Kinder Morgan (KMI) 18 Jan 232022 Q4 Earnings call transcript

Welcome to the quarterly earnings conference call. At this time all participants are in a listen-only mode. [Operator Instructions] Today’s call is being recorded.

If you have objections, please disconnect at this time.

I’ll now turn the call over to Mr. of Chairman Executive Kinder, Kinder Morgan. Rich may you begin. Sir,

the before Thank well certain KMI’s like I’d Act And of statements earnings Litigation the non-GAAP Private usual, Act you, as we of within forward-looking financial to include and today XXXX this measures. begin, of Reform as and the Securities Ted. release call meaning Securities remind Exchange and you that as XXXX

statements as investment in review results decisions, end latest with forward-looking full we such strongly use actual those to risk to and measures important you the financial SEC from our forward-looking release our of as the statements. assumptions, expectations any encourage material disclosures cause well read filings set on that making differ described and earnings at may and factors materially non-GAAP for anticipated of Before forth our

it used that healthy growing maintain to we that philosophy we short, In strong fund to the pay cash year look forward. Morgan. our produced continuing backward cash and to follow and begin be earnings We back of CapEx, in for As flow we sheet have investors financial our a time that an our rearview a today’s XXXX, expansion an very excess and appropriate balance again years. good basis. opportunistic flow dividend, strong both stressed buy was and on budget of shares a we for are release, the seems Through Kinder to well mirror XXXX see

costs an in drive which means, of year CapEx expansion our shows even expanded of our beyond. set preliminary within XXXX should Looking budget and forward, of interest for another December, light growth we in increased the nice and and released living in opportunities XXXX

succession. management We for announced today our plan also

will year. of out of Our August Kean, CEO, role effective this on Steve his transition Xst

personal dedication, for we say been last just the Let pleasure a that and him at real for to years, CEO a he’s during with this and he’s confidence work me thank honesty hard On his been eight the all brought the Company. note, a has years to the work, Steve superb job.

succeed will we him great present I in August role Martin, role the slot, her and to he and that year. will To that his are contribute XX him future. the as made delighted faith for Both smooth will and sorry in of up, approximately Kim Steve? Company. the have and Dang, transition Morgan great a we Board Tom the CEO, President as CEO from transition be expect have have a While later in who to we that from them be President. culture, will present have and in until then things we know our to it lose thereafter, to with we results I who years, role and future contributions into will expect her sum success been continue extraordinary The he as director, Kinder this

Rich. you, Thank

in XXXX performance, did how future. the set and substance you details the up look ourselves and take will and for the our your David we then back and at we give brief we’ll well I’ll cover what questions. of a have Kim

our have we week, conference. Next comprehensive investor annual

on case unit and week the next So, more outlook we’ll business defer XXXX as the the to the call, budget usually performance. this and is on questions detailed

opportunity tireless quarter, company. and in customers our preparation for Thanks, operationally and the financially us. we in and fourth for fourth to quarter. of large said, our services performed Rich well We had like and that procure for our customers commercial, and the logistics storage us a year it and teams. transportation operations for saw XXXX execution strong As market, operators for some storage who as with transmission our volatility and we the from always, Late example, a in up wrapped gas great very creates

to We deal seamlessly a at the way. saw and that lines work come workforce we’ve recover respond through, culture, got committed especially during the prepare, with a the our upsets when along holiday and Morgan. That and strong organizational across weekend, requires Kinder and that teams

budget work debt added finishing year sheet, X.X for XXXX set strength target well to inside our and also our Our well long-term We EBITDA at of the our approximately for future. better in year times. times balance us the up the than to of X.Xx X.X the

our probability We gas, and in opportunities, attractive attractive yield originated renewable very how our well what These And an high terminals we no toward investors billion approach investments would multiple business. up Ventures are fuels are here. $X.X are liquid future Transition are new our business, investments about made of has to to and returns carbon carbon natural our of lower investments weighted and times. that’s told and all doing. Energy extremely leaders these feedstocks cost products these of businesses, we our That’s expected backlog capital. EBITDA There exactly in at we our in projects loss lower grown which above X.X

