Kinder Morgan Places Sierrita Pipeline in Service to Provide Natural Gas to Customers in Mexico

10/31/2014

Kinder Morgan Energy Partners, L.P. (NYSE: KMP) today announced that the fully subscribed Sierrita Pipeline has begun service. The approximately 60-mile, 36-inch diameter pipeline provides approximately 200 million cubic feet per day of firm transportation capacity and extends from El Paso Natural Gas’ existing south mainlines near Tucson, Arizona, to the U.S.-Mexico border near Sasabe, Arizona. The Sierrita Pipeline interconnects via a new international border crossing with a new natural gas pipeline in Mexico. It will help Mexico meet its environmental goals of converting existing fuel-oil-fired power generation plants to efficient, clean burning natural gas and provide natural gas for future power plants. The project was built in partnership with MGI Enterprises US LLC, a wholly owned affiliate of Pemex Gas y Petroquímica Básica, a subsidiary of Petróleos Mexicanos, the Mexican state-owned oil and gas company, and MIT Pipeline Investment Americas, Inc., a subsidiary of Mitsui & CO., LTD.

“We are pleased to see the Sierrita Pipeline placed in service to provide customers in Mexico with supplies of clean, efficient natural gas,” said Natural Gas Pipelines West Region President Mark Kissel. “The project created temporary jobs and future property tax benefits to Arizona and provides a means for transporting abundant, cost efficient U.S. natural gas production to Mexico. The project also represents a highly successful, multi-national cooperative effort on the part of companies whose parent corporations are headquartered in the U.S., Mexico, and Japan.”


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