Plains All American and Enterprise Products Announce Agreement to Expand Eagle Ford Joint Venture Pi
Plains All American and Enterprise Products Announce Agreement to Expand Eagle Ford Joint Venture Pipeline
HOUSTON--(BUSINESS WIRE)-- Plains All American Pipeline, L.P. (NYSE: PAA) and Enterprise Products Partners L.P. (NYSE: EPD) today announced they have agreed to expand their Eagle Ford Joint Venture (JV) crude oil pipeline. The expansion will increase the pipeline's capacity to 470,000 barrels per day of light and medium crude oil grades to accommodate additional volumes expected from PAA's Cactus pipeline that is currently under construction. The Eagle Ford JV pipeline expansion is expected to cost approximately $120 million and is expected to be in service in the second quarter of 2015.
The Eagle Ford JV Pipeline system, most of which is currently in service and expected to be completed by September 30, 2013, is a 50/50 joint venture between Plains and Enterprise that serves the Three Rivers and Corpus Christi refineries and other markets via marine transport facilities at Corpus Christi. The pipeline supplies the Houston-area market through a connection to the Enterprise Crude Pipeline terminal at Lyssy in Wilson County, Texas. The pipeline expansion will be completed in stages that include adding pumping capacity and looping certain segments of the existing system. The expansion also includes constructing an additional 2.3 million barrels of operational storage capacity in Gardendale, Tilden and Corpus Christi.
The Cactus Pipeline is being constructed by PAA from McCamey, Texas in the Permian Basin area to Gardendale in La Salle County, Texas. The pipeline will have an initial capacity of 200,000 barrels per day and is expected to be in service in the second quarter of 2015.
For additional commercial information on the Eagle Ford JV pipeline, please contact:
Bill Keener, Director Pipeline Business Development at Plains All American, 713-993-5144.
Plains All American Pipeline, L.P. is a publicly traded master limited partnership engaged in the transportation, storage, terminalling and marketing of crude oil and refined products, as well as in the processing, transportation, fractionation, storage and marketing of natural gas liquids. Though its general partner interest and majority equity ownership position in PAA Natural Gas Storage, L.P. (NYS: PNG) , PAA owns and operates natural gas storage facilities. PAA is headquartered in Houston, Texas.
Enterprise Products Partners L.P. is one of the largest publicly traded partnerships and a leading North American provider of midstream energy services to producers and consumers of natural gas, NGLs, crude oil, refined products and petrochemicals. Our services include: natural gas gathering, treating, processing, transportation and storage; NGL transportation, fractionation and storage; LPG import and export terminals; crude oil and refined products transportation, storage and terminals; offshore production platforms; petrochemical transportation and services; and a marine transportation business that operates primarily on the United States inland and Intracoastal Waterway systems and in the Gulf of Mexico. The partnership's assets include approximately 50,000 miles of onshore and offshore pipelines; 200 million barrels of storage capacity for NGLs, crude oil, refined products and petrochemicals; and 14 billion cubic feet of natural gas storage capacity. Additional information regarding Enterprise can be found on its website, www.enterpriseproducts.com.
Forward Looking Statements
This release includes forward-looking statements that involve certain risks and uncertainties that could cause actual results or outcomes to differ materially from results or outcomes anticipated in such forward-looking statements. These risks and uncertainties include, among other things, various factors that could delay, prevent, increase costs of or otherwise adversely impact the construction, operation or performance of the joint venture's pipelines and other facilities, including the following: (i) the availability of adequate third-party production volumes for transportation, (ii) factors that could cause declines in volumes shipped on the existing and proposed pipelines, such as declines in production from existing oil and gas reserves or failure to develop additional oil and gas reserves, (iii) continued creditworthiness of, and performance by, the joint venture's customers and counterparties, (iv) shortages or cost increases of supplies, materials or labor, (v) difficulties obtaining necessary rights of way and permits, (vi) weather interference, (vii) the impact of current and future laws, rulings, governmental regulations, accounting standards and statements and related interpretations, (viii) general economic, market or business conditions and the amplification of other risks caused by volatile financial markets, capital constraints and liquidity concerns, and (ix) other factors and uncertainties discussed in the respective filings of PAA and EPD with the Securities and Exchange Commission. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of their respective dates. Except as required by law, PAA and EPD do not intend to update or revise their respective forward-looking statements, whether as a result of new information, future events or otherwise.
Plains All American
Roy I. Lamoreaux, 713/646-4222 - 800/564-3036
Director, Investor Relations
Brad Leone, 713/646-4196 - 800/564-3036
Randy Burkhalter, 713/381-6812 - 866/230-0745
Vice President, Investor Relations
Rick Rainey, 713/381-3635
Vice President, Public Relations
KEYWORDS: United States North America Canada Texas
The article Plains All American and Enterprise Products Announce Agreement to Expand Eagle Ford Joint Venture Pipeline originally appeared on Fool.com.Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
Copyright © 1995 - 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.