share We also value and shareholders of to repurchases. form well-covered a modestly the growing returned in additional dividend

dividends to share declared alone, billion returned and For XXXX we’ve repurchases. shareholders nearly and $X.X

has from the we Board billion of have the amount, a to the used upsized billion On $X billion. the Board under $X and total repurchases, $X now share authorized little authorization

capacity. opportunistic will when we those As use always, be that repurchases

some built-in to talked products Also, base year, escalators natural and starting about on our tariffs of and nice business, uplift the as we our business contracts. renewals in our we’re on terminals, in throughout see gas and

our behind contract putting in group. the gas roll-off us headwinds are We

will and as assets for come. for accommodate we do can decades what are products in the Bottom today forms be future. line investors, demonstrating have the our we to the businesses, And of needed energy today we terminals

pivot we’re We investors. attractive are energy our gradual at and the for that making the it dictates, gradual evolution doing returns

and which value of maintaining strong of we’re and we in opportunistic with Company, to in that dividends generate, returning are balance shareholders our adds sheet, share businesses good the investing are our repurchases. cash the the excess the to we the With returns, form projects

Rich’s with Thank grateful to you to appreciate and every occasional and to to And proud your beginning, grateful for the your I’m I’m We your their the day. and Rich comments all over questions my interacted grateful on us. benefited who who I the Board colleagues XX,XXX confidence to have at and have been in from work support you come the from here and perhaps I criticisms ideas. you. with learned call years, and I’m

next our have about we more sheet shape. in hear you’ll balance strong week, As

that. a And look this around we always investors and opportunities leadership have rich step who team at most forward up We We all conference importantly, great have in seeing you experienced a bright benefit us. the next Kim? future with table are to our person to before week. of from ready

Steve. Thanks,

and as somewhat LNG and retirements, Mexico result weather Natural volumes capacity with outage unit. added from by the market. on quarter Transport going saw result reduced of increased ‘XX. Pipelines as a fourth to our our Gas start X% Natural of Okay. I’m a about pipeline power the demand the was LDCs Freeport We of and third-party coal to volumes and to offset due for exports that volumes by Gas business to increased versus the quarter

per to LNG QX versus dekatherms day. offset due deliveries Pass. increased per That’s outage million Sabine to our about off pipes Freeport day and deliveries to down and Physical averaged by of facilities the that’s XXX,XXX of ‘XX, approximately dekatherms somewhat X.X

up the the If Freeport quarter, LDCs plants power volumes for robust by we in X%. adjusted outage, were have approximately XX%, increased driven and would approximately and LNG respectively, to weather. Deliveries the X%

were up were volumes by flat. in up Sequentially, natural volumes, Haynesville X% gathering driven quarter, volumes Our gas the XX%. were which

Crude quarter condensate pipe volumes. quarter, due due volumes the fuels in for the which out about X%, down XX% the down driven coming EIA, pricing segment, Products of lower differentials. locational was under down products outperforming Bakken That’s X%. by were were our a refined volumes. HH were little but slightly were X%, down a In increase saw to in and to down Road fuel volumes jet we was and volumes lower a X% that Bakken Sequential demand. the unattractive X%

In high capacity percentage our think our liquids our of about that Terminals remained tank percentage, XX%. business utilization segment, contracted, at as a

for out is utilization Excluding of required inspection, approximately XX%. service tanks

tanks and in New lower Houston quarter. slightly Harbor Rates in the on were York renewals liquids

both, Our tankers business rates was and as from utilization. quarter higher higher up benefited nicely we in the

On coal and side, We down overall X%. volumes, but were than offset coke the more bulk in volumes steel saw volume. pet was by lower that increases

across up In board. our prices the were segment, COX

year. results was both were have XX%. up On volumes, quarter flat, impactful COX Steve budget. had the which less X%. said, much X% Rich side, were volumes we are oil production a fantastic our and down but versus up volume NGL Overall, and to it’s

share full you quarter, of it up when the the exclude and year, For was for XX% DCF up Storm Winter per the impact XX% Uri. was

planned DCF company have you by stable Kinder year by X% above numbers DCF EBITDA cash for the coming in or we We slightly at X% like interim an exceeded and a amazing our the full This given and per year is quarters. fee-based in flow share Morgan.

