Enterprise Products Partners LP (NYSE: EPD) said April 16 that its 416-mile Midland-to-Sealy pipeline is now in full service with an expanded capacity of 540,000 barrels per day (bbl/d).
The pipeline is capable of transporting batched grades of crude oil and condensate. With the completion of incremental tankage, as well as infrastructure and operating enhancements, the pipeline has an expected capacity of 575,000 bbl/d, which is expected to come online in May and is fully subscribed under long-term contracts.
At its terminus in Sealy, Texas, the pipeline connects directly to Enterprise’s 36-inch diameter Rancho II crude oil pipeline, which extends to the company’s 7.4 million barrel ECHO crude oil terminal in southeast Houston. The completion of the Midland-to-ECHO pipeline system provides a fully integrated solution allowing Permian Basin producers to deliver multiple grades of crude oil all the way to the Gulf Coast, including West Texas Intermediate (WTI), light WTI, West Texas sour and condensate.
Supporting Enterprise’s Permian Basin solution is a strategic aggregation program that includes construction of a 143-mile pipeline system, which is expected to deliver more than 300,000 bbl/d of crude oil and condensate from the Delaware Basin into Enterprise’s Midland Terminal. The project is on schedule for completion in July 2018 and is supported by long-term commitments with shippers.
“From our ECHO terminal, customers can access the major Gulf Coast refineries in the Houston, Texas City and Beaumont [and] Port Arthur areas, which represent more than four million barrels per day of capacity, as well as Enterprise’s extensive network of deepwater docks,” A.J. Teague, Enterprise’s CEO, said.
“As crude oil production continues to grow, access to the water has never been more important, and Enterprise is well positioned to facilitate the growing global demand for U.S. production.”