Kinder Morgan earmarks $4.7bn for Southeast Connector and Permian Link pipelines
New pipeline investment would expand transport capacity for Permian Basin hydrocarbons and related gas flows.
Source →The trace
How it reaches your house.
Starting from Energy Transfer LP, we walked the supply graph hop by hop to the goods you buy and the companies you own. Each step is the engine’s reasoning, scored for confidence and cited where a source backs it.
First impact
Devon Energy →supply upPermian Basin gas takeaway capacity
Kinder Morgan's new Permian Link/Southeast Connector investment adds more Permian-to-market gas takeaway, which should ease the same transportation constraint Devon is already addressing through Solitude.
“today announced a positive Final Investment Decision (“FID”) on the Solitude Pipeline System, a WhiteWater-led joint venture that will construct two 48-inch natural gas pipelines connecting the Permian Basin to Katy, TX.”
61% confidenceCited →Energy Transfer LP →supply upInterstate natural gas transmission pipelines
Kinder Morgan's added Permian/Southeast gas-pipeline capacity should modestly ease congestion and improve availability of interstate transport services that ET depends on, though the impact is tempered by ET's only 8% dependency share and some substitutability.
57% confidenceHop 2
Interstate natural gas transmission pipelines →Stands to benefitKinder Morgan is the company making the $4.7bn pipeline commitment, so its own interstate pipeline footprint benefits from added capacity on a hard-to-replace network.
96% confidenceInterstate natural gas transmission pipelines →supply upSoutheast US (Carolinas through Florida)
The Southeast Connector explicitly expands gas transport into the Southeast, so this regional supply of interstate pipeline capacity should rise.
84% confidenceInterstate natural gas transmission pipelines →supply upHop 3
United States →supply upInterstate natural gas transmission pipelines
Kinder Morgan's added pipeline capacity directly increases U.S. interstate gas transmission availability, and the edge indicates the U.S. supplies 100% of this input.
91% confidenceSoutheast US (Carolinas through Florida) →supply upInterstate natural gas transmission pipelines
Kinder Morgan's Southeast pipeline buildout should expand interstate gas transport capacity into the Southeast US, and this input carries a 22% supply-share weight in the graph.
79% confidenceTexas (intrastate, ERCOT-connected) →supply up