popular articles

Enterprise Products Invests $3.1 Billion in LNG Production

Enterprise Products announces a $3.1 billion investment in infrastructure projects to support the expected increase in liquefied natural gas (LNG) production in the Permian Basin.
Entreprise-Products siège social

Please share:

Enterprise Products, a Houston-based pipeline operator, has unveiled plans to invest $3.1 billion in infrastructure projects to support rising liquefied natural gas (LNG) production in the Permian Basin. With LNG production in the Permian Basin forecast to increase by 700,000 barrels per day (bpd) by 2023-2025, Enterprise is taking proactive steps to ensure that the necessary infrastructure is in place to facilitate transportation and processing.

Seminole Pipeline Conversion

One of the key initiatives includes the conversion of the Seminole pipeline, which currently transports crude oil, to carry LNG by December 2023. The Seminole pipeline, with its current capacity to transport 210,000 bpd of crude oil, will play an essential role in LNG transport once the conversion is complete.

Bahia Pipeline Project

Enterprise Products is also investing in the construction of a 550-mile Bahia pipeline. This pipeline will have the capacity to transport 600,000 bpd of LNG from the Delaware and Midland basins to the Enterprise fractionation complex in Chambers County, Texas. It is scheduled to enter service in the first half of 2025. This strategic decision was taken in lieu of partial looping of the Shin Oak pipeline, which would have added only 275,000 bpd. According to co-CEO Jim Teague, Enterprise believes the Bahia pipeline is the right size to meet their needs.

Gas Fractionation Units and Gas Treatment Plants

In addition to pipelines, Enterprise Products is investing in a gas fractionation unit and two gas processing plants. These facilities are scheduled to come on stream in 2025. The fractionation unit in Chambers County, Texas, will be capable of fractionating 195,000 bpd of LNG, with an associated deisobutanization unit capable of separating 100,000 bpd of butane.

Expansion in Natural Gas Processing

Enterprise has already begun construction of two announced natural gas processing plants, the Orion plant in the Midland Basin and Mentone 4 in the Delaware Basin. The two plants will have the capacity to process 300 million cubic feet per day (MMcf/d) of natural gas and extract 40,000 bpd of LNG. These plants are scheduled to come on stream in the second half of 2025, further strengthening Enterprise’s processing capacities in the Midland and Delaware basins.

Focus on Quality and Record Performance

With year-on-year transport volumes on the rise, Enterprise Products has also shifted its focus to crude oil quality specifications. The company monitors crude oil receipts to ensure they meet specifications that reflect the Platts Dated Brent specification, underlining the importance of maintaining high quality standards in global markets. Crude oil quality has also improved on the Eagleford system, making it easier to sell and improving prices.

Enterprise Products’ significant investments in infrastructure projects demonstrate its commitment to meeting the growing demand for liquefied natural gas (LNG) in the Permian Basin. With LNG production set to increase significantly over the next few years, these initiatives will play a crucial role in ensuring the efficient transport and processing of this valuable resource. In addition, the company’s focus on maintaining high quality standards underscores its dedication to serving global markets and ensuring the desirability of U.S. Gulf Coast crude oil. These efforts position Enterprise Products as a key player in the ever-changing energy landscape.

Register free of charge for uninterrupted access.