for and benefited of fundamentals commodity strong from we the but next higher future, we sure, week gas with the you business performed look at natural which conference. cover For the will specialty incredibly investor prices underlying our

David. I’ll that, to over turn With it

Kim. All right. Thanks,

‘XX of $X.XXXX share is XXXX, up annualized a which So quarter from dividend our fourth and per dividend. for of X% the we’re declaring per $X.XX share,

a transaction, ended X.X level worth target cushion shareholder around comments, I’ll it’s net start we the liquidity, and repetition XXXX on debt but of and few On highlights have here leverage, value. it. XXXX consolidation with There’s our plenty with with growth of year-end lowest leverage, times. under our earlier leverage since some we

undrawn XXXX as of addition of mentioned, ‘XX Growth $X impacts the for worth our year XXXX versus ended Kim with million to from our on Uri, Winter balance Storm in grew net full up sheet we liquidity, cash share up year-over-year, XXXX. That’s in excluding capacity. billion $XXX up we DCF very revolver an partially XXXX. almost per and we nicely. times a to due taken nice were on X XX%, on income we’re impairment we’re EBITDA, growth. XX% basis, And On For

year for million opportunity value $XX.XX should an just of we shareholder Board and to repurchased do more of that, itself. at our the full share present shares authorized XX.X average price per For XXXX, us

our healthy We’re across business. growth seeing

multiple creating the balance ways. in Our they and ever value have shareholder we’re are across Company liquidity been, sheet as and strong

fourth XXXX. on performance. the $XXX up $X.X So the million In fourth quarter billion, our moving from to generated revenue quarter, we of quarterly of

quarter income XX% up fourth X% our of up $XXX excludes which -- up certain And million, from was to quarter was compared net Our the fourth the of last ‘XX. items, year. was earnings, adjusted

flow distributable performance was very Our cash strong. also

pricing favorable or systems, from our volumes million, lower our EPNG, contributions system. multiple higher partially was contributions our $XXX assets. segment KinderHawk system Intrastate South Gas Natural and with increased up Texas assets, and from gathering by Our on XX% from offset coming growth MEP Altamont were Texas our Those on

The condensate was expenses rates from our lower contributions Products as as splitter crude across strong operating and those by down system. as $XX as were on business, by segment partially increased well assets driven million, offset multiple our well volumes and higher

taxes, offset from escalations contributions service from expansion XXXX flat the was XXXX Harbor winter New property segment ‘XX other and weather Terminal in renewal experienced. tanker as impacts unfavorable with Jones by in refined business, Ida from lower liquids Act rate Houston impacts Channel product Hurricane greater slightly as fourth The projects and quarter the well to rates, and York unfavorable Ship segment that placed the nonrecurring contributions of from our

from by the Our prices. million COX mostly of segment up was commodity quarter ‘XX, fourth favorable $XX driven

$X.XXX from year, XX% last EBITDA from billion, year. and DCF Our up was billion, $X.XXX X% up was last

share year. last was Our DCF XX% up of from per $X.XX

nonrecurring from billion a from net balance the $XX.X XXXX. year-end from sheet. times of that’s we adjusted Uri Winter ratio ended Storm experienced fourth to X.X the and EBITDA net contribution ‘XX, to to We That’s the due up on of but debt quarter Moving times. debt in X.X with EBITDA

that that Excluding times. Uri, contribution Winter ratio X.X Storm XXXX year-end EBITDA was

contribution. excluding we ended the So Uri quarter the metric to nicely and favorable year the

target of around times. We’re leverage also our below long-term X.X nicely

number of Our million change net a of driven full the things. for was $XXX year debt by

of that. here’s high-level a So, reconciliation

We generated million paid a dividends. partial We million. billion $X.X around spent we We received in billion renewable our in And from gas DCF Liquefaction $X.XX growth company. made $XXX $X.XX for Our and JV stock $XXX on natural of the $XXX billion. two interest the repurchased in approximately million. sale Elba capital amount out acquisitions contributions. We of

