Enterprise Completes Initial Segment of Aegis Ethane Pipeline

abarrelfullabarrelfull wrote on 30 Sep 2014 06:21

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Enterprise Products Partners L.P. (NYSE:EPD) today announced that construction of the first segment of the Aegis pipeline between Mont Belvieu and Beaumont, Texas has been completed and is ready to make ethane deliveries to petrochemical customers. This 60-mile segment of 20-inch diameter pipeline is part of the 270-mile Aegis ethane pipeline that when complete will create a 500-mile header system that stretches from Corpus Christi, Texas to the Mississippi River in Louisiana. Including Enterprise’s existing South Texas infrastructure, this system is now in service from Corpus Christi to Beaumont.

The remainder of the Aegis pipeline will be completed in two phases. The next segment between Beaumont and Lake Charles, Louisiana is scheduled to be completed in the third quarter of 2015. The final segment from Lake Charles to the Mississippi River is expected to be competed by the end of 2015. Aegis will have a capacity expandable to 425,000 barrels per day (“BPD”).

“The completion of this segment and delivery connection of the Aegis system represents a major milestone in the development of the project,” said A.J. “Jim” Teague, chief operating officer of Enterprise’s general partner. “Combined with our Mont Belvieu complex, which is the terminus for more than 3 million barrels per day of NGL supply pipeline capacity, is connected to over 2 million barrels per day of industry NGL fractionation capacity and more than 110 million barrels of EPD-owned salt dome storage capacity, the Aegis system provides unsurpassed flow assurance and market choices for producers and enhanced reliability and supply choices for our consuming customers.”

Teague added, “The Aegis header system will be a major ethane supply artery available to over 20 petrochemical plants that will be in operation along the U.S. Gulf Coast by 2020. These plants are expected to represent over 90 percent of domestic ethylene production capacity by 2020.

The Aegis Pipeline is supported by long-term commitments with shippers who have executed agreements in excess of 200,000 BPD. Enterprise continues to receive strong interest for additional capacity.

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