As the United States expands its oil and gas production sector, energy companies that operate in the US have been contemplating measures to attract interest in new developments that could continue the expansionary nature of the US market in the new year. Phillips 66 and Kinder Morgan have launched the second open season for the Western Gateway Pipeline, following the first open season that concluded in December of last year.
Can Kinder Morgan and Phillips 66 attract more interest in the new pipeline?
Kinder Morgan and Phillips 66 have become two major US-based energy companies that have significant assets in the energy-rich regions of the United States. Refined products pipelines are a tried and tested transportation method for essential energy resources, and the pair of companies have recently opened the second open season to attract more interest from shipping companies serving the international and domestic markets.
The initial open season, which concluded in December, attracted some serious interest and commitments by shipping companies. The new second open season is for the remaining pipeline capacity for the Western Gateway Pipeline.
The proposed Western Gateway Pipeline will be approximately 1,300 miles long and run from St. Louis, Missouri, to California. The pair of companies has come out to state the strategic importance of the Western Gateway Pipeline for the expansion and sufficient supply of energy resources to high-demand regions of the United States.
“The U.S. Energy Information Administration (EIA) states that California is on track to lose ~17–20% of its refining capacity by mid-2026. Arizona and Nevada depend heavily on California barrels, and the existing pipelines into Arizona run near capacity, leaving little backup space during outages.
“The Western Gateway Pipeline will be capable of supplying 200,000 barrels per day (bpd) of Midcontinent refined products directly into Arizona, replacing the approximately 125,000 barrels per day that Phoenix currently receives via Kinder Morgan’s SFPP pipeline from California. This shift allows those volumes to remain in California, increasing supply availability for in-state markets.” – Western Gateway Pipeline website
Time is running out for interested parties to secure pipeline capacity from Kinder Morgan and Phillips 66
As noted by the companies, the second open season was launched on January 16, 2026, and will remain open until March 31, 2026, at noon CT. The second open season adds a few more origin points that will supply the Californian market via a joint tariff, which is supported by the planned reversal of a significant Kinder Morgan pipeline in the Golden State.
The Western Gateway Pipeline plans to connect the Midwest refinery supply to Arizona and California, with the potential connectivity for Las Vegas as well. With the United States expanding its domestic oil and gas production capabilities, the Western Gateway Pipeline has become strategically important to a nation aiming to lead the world in essential energy products production.
As the global pipeline construction is set to surge dramatically over the next few years, the Western Gateway Pipeline will provide California and other high-demand energy regions of the US with a stable and diversified supply of essential energy resources.
“With California’s refining footprint narrowing, and Arizona’s fuel demand booming, securing America’s energy future is paramount. This means adding more capacity through resilient infrastructure and diversified supply. A Midcontinent-to-California corridor enhances reliability, reduces the risk of supply disruptions, and supports continued economic momentum across the region.” – Western Gateway Pipeline website
Other North American nations have similar pipeline ambitions for 2026
With Kinder Morgan and Phillips 66 providing the necessary transportation for the US domestic oil and gas market, other nations have expressed similar plans for their own pipelines in the near future. Canada has recently noted that a new crude oil pipeline is in the works. Taking into account the remarkable growth of the North American energy sector last year, 2026 may be a year to remember, especially once the Western Gateway Pipeline is completed.
