January 8, 2014 [OPIS] - Enterprise Products Partners today announced a further expansion of its liquefied petroleum gas export terminal at Oiltanking Partners' complex on the Houston Ship Channel. Specific details of the project weren't immediately made available, but upon completion, the terminal will have aggregate capacity to load more than 16 million bbl per month of low-ethane propane and/or butane, and a maximum loading capacity of up to 27,000 barrels per hour.
The expanded export terminal is expected to be in service by late 2015, and is supported by long-term LPG export agreements, as well as a 50-year service agreement with Oiltanking to provide additional dock space and related services.
The expansion is in lieu of a second LPG terminal originally announced in October and will result in more capacity than previously anticipated, Enterprise said.
“We are pleased to announce the expansion of our LPG export marine terminal and the associated 50-year agreement with Oiltanking,” said Michael A. Creel, CEO of Enterprise’s general partner. “The decision to expand at Oiltanking was directly attributable to our joint experience of loading LPG vessels on the Houston Ship Channel and our 33-year relationship with Oiltanking.
Demand for both current and future LPG exports continues to be strong. The location of the expanded terminal at Oiltanking enables us to increase maximum loading capacity to approximately 27,000 barrels per hour, the highest in the industry, while nominally reducing the overall capital costs associated with the project.”
Creel also alluded to ongoing talks with customers in regard to developing an ethane export terminal.
“On the ethane front, we continue to negotiate with several customers that would support the development of an ethane export terminal. Our site evaluation for this facility continues.
Depending on the outcome of these discussions, estimated ethane export demand and ship draft requirements, we expect the ethane export facility will be sited either adjacent to our refined products export terminal in Beaumont or on the Houston Ship Channel.”
