Kinder Morgan has secured financing for the Trans Mountain Expansion Project following the completion of its IPO.
The company completed its IPO of 102,942,000 restricted voting shares of Kinder Morgan Canada Limited for C$17 per share, generating C$1.75 billion. The closing of the IPO removed the final condition to the company’s investment approval for the project.
Steve Kean, Kinder Morgan CEO, says: ‘We are excited to be moving forward on their tremendous project, which is expected to benefit Kinder Morgan and Kinder Morgan Canada Limited as well as our Trans Mountain shippers and Canada.
‘The Kinder Morgan Canada Limited IPO is one of the largest ever in Canada and provided Canadian investors the opportunity to invest in a leading integrated midstream set of western Canadian assets.
‘Our execution planning is complete, our approvals are in hand, and we are now ready to commence construction activities this fall generating thousands of direct jobs for Canadians.’
Once complete the project will offer an additional 590,000 barrels per day of shipping capacity and tidewater access to the western US and global markets.
Construction is expected to start in September, with completion expected in December 2019.