Kinder Morgan, Inc. (NYSE: KMI) today announced its preliminary 2015 financial projections. KMI expects to declare dividends of $2.00 per share for 2015, an approximately 16 percent increase over the 2014 dividend budget of $1.72 per share. Chairman and CEO Richard D. Kinder stated, "We believe the recently closed transaction merging the Kinder Morgan companies paves the way for superior growth at KMI for years to come. We anticipate strong growth in 2015 across our pipeline and storage businesses and currently have a backlog of approximately $18 billion in expansion projects and joint venture investments that have a high certainty of completion. We are generating strong growth even though we have revised our projected West Texas Intermediate (WTI) crude oil price to $70 per barrel. As our track record demonstrates, we own and operate a large, diversified portfolio of stable, primarily fee-based energy assets across North America which produce substantial cash flow in virtually all types of market conditions, regardless of commodity prices." KMI's growth in 2015 is expected to be driven by continued high demand for North American energy infrastructure, including the transportation and storage of natural gas, natural gas liquids, crude oil and refined products. Additionally, growth is expected to be driven by contributions from our expansion projects across Kinder Morgan's business units. For 2015, KMI expects to:
- Generate approximately $8.2 billion in business segment earnings before DD&A (adding back KMI's share of joint venture DD&A).
- Declare over $4.4 billion in dividends to its shareholders.
- Generate additional cash of over $500 million in excess of its dividend.
- Invest approximately $4.4 billion in expansions (including contributions to joint ventures) and small acquisitions.
- Finish the year with a Debt to EBITDA ratio of 5.6 times.