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Enterprise seeks shippers for proposed Texas NGL pipeline expansion

Enterprise Products has started the open season for Skelly-Belvieu Pipeline Co., a joint venture partially owned and operated by an Enterprise affiliate, in which it is seeking shipper support for a proposed expansion of the 570-mile Skelly-Belvieu natural gas liquids (NGL) pipeline.

The system originates in Carson County, Texas and transports purity products from the Mid-continent to Mont Belvieu, Texas, where Enterprise owns and operates approximately 100 million bbl of liquids storage capacity.

“The expansion of the Skelly-Belvieu pipeline reflects Enterprise’s ongoing commitment to meeting the growing demand of customers along the Gulf Coast for reliable, domestic supplies of NGLs,” said James M. Collingsworth, senior vice president of regulated pipelines and gas storage for Enterprise.

“The additional throughput capacity resulting from the expansion would not only benefit our ownership interest in the Skelly-Belvieu joint venture, but would create growth opportunities for other areas of the partnership’s integrated midstream network, including the Mid-America Pipeline system, our Mont Belvieu storage facilities, and NGL marketing services,” he added.

Depending on shipper response to the open season, the Skelly-Belvieu expansion project can be designed to accommodate approximately 17,000 bpd of incremental annual average capacity to the system, 90% of which is being made available in the open season for priority service, the company said.

Achieving the additional capacity would involve installing pumps and related equipment. Provided there is sufficient shipper commitment, the additional capacity could be available as soon as the fourth quarter of 2012.

The open season will begin October 19 and continue until November 16.

Additional details, including a notice of open season and a form of transportation services agreement, will be distributed to Skelly-Belvieu shippers, the company said.

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