Kinder Morgan (KMI) 16 Oct 242024 Q3 Earnings call transcript

Company Profile

Participants

Richard Kinder	executive
Kimberly Dang	executive
Thomas Martin	executive
David Michels	executive
John Mackay	analyst
Sital Mody	executive
Neal Dingmann	analyst
Michael Blum	analyst
Theresa Chen	analyst
Zackery Van Everen	analyst
David Conover	executive
Anthony Ashley	executive
Jeremy Tonet	analyst
Keith Stanley	analyst

Call transcript

Due to licensing restrictions, you must log in to view earnings call transcripts.

Operator

Welcome to the quarterly earnings conference call. [Operator Instructions] Today's call is being recorded.

If you have any objections, please disconnect at this time. I will now turn the call over to Mr. Rich Kinder, Executive Chairman of Kinder Morgan.

Richard Kinder

Okay. Ted. you, Thank

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

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

which about exports few Over future by for centers. natural the past being AI and Mexico with I've to LNG tremendous and benefiting demand data quarters, driven view the growth generation, from strong the is gas, needs exports, of of our talked electric

viewpoint other and field. in the energy consistent most Our analysts leaders with is

So company the We Kinder this impact it's the believe like and substantial positive. Morgan. on a question next is, growth what's midstream of

in Permian meet and of demand that in power the expect to by a per which be have line fact, Southeastern my throughput will which our of out commitments announcing opportunities July, who signed capacity at is long-term market. Today, in Morgan, day, X South project, gas we we expansion long-term arena, of announced And infrastructure. In Kinder system GCX developing decades generation we $X gas In and enable to Basin. designed helping substantial billion underpinned approximately by environment natural south additional the system I've a commercial never build-out our Natural in player X.X seen of so Southern incremental to the the midterm experience the macro for expansion are Texas, agreements with U.S. customers rich residential move increase gas shipper approximate in Bcf infrastructure. growing to our major

next to our We significant us network line. the expect to months better needs over our to additional that and allow serve and expand benefit extend our of several projects will customers bottom announce the

As Kim. sustainable EBITDA be we basis projects DCF these come should turn to come. And able I'll our online, to with years consistent a over grow that, to and for it EPS, on and

Kimberly Dang

for and turn year. more Thanks, last over Okay. you Rich. points, EBITDA make quarter, third the to earnings grew per was to share give few details. a the But it then of I'll X% and quarter third David I'll Tom versus by unchanged.

to X% For the to of year, at of commodity slow due XXXX we despite startup growth below expectation lower EPS our versus slightly budget X.Xx. growth X% Debt and and prices RNG our expect remains facilities. EBITDA EBITDA of be our to

natural gas billion. During on expansion we a of We the to a million of serve million the $XXX projects power NGPL of Rich GCX roughly includes plant. includes and new backlog that service, a which current projects mentioned, storage resulting also quarter, added backlog, $XXX in but expansion the lateral $X.X a roughly in placed to

in opportunities we day industrial growth. to to total and discussions large power we X exports a the Bcf see mentioned opportunities between power second the in the growth look we of future, well As LNG, Mexico, north continue for gas to Current quarter. natural on

day XX number Bcf gas market growth next a is in overall roughly Our internal the X the over years. natural for

are And and cheap one need are to demand for Texas moving States markets. feedstock leading tight the and were CHIPS and data demand demand. the security side, with We from The back creates already a leading the United On energy numerous Coal population plants nearshore. Renewables there to drivers Arizona conversion. to what peaker national Florida project migration to power are course, are often see subsequent Georgia up need Act, that forward demand. to of and prices a the intermittent skyrocketed. Regardless business and project. more onshoring driver, of gas natural of for plants to center has Southern

secure For capacity the example, pipe contracts facility contracts liquid priced upstream that natural or to closest more an of it facility gas its initially for get molecules. point for time, LNG builds liquid a header to market. Over to attractively from

on the power existing supply. We we dynamics an some have capacity Project separate diverse these of supply. within to somewhat LDC the one and old achieve and subscribe me reminds a to sufficient leads desire seen addition, song on see capacity demand side. of and demand back companies for In It to diversity the similar to then by entirely ensure fix, areas the expand path further pipeline of thing to of another. kind reach