Publicite

Recently published in

ICSID increases compensation owed to Enagás to USD 302 million in dispute over Peru’s cancellation of a major gas pipeline project.
Belgrade has confirmed the temporary extension of its gas supply contract with Moscow, ensuring the daily delivery of 6 million cubic metres until autumn at an unchanged price.
Belgrade has confirmed the temporary extension of its gas supply contract with Moscow, ensuring the daily delivery of 6 million cubic metres until autumn at an unchanged price.
European gas reserves reach 50.3 bcm, but current injection rates may prevent meeting the 90% regulatory target before November.
European gas reserves reach 50.3 bcm, but current injection rates may prevent meeting the 90% regulatory target before November.
The U.S. federal commission has authorised Venture Global to begin construction of the CP2 plant, a 28 Mt/year LNG terminal that could become the country’s largest.
The U.S. federal commission has authorised Venture Global to begin construction of the CP2 plant, a 28 Mt/year LNG terminal that could become the country’s largest.
The Algerian state utility plans a 56% increase in 2025 investment, targeting domestic network expansion and electricity export growth towards Europe and Africa.
Wood Mackenzie warns of a potential gas supply deficit in Indonesia, due to slow development of untapped resources and a lack of attractive regulatory framework.
Wood Mackenzie warns of a potential gas supply deficit in Indonesia, due to slow development of untapped resources and a lack of attractive regulatory framework.
Mubadala Energy will supply natural gas to two Pupuk Indonesia plants starting in late 2028, when production begins at the South Andaman block, according to statements made at an industry forum in Jakarta.
Mubadala Energy will supply natural gas to two Pupuk Indonesia plants starting in late 2028, when production begins at the South Andaman block, according to statements made at an industry forum in Jakarta.
QatarEnergy is set to begin liquefied natural gas production in the US by the end of 2025 and expand its North Field East project in Qatar starting mid-2026.
QatarEnergy is set to begin liquefied natural gas production in the US by the end of 2025 and expand its North Field East project in Qatar starting mid-2026.
TotalEnergies has signed a 20-year contract to purchase 2 million tonnes per annum (Mtpa) of LNG from Ksi Lisims LNG, a liquefaction project located in British Columbia, Canada.
Shell shareholders approved 21 out of 22 resolutions at the Annual General Meeting, rejecting a motion related to liquefied natural gas activities despite strong overall support for the group’s strategy.
Shell shareholders approved 21 out of 22 resolutions at the Annual General Meeting, rejecting a motion related to liquefied natural gas activities despite strong overall support for the group’s strategy.
An Australian tribunal has approved Santos' $2.3 billion Narrabri gas project despite objections from Indigenous communities and environmental concerns, citing major public benefits for gas supply.
An Australian tribunal has approved Santos' $2.3 billion Narrabri gas project despite objections from Indigenous communities and environmental concerns, citing major public benefits for gas supply.
Kurdistan signs oil and gas development agreements with HKN Energy and Western Zagros worth $110bn over the projects’ lifespan.
Kurdistan signs oil and gas development agreements with HKN Energy and Western Zagros worth $110bn over the projects’ lifespan.
Indonesian state-owned oil company PT Pertamina has signed ten gas sales agreements with domestic firms, including gas distributor PGN and electricity provider PLN.
Physical and derivatives trading of liquefied natural gas in Asia reached unprecedented levels during the June pricing period, with a significant increase in bids and transactions amid the shoulder season.
Physical and derivatives trading of liquefied natural gas in Asia reached unprecedented levels during the June pricing period, with a significant increase in bids and transactions amid the shoulder season.
Mexico could eliminate imports of 384 billion cubic feet of gas per year by reaching 45% clean electricity by 2030, according to Ember.
Mexico could eliminate imports of 384 billion cubic feet of gas per year by reaching 45% clean electricity by 2030, according to Ember.
Energean transfers its offshore stakes in Morocco to Chariot just one year after entering the market, following below-expectation outcomes from the Anchois-3 gas well.
Energean transfers its offshore stakes in Morocco to Chariot just one year after entering the market, following below-expectation outcomes from the Anchois-3 gas well.
Ankara announces the discovery of a new Black Sea gas reserve worth $30bn as part of its strategy to boost public investment in the energy sector.
Two new oil and gas sites in the Natuna Sea are expected to produce 20,000 barrels of oil and 60 million cubic metres of gas per day.
Two new oil and gas sites in the Natuna Sea are expected to produce 20,000 barrels of oil and 60 million cubic metres of gas per day.
A CAD715mn ($524mn) partnership enables First Nations to co-own the Westcoast system, backed by a federal loan guarantee of CAD400mn ($293mn).
A CAD715mn ($524mn) partnership enables First Nations to co-own the Westcoast system, backed by a federal loan guarantee of CAD400mn ($293mn).
Tallgrass Energy announces plans for a pipeline directly connecting the Permian Basin to the Rockies Express network, scheduled to start operations in late 2028 after securing initial commercial agreements with key shippers.
Tallgrass Energy announces plans for a pipeline directly connecting the Permian Basin to the Rockies Express network, scheduled to start operations in late 2028 after securing initial commercial agreements with key shippers.
Sinopec announced a new vertical depth record with its Tiebei 1HF well, reaching 5,300 metres and producing over 314,000 cubic metres of gas per day in the Sichuan Basin.
McDermott has completed the offshore installation of the Scarborough floating platform for Woodside Energy, marking a key step in the preparatory maintenance phase of the gas project in Western Australia.
McDermott has completed the offshore installation of the Scarborough floating platform for Woodside Energy, marking a key step in the preparatory maintenance phase of the gas project in Western Australia.
The fund managed by ArcLight Capital Partners has acquired 25% of Natural Gas Pipeline Company of America, bringing its total stake to 62.5% alongside Kinder Morgan.
The fund managed by ArcLight Capital Partners has acquired 25% of Natural Gas Pipeline Company of America, bringing its total stake to 62.5% alongside Kinder Morgan.
The Ontario Securities Commission has imposed a trading suspension on LNG Energy Group due to the non-filing of its annual financial statements for fiscal year 2024.
The Ontario Securities Commission has imposed a trading suspension on LNG Energy Group due to the non-filing of its annual financial statements for fiscal year 2024.

Advertising