Enterprise Products Partners L.P. Participates In Tri-States Natural Gas Liquids Pipeline

abarrelfullabarrelfull wrote on 13 Jan 2014 11:16

Friday, January 29, 1999

Enterprise Products Partners L.P. (NYSE: "EPD") through its operating subsidiary Enterprise Products Operating L.P. with five other major energy companies have finalized an agreement on the ownership and operating terms of Tri-States NGL Pipeline, L.L.C.

The final agreement gives each company an equal interest in Tri-States ownership of a 168-mile common-carrier pipeline that will deliver natural gas liquids from three gas processing plants in Alabama and Mississippi to fractionators in Louisiana. Initial capacity of the line is 80,000 barrels per day.

"One of the avenues of growth for Enterprise Products Partners is through joint investments with strategic industry partners. Tri-States Pipeline is a part of this strategy," said O.S. "Dub" Andras, President and Chief Executive Officer, Enterprise Products Partners L.P. "The Tri-States Pipeline joint venture will provide linkage from the production area to fractionating facilities and downstream markets in Louisiana, including the Baton Rouge fractionating facility, in which Enterprise Products Partners owns an interest and serves as operator, currently under construction."

The owners—Enterprise Products Operating L.P., Amoco Pipeline Co., a unit of Amoco Corporation, Koch Pipeline Southeast, Inc., a subsidiary of Koch Industries, Inc., a group led by Duke Energy Field Services, Inc., Tejas Natural Gas Liquids L.L.C., an affiliate of Shell Oil Company and a unit of the Williams Companies, Inc.—originally signed a letter of intent in March 1998.

Construction of the line, led by Koch, began in the summer of 1998 and is nearing completion. New construction accounted for 121 miles of the project, with the remainder coming from an existing pipeline. Tri-States' pipeline is expected to go into service in February 1999, and will be operated by Williams.

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