$X the to As billion Most singles set, opportunity are doubles. large, potential we $X.X projects look very and our of at a are billion. few future

longer As come last the more I projects but and over quarter, of year, are this course the all set the the can said larger to develop, the focused will fruition conversations increase and to take and opportunity becoming projects not specific. to has continued

exciting billion GCX large and between X South expect, System $X.X we'll over you the I As And share totaling Southern details. that, give said, expansion. we've continue projects to with business. And to the to Rich billion Gas add KM in the to to $X.X this turn I'll Rich midstream more to backlog. mentioned, as time be already Natural Tom project X it It's approved an [indiscernible]

Thomas Martin

XXXX, Natural quarter unit. volumes third the were the in natural down quarter X%. volumes total in to XXXX. with Haynesville were Transport gas by X% volumes Ford which and Thanks, up X%, quarter gathering driven the Kim. Eagle XX% compared of the were gathering versus increased X% respectively. Sequentially, up business and gas Starting volumes,

will slight we meet to XXXX growth volumes XXXX. the pullback volumes the volumes as over second gathering expected view For be in the as X% expect gathering from year, necessary in below We demand average of half our temporary to but the LNG X% higher production plan, XXXX.

natural across our pipeline crude the expand capabilities significant to and natural our Looking XXXX. transportation refined continue volumes pipeline of up the project were growing the gas volumes of incremental to products storage market. In gas forward, were segment, we condensate and support compared in quarter and X% X% to network opportunities products see our quarter third down in

our For the expect below full refined to slightly XXXX. year, to over volumes X% products we be plan

KMI's our in capacity. SFPP New project Texas and strong XXXX. In cracks El and On liquids closed capacity service further high Arizona. at be from remain Paso, petroleum supportive during barrels XX%. be key to expected Channel Terminals Tucson, Refining the East opportunities, binding to York utilization successful products its can during the additional services rates business transportation Houston from lease open to X,XXX hubs a development The refined Harbor. Regarding day our of blending the for segment, is line remains of add high season quarter at pipeline expanded per in of highs, margins, system our constructive though and third quarter in recent down and Ship

our exercised. X%, XXXX, as to higher volumes and the XXX% the and leased market Act volumes of remain expect assuming we at higher fleet volumes for at experienced tankers above lower versus average current options leased contracts in at XX% NGL XXXX. come third The rate XXXX charter are recontract quarter Jones COX likely are up rates rates and through renewal. The segment X% in COX lower charter X% at quarter oil production Our

include today phase the flat projects budget. The associated development with the Diamond COX leasehold For the be over and of to Board development approved the second acquisitions COX year, M. we undeveloped X These couple in a SACROC roughly at that acquired full projects the flood to adjacent expect to the of last oil we years. volumes our June at of flood

day. With $XXX I'll to greater expect these on peak spend than barrels a Michels. oil of We turn over in a X,XXX a David combined projects, resulting it million that, to production

David Michels

Thanks, Tom.

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

from quarter For $X.X down generated the million we of quarter, $XXX third of revenue the XXXX. billion,

down those down and also $XXX million. were were sales of by cost However,

putting gross those last increased X% margin so And versus X together, year.

and we year. We from the we XX% share $X.XX, $XXX adjusted $X.XX, last saw excludes businesses. terminals our year-over-year Additionally, XXXX. higher which with an which On to growth attributable acquired our across of assets, well transportation million as growth services and networks EPS natural million and greater net is than basis, generated flat of contributions. our contributions both of $XXX midstream items, storage certain gas and quarter our generated were gas KMI project income income from main higher natural Texas of drivers contributions third net earnings from as South The per adjusted

on quarter, impact is Our and due higher versus to year. product per sustaining with flat segment our was valuations. DCF for experienced prices which with associated mainly $X.XX, share budgeted lower last year last the inventory commodity we it. in the how We capital down consistent was

