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

Suspect sought in alleged indecent act in South Surrey

Police say incident occurred near 13 Avenue and 131 Street

New Serpentine rail bridge completed in Cloverdale-Sullivan

$3 million crossing replacement marks first of 13 flood-mitigation projects

Surrey RCMP sees increase in reported robberies through ‘marketplace apps’

Police say there have been 13 reported incidents so far this year, compared to 5 in 2019

Compromise reached for South Surrey seniors’ balcony-exercise program

‘In these stressful times anyone that can spread a little joy should be praised not condemned’

MAP: Dr. Henry reveals which B.C. regions have seen most COVID-19 cases

B.C. health officials release a first look at how the novel coronavirus has reached all corners of the province

Pair accused of ‘horrific’ assault at Vancouver’s Oppenheimer Park at large

Police say Jason Tapp, 30, and Nicole Edwards, 33, did not show up to meet their bail supervisor this week

IHIT names homicide victim found in the Fraser Canyon this week

Police asking for tips into the suspicious death of 29-year-old Alicia Berg

Help the ‘Cloverdale Reporter’ continue its mission to provide trusted local news

Facing changes together: Your community, your journalists

No charges to be laid against 22 northern B.C. pipeline protesters

Twenty-two people were arrested in February, but Crown has decided not to pursue charges

‘I’m pissed, I’m outraged’: Federal minister calls out police violence against Indigenous people

Indigenous Minister Marc Miller spoke on recent incidents, including fatal shooting of a B.C. woman

Plan in place for BC Ferries to start increasing service levels

Ferry corporation reaches temporary service level agreement with province

B.C. starts to see employment return under COVID-19 rules

Jobless rate for young people still over 20% in May

Most Read