Kinder Morgan Approves $150M in Additional Central Texas Pipeline Investment
Two additional Creekside Lateral phases bring the planned project investment to approximately $235 million, supported by long-term customer agreements.
Kinder Morgan has sanctioned another $150 million for its Creekside Lateral Project in Central Texas. The investment comprises a $95 million second phase and a $55 million third phase, taking the overall project to approximately $235 million.
The company disclosed the decisions with its October 21 quarterly results, following additional long-term, take-or-pay agreements with data-center and industrial customers. Creekside is a separate development from the much larger Permian Link project announced in the same reporting period.
Project at a Glance
- Second phase:
- $95 million
- Third phase:
- $55 million
- Total project:
- Approximately $235 million
- Contracted transportation:
- More than 750 million cubic feet daily
- Designed capacity:
- Approximately 1.3 billion cubic feet daily
- Service targets:
- Q4 2026 and Q4 2027, subject to approvals
Capacity and customer commitments are different measures
Once all phases are complete, Creekside is expected to provide more than 750 million cubic feet per day of contracted transportation. The system’s designed capacity is approximately 1.3 billion cubic feet per day. Contracted volumes and physical capacity measure different things and should not be added together.
The company also identifies potential for further expansion above 2 billion cubic feet per day. That is an expansion possibility, not the capacity of the currently sanctioned project or evidence that another phase has been approved.
Phased delivery extends into 2027
Kinder Morgan targets phased service in the fourth quarters of 2026 and 2027, subject to permits and approvals. Those dates concern entry into service; they do not establish a single construction start or imply that every segment will become operational simultaneously.
Earlier company reporting described the initial Creekside development as an approximately 11.2-mile, 42-inch pipeline costing about $85 million. The latest phases add to that investment. The initial route length should not be presented as a verified total length for every subsequent phase.
An infrastructure response to customer demand
The disclosed agreements connect this investment to gas demand from industrial and data-center customers. A take-or-pay structure supports the transportation commitment; it does not publicly identify each customer, its facility location or its own construction budget.
The EPC and pipeline construction companies have not been independently identified for this article. Relevant future milestones include permits, construction progress and confirmation of phased service. The $150 million announcement concerns sanctioned investment, not a publicly announced award to a named construction contractor.