NYSE: KMP) today increased its quarterly cash distribution per common unit to $1.32 ($5.28 annualized) payable on Aug. 14, 2013, to unitholders of record as of July 31, 2013. This represents a 7 percent increase over the second quarter 2012 cash distribution per unit of $1.23 ($4.92 annualized) and is up from $1.30 per unit ($5.20 annualized) for the first quarter of 2013. KMP has increased the distribution 48 times since current management took over in February 1997.
Chairman and CEO Richard D. Kinder said, “KMP had a strong second quarter as our stable and diversified assets continued to grow and produce incremental cash flow. Our five business segments produced approximately $1.337 billion in segment earnings before DD&A and certain items, up 39 percent from the second quarter of 2012. Growth was spearheaded by the drop downs from Kinder Morgan, Inc. associated with its acquisition of El Paso Corporation last year, contributions from the midstream assets we recently acquired in the Copano Energy transaction, strong oil production in our CO2 segment and good results at our Products Pipelines business.
Looking forward, we see exceptional growth opportunities across all of our business segments, as there is a need to build additional midstream infrastructure to move or store oil, gas and liquids from the prolific shale plays in the United States and the oilsands in Alberta, along with increasing demand for CO2, which is used for enhanced oil recovery. We currently have identified approximately $13 billion in expansion and joint venture investments at KMP and we are pursuing customer commitments for additional projects.”
Read the entire KMP earnings report.
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