EPP to expand LPG export facility at Oiltanking on HSC

Enterprise Products Partners LP (EPP) reported it will further expand its liquefied petroleum gas export terminal at Oiltanking’s complex on the Houston Ship Channel (HSC). EPP’s expanded LPG terminal is supported by a 50-year service agreement with Oiltanking Partners LP to provide additional dock space and related services.

The expanded LPG export terminal is expected to be in service by yearend 2015 and is supported by long-term LPG export agreements. This expansion is in lieu of a second LPG terminal announced in October 2013 and will result in more capacity than previously anticipated (OGJ Online, Oct. 2, 2013).

Once the expanded facilities are completed, EPP will have aggregate capacity to load more than 16 million bbl/month of low-ethane propane and butane.

“Demand for both current and future LPG exports continues to be strong,” said Michael A. Creel, chief executive officer of EPP’s general partner. “The location of the expanded terminal at Oiltanking enables us to increase maximum loading capacity to approximately 27,000 bbl/hr, the highest in the industry, while nominally reducing the overall capital costs associated with the project.”

Creel continued, “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 [HSC].”

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