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Enterprise and Navigator Gas to build ethylene export terminal

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Hydrocarbon Engineering,


In a 50/50 joint venture, Enterprise Products Partners L.P. and Navigator Holdings Ltd are set to build a 1 million tpy export capacity ethylene export facility along the US Gulf Coast.

Refrigerated storage for 30 000 t of ethylene will be constructed on-site and will provide the capability to load ethylene at rates of 1000 t/hr. The facilities are expected to be in service by 1Q20. The project is supported by long-term contracts with anchor customers, such as Flint Hills Resources and a major Japanese trading company.

“This new ethylene export terminal will support the growing production of ethylene on the US Gulf Coast by providing access to international markets,” said A.J. Teague, CEO of Enterprise’s general partner. “By 2021, the petrochemical industry is expected to expand aggregate ethylene production capacity in Texas and Louisiana by nearly 50% […] The resulting rapid growth in the supply of US ethylene, combined with increased demand from international markets, like Asia, creates an ideal scenario in which markets abroad are able to diversify their supply by accessing cost-advantaged feedstocks made possible by the shale revolution in the US.

”This export terminal will also offer diversification opportunities for domestic petrochemical producers who will not have to rely solely on the export market for derivatives like polyethylene.”

David Butters, CEO of Navigator Gas, commented: “The strong, broad interest shown by prospective terminal customers during the initial marketing phase has reinforced our conviction on the critical need for an ethylene export terminal. It is clear that domestic producers value the opportunity to access global markets and international consumers consider the US as a reliable and affordable source of ethylene to fuel their petrochemical manufacturing in Europe and the Far East.”

Enterprise is also developing a high-capacity ethylene salt dome storage facility at its complex in Mont Belvieu, Texas. This will have a capacity of approximately 600 million lbs with an injection/withdrawal rate of 420 000 lbs/hr. The facility is expected to begin service in 1Q19 and will be designed to enable connections to the eight ethylene pipelines within half a mile of the Enterprise ethylene storage system. In addition, Enterprise is building a new ethylene pipeline from Mont Belvieu to Bayport, Texas, which is scheduled to begin service in 2020.

Read the article online at: https://www.hydrocarbonengineering.com/tanks-terminals/01022018/enterprise-and-navigator-gas-to-build-ethylene-export-terminal/

 

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