Enterprise Enhances Flexibility, Efficiency of Mont Belvieu Complex With Acquisition of Rail and Truck Terminals

abarrelfull wrote on 14 Jan 2014 14:09
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May. 4, 2009

Enterprise Products Partners L.P. (NYSE:EPD) today announced it has purchased the Mont Belvieu, Texas rail and truck terminal facilities of Kilgore, Texas-based Martin Midstream Partners L.P. With the acquisition, Enterprise adds to its service offerings the capability to offload, store and transport refinery grade propylene (RGP) from rail cars for use at its Mont Belvieu propylene/propane and natural gas liquids (NGLs) fractionation complex.

The new facilities also offer expansion opportunities for the partnership, such as future rail loading and offloading of other NGLs, including butanes. In the transaction, the partnership also acquired the infrastructure necessary to load propane for sale to local distributors.

“This acquisition enhances our ability to serve customers and access new market opportunities by giving us added flexibility and improved access to reliable sources of liquids to supply our Mont Belvieu fractionators,” said G.R. “Jerry” Cardillo, vice president, petrochemical services for Enterprise. “The capabilities offered by the truck rack eliminate the need for third-party loading services, and position us to pursue new business opportunities with propane wholesalers.”

The rail assets acquired from Martin also include storage facilities that can accommodate up to eighty-five cars, giving Enterprise greater logistical control in the staging and management of incoming supplies. The improved efficiency will allow Enterprise to double the number of cars coming into Mont Belvieu and optimize the capabilities of the offloading facility.

At Mont Belvieu Enterprise fractionates RGP into polymer grade propylene as part of the largest NGL fractionation complex in the world. Polymer grade propylene is used by petrochemical facilities to produce plastic consumer products. The partnership also has approximately 100 million barrels of underground storage capacity for NGLs at its Mont Belvieu facility. Other infrastructure Enterprise received as part of the transaction includes a seven-bay truck rack and eleven above-ground propane storage tanks with total capacity of 330,000 gallons.

• Enterprise Enhances Flexibility, Efficiency of Mont Belvieu Complex With Acquisition of Rail and Truck Terminals

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