Kinder Morgan announced the closure of the initial open season for its Western Gateway pipeline project, a key development in extending natural gas transport from the Permian Basin to the West Coast. The announcement came on December 22, 2025, after shippers in the Los Angeles market expressed strong interest.
The company confirmed that it has secured commitments for the new capacity, though the fact‑check report does not disclose exact volumes. The closure follows a December 19, 2025 close of the open season, and a second open season is slated to launch in January 2026.
The Western Gateway project is strategically designed to address the projected supply gap created by the planned closures of California’s Phillips 66 Los Angeles refinery and Valero’s Benicia refinery. By reversing existing Kinder Morgan and Phillips 66 lines and adding new pipeline from Borger, Texas to Phoenix, Arizona, the project will enable east‑to‑west product flow into California and help stabilize fuel supplies.
Management highlighted the project’s role in reinforcing Kinder Morgan’s “natural gas toll road” model. CEO Kim Dang noted that the pipeline expansion will support the company’s broader growth strategy, which includes an 8% increase in adjusted earnings per share and a 4% rise in adjusted EBITDA for 2026, alongside a dividend increase to $1.19 per share.
Analysts view the milestone as a positive signal of execution strength. The project’s expected completion in 2029 aligns with the company’s long‑term infrastructure plan, and the secured commitments provide a foundation for future revenue growth in a market facing tightening supply.
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