Kinder Morgan, Inc. · NYSE:KMI
Kinder Morgan — Kinder Morgan Energy Partners — 2010 KMP Analyst Conference
12 slides from Kinder Morgan's conference presentation, Jan 28, 2010
Slide 1: Kinder Morgan Canada
ENERGY PARTNERS, L.P. *Information *I f ti contained t i d in i this thi presentation t ti isi dated d t d as off 1/28/2010. 1/28/2010 For F currentt project j t scope and information on the Trans Mountain Pipeline expansion project, please see www.transmountain.com Kinder Morgan Canada Ian Anderson
Slide 2: Trans Mountain Pipeline
ENERGY PARTNERS, L.P. Trans Mountain Pipeline Capacity Recently Expanded from 225,000 bpd to 300,000 bpd Markets Lower Mainland BC Washington State Refineries Westridge Dock to markets in U.S. and Asia Regulation/Tolls National Energy Board Regulated Tolling Agreement with shippers thru
Slide 3: Express – Platte Pipeline System
ENERGY PARTNERS, L.P. Express – Platte Pipeline System Express - 280,000 bpd • 231,000 bpd Firm contracts thru 2012- 2012-15 • Excess capacity today • Rockies & Canadian production will fill space over time • Primary route for Canadian production to PADD IV refiners Platte - 143,000 - 165,000 bpd •
Slide 4: Kinder Morgan Canada – Growth
ENERGY PARTNERS, L.P. Kinder Morgan Canada – Growth (millions $US) Actual Actual Budget 2006-10 2006 2 2009 2010 Growth Trans Mountain 1 62.0 147.4 147.7 85.7 (Distributable Cash Flow) Express 1.7 14.6 12.9 11.2 (Cash Distributions) $63.7 $162.0 $160.6 $96.9 1. Growth Capex $720MM; Capacity 225,000
Slide 5: Trans Mountain Expansion Project
ENERGY PARTNERS, L.P. Trans Mountain Expansion Project Cost Capacity In- In-Service (USD$M) (bpd) Initial System 225,000 Phase I – Pump Stations $198 April 2007 260,000 -11 New Stations Phase II - Anchor Loop $522 -60 miles Jasper Spread May 2008 285,000 -38 miles Robson Spread Nov 2008 300,000 -2 N
Slide 6: Anchor Loop Project – Challenges Overcome
ENERGY PARTNERS, L.P. Anchor Loop Project – Challenges Overcome Extreme Regulatory Oversight Canadian Environmental Assessment Agency Screening Parks Canada National Energy Board Department of Fisheries and Oceans Transport Canada BC Ministry of Environment Environmental Sensitivity
Slide 7: Oil Sands Production – Pipeline Capacity
ENERGY PARTNERS, L.P. Oil Sands Production – Pipeline Capacity Canadian producers will have spare pipeline capacity to the United States for many years Trans Mountain can be expanded in stages to better meet growing demand offshore, including China 5,000 Export Pipeline Capacity 4,000 3,000 Bitu
Slide 8: Trans Mountain Expansion
ENERGY PARTNERS, L.P. Trans Mountain Expansion Phased Expansion Planned Total Estimated Completion Capacity Cost TMX-1 (+75,000) Nov. 2008 300,000 BPD $720MM NORTHERN TMX-2 (+80,000)* 2013/14 380,000 BPD $1.4B LEG TMX-3 (+320,000)* 2015/16 700,000 BPD $2.1B TMX-1 Northern Leg (+400,000)* Post TMX-3
Slide 9: Port Metro Vancouver Increasing Crude Oil Exports
ENERGY PARTNERS, L.P. Increasing Crude Oil Exports Port Metro Vancouver Safe, Efficient Annual Exports (bpd) 80,000 2009: 75,000 bpd 60,000 40,000 20,000 - 53 58 63 68 73 78 83 88 93 98 03 08 19 19 19 19 19 19 19 19 19 19 20 20 Monthly Record in 2009: 134,000 bpd 9
Slide 10: Attractive Tanker Rates
ENERGY PARTNERS, L.P. Attractive Tanker Rates Tanker Rates to Asia* Suezmax: attractive rates to Asia $/bbl 5.00 4.00 3.00 2.00 1.00 - Panamax, Aframax, Suezmax, VLCC, 350kbbl 650k bbl 1Mbbl 2Mbbl __________________________ * KMC estimate of tanker rates, used for evaluating relative costs for tanke
Slide 11: Trans Mountain Expansion Benefits
ENERGY PARTNERS, L.P. Trans Mountain Expansion Benefits 1. Cheaper 3. Less Risk 25% of new pipeline already built Incremental capacity Lower capital, operating costs / Established pipeline route / less follow existing pipeline environment and aboriginal issues Expand for Suezmax tankers
Slide 12: ENERGY PARTNERS, L.P.
ENERGY PARTNERS, L.P. KINDER/MORGAN
Kinder Morgan Energy Partners — 2010 KMP Analyst Conference on 6ix