For the be year, we with sustaining full budget. to in line capital expect

our EPS net to X% higher X% is a we we for sheet, up balance X.Xx and year-to-date is budgeted to below adjusted performance year to a ended is year. And bit on of year, our look third the with which up. we X% on is EPS Kim with year-to-date quarter our X% quarter. XXXX. On basis, be nicely year, up as the expect little to and consistent last -- we quarter expect full basis versus last full $XX.X debt adjusted the with pretty to and But So than debt EBITDA adjusted net year-to-date XXXX end year. last a billion if at flat our EBITDA, budget while be where the EPS higher you is mentioned, over trend than adjusted

you year. billion that billion from to ventures. operations. our approximately in million dividends. change net uses CapEx high-level total billion and the has generated million joint We occurred. $XXX spent cash a of our other We've includes $XX in how debt We've decrease the of to And capital spent gets and that Our And $X.X had beginning $XXX of net $X working decreased $X.X the debt for growth contributions that we've here's reconciliation flow of million year. sustaining close the from in

I'll back Kim. to turn it Now

Kimberly Dang

David. to questions. on, it Okay. Todd, back Thanks, if you'll we'll come open up

Operator

question Goldman with John Mackay [Operator the in from Instructions] is first queue Sachs. The

John Mackay

across power, of spent you cetera. potential Look, the a et coming growth seeing back again that time talking you're lot about

a you backlog backlog. I call You've around of would Trident, up shadow be curious in that Mississippi frame great. projects if and let's Crossing if maybe that this could the size maybe context, guess floating the used of that we are yet, then And time that kind not quite be I'd what you of kind say, last I year? just of to, touch guess, relative could couple it to in on

Kimberly Dang

to continued since has I mean start last versus the and increase I I Sure. think, set year. even said as this year more this from earlier, time the opportunity of

And backlog, so I I mean, would shadow we increase a see we expect that. but don't if a big in that have technically you would did,

projects so singles are And arrange great. those lot a which and of doubles,

look plants our less in by returns. on nice that's think you're very these example, their in fact Texas, petrochemical in plants. I through power plants Louisiana larger. But have they projects we've talking at, in commodity onshoring by plants side, the much And and then opportunity, could cheap Arkansas industrial Wisconsin battery need System to are just chip we the you plants cheap power Georgia on some in for built risk, here, very that's auto are existing and and X. Things driven we're that addressing that's so those and you're the driven be the Mississippi seeing U.S., you're CHIPS network Arizona, then plants the and Georgia, the obviously, the by generally the and Act, Colorado Arizona feedstock and got petrochemical that driven and if have off seeing for prices and seeing of South we

exports that's blending We've export we're of opportunities by power opportunities side. on driven to driven that's petroleum the side. number storage There's near On got plants, we've on on. the working by Mexico, a by products driven got shoring, that's opportunities CCS

storage NGPL backlog. the -- our we that opportunity. to XX today, added said share of a I As We Bcf added

and gas. natural -- so And then on

So was X. last time year. our has significantly remember backlog now below the the I this it we're don't Xs year, exact itself or and number, I last think grown in over from but

CapEx, some you things the we time billion that billion updated $X seeing. Also that $X this say year billion per and last year, to recently sense that a saying So $X to expansion were in we since we're in CapEx expansion gives of year. more

set. those are of So see we signs this all how opportunity

that, about On talk Sital open the MSF season. let project. the I'll

Sital Mody

is Yes. Sital. John, this

been we've been to while about theme. for need as We've for to the there, a saying we've move we've that more talking you out as X open calls, last west got got a So -- east. couple our of from seasons molecules

obviously, seasons, and Crossing So they're be X to Crossing Bcf to what project with that Katy open get molecules to Mississippi way feed getting System some from corridor Trident that customers the with X you we're have is is a can on Southeast to Arthur. markets, X X LNG working needed. basically the Southeast scaled South Port is all in where X. with to Mississippi Trident gas to that the the gets up of

we're of competitive We're Needless working with are in of projects. them to say, so excited kind about customers. And those both our a space.

the call on as hopefully, to have those. pertains it to So more next we'll share

Kimberly Dang

backlog. the gave they And on number just me the

to So was $X.X last $X.X billion quarter Third billion. $X.X we've gone from year billion

