X

Sign Up To Our Free Newsletter

Join Now

Thanks for subscribing to our free newsletter!

ERROR

  • 4 minutes IMPORTANT ARTICLE BY OILPRICE.COM EDITOR - "Naked Short Selling: The Truth Is Much Worse Than You Have Been Told"
  • 5 minutes “Cushing Oil Inventories Are Soaring Again” By Tsvetana Paraskova
  • 7 minutes United States LNG Exports Reach Third Place
  • 1 hour Texas forced to have rolling black outs. Not from downed power line , but because the wind energy turbines are frozen.
  • 15 hours Retired RAF pilot wins legal challenge over a wind farm
  • 19 mins Speaker Pelosi, "Tear Down This Wall"
  • 13 hours U.S. Presidential Elections Status - Electoral Votes
  • 11 hours NYT:  The Supreme Court’s order (Re:  Trump’s tax returns) set in motion a series of events that could lead to the startling possibility of a criminal trial of a former U.S. president
  • 3 hours Joe Biden's Presidency
  • 4 hours Interest article about windmills and waterwheels in Europe
  • 2 days Minerals, Mining and Industrial Ecology
  • 15 hours Wednesday Nikki Haley reached out to Trump for meeting at Mar-a-lago. Trump said No ! You blew it Nikki . . .
  • 6 hours Disaster looming in UK offshore wind power
  • 14 hours Scientist clone endangered Black Footed Ferret from Ferret that died 30 years ago . It's a 100% exact genomic match.
  • 22 hours Pipeline vs Train vs Ship to Transport Crude Oil.
  • 24 hours NG spot prices hit triple digits for weekend delivery
  • 2 days Chance for (Saudi)Arabian peninsula having giant onshore Gas too?

Major Oil Pipeline Operators Plan Higher Dividends

The major North American pipeline operators Kinder Morgan and Enbridge issued upbeat updates to the market on Tuesday, planning higher dividends and expecting more profits next year, after the challenges the oil industry has faced this year.  

Enbridge raised on Tuesday its quarterly dividend by 3 percent to US$0.65 (C$0.835), effective March 1, 2021. This is the twenty-sixth consecutive year in which the oil and gas pipeline operator has increased its common share dividend.   

"For the 26th consecutive year, we're pleased to be providing our shareholders with another dividend increase in 2021. This reflects our confidence in our healthy 5-7% DCF [distributable cash flow] per share growth outlook, on average, through 2023 and beyond, the priority we place on returning capital to shareholders, and our strong financial position," Al Monaco, President and CEO of Enbridge, said in a statement.

"We're highly confident in the durability of our businesses and that they will generate profitable investment opportunities. Part of that is continuing to position for the gradual transition toward lower carbon intensity, over time," the executive added.

Last week, Enbridge started construction on the Line 3 oil pipeline replacement in Minnesota after receiving all necessary approvals and permits.

Kinder Morgan, for its part, announced on Tuesday its expectations for its financial performance next year.

The company expects US$1.2 billion in net profit for 2021, after a slim US$100 million net income expected for this year. The small 2020 net profit will be due to hefty impairments the pipeline operator has made throughout the year.

Kinder Morgan also expects to raise its dividend for 2021 by 3 percent compared to this year. The company expects the board to declare a Q4 dividend of US$0.2625 per share or US$1.05 annualized. The board expects the 2021 dividend to be US$1.08 per share annualized, or a 3-percent increase from the 2020 dividend.

"With budgeted excess coverage of that dividend, we expect also to be able to engage in share repurchases on an opportunistic basis," Kinder Morgan Inc's chief executive officer Steve Kean said.

By Tsvetana Paraskova for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage



Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News