Kinder Morgan options for Canadian branch delayed due to ‘complexity’

The company hopes to announce its next steps in coming weeks

A sign warning of an underground petroleum pipeline is seen on a fence at Kinder Morgan’s facility where work is being conducted in preparation for the expansion of the Trans Mountain Pipeline, in Burnaby, B.C., on April 9, 2018. Kinder Morgan Canada Ltd. says it is continuing to evaluate its strategic options and hopes to announce its next steps in coming weeks. The company was spun off from its American parent in mid-2017 to raise money to build the Trans Mountain pipeline expansion but that purpose no longer exists after it sold the existing pipeline and its expansion project to the federal government for $4.5 billion last summer. THE CANADIAN PRESS/Darryl Dyck

Kinder Morgan Canada Ltd. says it is continuing to evaluate its strategic options and hopes to announce its next steps in coming weeks.

The company was spun off from its American parent in mid-2017 to raise money to build the Trans Mountain pipeline expansion but that purpose no longer exists after it sold the existing pipeline and its expansion project to the federal government for $4.5 billion last summer.

READ MORE: B.C. braces for another round of pipeline battle with Alberta’s Jason Kenney

Chief financial officer Dax Sanders says in a news release the options being evaluated include continuing as a standalone enterprise, a disposition by sale and a strategic combination with another company.

He says the process, which analysts had expected to be complete by now, is taking longer than anticipated due to the “complexity” of the situation.

The company reported net income of $21.3 million on revenue of $102 million in the three months ended March 30, compared with $44.4 million on $88.6 million revenue in the same period a year earlier.

It reported adjusted earnings rose 21 per cent in its terminal operations thanks to storage capacity additions and higher rates, while its pipelines segment’s adjusted earnings rose 63 per cent due to reduced costs on its Cochin condensate import pipeline.

The Canadian Press

Like us on Facebook and follow us on Twitter

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

South Vancouver Island B.C. Hydro Customers without power

Due to high winds nearly 3,900 B.C. Hydro customer will be out of power

Sidney signs off on 2020 budget with 1.79 per cent tax increase

Budget also includes additional funding for Shaw Centre for the Salish Sea

Search begins for two missing scouts near Sooke

Crews headed to Jordan River area after receiving call just after 2 p.m.

Scaffolding falls due to strong winds at Millstream Village Sunday afternoon

No injuries or vehicles damaged, according to West Shore RCMP

Cold water swimming a morning ritual for Willows Beach crew

Group turned heads when they slow-walked into the Polar Plunge

VIDEO: 2020 BC Winter Games wrap up in Fort St. John as torch passes to Maple Ridge

More than 1,000 athletes competed in the 2020 BC Winter Games

Massive early-morning blaze destroys Vancouver Island home

Firefighters from three departments called in to battle fire at unoccupied residence

Still six cases of COVID-19 in B.C. despite reports of Air Canada passenger: ministry

Health ministry wouldn’t comment on specific flight routes

Violent ends to past Indigenous protests haunt Trudeau government

Trudeau adopted a more assertive tone Friday, insisting the barricade must come down

VIDEO: Wounded Warrior Run leaves Port Hardy on eight-day trek down Vancouver island

The team’s fundraising goal this year is $250,000, which is double last year’s goal.

HIGHLIGHTS: Day one and two at the 2020 BC Winter Games

Athletes had sunny – but cold – weather to work with in Fort St. John

Most Read