(Bloomberg) – Kinder Morgan Inc. emerged as one of the biggest winners from the historic winter storm that paralyzed Texas after the pipeline operator took advantage of rising demand for energy and prices amid the deadly freezing point.
The storm in mid-February had a positive impact of $ 1 billion on first-quarter results, President Kimberly Dang told a conference of investors on Wednesday. Kinder made a profit of $ 116 million by voluntarily limiting its power consumption during the disaster, implying a $ 880 million windfall due to gas sales.
A Kinder Morgan spokeswoman declined to comment on the figures.
Power producers and electricity producers in the Lone Star state suffered billions of dollars in losses when the Arctic explosion disrupted the electricity network and disrupted gas supplies, pushing prices to unprecedented levels. On the other side of the market, Kids and Drills like Comstock Resources Inc. fat gains achieved.
“Our storage assets performed exceptionally well, and we were able to deliver the gas through the storm,” said CEO Steve Kean. “These withdrawals from storage sites, along with gas we purchased before and during the event, have enabled us to deliver significant volumes of gas at contractual or prevailing prices.”
Much of the extra gas Kinder sold went to generators whose normal suppliers were shut down or obscured as the disaster intensified, Kean said.
Children’s net income in the first quarter reached a record $ 1.41 billion, more than double the $ 550 million average of analysts’ estimates compiled by Bloomberg. Shares rose 3.8% in New York.
(Updates with earnings details in second paragraph.)
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