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EXHIBIT 99(a)
[KINDER MORGAN ENERGY PARTNERS, L.P. LETTERHEAD]
Larry Pierce Irene Twardowski
Media Relations Investor Relations
(713) 369-9407 (713) 369-9490
KINDER MORGAN ENERGY PARTNERS PURCHASES
DELTA TERMINAL SERVICES, INC. FOR $114 MILLION
HOUSTON, Dec. 4, 2000 - Kinder Morgan Energy Partners, L.P. (NYSE: KMP)
today announced that is has purchased Delta Terminal Services, Inc. for
approximately $114 million in cash. The acquisition includes two liquid bulk
storage terminals in New Orleans, La. and Cincinnati, Ohio. The facilities
provide services to producers of petroleum, chemicals and other products.
"This acquisition is a great fit with our recently announced GATX
transaction - in which we acquired 12 terminals across the country - as it gives
us liquids terminals in two new locations, including access to the important
Port of New Orleans market," said Richard D. Kinder, chairman and CEO of KMP.
"We expect the transaction to be immediately accretive to cash available for
distribution to KMP unitholders, and we will continue to look for additional
opportunities to expand our terminals business. This transaction increases KMP's
total announced acquisitions in 2000 to over $2 billion and represents about
half of the transactions we expect to announce in December."
The New Orleans terminal has a storage capacity of 2.5 million barrels.
It is located at the 98.5-mile point on the Mississippi River close to the
Harvey Canal and the Greater New Orleans Bridge. The terminal serves the New
Orleans/Baton Rouge corridor and is situated on approximately 100 acres of land.
The Cincinnati terminal has a storage capacity of 500,000 barrels. It
is located at the 465.7-mile point on the Ohio River and is situated on
approximately 60 acres of land.
Kinder Morgan Energy Partners, L.P. is the nation's largest pipeline
master limited partnership with an enterprise value of approximately $4.5
billion. It owns and operates one of
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the largest product pipeline systems in the country, serving customers across
the United States with more than 8,000 miles of pipeline and over 20 associated
terminals. Additional assets include 7,000 miles of natural gas transportation
pipelines, plus natural gas gathering and storage facilities; 25 bulk terminal
facilities, which transload more than 40 million tons of coal, petroleum coke
and other products annually; and Kinder Morgan CO(2) Company, L.P.
The general partner of KMP is owned by Kinder Morgan, Inc. (NYSE: KMI),
one of the largest midstream energy companies in America, operating more than
30,000 miles of natural gas and product pipelines in 26 states. KMI also has
significant retail distribution, electric generation and terminal assets.
Combined, the two companies have an enterprise value of approximately $13
billion.
For more information, please contact www.kindermorgan.com.
THIS NEWS RELEASE INCLUDES FORWARD-LOOKING STATEMENTS WITHIN THE
MEANING OF SECTION 27A OF THE SECURITIES ACT OF 1933 AND SECTION 21E OF THE
SECURITIES EXCHANGE ACT OF 1934. ALTHOUGH KINDER MORGAN BELIEVES THAT ITS
EXPECTATIONS ARE BASED ON REASONABLE ASSUMPTIONS, IT CAN GIVE NO ASSURANCE THAT
SUCH ASSUMPTION WILL MATERIALIZE. IMPORTANT FACTORS THAT COULD CAUSE ACTUAL
RESULTS TO DIFFER MATERIALLY FROM THOSE IN THE FORWARD-LOOKING STATEMENTS HEREIN
ARE ENUMERATED IN KINDER MORGAN'S FORM 10-k AND 10-Q AS FILED WITH THE
SECURITIES AND EXCHANGE COMMISSION.
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