HOUSTON--(BUSINESS WIRE)--Enterprise Products Partners L.P. (NYSE: EPD) today announced several new construction projects that will extend and expand its natural gas and natural gas liquids (“NGL”) infrastructure in South Texas to accommodate expected production growth from the Eagle Ford Shale play. As a result of additional demand from our Eagle Ford producing customers, along with the execution of new gathering and processing agreements, Enterprise will build an additional 300 million cubic feet per day (“MMcf/d”) train at its Yoakum cryogenic natural gas processing facility in Lavaca County, Texas.
In addition, the partnership is constructing 62 miles of 24-inch diameter and 30-inch diameter pipeline loops and increasing horsepower compression to gather, and transport an additional 300 MMcf/d of rich Eagle Ford Shale gas. This expansion is expected to begin service in the first quarter of 2013. Approximately 195 rigs are presently working in the play as of the end of the third quarter 2011, compared to approximately 105 rigs in the third quarter of 2010.
“Increased drilling activity in the prolific Eagle Ford Shale continues to create opportunities for Enterprise to leverage its integrated network of midstream assets to provide producers with flow assurance and market choice,” said A.J. “Jim” Teague, executive vice president and chief operating officer of Enterprise’s general partner. “Each new addition to our growing infrastructure footprint allows us to provide enhanced service options for customers in a more efficient, timely and cost-effective manner.”
As previously announced, Enterprise is currently constructing its Eagle Ford rich natural gas mainline system and associated laterals consisting of approximately 300 miles of pipeline, representing gathering and transportation capacity of more than 600 MMcf/d. The Yoakum natural gas processing facility currently has 600 MMcf/d of capacity under construction, which is expected to begin service during the second quarter of 2012. With the additional 300 MMcf/d train, the plant will have total capacity of 900 MMcf/d when service begins, which is expected in the first quarter of 2013.
To handle the additional NGLs from the cryogenic facility, Enterprise has increased the size of its 127-mile Y-grade pipeline that originates at the Yoakum plant and provides access to Enterprise’s complex at Mont Belvieu, Texas from 20-inches to 24-inches. The new Yoakum plant will complement the partnership’s seven existing natural gas processing plants in South Texas which currently have the capacity to process approximately 1.5 billion cubic feet per day and offer customers the flexibility to access the market for their production.
Enterprise Products Partners L.P. is the largest publicly traded partnership and a leading North American provider of midstream energy services to producers and consumers of natural gas, NGLs, crude oil, refined products and petrochemicals. Enterprise’s assets include approximately: 50,000 miles of onshore and offshore pipelines; 192 million barrels of storage capacity for NGLs, refined products and crude oil; and 27 billion cubic feet of natural gas storage capacity. Services include: natural gas transportation, gathering, processing and storage; NGL fractionation, transportation, storage, and import and export terminaling; crude oil and refined products storage, transportation and terminaling; offshore production platform; petrochemical transportation and storage; and a marine transportation business that operates primarily on the United States inland and Intracoastal Waterway systems and in the Gulf of Mexico. For additional information regarding Enterprise, please visit www.enterpriseproducts.com.
This press release includes “forward-looking statements” as defined by the Securities and Exchange Commission. All statements, other than statements of historical fact, included herein that address activities, events, developments or transactions that Enterprise expects, believes or anticipates will or may occur in the future, including anticipated benefits and other aspects of such activities, events, developments or transactions, are forward-looking statements. These forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially, including required approvals by regulatory agencies, the possibility that the anticipated benefits from such activities, events, developments or transactions cannot be fully realized, the possibility that costs or difficulties related thereto will be greater than expected, the impact of competition and other risk factors included in the reports filed with the Securities and Exchange Commission by Enterprise. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of their dates. Except as required by law, Enterprise does not intend to update or revise its forward-looking statements, whether as a result of new information, future events or otherwise.