Financial Data and Key Metrics Changes - For Q4 2025, adjusted EBITDA increased by 10% compared to Q4 2024, and adjusted EPS grew by 22% [6] - Net income attributable to Kinder Morgan for Q4 2025 was $996 million, with EPS of $0.45, representing a 49% and 50% increase over Q4 2024 respectively [16] - The company achieved record levels of EBITDA and net income for the full year 2025, exceeding budget expectations [19] Business Line Data and Key Metrics Changes - In the natural gas business unit, transport volumes rose by 9% in Q4 2025 compared to Q4 2024, driven by increased LNG feed gas deliveries [10] - Natural gas gathering volumes increased by 19% in Q4 2025 compared to Q4 2024, with significant contributions from the Haynesville system [10] - Refined products volumes decreased by 2% in Q4 2025 compared to Q4 2024, while crude and condensate volumes fell by 8% in the same period [11] Market Data and Key Metrics Changes - The company estimates that feed gas demand will average 19.8 BCF per day in 2026, a 19% increase from 16.6 BCF per day in 2025, with expectations of over 34 BCF per day by 2030 [3] - The U.S. natural gas market is projected to grow with an incremental 20 BCF per day of demand growth between 2030 and 2035 [7] Company Strategy and Development Direction - Kinder Morgan's strategy focuses on capitalizing on the strong demand for natural gas, particularly through its extensive pipeline networks along the Texas-Louisiana Gulf Coast [4] - The company has a project backlog of approximately $10 billion, with additional opportunities exceeding $10 billion beyond the backlog [7] - The company aims to maintain a disciplined approach to capital allocation while continuing to strengthen its balance sheet [17] Management's Comments on Operating Environment and Future Outlook - Management expressed a bullish outlook on natural gas demand, citing strong growth drivers such as LNG feed gas requirements for new projects [3] - The company anticipates continued strong performance in 2026, supported by its natural gas assets and project backlog [4] - Management noted that the balance sheet is in great shape, with recent credit rating upgrades reflecting the company's financial strength [8] Other Important Information - The company declared a quarterly dividend of $0.2925 per share, a 2% increase from 2024 [16] - S&P upgraded Kinder Morgan to BBB Plus, indicating a strengthened financial profile [8] Q&A Session Summary Question: Can you talk about the data center opportunities and what you're seeing actively? - Management indicated that about 60% of the $10 billion backlog is associated with power projects, including data centers, and highlighted significant power demand growth in states like Georgia [24] Question: What are the next steps on the Western Gateway following the second open season? - Management stated that capital allocation is based on risk and return, and they expect to fund the project while also pursuing natural gas opportunities [30] Question: How do you think about maintaining leverage levels? - Management plans to spend about $3 billion per year in CapEx, which can be funded entirely from cash flow, allowing for capacity without significantly increasing leverage [32] Question: Can you provide an update on the Double H conversion project? - Management expects the project to come online in late Q1 or early Q2, with positive discussions ongoing for future phases [37] Question: How meaningful is Continental Resources as a customer? - Management noted that Continental represents about 3% of overall EBITDA, and the impact from their drilling halt is manageable [43] Question: Are there more non-core assets that you're looking to sell? - Management indicated that asset sales are opportunistic and based on economic decisions, with the recent EagleHawk sale being a strategic choice [45] Question: What opportunities does the industry present in light of current weather conditions? - Management highlighted that the gas transportation market is tight, and dislocations in supply or demand can create opportunities for the company [52]