Enterprise Expands Propylene Pipeline System; Converting North Dean and Lou-Tex Pipelines to Polymer Grade Service
July 09 2015 - 8:49AM
Business Wire
Enterprise Products Partners L.P. (NYSE:EPD) today announced a
series of projects to convert and expand segments of its
petrochemicals pipeline network designed to increase throughput
capacity for polymer grade propylene (“PGP”) and enhance system
flexibility and reliability.
• North Dean
pipeline conversion and expansion – The 149-mile
pipeline will be converted from refinery grade propylene (“RGP”)
service to PGP service. The conversion is scheduled for completion
in January, 2017. Originating at Enterprise’s Mont Belvieu, Texas
complex, the converted pipeline will serve petrochemical facilities
as far south as Seadrift, Texas in Calhoun County. Construction of
a 33-mile lateral pipeline, new metering stations and additional
pumping capacity will accommodate the additional volumes and
increase total PGP delivery capacity to more than 150,000 barrels
per day.
• Lou-Tex propylene
pipeline conversion – The 263-mile, bi-directional
pipeline, which currently transports chemical grade propylene
(“CGP”) between Sorrento, Louisiana and Mont Belvieu, will be
converted to PGP service. The conversion is scheduled for
completion in 2020.
• RGP pipeline and
rail terminal expansion – Construction of a new 65-mile,
10-inch diameter pipeline, which will transport RGP between
Sorrento and Breaux Bridge, Louisiana, is scheduled for completion
in early 2017. Rail receipt facilities at Mont Belvieu are also
being expanded to give Enterprise the capability to unload up to
100 RGP rail cars per day.
“The expanded capability of our new South Texas petrochemical
pipeline network will complement Enterprise’s growing propylene
production capacity driven by our new propane dehydrogenation unit
now under construction,” said A.J. “Jim” Teague, chief operating
officer of Enterprise’s general partner. “When completed, our PGP
distribution system will stretch 587 miles and allow us to serve
more than 30 petrochemical facilities from South Texas to east of
the Mississippi River from our Mont Belvieu complex. These projects
will also support incremental capacity at our PGP marine export
terminal in Seabrook, Texas. These conversion and expansion
projects reflect our commitment to providing customers with the
first and last mile connections between supplies and markets.”
Enterprise’s PGP infrastructure at Mont Belvieu currently
consists of six propane/propylene fractionators. Following
completion of the new PDH plant, which is scheduled for September
of 2016, Enterprise will have the capability to produce 8 billion
pounds of PGP at its Mont Belvieu complex. In addition, a portion
of Enterprise’s salt dome storage capacity in Mont Belvieu is
dedicated to PGP service.
RGP is a mixture of propane and propylene that is fractionated
into PGP. PGP is used as a feedstock in the production of various
consumer products, including packaging film, fibers for carpets and
upholstery, and molded plastics parts for appliances and
automotive, houseware and medical products.
Enterprise Products Partners L.P. is one of the largest publicly
traded partnerships and a leading North American provider of
midstream energy services to producers and consumers of natural
gas, NGLs, crude oil, refined products and petrochemicals. Our
services include: natural gas gathering, treating, processing,
transportation and storage; NGL transportation, fractionation,
storage and import and export terminals; crude oil and refined
products transportation, storage and terminals; offshore production
platforms; petrochemical production, transportation, and import and
export services; and a marine transportation business that operates
primarily on the United States inland and Intracoastal Waterway
systems and in the Gulf of Mexico. The partnership’s assets include
approximately 51,000 miles of onshore and offshore pipelines; 225
million barrels of storage capacity for NGLs, crude oil, refined
products and petrochemicals; and 14 billion cubic feet of natural
gas storage capacity.
This press release includes “forward-looking statements” as
defined by the Securities and Exchange Commission. All statements,
other than statements of historical fact, included herein that
address activities, events, developments or transactions that
Enterprise and its general partner expect, believe or anticipate
will or may occur in the future are forward-looking statements.
These forward-looking statements are subject to risks and
uncertainties that may cause actual results to differ materially
from expectations, including required approvals by regulatory
agencies, the possibility that the anticipated benefits from such
activities, events, developments or transactions cannot be fully
realized, the possibility that costs or difficulties related
thereto will be greater than expected, the impact of competition,
and other risk factors included in Enterprise’s reports filed with
the Securities and Exchange Commission. Readers are cautioned not
to place undue reliance on these forward-looking statements, which
speak only as of their dates. Except as required by law, Enterprise
does not intend to update or revise its forward-looking statements,
whether as a result of new information, future events or
otherwise.
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Enterprise Products Partners L.P.Randy Burkhalter, (713)
381-6812Investor RelationsorRick Rainey, (713) 381-3635Media
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