XX% a in that's backlog. So the increase

Neal Dingmann

color. great all appreciate right. that. All That's I

going about transitory into Obviously, I'm look over of just slightly anything. or from But -- trended of can you outside I 'XX? going 'XX ask of at trending are X takes could the been of numbers business that second some generally, big debate inside where on think question, puts that is and how just to initial has and specific commodity much other that but or now. commodity we're guidance. A can expected months trend we part maybe how if better softness, not, than those how they'll has maybe not you softer talk guidance into or we versus

Kimberly Dang

Sure.

side, commodity impact volumes. the obviously that's gas got and So natural gathering on impacting the

you seen his comments so our we've Tom address heard on some And and weakness that budget, versus in volumes. gathering

on hand, storage, on on in the contracts, On that's we strength huge other have and that's seen transport that's transmission the Pal. assets,

G&P there downside downside And a of the so offsetting -- the some on our see original the of commodity we lot volumes. upside that's versus that budget and

around I to start question into we what the G&P think you be So expect when XXXX volumes is looking going to be.

too I to a I kind of looks lot XXXX. first of think the the it's half Still, probably that. about talk early like year think,

I think some back Corpus on I that's some coming come think -- of these on. volumes volumes the whether export has in LNG got half,

there's of showed think end think the And Pass I the the Golden at year. then of some Plaquemines. I

that -- depends I winter So We've where those we into go to to rates going we interest just the taxes obviously And probably extent other volumes come will little 'XX stabilized. cash significant commodity we'll out got then benefit a part where and And to getting GMP are of overly a business prices. see be segments, on a think products on have on, Jones cash I will expansion think projects, not then what I taxpayer. bit, stronger will facility coming going on have some we and think up lead say out comes that on a of but some I'd RNG be our with of on and environment to also terminals upside kind Act, escalators. have. But rate still

Operator

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

Michael Blum

to gas just stay of demand on projects. I topic percolating wanted gas the

over higher where you years? CapEx Given the of from that billion you to growing go? do trending backlog of up just plus to see know you're at, that idea potential of the you growth trending I last kind projects or could any billion few do quarter time? $X next minus billion see of over that $X CapEx. $X even it where raised But $X billion And looking

Kimberly Dang

Okay.

change to point, billion I'd Michael, $X at there's this could. I'd our year. per it So say say roughly no

$X like can I $X that, be billion that. the of billion. we be say As can timing think. And $X on $X could lumpy depending That something I billion, when said, or that CapEx exceed billion, roughly that --

out that be before keep in you that, in out but leverage capacity we our so. this balance sheet And change on can that to try call at So we'll addition it's quarter in of should review no reviewed roughly and some cash coming year and that next date We so then to that point with got down point. I'd in billion keep cash But do that, or it into every that we we've the then up year this mind. to something quarter, you January bring and to fund able CapEx the $X.X flow got they need fund to of projects per as to come we generate, we flow. on. we

able think to that to were fund if we we're I So enough of lucky being in good shape terms higher. number take in projects

Michael Blum

Got it. was expected And about That's great other then question returns. color. really my

need trend types the attractive lots your projects. But returns It backlog the was different better South really seems to you on total of expansion projects, of different versus for about seeing are obviously, project? a multiple just has So System I of backlog. really talk this wise, sizes like

if So seeing overall? that you're trend just wondering

Kimberly Dang

we I are pretty achieved we've what historically what projects mean targeted. that and I think are these consistent the returns we've with getting on

that So the return X a depending you've that how same different is done get no, going substantially because takes drag the to System the got project on you historically. it better long you've -- likely is to bring we've come on be returns got on South different projects just But at front multiple that CapEx to to end. projects than different not the

Operator

with question Barclays. The queue in next the from is Chen Theresa

Theresa Chen

about that. Sorry

the So is Do your that on to color this assuming driven diversify you supply typical binding Mid-Atlantic desire Northeast the give drivers season customers' of successful. sources project, open in beyond win looking commercial at Crossing can Mississippi the this think allow to Kinder would is some by you corridor? part us project,

