Plains All American Announces Project to Construct Eagle Ford Fractionator and Related Infrastructure Expansions
December 19 2013 - 4:30PM
Business Wire
Partnership to Provide Update on 2014 Growth
Capital Investment on Fourth Quarter Earnings Conference
Call
Plains All American Pipeline, L.P. (NYSE:PAA) today announced
that it is constructing a new natural gas liquids (NGL)
fractionator and is expanding its existing condensate stabilization
facility in the Eagle Ford area of South Texas. The new
fractionator is supported by long-term third-party commitments and
will have a capacity of up to 15,000 barrels per day of NGL Y-Grade
and off-spec Y-Grade product. The new fractionator, condensate
stabilization expansion and related infrastructure enhancements are
expected to require a total investment of approximately $120
million and are expected to be in service in the second quarter of
2015.
The fractionator will be located near existing PAA assets in
Gardendale (La Salle County), including its condensate
stabilization facility and rail and truck loading / unloading
facilities. The facility is designed to fractionate NGL Y-Grade and
to treat and fractionate off-spec Y-Grade sourced from PAA’s South
Texas Gathering System and throughout the Eagle Ford producing
region. Purity products expected to be produced include
international refrigerant specification grade LE propane, EPA
non-commercial grade butane and international specification natural
gasoline. These products can be transported from PAA’s adjacent
rail and truck loading facilities, providing access to premium
markets for each purity product.
PAA’s existing Gardendale truck and rail infrastructure are
being enhanced to facilitate loading, unloading and transporting
Y-Grade and purity products, and PAA will build approximately
80,000 barrels of pressurized storage to accommodate Y-Grade and
purity products. PAA is also adding a third condensate
stabilization train that will provide approximately 40,000 barrels
per day of incremental capacity to the existing condensate
stabilization facility, bringing the total capacity to
approximately 120,000 barrels per day.
Customer inquiries regarding the facility and related expansions
should be directed to Robert Jernigan, Vice President of Supply at
Plains Gas Solutions, at 713-993-5408.
PAA noted that it will provide an update on its expected 2014
organic growth capital investment (including the contribution of
these projects to its total anticipated 2014 capital investment)
during its fourth-quarter/year-end earnings conference call in
early February, 2014.
Plains All American Pipeline, L.P. is a publicly traded master
limited partnership engaged in the transportation, storage,
terminalling and marketing of crude oil and refined products, as
well as in the processing, transportation, fractionation, storage
and marketing of natural gas liquids. Through its general partner
interest and majority equity ownership position in PAA Natural Gas
Storage, L.P., PAA owns and operates natural gas storage
facilities. PAA is headquartered in Houston, Texas.
Forward Looking Statements
Certain matters discussed in this release are forward-looking
statements that involve risks and uncertainties that could cause
actual results or outcomes to differ materially from results or
outcomes anticipated in the forward-looking statements. These risks
and uncertainties include, among other things, shortages, cost
increases or delays in receipt of supplies, materials or labor;
inability to obtain, delays in the receipt of, or other issues
associated with necessary licenses, permits, approvals, consents,
rights of way or other governmental or third party requirements;
the impact of current and future laws, rulings, orders,
governmental regulations, accounting standards and statements and
related interpretations; weather interference with business
operations or project construction; environmental liabilities,
issues or events that result in construction delays or otherwise
impact targeted in-service dates; interruptions in service on
third-party pipelines or facilities; general economic, market or
business conditions and the amplification of other risks caused by
volatile financial markets, capital constraints and pervasive
liquidity concerns; and other factors and uncertainties inherent in
the transportation, storage, terminalling and marketing of crude
oil and refined products as discussed in the Partnership's filings
with the Securities and Exchange Commission.
Plains All American Pipeline, L.P.Investors:Roy I.
Lamoreaux, 866-809-1291Director, Investor
RelationsorMedia:Brad Leone, 713-646-4196Manager,
Communications
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