Kinder Morgan, Phillips 66, and HF Sinclair Finalize $5 Billion Western Gateway Pipeline System JV, Expected to Complete in 2029
Kinder Morgan, Phillips 66, and HF Sinclair have made a final investment decision to build the 1,300-mile Western Gateway Pipeline System, valued at $5 billion. Kinder Morgan will hold a 35.1% stake in the joint venture, Phillips 66 will own 49.9%, and HF Sinclair will also participate. The project, which will transport refined petroleum products from the central U.S. and Gulf Coast to West Coast and Southwest markets, is expected to be completed in 2029 with an initial capacity of 230,000 barrels per day. The system is underpinned by primarily 10-year, take-or-pay contracts, which are anticipated to generate stable cash flow for Kinder Morgan and support its dividend growth.
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