Renewable Natural Gas Growth and CO2 Emission Reduction Strategies
2022 Budget Sensitivities
Limited overall commodity exposure
2022B assumptions
Change
Potential Impact to Adjusted EBITDA & DCF (full year)
KINDER MORGAN
Natural gas G&P volumes 3,033 Bbtu/d
Natural Gas
+/- 5%
$33 million
Products
Terminals
Refined products volumes (gasoline, diesel & jet fuel)
1,701 mbbld for Products segment
+/- 5%
$36 million
$10 million
CO2
Total
$33 million
$46 million
Crude oil & condensate volumes (includes Bakken oil G&P)
562 mbbld net
+/- 5%
$17 million
$17 million
Crude oil production volumes 28 mbbld net (40.5 mbbld gross)
+/- 5% in net volumes
$36 million
$36 million
$72.5/bbl WTI crude oil price
+/- $1/bbl WTI
$1.0 million
$1.2 million
$5.1 million
$7.3 million
$4.25/Dth natural gas price
+/- $0.10/Dth
$0.4 million (a)
$0.4 million (a)
NGL / crude oil price ratio
+/- 1% price ratio
$0.1 million
$2.6 million
$2.7 million
64% in Natural Gas segment & 58% in CO2 segment
LIBOR rates: 0.45% 1M / 0.56% 3M / SOFR rate: 0.30%
Potential Impact to DCF (balance of year)
+/-10-bp change in LIBOR
$1.4 million (b)
Updated firm-wide WTI crude sensitivity for the last 9 months of 2022: ~$4mm per $1/bbl change
Note: These sensitivities are general estimates of anticipated impacts on our business segments & overall business of changes relative to our assumptions; the impact of actual changes may vary significantly depending on the affected asset,
product & contract. See Non-GAAP Financial Measures & Reconciliations at the end of this presentation for additional information.
a) Assumes constant ethane frac spread vs. natural gas prices
b) As of 12/31/2021, we had ~$7.1 billion of fixed-to-floating interest rate swaps on our long-term debt and -21% of the principal amount of our debt balance was subject to variable interest rates - either as short- or long-term variable rate
debt obligations or as fixed-rate debt converted to variable rates through the use of interest rate swaps. Taking into account additional LIBOR locks effective on 1/4/2022, we have fixed the LIBOR component on $5.1 billion of our floating
rate swaps through the end of 2022, and effectively ~6% of our debt therefore subject to variable interest rates.
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