Tennessee Gas Pipeline Adopts New Routes via Existing Utility Corridors in New Hampshire and New York for Proposed Northeast Energy Direct Project

HOUSTON--()--Tennessee Gas Pipeline Company (TGP), a subsidiary of Kinder Morgan, Inc. (NYSE: KMI), is adopting two alternative routes for its proposed Northeast Energy Direct project to minimize environmental impact and allow for the expansion of natural gas service in the state of New Hampshire. Following a thorough evaluation of feasible route alternatives for the market path of the project from Wright, New York, to Dracut, Massachusetts, the company plans to submit an amended resource report filing with the Federal Energy Regulatory Commission (FERC) on Monday, Dec. 8. TGP plans to adopt both the New York Powerline Alternative and the New Hampshire Powerline Alternative, which will utilize existing utility corridors to lessen the environmental impact of the project. TGP is also notifying elected officials, federal and state regulatory agencies, and landowners in proximity to the proposed pipeline of its decision. TGP also noted the proposed route change will enable the company to avoid and substantially minimize the crossing of certain Article 97 properties and areas of critical environmental concern in Massachusetts.

“While evaluating the feasibility of possible routes, which is a critical part of the regulatory review prior to building a pipeline, as we committed to do when we started this process, we have listened to stakeholders and taken their comments and concerns seriously,” said East Region Pipelines President Kimberly S. Watson. “By adopting the New York Powerline Alternative and the New Hampshire Powerline Alternative, TGP will be able to construct significantly more of the pipeline adjacent to and parallel with existing utility corridors in portions of New York, Massachusetts and New Hampshire, reduce the need for construction in undeveloped portions of the market path region and lessen environmental impacts. Additionally, we are working with Liberty Utilities and others to expand natural gas service into new areas in New Hampshire.”

In November, Liberty Utilities (Pipeline & Transmission) Corp., a wholly owned subsidiary of Algonquin Power & Utilities Corp. (APUC), and a subsidiary of Kinder Morgan, Inc. agreed to form a new entity, Northeast Expansion LLC, to undertake development, construction and ownership of a 30-inch or 36-inch natural gas transmission pipeline to be located between Wright, New York, and Dracut, Massachusetts. Under the agreement, APUC will initially subscribe for a 2.5 percent interest in the new entity, with an opportunity to increase its participation up to 10 percent.

The NED Project is being developed to serve specifically the New England region. The New England region, as a whole, stands to benefit from the NED Project as it will bring additional gas supplies to meet the growth needs of local distribution companies, enable New England to sustain its reliance on natural gas-fired generation and lower energy costs by providing scalable transportation capacity attached to lower cost, nearby domestic and abundant Marcellus natural gas supplies. As part of TGP’s fully integrated natural gas pipeline transportation system, the project will provide additional access to diverse supplies of natural gas to customers in the New England region.

With the adoption of the New York Powerline Alternative and the New Hampshire Powerline Alternative, the proposed revised route will now include: approximately 188 miles of new and co-located mainline pipeline facilities, including about 53 miles of pipeline generally co-located with TGP’s existing 200 Line and an existing power utility corridor in western New York near the proposed Market Path Mid Station No. 1; approximately 64 miles of pipeline generally co-located with an existing power utility corridor in eastern Massachusetts; and approximately 71 miles of pipeline generally co-located with an existing power utility corridor in southern New Hampshire, extending east to the proposed Dracut, Massachusetts, Market Path Tail Station. As currently contemplated, exclusive of laterals, the route would be adjacent to or co-located with existing rights-of-way for approximately 90 percent of the mileage. TGP’s filing will reflect the revisions to and a full description of the proposed route and proposed project facilities.

TGP plans to host open houses in the project area beginning in mid January 2015 to provide additional information and answer questions. The open house schedule will be sent to landowners in proximity to the proposed pipeline, towns and communities, and elected officials when the dates and locations for those open houses have been established. The schedule will also be filed with the FERC and posted on the NED Project website: www.kindermorgan.com.

Kinder Morgan, Inc. (NYSE: KMI) is the largest energy infrastructure company in North America. It owns an interest in or operates approximately 80,000 miles of pipelines and 180 terminals. The company’s pipelines transport natural gas, gasoline, crude oil, CO2 and other products, and its terminals store petroleum products and chemicals, and handle bulk materials like coal and petroleum coke. Kinder Morgan is the largest midstream and third largest energy company in North America with an enterprise value of more than $125 billion. For more information please visit www.kindermorgan.com.

This news release includes forward-looking statements. These forward-looking statements are subject to risks and uncertainties and are based on the beliefs and assumptions of management, based on information currently available to them. Although Kinder Morgan believes that these forward-looking statements are based on reasonable assumptions, it can give no assurance that such assumptions will materialize. Important factors that could cause actual results to differ materially from those in the forward-looking statements herein include those enumerated in Kinder Morgan’s reports filed with the Securities and Exchange Commission. Forward-looking statements speak only as of the date they were made, and except to the extent required by law, Kinder Morgan undertakes no obligation to update or review any forward-looking statement because of new information, future events or other factors. Because of these uncertainties, readers should not place undue reliance on these forward-looking statements.

Contacts

Kinder Morgan, Inc.
Media Relations
Richard Wheatley, (713) 420-6828
Richard_wheatley@kindermorgan.com
or
Investor Relations
(713) 369-9490
km_ir@kindermorgan.com
www.kindermorgan.com

Release Summary

Tennessee Gas Pipeline Company, a subsidiary of Kinder Morgan, is adopting two alternative routes for its proposed Northeast Energy Direct project.

Contacts

Kinder Morgan, Inc.
Media Relations
Richard Wheatley, (713) 420-6828
Richard_wheatley@kindermorgan.com
or
Investor Relations
(713) 369-9490
km_ir@kindermorgan.com
www.kindermorgan.com