Energy Transfer (NYSE: ET) has undergone significant changes since 2020, when it reduced its distribution by 50% to stabilize its financial position. As of 2025, the company reports having the best financial shape in its history, having reduced debt and increased earnings by over 50%. Energy Transfer is also raising its cash distribution beyond previous peaks.
In 2025, Energy Transfer plans to invest $5 billion in capital projects, a notable increase from $3 billion the previous year. A key initiative is the Hugh Brinson Pipeline, which will transport natural gas from the Permian Basin and is expected to have a capacity of 1.5 billion cubic feet per day by the end of next year. The cumulative cost for both phases of this pipeline is estimated at $2.7 billion.
Looking ahead, Energy Transfer is expanding its midstream network with multiple projects, including natural gas processing plants and an LNG export terminal in Lake Charles, which is nearing final investment decision. The company anticipates continued growth, with plans to increase its distribution payout by 3% to 5% annually.