$XXX debt around you a that had items, use we the several close Finally, working of to and capital $XXX year-to-date. reduction million million in from gets net

Okay.

continuity. Before job we I business is A great This questions, of be and very opportunity great with about my part is start to future. with am a about large going company a ahead. excited the great

a global that said, long is is will be $X business every trillion lives. ingrained for aspect our around a to time in As Energy of traditional come. Steve industry our

wisely we Tom. slowly invest Company and in future. skills, We profitable to continue transition directly with the help position manner. will the as complementary a excited with time which also We I’m will work more into have turn Company the together well to to the over work

cohesive Sital Kevin Anthony John a and and make senior experienced Dax we David table, and and and an have to We around and team management others this and sitting this expect seamless transition. with

All right.

questions table. their open a for we around team senior management to usual, good from as have have that specifically. let’s about up get chance make chunk And as you Okay. of questions. it Ted, businesses the hear a you our them We’ll sure

it up questions. would So to Ted, open you if

from first The Morgan. JP Tonet in Instructions] Jeremy is queue with [Operator the question

It and say maybe could any want starting wondering allocation, wasn’t the uptick luck share guess, touch seems were little it going before. authorization when utilized might just And on there. congratulations Just then, like best to fully time, less than And thoughts off, have expected. to with levels bit forward. at been if the Steve, same I the of dividend updated increased capital everyone, you a

wondering, shift capital? thoughts any there or of it just in allocation is any capital other on kind on return So signaling

in fund good of in Yes. the at I returns. look mentioned, we multiple. Those billion then, Those cash of -- or all dividend and very cash well-covered shift I’ll the X.Xx We But some and and imply EBITDA it shareholders the at And $X.X returned us modestly have at are gets value we repurchases. -- we’ve any maintain have look balance attractive a a start. of add ones, that. we to the all. projects us. sheet mean, as to doesn’t said, as change form And firm. four produced to returns attractive have takes share strong beyond to to the growing approach that

original change a The the how about $XXX said, million. a in little it. terms the But upsizing and saying we’ve for used since capacity reason been long -- not over we’ve as is a time. we’ve of thinking about all capacity $XXX Opportunistic, million the authorization, we’re for

And the ready take so, authorization. the of we Board upsize advantage we’ll opportunities be to upsize --

changed arise. line, bottom And been take opportunities And It’s as advantage philosophy. shareholders. a for in our It’s our a so, allocation to capital we’re the position same worked. of it for they quite overall, But we haven’t while. adds value

is one dividend we And I increase Yes. we yields say it’s important XX S&P we when important And it’s are what the the on dividend the growing. Company is of -- -- believe top do would the but dividend, XXX. to -- in that the

stock. have already an yield And on so, the we attractive

stock, so, terms And a also it’s dividend on in good that the but so stock a small where continue paying to increase we recognizing the yield increase being is. of

then that And the little the impact any Were the quarter, if I weather quarter? pros a wanted maybe from what trying unpack during far the to see, more helpful you guess, sense. to That’s quarter. as Makes cons. as there uplift and there. marketing the could during it. just in Just storm to the was impact bit Got shift

The beginning, transport -- assets. the you Yes. this where which in think and up and storage I capacity, peak look, the be storage have said who a well the do a nationwide when attributable storage with Gas had have to at primarily degradation. that’s supply had to those -- our so had Natural in Bcf made down XXX were XX and we what to little over This look assets Kim, And uplift It’s in able Bcf. capability case, some those. was that to people had I difference we is and is particularly

The make, operational some had we to repairs have net, cetera. upsets we though, did et and

event, incremental not order everything. after contributor. And weather take itself you just that And or did. I a before and so, and when we you in winter is net able that, and the think that transport, you’re of it’s both have huge so $XX But advantage out. we pricing winter netted occurred not storm the -- the million It’s experiencing and on of if overall, to volatility the those storage

helpful. That’s it. everyone, congrats, And Got again.

