Shipper commitments received during a recent binding commitment period will support Enterprise Products Partners LP’s (NYSE:EPD) proposed expansion of the Panola Pipeline Co. LLC natural gas liquids (NGL) system. The 181-mile system originates near Carthage, Texas, and extends to Mont Belvieu, Texas, where it serves multiple destination points, including facilities owned and operated by Enterprise.
As part of the expansion project, Enterprise plans to install 60 miles of new pipeline, along with pumps and other related equipment designed to increase system capacity by 50,000 barrels per day. The incremental capacity is expected to be available in the first quarter of 2016.
The Panola pipeline expansion provides Haynesville and Cotton Valley producers with NGL takeaway capacity for their growing production of liquids-rich natural gas in East Texas and Northwest Louisiana. By providing a direct link to Mont Belvieu, the Panola pipeline offers shippers market choices with access to the largest NGL fractionation and storage hub in the world, connections to the vast concentration of petrochemical facilities along the US Gulf Coast, and export opportunities.