Richard Kinder

before, growth. LNG diversification only And incremental think all the this physical recognizing to with saying think able the Gulf the One, are this question. upcoming need is not but to as markets on in to of good handle I supply. supply been the actual access for coming be molecules advent we've Coast Theresa, I of the

And where to addition reaching so you a the of have point back basins liquidity kind play. in to the existing I of think to is basins different access

Theresa Chen

And different Got to of portfolio. then a turning your it. part

reflect of of to your X from liquids success gas in on recent each? competitors the out your your With value business separating spinning in potentially thoughts natural assets products their any business, better

Kimberly Dang

owning say that natural We there Yes. I we businesses mean, together. -- I from get pipeline. products the operate, think we to gas we and and benefits own are strategic would owning

For example, management across integrity get side, from project one team the on integrity we side, benefits the is goes on that our that.

I And be you discount. the certain if span think versus them a look there's today, look don't that company businesses out. the if look so significant and think would if you you also dis-synergies trading where parts, there I those sum at those where a you peel together, businesses at we're at apart of

potentially And just on so a now. It's dependent transaction and that side interest the there's make debt big would on that, probably incentive are at rates would side. a transaction. the not on dis-synergies do that, market sense where like dis-synergies transaction incur time the a to costs, right G&A very That depends you

have strong up of different spending And justify views that got breaking where company. so order aftermarket very a the about you've in kind in some to that from of would significantly of of taking the risk on parts the are to companies trade

Operator

Next with Van question from TPH. is Zach Everen

Zackery Van Everen

of is process Maybe on going your on recent decision to could kind you the and courts what start, with projects there guys Cumberland the U.S. the touch forward?

Kimberly Dang

sure. Yes,

are our on the that the from flawed decision corp permits That's where that Tennessee to does plant that believe construction stay. is our State a from power so delivering levels, on prevents army converting you it and coal. starting a is applied X or project. We know, air permits. wrong. analysis gas for the as project natural multiple that natural that What water us believe is And gas effectively is including standard we We they Circuits

in so greenhouse the a And FERC project result gas found of here, that, would that emissions. reduction

greenhouse good would perspective. from it So be a gas

court the Appeals, permits our whether local, projects. years, have D.C. they that's permits, in we fuel been challenged those XX the the successful benefits state, have FERC last been federal, winning on of upheld society, opponents. challenges. Recently, on Regardless the by Over our separate of very Court X to anti-fossil

So in we projects. were also state courts and successful permits on other to those local related

and new defend But And impacted something isn't so had going -- we're those to TDEC the next And are we've us. of steps. agencies is I permits. working agencies, Army Corp that vigorously for with to think those the this determine both

Zackery Van Everen

sense. the on makes That on FID And then one Express. Perfect. Gulf maybe Coast

Is are that I think that guys to line took this a expansion? looking year. when similar time at Permian Highway, back for about looking you a

Thomas Martin

Permian Highway took XX about months.

-- targeting being of quite on kind compression electrical probably a bit and date. given a said, conservatively XX we're That all months, saying of in-service there's of the the mid-'XX we're demand Here, components. some

of realm. months being XX the quite don't the we not but far it So on PHP, see that out

Operator

Bank Next from Jean Salisbury question is Ann America. of with

Unknown Analyst

GCX a in projects Agua Between the there in the positioned won't to a gas risk? especially if in do area. Coast see how expansion expansion area the there's Gulf that LNG heading XXXX, Dulce of that lot is the risk demand for you there get Blackcomb, delayed? Is enough And be

David Conover

good very So question.

if think, have LNG particularly discussion in for us, some customers. yes. That to for delay there the the centers, of centers, networks look, there's we've optionality some our pricing downstream could been, demand our part said, the demand got points being our -- be I exposure, any

think so of becomes really, of storage a that move come variability, not increasingly there's volatility, frame. you that possibility, that the day, assets going we end some And don't the important which there but that's yet. embedded is We At know where be have when time play. I that a as kind to And optionality. towards probability. into It's