Goldman is the in question John queue Next from Mackay Sachs. with

talk little mentioned maybe quarter-over-quarter. regional were flat wanted a Haynesville Kim, just again gathering you to I I just of on more think the the some movements you on volumes side. gas Can touch on,

if on on or seeing production. comment across could of terms you if then, maybe the else share producer-driven takeaway wondering you’re Thanks. anything can Rockies issues? you that’s what Just in And

KinderHawk but some it also expect some uplift volumes then as the is capacity quarter-to-quarter, capability that XXXX, spending from do to our system, is a as basically nice and comes XXXX yes, gathering both online we we’re were create So largely there in constraints, capacity capital well. a move on flat into we downstream -- additional and

we play to to in also limited opportunities, grow just some we nice go on processing that’s overall. rate some and So, and continue to forward. the utilization we really as Haynesville And opportunities and see gathering KinderHawk interstate nice see opportunities not but increase our

not deal grow growth well. we’re as to seeing gathering the DJ. expect great system, of But nice certainly, that There’s then, Haynesville So a yes, story. a whole the of -- shoots yes, a seeing us. of there’s story as good lot go some a in ultimate we for Rockies, we’re nice seeing as we as few not although pockets the our there, Uinta, growth And mean, we’re I XXXX far a nice overall, few green into growth is on a and there. there

how I kind Red of on in that. kind sources COX much the to of Thanks how out end of for terms recovered from, natural COX. mix of announcement. could recoveries else what your be up selling we to your third I there Curious could to parties Maybe overall shifting business, over gears call EOR own COX either away Great. guess, just be the Cedar mean, the time? up of much or making shifting

Anthony?

Yes.

that to So, Cortez about that’s XXX day, currently down Texas. Cedar XX the we’re context, talking we’re a moving over into deal pipeline Red up our day to it a West put

there, processing resources there’s Permian effectively talking when be that’s those a you’re going kind natural largely to to of around the gas about Really, replaced. that the before so, are ways And infrastructure go get lower. opportunities assets, which and

replacement our long source that a existing so before be to, with guess, replaced. I be of regards capacity would And very time

All right. Thanks We’ll next And time. for congrats, the new see week. for if we go ones roles. everyone, the on

is from Jean Salisbury question Ann with Bernstein. Next

us Kinder you rate have case settled if Hi. is are which remind any, on this case into rate Can XXXX And Morgan Which pipes, where year and next? still incorporated ones settlements? could or see been guidance?

NGPL, Really, Those now. ones been mean, the for Rockies those the EPNG, all the are ones context the year. we’re of and I’m ones addressed. pipes the big we’ve are that past the big this the saying got big I have last and over

so, that’s And XXXX. all budget our been for for into baked And now pretty we’re clear XXXX.

Okay. you Thank Paso positive that then a progress week. on latest some think I release you. had And last the El what’s noted restart?

Yes.

closely post the to information EPNG this be stick And electronic on so, we bulletin and is our on with board. going with what consistent

submit Line the end return the And anticipate then [ph] EPNG restriction service. January. completing what we we and it on did FEMSA behalf normal post on there. is request a to work we XXXX an lift says physical of to so, the before commercial that will pressure to of update And And

[ph] will FEMSA provide, end. to month to work we time completed by we our be review but information need expect that the So as

you, congrats over the Great. thoughtful luck. to time all That’s years. answers all and and for Kim, thank for the of and you, Best Steve, me,

is Next from Spiro question with Citi. Dounis

away And walk Congrats believe Steve, all I you’re around. dollar from year can’t the a willing to salary...

