June 20, 2016 - 8:30 AM EDT
Print Email Article Font Down Font Up Charts

Enterprise to Further Expand Delaware Basin Network with New Natural Gas Processing Plant

Enterprise Products Partners L.P. (NYSE: EPD) today announced plans to build a new cryogenic natural gas processing facility and associated natural gas and natural gas liquids (“NGL”) pipeline infrastructure to facilitate continued growth of NGL-rich natural gas production in the Delaware Basin of West Texas and southeastern New Mexico. The site for the new processing plant, which will have a nameplate capacity of 300 million cubic feet per day (“MMcf/d”) and the capability to extract more than 40,000 barrels per day of NGL, has yet to be determined. The project is anchored by long-term commitments from a major producer. The facility is expected to begin service in the second quarter of 2018.

“This project, which complements our ongoing growth in the region, is the third cryogenic natural gas processing plant Enterprise has announced in less than 24 months,” said A.J. “Jim” Teague, chief executive officer of Enterprise’s general partner. “The South Eddy facility began operations earlier this year, while our joint venture processing plant at Waha is expected to begin service in the third quarter of 2016. Altogether, these initiatives are expected to increase our processing capacity in the Delaware Basin to 800 MMcf/d, compared to 40 MMcf/d in 2012.”

In addition to providing new gas processing capabilities, the scope of the project will include construction of rich natural gas gathering lines, a residue pipeline to Waha and an NGL pipeline to Enterprise’s Mid-America Pipeline system. These assets will be designed to integrate with the rest of the company’s Delaware Basin infrastructure.

Teague added, “The continued growth of Enterprise’s Delaware Basin network, and its integration with the rest of our systems, offers additional value-added options, as well as access to the most attractive domestic and international markets. For Enterprise, the expanded Delaware Basin facilities create efficient bolt-on opportunities.”

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 gathering, transportation, storage and terminals; petrochemical and refined products transportation, storage and terminals; and a marine transportation business that operates primarily on the United States inland and Intracoastal Waterway systems. The partnership’s assets include approximately 49,000 miles of pipelines; 250 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.

Enterprise Products Partners L.P.
Randy Burkhalter, (713) 381-6812 or (866) 230-0745
Investor Relations
or
Rick Rainey, (713) 381-3635
Media Relations


Source: Business Wire (June 20, 2016 - 8:30 AM EDT)

News by QuoteMedia
www.quotemedia.com

Legal Notice