Richard Kinder

we standpoint, our long-term from contracts have shippers. And

Kimberly Dang

Yes.

daily for So we us Texas try where shippers. the to point in that it's profit and sometimes buy back But sell Intrastate contracts we've gas, got to those. to we do we some potential business the long-term and our back I on always are out with markets. a

we Agua we've at cheap And our gets so to can pipeline, and gas. gas capacity the extent Dulce on effectively hit that buy got that,

will opportunity be an that us. so for And

expand Katy. the a that potentially pipeline we project on on have into from that up other I working we've been systems to thing do Agua is Dulce our think

could opportunity that for And so create was to dynamic just if on an how depending long that that persist. anticipated project

Unknown Analyst

makes that That market mentioned Bcf current up going to of XXX storage, tailwind. your Day, to then you see kind tailwind of And that market years? still the rate is of Investor you couple sense. at of that Is a that have kind bringing that you Is over a still kind be below next sense? rates, of make mainly current if that rates

Kimberly Dang

Yes. is It's XX% market-based storage our about of rates.

Some was of that market think, we high service. storage are deal terms market. the have continuing in turns rolled I about and was a Monday, continuing to us to some strength X of get the But and storage on strength it roll. a of talked we've The the That of bit stronger. On we the is still in have of storage for X-year that done. side watermark little we a that rates,

So valuable a watermark. did I mean, storage high very hit but we

X/X those those but still a X-year probably roll tailwind, year. roughly, be so of probably over a roll I going period, that's a think to you contracts So

Operator

Next question is from Neal Dingmann with Securities. Truist

Neal Dingmann

in a how on I you also just to should would I you about opportunities that like this? maybe discussed, have, coming you of wonder number First, service lot that to know of should expect billion just on of around quarters. us it to fair have question, you come projects but think my more the a $X assume seems it backlog we one, general wondering, is given, I'm number think him that staying your first backlog

Kimberly Dang

yet, tried of roll backlog forward a our to Neal. We do haven't

really can't you tell directionally I we're So exactly where going.

we significant X.X% those think, singles rolling projects from increased there's a that extent the we addition think it's year backlog significant there's said, doubles. I a to, think and add potential We I projects in to I do potential really that ago. And to -- I projects, off, grows. but As add some have that,

Neal Dingmann

smaller. That's And secondly, great then a hear. bit know just I to

be different El Just know quarter, COX continue this will mentioned portfolio, think things. development the likely I on I portfolio? spend specifically, know you should I we -- case. change to that you've just of capital could no think and given How got material SACROC there. I'm what anything add just North in you the the about -- and last

Kimberly Dang

Yes.

a this -- mentioned in this I just million on think an approved peak as incremental the about that's $XXX a morning, percentage basis barrels going recently COX, get are significant we new and And in a COX floods. Tom well, on X,XXX existing day quarter, really that pretty amount production. our production, is projects to his of Board those us which comments --

So, Anthony?

Anthony Ashley

On an annual basis, million expansion. probably we're year on $XXX a spending

I into just rolls think So that program. that

So at term. expect I a increase wouldn't least in the material near

Operator

question from the is Jeremy JPMorgan. in Tonet with Next queue

Jeremy Tonet

David belated give want a to happy also I to birthday there.

Kimberly Dang

know how Do you old is? he

Jeremy Tonet

bit think high ask don't when on gathering on have prices. just Kinder, think If I a we run G&P just coal gas, the operating pulling given impossible gas guess, waiting power want touched I'm But really the the call. a capital-light about are allowed level, for, of I for higher I if to at growth how the pieces that, I does during capacity a I capacity side. And ticks the a because guess, to prices, they leverage pick up, an side, up there's this to peakers impact on of sense just were kind kind on of on want pipe that there's that. Kim, to But waiting couple question. high If there's a recognize is a KMI? get there. more really

