Enterprise to grow petrochemical business with planned ethylene pipe expansion
Enterprise Products Partners LP said it plans to expand its ethylene pipeline and logistics system further into South Texas, with a targeted in-service date in the fourth quarter of 2020, as the partnership looks to grow its midstream petrochemical services. Underpinned by long-term customer commitments, the Baymark ethylene pipeline would extend about 90 miles from the Bayport area of southeast Harris County, Texas, to Markham in Matagorda County, Texas, according to a May 28 news release.
AltaGas starts up propane export terminal in British Columbia
AltaGas Ltd. began commercial operations at its marine export facility for propane in Prince Rupert, British Columbia, a project that the company said would help grow its midstream business. The Ridley Island propane export terminal started introducing propane feedstock in mid-April and shipped its first cargo bound for Asia on May 23, according to a May 28 news release.
Sasol's estimated project cost for La. ethane cracker shoots up by $1B
Following a review by the project's new management, South African energy company Sasol Ltd. increased the estimated cost of its ethane cracker in Louisiana by roughly $1 billion. The company raised the cost estimate for the Lake Charles Chemicals Project to $12.6 billion to $12.9 billion, including a $300 million contingency, from the previous forecast of $11.6 billion to $11.8 billion released in February, according to a May 22 SEC filing.
Husky Energy plans steep spending cuts through 2023 with focus on free cash flow
Husky Energy Inc. plans to cut its capital spending for the five-year period ending 2023 as it focuses on generating increased free cash flow. The Calgary, Alberta-based oil and gas producer said May 28 that it would spend an annual average of C$3.15 billion for the 2019 to 2023 period, compared to planned annual capital expenditures for the 2018 to 2022 period of C$3.5 billion. The revised plan reduces total capex in the period by about C$1.7 billion.
Shale permitting nearly doubles in Ohio's Utica Shale year to year
Driven largely by a push for Utica Shale natural gas wells by private equity-backed Ascent Resources, the number of new well permits in Ohio almost doubled in April compared to the year before. Unhampered by public market investors' insistence on restrained capital spending, Ascent, backed by private equity funds such as The Energy & Minerals Group and First Reserve Corp., pulled 23 new well permits in April, compared to 13 in the same month in 2018.