On January 22, U.S. pipeline operator Kinder Morgan expressed optimism about the increasing demand for natural gas due to AI and data centers. Although it slightly missed quarterly profit expectations, the company confirmed progress on the Trident Intrastate pipeline project. This 216-mile pipeline, connecting Katy, Texas, to the liquefied natural gas hub near Port Arthur, will offer 1.5 billion cubic feet per day (bcfd) of capacity.
Following this announcement, Kinder Morgan's stock rose by 1.5% post-market. The project is slated for completion in the first quarter of 2027, coinciding with recent LNG export permit developments by President Donald Trump.
CEO Kim Dang projected growth of approximately 28 bcfd in natural gas operations by 2030, driven by LNG exports to Mexico, industrial growth, and power consumption. Analyst Nick Hummel highlighted Kinder Morgan's significant pipeline network as a key asset to meet the rising natural gas demand.
Additionally, the company anticipates benefiting from President Trump's $500 billion private sector investment initiative. Despite a decline in fourth-quarter revenue to $3.99 billion, attributed to reduced crude and condensate volumes in its pipelines, Kinder Morgan reported an adjusted profit of 32 cents per share, slightly below analysts' expectations of 33 cents per share.