Enterprise Products Announces Further Expansion of West Texas Gas Processing Plant

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Researched by Industrial Info Resources (Sugar Land, Texas)--Enterprise Products Partners LP (NYSE:EPD) (Houston, Texas) has announced plans to further expand its natural gas processing plant that is under construction in Orla, Texas.

Construction on the plant began last year, and the first two trains are expected to be completed later this year. Each processing train will be able to process 300 million standard cubic feet per day of natural gas to produce 40,000 barrels per day of natural gas liquids (NGL). The addition of a third train will bring total NGL production capacity to 120,000 BBL/d. For more information, see Industrial Info's project reports on the first and second processing trains at the complex. The third train is expected to begin service in the second quarter of 2019.

Enterprise Chief Executive Officer A.J. Teague said, "The ongoing expansion of our Orla facility is being driven by the continued growth of NGL-rich natural gas production in the Delaware Basin and is supported by long-term commitments with producers. Over the next five years, supplies of natural gas and NGLs in the Permian Basin could nearly double, and Orla is ideally situated to capitalize on growth opportunities in the region."

The NGLs produced from the Orla facility will be shipped in part on Enterprise's Shin Oak pipeline, which will kick off construction this year. The 571-mile, 24-inch-diameter pipeline will run from Enterprise's Hobbs fractionator near Seminole, Texas, to its fractionation complex in Mont Belvieu, Texas. The pipeline will transport 250,000 BBL/d and will be expandable up to 600,000 BBL/d. Construction on the $750 million project is expected to be completed in the second quarter of 2019. For more information, see Industrial Info's project report.

Enterprise continues to expand its Mont Belvieu complex to accommodate increased processing capacity. Among the largest of the company's projects is the addition of an iso-butane dehydrogenation unit at the facility. The $1 billion project is expected to kick off in the first quarter of this year and be completed by the end of 2019. The unit will produce 435,000 metric tons per year of isobutylene. Optimized Process Designs LLC (Katy, Texas) is performing engineering, procurement and construction (EPC) on the project. For more information, see Industrial Info's project report.

At the same facility, Enterprise is in the process of adding a ninth NGL fractionation train. Construction began early last year and is expected to be wrapped up this summer. The 85,000-BBL/d fractionation train will increase the facility's total processing capacity to 685,000 BBL/d to accommodate the growing NGL volumes from the Eagle Ford Shale and Permian Basin. S&B Engineers and Constructors Limited (Houston) is performing EPC work on the project, which has an estimated total investment value of $500 million. For more information, see Industrial Info's project report.

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