Mont Belvieu Gets 6th NGL Fractionator

One of Enterprise's natural gas liquids refineries in Mont Belvieu. (image: shaleoilplays.com)

Enterprise Products Partners L.P. announced its plan to expand its operation in propane’s powerhouse town Mont Belvieu, Texas, with a new fractionation facility. Slated to be ready for operation in 2013, administrators expect the new facility will enable Enterprise to fractionate over 450,000 barrels per day at its Mont Belvieu complex alone.

“The additional capacity at Mont Belvieu will give us the capability to handle approximately 75,000 [barrels per day] of mixed NGLs currently being diverted to Louisiana for fractionating, as well as an incremental 30,000 BPD of y-grade from the Phase II expansion of our Yoakum processing facility in Lavaca County, Texas,”
said Jim Teague, executive vice president and COO of Enterprise’s general partner.

With the largest gas liquids storage facility in the country, Mont Belvieu is kinda like propane’s hometown. What happens in the town’s storage salt caverns often has serious influence defining propane prices in the U.S., and is situated near the Eagle Ford Shale. Around 170 active rigs are working on the Shale with 1,400 additional wells in various stages of drilling and production.

“The announcement of our third fractionator at Mont Belvieu in less than two years is yet another indication of the robust demand for Enterprise’s midstream services to handle increased natural gas production from the expanding shale plays,” Teague added.