Kinder Morgan To Invest $1 Billion To Expand CO-2 Network

May 2014, Vol. 241, No. 5

Kinder Morgan Energy Partners, L.P. announced it will build and operate a new, 213-mile, 16-inch pipeline to transport carbon dioxide (CO-2) from the company’s St. Johns source field in Apache County, AZ to the Kinder Morgan-operated Cortez Pipeline in Torrance County, NM.

The Lobos Pipeline will have an initial capacity of 300 MMscf/d and will support enhanced oil recovery (EOR) projects owned by Kinder Morgan and other operators in the Permian Basin of West Texas and eastern New Mexico. The company plans to invest about $300 million on the pipeline and $700 million to drill wells and build field gathering, treatment and compression facilities at the St. Johns field. The project is expected to be in service by mid-2016.

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