US Enterprise to hold open season for propane transport on ATEX

30 May 2013 22:30  [Source: ICIS news]

HOUSTON (ICIS)--Enterprise will hold an open season from 5 June to 11 July to gauge shipper interest for transporting propane to Mont Belvieu via its Appalachia-to-Texas (ATEX) pipeline, the US midstream energy partnership said on Thursday.

The ATEX is a 1,230-mile (1,979-km) pipeline that will transport ethane from the Marcellus and Utica shale areas to the US Gulf Coast, with commercial operations beginning in the first quarter of 2014.

Enterprise would loop a portion of the pipeline to accommodate the propane shipments, adding pumping capacity and installing additional facilities as needed. The final scope of the project will be determined by volume commitments received during the open season.

Propane transportation service is anticipated to begin in the first quarter of 2015 and will not affect obligations to existing ethane shippers, Enterprise said.

“Transporting propane to Mont Belvieu, the largest, most liquid trading and storage hub, will provide northeast producers with a reliable outlet for their excess propane and help maximise the value of their production,” said Michael Creel, CEO of Enterprise’s general partner.

“If export markets soften, Mont Belvieu is best positioned to store and distribute propane to the petrochemical and propane dehydrogenation markets and to other pipeline-connected destinations originating from Mont Belvieu,” he added.

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By: Tracy Dang
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