It was a hard choice.

my first just along is the question, Permian Two-part and Congrats. one here pipeline.

maybe last second kind quarter, of if of the if front quarter, it bring in kind Permian make up Permian GCX of back between front. maybe would -- you those is Highway one the Curious sense of last time. over the expansion phasing queue just I part, to First quarter Pass mentioned And to more believe the and or Permian and possibility in sorry, of the Pass.

feasible. think I to do engineering you that work to out if was figure needed more

if that. you curious an on share there’s Just update can

Yes.

you service and Permian that So, Permian the think under Highway in I not go expansion construction So Highway? mean into right, expansion is to Pass, expect November. Permian

hasn’t prices We’re been really working gas as noted. with you’ve be there. very some One opportunities, is on although active, there other That two may now, GCX lower opportunities expansion.

on recall, you was of expansion cost a project. us for that a bit fuel headwind As

prices opportunity. actionable again, So that may that lower, are more as one an gas bring into

our of really, for early that is late I capacity the as maybe as are hearing customers basin from what think Pass, need the ‘XX. But we XXXX, far Permian is sometime out in next incremental

when so, customer, Gulf exactly we producer think largely to and figure with need customers there. our also work And them I those -- which out be along Coast, LNG need it to desired with and related helps align where as be their volumes to going the are we

that’s think anything time. capacity. new still we’re The there. out that going as at announce to that as I market nothing So accelerate this far overall But needs to really still

once end, was capacity we A we get the available time to the think PHP, date. bit last November pretty in, there put before little the our is compression about in-service I any that’s when channel. close discussion some of there

late so, that going. assume the in And I it’s

Still And we I XXXX. exploring that. through as think opportunity a move is potential that

on the color for Thanks that. Perfect. it. Got

David. question, Second maybe for

Just XXXX rate thinking and maybe the and interest how about an beyond. for update you’re overall on maturities exposure

of kind maybe are budget expense? you by available what perhaps interest DCF Just the exceed to curious outperforming on to options

locked we’ve our rate large this for regard amount XXXX maturities the are year capital But access some the do talk maturities, evaluate due markets We’ll to reduce refinance next the expect some the to during coming exposure floating we to year. the with about of the different year. overall XXXX that risk in in order debt of to order of for this but downside We’ll continue to in alternatives. more week,

helps of capacity. that. cash certainly the of balance million with worth got our into $X year on $XXX sheet revolver we’ve the And billion coming The

await said as case, patient. still luxury the for quarter, I market, we and we market before will the being favorable conditions last So, of we access and the is this have

the Michael from Wells question queue with Next is in Fargo. Blum

I’m Thank our here. you everyone. we will to you. came Congratulations, conference glad and you, Steve, miss

So, I thank for on ask that. CCS to Red wanted you back Cedar the project.

wanted confirm about perspective? you see of that, to could a you project that to to generate will be and talk Just what this just if return type like expect on entirely your fee-based from

Yes. on our I businesses. mean but going -- they not say the comparable we’re very would returns, talk I to specifics were traditional with

the So, And a we’re doing right return things sorry... from standpoint. I’m

The exposure. commodity

to And about on wants of maybe the of ETV transaction. commitments and part things, primarily in side on minimum it. have place that Red Cedar volume But Tom JV will Yes. this the ETV is talk

And the Red Cedar, G&P on it’s volumes.

is component to there growing and so. to variable their So a them that, to grow, continue volumes expect but have been

term, we be for it opportunity, to it’s to the the part in solution ground. transport keep put capability and the good in it the This long the it ground and going of a have is over have CCUS, to

a do them and a economically. and that you there’s things you so, do opportunity And good there, is this these can highlight can longer-term

that have number out. we -- And so, things this happy first be but of of are transaction. hope there the worked a about to we’re It’s many

delegated authority and the and process. so we think, can the VI up Title biggest permitting speed other permitting for that getting in through Louisiana the having Texas or that I the places, is sequestration EPA

do a permit sign situation permitting well process more have dependent well. team a believe, a different accelerated it the found to may a And of be is from to in and the we of come way and different this. us things is of use hope Anthony enable an those this to kind But as kind do to to of upon EPA. there but

it. appreciate I that. all Got

we’re just see do to what’s this maybe overall was gasoline Second wanted sort the pattern talk just year-over-year. volumes kind the just were of Can think than think, year? I a is throughout industry But driving diesel know you’re your and better little there? ask to overall And on Thanks. what I to lower that a of you that? averages. recurring seeing volumes, question, you I going just

say Yes. I’d a of couple things.

