Shippers raise commitments on Enterprise's Mid-America NGL expansion

11 January 2012 16:42  [Source: ICIS news]

HOUSTON (ICIS)--Enterprise Products said on Wednesday that shippers on a planned natural gas liquids (NGL) pipeline expansion from the Rocky Mountains to the Texas Gulf Coast have exercised options to more than double their commitments to 82,500 bbl/day.

The Houston-based midstream energy company plans to expand its Mid-America Pipeline (MAPL) to ship growing NGL production from basins in Utah, Colorado, Wyoming and New Mexico to the petrochemicals market on the Texas Gulf Coast.

Enterprise said the expansion involves adding 263 miles (423km) of 16 inch (406.4mm)-diameter pipeline to the existing system, as well as pump station modifications.

The expansion project, which has been approved by the US Federal Energy Regulatory Commission (FERC), is expected to be completed in the third quarter of 2014. Financial details were not disclosed.

“The expansion enables producers to maximise the value of their Rocky Mountain NGL production by providing them access to the largest domestic NGL market located on the Texas Gulf Coast,” said Jim Teague, chief operating officer of Enterprise.

The MAPL expansion project would complement Enterprise’s planned ethane pipeline from the Marcellus/Utica shale gas region in the northeast of the US to the Texas Gulf Coast, Teague added.

Last year, during Enterprise’s original “open season” to solicit shipper commitments for the MAPL expansion, shippers had committed to an initial capacity of 38,500 bbl/day over 10 years.

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By: Stefan Baumgarten
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