Kinder Morgan, Phillips 66, and HF Sinclair have announced a final investment decision to proceed with the $5 billion Western Gateway Pipeline project. Under the joint venture, Kinder Morgan will hold a 35.1% stake, Phillips 66 will have 49.9%, and HF Sinclair will own 15%.
The 1,300-mile pipeline system will transport refined products like gasoline and diesel from the Midwest and Gulf Coast to markets in Arizona and California. The project includes constructing a new 900-mile pipeline and reversing the flow of existing pipelines owned by Kinder Morgan and Phillips 66. The system will have an initial capacity of 230,000 barrels per day and is expected to be completed in 2029, pending regulatory approvals.