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Kinder Morgan Energy Partners and Martin Midstream Partners Announce Rail Terminal Joint Venture in Permian Basin of West Texas
Kinder Morgan Energy Partners, L.P. (NYSE: KMP) and Martin Midstream Partners L.P. (NASDAQ: MMLP) today announced a new joint venture, Pecos Valley Producer Services LLC, to develop a multi-commodity rail terminal in Pecos, Texas. The new terminal will serve the growing oil and natural gas industries in the Permian Basin. The facility will be constructed and operated by a subsidiary of Watco Companies, Inc., the largest privately held short line railroad company in the United States. KMP holds a preferred equity position in Watco.

Kinder Morgan Announces Investment of Approximately $130 Million in New Condensate Processing Facility
Kinder Morgan Energy Partners, L.P. (NYSE: KMP) today announced it will build, own and operate a petroleum condensate processing facility near its Galena Park terminal on the Houston Ship Channel. With an initial throughput of 25,000 barrels per day (bpd) and a design that provides for future expansions of up to 100,000 bpd, the approximately $130 million project will split condensate into its various components such as light and heavy naphthas, kerosene and gas oil. A major oil industry customer is underwriting, through a fee structure, the initial throughput of the facility.

Kinder Morgan to Purchase El Paso for Approximately $38 Billion
Kinder Morgan, Inc. (NYSE: KMI) and El Paso Corporation (NYSE: EP) today announced a definitive agreement whereby KMI will acquire all of the outstanding shares of EP in a transaction that will create the largest midstream and the fourth largest energy company in North America with an enterprise value of approximately $94 billion and 80,000 miles of pipelines. The total purchase price, including the assumption of debt outstanding at El Paso Corporation and including the debt outstanding at El Paso Pipeline Partners, L.P. (NYSE: EPB) is approximately $38 billion.

New $220 Million Kinder Morgan-Valero Pipeline Will Expand Fuel Supply to Southeast United States
Kinder Morgan Energy Partners, L.P. (NYSE: KMP) today announced it will build and operate a new 136-mile, 16-inch pipeline to transport gasoline, jet fuel and diesel from refineries in Norco, La., to an existing petroleum transportation hub in Collins, Miss., owned by Plantation Pipe Line Company. (Kinder Morgan owns 51 percent of Plantation Pipe Line Company and operates the system.) From this hub the refined petroleum products will be transported by pipeline systems, including Plantation, that serve major markets in the southeastern United States.

Kinder Morgan Grows Petcoke Terminal Network with Port Arthur Acquisition
Kinder Morgan Energy Partners, L.P. (NYSE: KMP) today announced that it has acquired a newly constructed petroleum coke (petcoke) terminal in Port Arthur, Texas, for approximately $67 million from TGS Development Group. KMP will operate the facility, which handles petcoke from Total Petrochemicals USA, Inc.'s recently expanded Port Arthur refinery, and provide conveying, storage and ship loading services to Total pursuant to a 25-year contract. The refinery is expected to produce more than 1 million tons of petcoke annually. The transaction, which was developed in partnership with TGS and Total, is expected to be immediately accretive to cash distributable to KMP unitholders.

Kinder Morgan to Purchase Midstream Shale Assets for $920 Million and Build Crude/Condensate Pipeline
Kinder Morgan Energy Partners, L.P. (NYSE: KMP) today announced it has entered into a definitive agreement to pay approximately $855 million to Petrohawk Energy Corporation (NYSE: HK) and assume approximately $65 million in debt for Petrohawk's 50 percent interest in KinderHawk Field Services (the natural gas gathering and treating services provider in the Haynesville Shale) and a 25 percent interest in Petrohawk's natural gas gathering and treating business in the Eagle Ford Shale. Additionally, KMP will invest approximately $220 million to build a new crude/condensate pipeline with a capacity of approximately 300,000 barrels per day (bpd) that will initially transport 50,000 bpd of condensate for Petrohawk from its production area in the Eagle Ford to the Houston Ship Channel.