Enterprise Products Partners LP started construction of a new NGL fractionator that would boost the partnership's processing capacity in the Mont Belvieu, Texas, area to 905,000 barrels per day.
The fractionator, which is adjacent to Enterprise's Mont Belvieu NGL complex, is the partnership's tenth in the area and is designed to have a nameplate capacity of 150,000 bbl/d, according to a Sept. 5 news release. The new facility, which is underpinned by long-term customer contracts, would raise Enterprise's total fractionation capability to about 1.4 MMbbl/d.
Enterprise expects the additional fractionator will help NGL production growth in the Permian Basin continue. NGL volumes from the Permian are estimated to more than double in the next four years, according to A.J. Teague, CEO of Enterprise's general partner. Teague said approximately 70% of domestic growth in NGLs is expected to come from the Permian and the Eagle Ford Shale, while global demand for NGLs is also rising.
The new fractionator is scheduled to start up in the first quarter of 2020.