Midstream

Kinder Morgan, Inc. may not be recession-proof, but its fee-based portfolio of midstream assets clearly felt no ill effects during the third quarter, according to CEO Richard Kinder. The company produced a 109% increase in third quarter net income to $58.2 million, or $0.48 per diluted common share, exceeding Wall Street consensus estimates by 2 cents/share. The results compared to $26.7 million, or $0.23 per diluted common share, in the third quarter of 2000.

Kinder Morgan, Inc. may not be recession-proof, but its fee-based portfolio of midstream assets clearly felt no ill effects during the third quarter, according to CEO Richard Kinder. The company produced a 109% increase in third quarter net income to $58.2 million, or $0.48 per diluted common share, exceeding Wall Street consensus estimates by 2 cents/share. The results compared to $26.7 million, or $0.23 per diluted common share, in the third quarter of 2000.

Tennessee reported being notified by Dynegy Midstream Services,operator of the Yscloskey Gas Processing Plant in southeasternLouisiana, that effective April 1 the plant will no longer process”strangers” gas that does not have a contractual relationship withthe plant. In the event this action causes Tennessee to once againexperience operational difficulties attributable to gas with highBtu levels, the pipeline said, it will do whatever is necessary tolower overall Btu content on its 500 Line to manageable levels.

In a strategic move said to benefit both midstream energycompanies, CMS Field Services Inc. has swapped some of its naturalgas assets in Oklahoma and Kansas for some of Duke Energy FieldServices’ similar assets onshore and offshore Louisiana.

In a strategic move said to benefit both midstream energycompanies, CMS Field Services Inc. has swapped some of its naturalgas assets in Oklahoma and Kansas for some of Duke Energy FieldServices’ similar assets onshore and offshore Louisiana.

Enterprise Products Partners L.P. and its subsidiaries, leadersin the midstream liquids business, have upped their ownershipinterest in the Dixie Pipeline Co. to 20% with the purchase ofConoco’s 8.3% interest.

Mitchell Energy & Development Corp., which two weeks agoannounced it was increasing its capital budget nearly $50 millionmore this year, said it has completed two system expansion projectsin North Texas, boosting both natural gas sales and gas liquidsproduction.

Oneok Inc. closed its $307.7 million acquisition of Dynegy’smidstream assets yesterday, and now is focusing on its other majorMidcontinent deal with Kinder Morgan.

El Paso Field Services continued its strategy of growingshort-term earnings in its midstream business while working tosecure long-term strategic gas supply for its affiliated pipeline,El Paso Natural Gas.