Phillips 66, Kinder Morgan eye new pipeline to bolster US West Coast fuel supply
1. KMI and Phillips 66 propose new pipeline to address fuel supply shortages. 2. The project aims to enhance supply in Arizona and California amid refinery closures.
FAQ
Why Bullish?
The proposed pipeline can increase fuel transport capacity, benefitting KMI. Historically, similar expansions have led to positive stock movements for pipeline companies, such as Enterprise Products Partners during infrastructure growth phases.
How important is it?
The article discusses a collaborative project between KMI and Phillips 66, which is crucial for KMI's growth strategy. Given the relevance of fuel supply amidst closures, this could significantly impact future revenue streams.
Why Long Term?
The pipeline project will likely yield benefits over time as demand stabilizes and infrastructure completion occurs, akin to the long-term advantages seen with previous major pipeline projects.