So of issue we had that. all, operational first in December one

we that be mentioned, one the Diego hadn’t down down close if had flat sort serves X.X% been quarter-over-quarter. up California, down, back XX to one the prior that We to days. Kim would to in compared our for year. were of we major As of lines And San

And so, stand and at into aggregate. get looking more X.X% XXXX right budgeting we budget and about the we’re where of week, we’ll increase next an in now,

gasoline, for but sorry, EIA jet down XXXX, recover we’re diesel about to whereas at below jet fuels I’m that, jet our down you we’re look that, But and was looking kind given was quarter slower XX% at to been to at, to were XX%. XX% For we’ve flights. X.X%. fuel together, XXXX, something fuel if looking in above and EIA something -- down close whereas international with recall, weighting starting towards we EIA for the of

to we come close back, on Asian better country as help think the a will recovery of got international, flights that with us. front still the the we rest So, particularly see jet we fuel

our at And Coast the a coming of north renewable of we’ve end diesel quarter. got on the projects recall, barrels West take-or-pay line And day. the on contracts those first XX,XXX have for

think So, diesel help will picture, that with so. the we

right now of we we’re through what a seem seeing refined top on be, products looking budget. midway perspective, from And January, at to

Reynolds Next UBS. is Brian from question with

about Steve you, little there. the I the business, performed bit quarter. future opportunities which off to Maybe and afternoon, just growth pretty both on start to everyone, talk And and Kinder-based Good Ken. well a in congrats wanted to

competitive well going at there whether has yourselves for positioned made this into Thanks. erode the on if of the supply talk was come lot seen you has curious LNG Louisiana. years, Kinder forward, point? new competition and and broadly not past just could Over see supply the a projects competitors that Permian few guys LNG attractive about advantage looking returns share from Kinder you we’ve how whether or a just I effectively, market to market the

Yes.

our think there, So I building said lines along, capabilities directly including serving gives export facilities along the Texas, or new that those mean, into of great all our I we’re as storage Louisiana, other think us a I proximity we LNG network whether connections. are doing advantage,

as think you across do and to we when mix great export stores access both, position to still many in as salt reservoir as Just have storage the a of our I LNG we footprint, that participate story. the have and in -- and we’re basins

where to are as to or our I to we’re continue in good we going strikes about whole about to hard going really XX% exceed grow, that being That’s our and are going balls We believe market but share. growth whether participate position our on call meet but story. volumes feel to XX% forward, We’ve talked it’s today. definitely

Yes.

relatively seeing You’ll capital $X.X see network what at is this, well efficient we’re a X.Xx across and seeing bit investments we to backlog you’re But, our Brian. network. that’s more modest make grid positioned, growth it we’re have the billion, our is and we’re expand, that able supply EBITDA the when little multiples of a and serve demand in to to that executing

and doing this extremely attractive been positioned end. really with have finding the dozens have we that our higher capital had for the but we returns. returns modest -- might we at growth expenditures a that are you done we’re well projects But in projects network that think is And shows of relatively along that multiple, each nice the so, big that that’s fact I long-haul a still slightly past,

CapEx little one Great. through I bit the And progressing? And mature of those progressing XXXX. of middle color. opportunities you just to RNG to are years. decade, that to wanted end and a just the projects see starts follow-up, you CapEx just my projects the as new within business for on the an that market of update appreciate if How I the decade continue the RNG in are the few curious or if see as the Kinetrex continued next and get

Yes.

contract. the So, acquisition, of RNG half service them year. have our three of Kinetrex came in year. this this really is projects There first we that the that in original one on be of through Two EPC will

into fully that So baked budget. is XXXX capital our

obviously, we’ve -- acquisitions we’ve made opportunities, future to to three regards with date. then, And

fairly I time. we this in think point looking are organically to at grow

at grow, I are there opportunities on basis. to those think, be there and an we’ll individual out looking

come recently, market up us. which demand new new proposal did out EPA opens The with for a a

into there assets of so, to may some be service And there as convert these some well. electric opportunities

of lots at that there’s that now different think opportunities in space. looking right we’re I So,

