August 5, 2019 [Maritime Executive] – Enterprise Products Partners and Chevron U.S.A. Inc. have announced long-term agreements supporting the development of Enterprise’s Sea Port Oil Terminal in the Gulf of Mexico.
The long-term agreements with Chevron support Enterprise’s final investment decision. Construction of the terminal is subject to obtaining the required approvals from the federal Maritime Administration, which is currently reviewing the application.
The project consists of onshore and offshore facilities, including a fixed platform located approximately 30 nautical miles off the Brazoria County, Texas coast in approximately 115 feet of water. The terminal is designed to load VLCCs at rates of approximately 85,000 barrels per hour, or up to approximately two million barrels per day. Unlike existing and other proposed offshore terminals, it is designed with a vapor control system to minimize emissions.
The facility provides Chevron with the opportunity to significantly expand its export capacity and access multiple market centers as it increase our crude oil produced out of the Permian.
With the flexibility to allocate loading across multiple export facilities, Enterprise will optimize its Houston Ship Channel facilities by creating additional capacity to load growing LPG, ethane and petrochemical export volumes. As domestic crude oil and natural gas liquids production continues to exceed U.S. demand and marine terminals approach full utilization, projects like this and the expansion of Enterprise’s LPG, ethane and petrochemical capabilities will be essential to balancing the market and meeting global demand for U.S. production, the company says.