Plains All American Pipeline raises 2026 growth capital spending to $400M-$450M, up from $350M, citing strong oil demand and high-return projects.
Plains All American Pipeline (NASDAQ:PAA) increased its 2026 growth capital expenditure to a range of $400 million to $450 million, up from approximately $350 million. The rise supports expansion projects in Permian long-haul, Canadian gathering, and Permian gathering operations.
UBS maintained its Buy rating and $25 price target for PAA, citing a stronger global oil market and client demand driving high-return investments. The firm views the increased capital spending as a catalyst for incremental profitability at competitive returns.
The company’s organic growth potential has countered bearish sentiment, with UBS noting PAA’s ability to execute on expansion plans amid favorable market conditions.