CALGARY - Kinder Morgan Canada Ltd. (KML.TO) is reporting third-quarter net income of $1.35 billion, although most of that is a one-time gain from the sale of its Trans Mountain pipeline and expansion project to the federal government.

The energy infrastructure company, which trades on the Toronto Stock Exchange but is 70 per cent owned by Houston-based Kinder Morgan Inc., sold its Trans Mountain assets to Ottawa for $4.5 billion in a deal that closed Aug. 31.

In a news release, it says it realized net income of $1.308 billion from the sale, net of tax.

Kinder Morgan Canada reports it had third-quarter income from continuing operations of $22.2 million, up from $9.8 million in the same period of last year.

It says it had quarterly revenue of $94.3 million, versus $85.9 million in the year-earlier period.

KML's assets in Western Canada include a network of crude tank storage and rail terminals in Alberta, the Vancouver Wharves Terminal and the Cochin Pipeline system which transports light oil from the United States to the Edmonton area to be used as bitumen diluent.