Kimberly Dang

treating big Ford. from got there need a some some pipe the going plenty depending the a Eagle backbone, we'll Eagle Ford. to the add to think Eagle in in but standpoint, potentially But have is add I the especially in Haynesville, capacity on there. laterals, We'd processing got some gathering, we've you've on what's some So on of Ford. In the

required and Bakken. the in probably the expansions gathering on pretty processing laterals think again, side. efficient But I

seen some the presented we you've On are transmission from of on those as pretty the the our conference. that utilization at full pipes, running

so I going of think roll. more there, is And contracts the as upside to come

pipes doesn't that think can around some provide where then utilization. as you'd some ancillary pretty is volatility events, run on good it services and -- see those So necessarily I we tailwinds at

Jeremy Tonet

could then more to upstream data as the little it. structure going? a touch to gas Got want centers you far the as was Could power on demand, or behind-the-meter a the providing gas as solutions, Kinder I guys if helpful even there. just that see generation. attractive, be potentially. How well kind of That's it providing Kinder large itself with gas provide customers the bit contract there relates was to it And power

Just set about think opportunity the wondering how you here?

Kimberly Dang

it's to give is front going center we it I the next providing at one or grid plans give are to located that data would but the this very really directly concrete about part in And so Yes, scenario could power also time plant from you would I on of put we great have that really that reliability potentially in the to point, is power or meter to We any asking looking something a doesn't that at. then And it of have don't a I near. talked impact on was it's plant gap a gas either do facilities. that provide plant transmission high you're the time our not. behind power mean that reliability. us to whether of storage can mean sure. we meter. mean that. We've can be that

Operator

in the from Stanley Research. question The next Keith queue is Wolfe with

Keith Stanley

clarification questions. Just X

going out So comfortable year of Would be the growth framework? said fund than Or a could basis? billion a CapEx billion a year financial of you higher $X.X do flow. on recurring first you cash you one, a your kind even cap within view $X.X I of billion you as $X.X think

Kimberly Dang

debt said, to I we're EBITDA. right As X.Xx now, at

is around We X.X expect debt our to on Xx million. X.Xx. end Every to high roughly debt-to-EBITDA year is range The EBITDA. $XXX-ish of the end

I we as over long debt if the will, over based -- some you so that that could on, and these we fund, that I would CapEx on would returns sure time, time. mean, target we that incremental you based come down that occur, debt-to-EBITDA cash And would could projects as are flow think bring on the back

something do. that's so And we can that

-- is, find other we view when good for. return can The projects I mean, thing is capital we our

on partners we really, some those. projects, And could really get so large if were also there

I on private else. being to see problem with or returns, us or don't with a it's good fund able equity whether good XXX% partnering somebody So projects

Richard Kinder

We needs a for CapEx. balance think can and sheet we our strong accommodate maintain still

Keith Stanley

Makes sense.

I peers little the Chevron permitting the things you a requirements it been wanted new your but return strategy, more on deal on can some court little one, of decision? Second projects see becoming affected generally different risk timing with with question. do infrastructure? on deploy mean capital, the if the courts follow you about up to a And on -- to more when of are there are problematic on I thinking have just do more, courts post reviews you

Kimberly Dang

hearings What say different any I would on. I seeing. like we we've had X I if on I Chevron to PHP, And or played in is got that is successful decision and going decision XX the this X think that part and the challenged PHP, the with we doctrine Chevron we think back Doctrine even respect don't you had think Cumberland. to we mean, matters that something separate through go that this were got as I were we been

seeing better. is the we to that been this have something are to Yes, while. do think I things we a try for that make situation there so And can

we permits, to as work get think I permit. it's sufficient a just not through

bases try have permits all to doing -- necessary to receive that make court. sure in work that the these make we're We defensible to we all covering the and the

in see I the seen past. difficult And that I think -- we've so being than it don't now right more don't I what

our have that people that we're how we to And just as going XX to that we figure should overcome that, how into that I we going We're going expect out and that to into capital, projects do deploy challenged. these get as we're we're last for work going work think years. strategy. to to the

Operator

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

Richard Kinder

joining a Okay. evening. Well, thank afternoon, have us this all good you and for

Operator

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

may at time. this You disconnect

We use cookies on this site to provide a more responsive and personalized service. Continuing to browse, clicking I Agree, or closing this banner indicates agreement. See our Cookie Policy for more information.