Pipeline company Energy Transfer said on Tuesday that it expects to invest US$5 billion to US$5.5 billion in capital in 2026, primarily on its natural gas network projects.
Energy Transfer on Tuesday said it expects several natural gas pipeline projects to ramp up or come online in 2026, including the Nederland Flexport NGL, Mustang Draw I and Mustang Draw II processing plants in the Permian Basin as well as natural gas pipeline projects serving data centre facilities in Texas.
The pipeline company added it expects adjusted earnings before interest, taxes, depreciation and amortisation to range between US$17.3 billion and US$17.7 billion in 2026, higher than analysts' expectations of US$17.1 billion, according to data compiled by LSEG.
It expects to report capital expenditures of about US$5 billion and adjusted EBITDA between US$16.1 billion and US$16.5 billion for 2025.
This follows the company's announcement last month to prioritise natural gas pipeline projects for their superior risk and return profiles, and move away from LNG due to concerns of global oversupply.
The company had said it is suspending the development of its Lake Charles LNG export facility in Louisiana, while increasing the transportation capacity of its Transwestern pipeline's planned expansion project in the Desert Southwest region to meet increased customer demand.