Posted on 04/23/2014 9:49:22 AM PDT by thackney
Enterprise Products Partners is planning to build an ethane export facility along the Gulf Coast in Texas, capable of loading 240,000 barrels per day of liquefied gas onto tankers headed for international buyers.
The new export complex could help relieve a massive glut in U.S. ethane supplies, which Enterprise estimates could shoot past demand by 700,000 barrels per day by 2020. Ethane, a ubiquitous byproduct of the surge in North American energy production, is used as a feedstock for chemical plants like Dow Chemical’s planned ethylene complex in Freeport, Texas.
“By providing new markets access to ethane, we are assisting U.S. producers to increase their production, which assures the U.S. will have access to abundant supplies of domestically produced natural gas and crude oil,” Enterprise CEO Michael Creel said in a written statement. Creel said the facility will be the largest of its kind in the world.
The Houston gas processor and pipeline operator said its new export facility will be integrated into its natural gas liquids fractionation complex at Mont Belvieu, Texas, a plant that can daily separate 650,000 barrels of natural gas liquids into different components used in the manufacturing of plastics.
The company expects to send its first payloads of ethane overseas in the third quarter of 2016. It did not disclose how much it expects to spend on building the facility. The facility would be able to chill ethane to maintain a liquid state, much like propane and other natural gasses. Tankers would ship the ethane in its liquid state.
Creel said it has garnered interest from overseas buyers and may soon contract the facility’s entire capacity.
Enterprise units fell 39 cents in early trading Wednesday to $73.53 on the New York Stock Exchange.
Mont Belvieu ping
How many construction jobs is this? What sort of permanent payroll will this plant be paying?
It is no wonder Texas leads the country in job creation.
This is part due to Enterprise increasing their production of the Natural Gas Liquids including ethane.
Enterprise Products Partners operating eighth NGL fractionator
http://www.lpgasmagazine.com/enterprise-products-partners-operating-eighth-ngl-fractionator/
November 20, 2013
Enterprise Products Partners’ eighth natural gas liquids (NGL) fractionator at its Mont Belvieu, Texas, complex is now operational, the company announced. The new unit, which has the capability to fractionate up to 85,000 barrels per day (bpd), increases total fractionation capacity at the company’s Mont Belvieu facility to about 655,000 bpd. The fractionator will accommodate increasing NGL production from domestic shale plays, including the Eagle Ford in south Texas, and other basins in the Rocky Mountain and mid-continent regions. Rising NGL production from the shale plays continues to provide a low-cost feedstock advantage for the global petrochemical industry, which currently favors natural gas-derived feedstock over more expensive crude oil-based derivatives, the company says. Enterprise now has more than 1 million bpd of total NGL fractionation capacity. Fractionators seven and eight were constructed as part of a joint venture with Western Gas Partners LP, an affiliate of Anadarko Petroleum Corp.
I don’t see a reason for LP gas to double in a few months. Either poor planning or something else. Energy prices should not spike up or down and price volatility should be lessened. I don’t see my water bill double or triple in summer months.
Additional description:
Enterprise Products building world’s largest ethane export facility near Houston
http://www.bizjournals.com/houston/blog/drilling-down/2014/04/enterprise-products-building-worlds-largest-ethane.html?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A%20bizj_national%20%28Bizjournals%20National%20Feed%29&page=all
Enterprise spokesman Rick Rainey said the company is not disclosing the project costs or the exact location.
“This facility is another example of Enterprise serving incremental market demand for growing supplies of U.S. energy,” Creel added. “This is particularly important for ethane, which is a byproduct of natural gas and crude oil production and has limited uses. We estimate U.S. ethane production capacity currently exceeds U.S. demand by (300,000 barrels per day) and could exceed demand by up to (700,000 barrels per day) by 2020.”
Something else
Winter 2013-14 Propane Updates
http://www.freerepublic.com/focus/f-news/3120788/posts
Great Thread! Thanks!
It’s soooo ironic that despite the best efforts of the Obama regime, energy production is booming.
thx
Compare this past year in red to the blue 5 year range.
Natural Gas was even worse.
Hooooo-wheeee!
That there is a lot of Saran Wrap!
Thanks thackney.
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