine transportation of crude oil, condensate and refined products in the United States domestic trade, commonly referred to as the Jones Act trade. APT’s fleet consists of five medium range Jones Act qualified product tankers, each with 330,000 barrels of cargo capacity. With an average vessel age of approximately four years, the APT fleet is one of the youngest in the industry.

Kinder Morgan announces land purchase, plans to construct dock and expand terminal capacity on Houston Ship Channel. Kinder Morgan Energy Partners say they will invest $106 million to purchase approximately 20 acres adjacent to its Pasadena, Texas, terminal, build nine new tanks with a storage capacity of 1.2 million barrels at its Galena Park terminal under long-term customer agreements, and construct a new barge dock that is expected to help relieve current barge congestion in the Houston Ship Channel.

Sennebogen accelerates turnaround, reduces costs in Charleston port with supersized electric drive scrap handler. The port facility receiving scrap metals for the nearby steel mill is now unloading barges and filling haul trucks 25% faster with its SENNEBOGEN 880 R-HD material handler. After commissioning a new 370,000 lb. SENNEBOGEN scrap handler at the Kinder Morgan Energy Partners barge facility in the Port of Charleston; the truck fleet use was reduced by 25% while still keeping pace with customers’ demand for material.

Stolt-Nielsen Transportation Group Ltd., a wholly-owned subsidiary of Stolt-Nielsen S.A., announced it has signed a definitive agreement with Kinder Morgan Energy Partners, L.P. for the sale of its Chicago, Ill., and Perth Amboy, N.J. bulk liquid terminal facilities for $70 million. Closing is subject to standard conditions and the receipt of local regulatory and third party approvals. it is anticipated that the transaction will be completed by the end of SNSA's fiscal year on November 30, 2001. Reginald Lee, Chief Executive Officer of SNTG said, "We are pleased to announce this agreement with Kinder Morgan. network and divestment fits our overall development strategy. parcel tanker operations.

Transocean announced that Richard D. Kinder has submitted his resignation as a member of the company’s board of directors to devote more attention to his duties at Kinder Morgan, Inc. and Kinder Morgan Energy Partners, L.P. Kinder’s resignation is effective immediately. Kinder is chairman of the board and CEO of both Kinder Morgan, Inc. and Kinder Morgan Energy Partners, L.P. which own and operate diversified energy assets. He served as a Transocean Inc., director since November 1994. Transocean Inc., does not intend to fill the vacancy created by Kinder’s resignation and will operate with an 11-member board of director.

Partners, L.P. of British Columbia. on a 139-acre site. which allow the terminal to handle over 3.5 million tons of cargo annually. to shippers in western and central Canada, and the U.S. Pacific Northwest. The transaction is expected to close in the second quarter of 2007.