KMI: 2020 Guidance - Published Budget
KINDER MORGAN
Successfully Achieving Attractive Build Multiples
Disciplined steward of capital
Competitive advantages:
■ Expansive asset base - ability to leverage
or repurpose steel already in the ground
■ Connected to practically all major supply
sources
Established deliverability to primary
demand centers - final mile builds typically
expensive to replicate due to congestion
Strong balance sheet and ample liquidity
internal cash flow available to fund nearly
all investment needs
Expansive footprint creates
opportunities for differentiated returns
INVESTMENT MULTIPLES: PROJECTS COMPLETED 2015-2018
Capital invested / year 2 Project EBITDA (a)
6.1x
5.9x
Total Capital Invested
Original Estimate (b)
Natural gas segment comprises
68% of current backlog
5.8x
5.2x
Natural Gas Pipelines
Actual Multiple or Current Estimate (c)
Note: See Non-GAAP Financial Measures and Reconciliations. Includes certain projects placed in commercial service prior to 2015, but were still under construction.
a) Multiple reflects KM share of invested capital divided by Project EBITDA generated in its second full year of operations. Excludes CO2 segment projects.
b) Original estimated capital investment divided by original estimated Project EBITDA for project in its second year of operation.
c) Actual capital invested (except for 2 projects representing $444mm of capex or 4% of total capex, which are partially in service) divided by actual or currently estimated EBITDA.
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