Kinder Morgan Inc. on Aug. 3 commenced senior note offerings totaling $1.25 billion, consisting of $1 billion of 3.150% senior notes and $250 million of floating-rate senior notes, both due 2023.

The fixed-rate senior notes are priced at 99.774%, while the floating-rate senior notes are priced at 100%. Both the fixed and floating rate senior notes have a maturity date of Jan. 15, 2023. Kinder Morgan has the option to redeem the notes before Dec. 15, 2022.

Kinder Morgan expects to receive $1.24 billion in net proceeds from the offerings, to be used for debt repayment, redemption of the 5.50% senior notes due 2022 by its subsidiary Hiland Partners Holdings LLC and general corporate purposes.