Enterprise Products Partners LP secured enough customer commitments to support the construction of two ethylene storage and transportation projects in Texas.
The projects are in anticipation of an expansion in U.S. ethylene production capacity over the next three years. "These growth capital projects will expand our ethylene system to meet the growing needs of the petrochemical industry," said R.B. Herrscher, senior vice president for petrochemicals at Enterprise's general partner.
The partnership plans to repurpose a 5.3 million-barrel ethylene storage well at its Mont Belvieu, Texas, complex. The cavern would be capable of injecting and withdrawing ethylene at 2,000 barrels per hour, expandable to 4,000 barrels per hour, and can be connected to seven third-party ethylene pipelines close to the area.
The second project is a 24-mile, 12-inch-diameter ethylene pipeline running from Mont Belvieu to Bayport, Texas. The pipeline would be routed through Morgan's Point, Texas, where Enterprise has a marine terminal that could potentially be developed for ethylene export, according to an April 3 news release.
"These new storage and transportation assets will also complement our existing capabilities, giving us the foundation for extending our ethylene value chain even further," Herrscher said.