We’re excited about growth.

from is Wolfe Research. question next The Keith Stanley with

Congrats the backlog Kim said is as I to and you Steve billion wanted at start, to now. $X.X Steve, well.

you amount? kind $XXX the presumably, pointed So, that’s initially. decent you this the another which talk because or specific quarter, projects is CapEx Can to since of of higher that’s for than why $XXX any to quarter billion of up that added $X.X was a year since last what growth million million last you’ve

Yes.

is some related, a be RNG, I that. in basis, on of can bit more and have is little it that XX% percentage So, -- in we in think RNG maybe. I most gas going a gas to in you than and give

as and collection G&P transport I lot mostly LDC power which a existing can demand, risk of reduces as best projects network, as us get -- so a returns connects. the project. a LNG efficient. end on composition And it makes the to we -- is them. them of And again buildups the tend the we deploy It with And the mix that’s we the of capital and for and smaller market. when give well to up demand, capital We execution of that’s return said, better available on it’s tends this of it’s

kind X.Xx in again concentrated and carbon, at gas. $X.X billion including So, natural our yes, of and low

to a of other terminals renewable the news, diesel the And the project, Evangeline that the like added the backlog Yes. project, part Pass are in projects. projects number got the TVA of

the some backlog projects added are quarter. the that got of in those the to So

it. Thanks. question. Got Separate

how and thinking year. buybacks the this on Just you’re about for it

So, a it’s a little in more bit in XXXX. terms of growth of spending year

bit is CapEx DCF your your a think, So and only above, dividends. I little your

target order opportunistic, to think debt stock back or you’re you leverage if be obviously, for your issue since when buy and under there to about buybacks the year? So, borrowings was willing in you’re you would more opportunity increase this but short-term well debt

our excess We the would. year. buybacks in about that our capacity as current cash or as we we for well think other sheet as being generate Yes, opportunities capacity balance opportunistic the

we’ll to think appropriate increase in that it, using leverage sure would available our an we be that real measure our and be so, around And is cautious we that -- manner, bit. a capacity but we’re the little capacity. being make willing that We’ll way we’re about

from next Neal is question The Dingmann Securities. with Truist

You renewable diesel all just I’m mostly, the around -- hear it on my question is specifically. first

And maybe well, committed hit second this thing there the you CCS. the you projects? future Just opportunities around just question, as Carson beyond well, see what touched this just same around you the see now as and the terminal on the opportunities

Yes.

So Dax, R&D well. talk the the if the feedstock part on of you’ll if you’ll it John, part and as it, of about upstream, comment

Yes.

of now, as the to California. to I renewable mean, said wants go States in just we’ve diesel drop So right United before, every to comment,

that terminals that I in more British state have similar credit the there. a enthusiasm there think the we of that governments Oregon, level California additional expect Washington, for third states got We’ve as later there. to has other on one be Columbia tax them, projects will

having people. We are conversations with

And so, West additional both develop. Southern developing I other probably probably think there then we’re the places that or next Coast areas potentially potentially in certainly, to in hubs two expand I are and Northern think California, opportunities that’s the to those. And with

from that’s refined products So, of it the majority the perspective.

Okay. And feedstocks.

in opportunities at in number raise products said Neste there that of second involved mean we would a and be opportunity high-grade what their a an a our be high-grade I also assets, hope at, our And boats Sure. when we customers is under all expansion announced year great we bring we’ll Harvey all created but has where the last we looking we’ll the that it neighboring the many of feedstocks felt deal to has rates, customers. is rise additional to facility projects into project, attracted facility the connect other handling with that’s this take-or-pay. long-termXX-year

seen from we help it which us of other Jones tighten that, to relates renewable movement too area will as interest Jones Coast think diesel the our lot West vessels. on a already is Act We’ve actually The Act an and to tight the market. further Gulf in to Coast

this I’m showing further at time. And questions no

much. a you. good Everybody, very evening. have you Thank Thank Okay.

concludes participation. your for today’s This Thank call. you

time. at this may disconnect You