Kinder Morgan Announces Commercial In-Service of Southern and Northern California Renewable Diesel Hub Projects
04 April 2023 - 6:05AM
Business Wire
First of their kind in the United States to
transport renewable diesel by pipeline to inland destinations for
delivery to the market
Kinder Morgan, Inc. (NYSE: KMI) today announced the full
commercial in-service of its Southern and Northern California
renewable diesel (RD) hub projects. RD is an alternative fuel that
allows trucks, trains and any equipment that uses diesel to operate
with significantly lower life-cycle emissions. Now in full
operation, Kinder Morgan’s RD hubs are the most efficient and least
carbon intensive method of transporting this lower emissions fuel
from the Los Angeles refinery basin to San Diego and the Inland
Empire and from the San Francisco Bay area to Sacramento, San Jose
and Fresno. The initial phases of both hubs are fully subscribed
with customer commitments.
“We are very pleased to be advancing California’s climate goals
through our Southern and Northern California RD hubs,” said KMI’s
President of Products Pipelines Dax Sanders. “These projects
present a significant opportunity to participate in the transition
to lower emissions energy sources of the future while continuing to
provide fuels still in demand today. We are confident that the best
way to serve markets during this energy evolution is through an
all-of-the-above energy mix. Pipelines continue to be the safest
and most cost-efficient mode of long-haul transportation for liquid
fuels.”
The Southern California hub, which provides a throughput of up
to 20,000 barrels per day (bpd) of blended diesel across the two
inland destination truck racks, has been delivering RD to San Diego
since the beginning of February 2023, with deliveries to Colton
recently commencing. The Southern California hub connects marine
supplies of RD coming into the Ports of Los Angeles and Long Beach
to the Los Angeles market via the truck rack at SFPP’s Carson
Terminal and to KMI’s SFPP pipeline system for delivery to the
Inland Empire and San Diego areas.
The Northern California hub, which provides a throughput in
aggregate of 21,000 bpd of RD via the SFPP northern pipeline system
from the San Francisco Bay area to KMI’s Bradshaw, Fresno and San
Jose terminals, is now commencing movement of RD to those markets.
KMI capitalized on existing infrastructure for the Northern
California hub, with potential capacity expansions available in
subsequent phases.
About Kinder Morgan
Kinder Morgan, Inc. (NYSE: KMI) is one of the largest energy
infrastructure companies in North America. Access to reliable,
affordable energy is a critical component for improving lives
around the world. We are committed to providing energy
transportation and storage services in a safe, efficient, and
environmentally responsible manner for the benefit of people,
communities and businesses we serve. We own an interest in or
operate approximately 82,000 miles of pipelines, 140 terminals, 700
billion cubic feet of working natural gas storage capacity and have
renewable natural gas generation capacity of approximately 2.2 Bcf
per year of gross production with up to an additional 5.2 Bcf in
development. Our pipelines transport natural gas, renewable fuels,
refined petroleum products, crude oil, condensate, CO2 and other
products, and our terminals store and handle various commodities
including gasoline, diesel fuel, renewable fuel feedstocks,
chemicals, ethanol, metals and petroleum coke. Learn more about our
work advancing energy solutions on the lower carbon initiatives
page at www.kindermorgan.com.
Important Information Relating to
Forward-Looking Statements
This news release includes forward-looking statements within the
meaning of the U.S. Private Securities Litigation Reform Act of
1995 and Section 21E of the Securities and Exchange Act of 1934.
Generally the words “expects,” “believes,” anticipates,” “plans,”
“will,” “shall,” “estimates,” and similar expressions identify
forward-looking statements, which are not historical in nature.
Forward-looking statements in this news release include express or
implied statements concerning the energy evolution and benefits of
the renewable diesel hub facilities. Forward-looking statements are
subject to risks and uncertainties and are based on the beliefs and
assumptions of management, based on information currently available
to them. Although KMI believes that these forward-looking
statements are based on reasonable assumptions, it can give no
assurance as to when or if any such forward-looking statements will
materialize or their ultimate impact on KMI’s operations or
financial condition. Important factors that could cause actual
results to differ materially from those expressed in or implied by
these forward-looking statements include the risks and
uncertainties described in KMI’s reports filed with the Securities
and Exchange Commission (SEC), including its Annual Report on Form
10-K for the year-ended December 31, 2022 (under the headings “Risk
Factors” and “Information Regarding Forward-Looking Statements” and
elsewhere) and its subsequent reports, which are available through
the SEC’s EDGAR system at www.sec.gov and on KMI’s website at
ir.kindermorgan.com.
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version on businesswire.com: https://www.businesswire.com/news/home/20230403005104/en/
Amy Baek Media Relations (713) 420-4644
newsroom@kindermorgan.com
Investor Relations (800) 348-7320 km_ir@kindermorgan.com
www.kindermorgan.com
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