Kinder Morgan Energy Partners completes sale of one-third interest in Express-Platte Pipeline System
- Based on the structure of KMP's investment with the Express-Platte Pipeline partners, KMP received approximately $15 million of cash flow on an annual basis from its investment, consisting primarily of debenture interest.
Kinder Morgan Energy Partners, L.P. (NYSE: KMP), announced that it has closed its previously announced sale of its one-third interest in the Express-Platte Pipeline System to Spectra Energy Corp for approximately $380 million pre-tax. KMP's joint venture partners in Canada (Ontario Teachers' Pension Plan Board and Borealis Infrastructure, the infrastructure investment arm of the OMERS pension plan) also sold their interests in the pipeline system, as Spectra Energy Corp purchased 100 percent of Express-Platte-a 1,700-mile oil pipeline system connecting Canadian and U.S. producers to refineries in the Rocky Mountain and Midwest regions of the United States.
Based on the structure of KMP's investment with the Express-Platte Pipeline partners, KMP received approximately $15 million of cash flow on an annual basis from its investment, consisting primarily of debenture interest. KMP plans to redeploy the proceeds from the sale into various growth projects to further benefit its unitholders.
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