Energy Transfer LP (NYSE: ET) said Nov. 7 that its subsidiary, Lone Star NGL LLC , will construct a seventh NGL fractionation facility at Mont Belvieu, Texas.
Fractionator VII is scheduled to be operational in the first-quarter of 2020. The 150,000 barrel per day (bbl/d) fractionator is fully subscribed by multiple long-term contracts and will provide the much needed capacity required to supplement incremental fractionation demand in excess of volumes feeding Fractionators I through VI.
Lone Star’s Fractionator V, which was placed in service in July 2018, is fully contracted with long-term commitments and is operating at full capacity. Lone Star’s Fractionator VI is currently under construction and is now expected to be in service during the first quarter of 2019, ahead of schedule. Fractionator VI is also fully contracted with long-term commitments and will have a capacity of 150,000 bbl/d. The company maintains a leading position for NGL fractionation, and with the completion of Fractionators VI and VII, Lone Star will be capable of fractionating over 900,000 bbl/d at Mont Belvieu supported by long-term fee-based agreements.
In addition, Lone Star announced today that it will expand the Lone Star Express Pipeline by adding a new 352-mile, 24-inch pipeline extending from Lone Star’s pipeline system near Wink, Texas to Lone Star Express’ 30-inch pipeline south of Fort Worth, Texas. This new pipeline will provide capacity for the significant transportation commitments Lone Star has secured from the Delaware and Permian Basins.
This new pipeline is expected to be in service by early in the fourth-quarter of 2020.
Recommended Reading
US Raises Crude Production Growth Forecast for 2024
2024-03-12 - U.S. crude oil production will rise by 260,000 bbl/d to 13.19 MMbbl/d this year, the EIA said in its Short-Term Energy Outlook.
Beach Town Corpus Christi Grows into America’s Top Energy Port
2024-01-16 - The Port of Corpus Christi is the U.S.’ largest energy export gateway and in terms of total revenue tonnage as increased midstream investments have opened export markets for the prolific Permian Basin.
Guyana’s Economy to Grow 34.3% in 2024, Finance Minister Says
2024-01-19 - Guyana’s economy is expected to grow 34.3% in 2024, exceeding growth of 33% in 2023, as an Exxon Mobil Corp.-led consortium ramps up offshore oil production, according to Guyana’s finance minister Ashni K. Singh.
Sangomar FPSO Arrives Offshore Senegal
2024-02-13 - Woodside’s Sangomar Field on track to start production in mid-2024.
CNOOC Finds Light Crude at Kaiping South Field
2024-03-07 - The deepwater Kaiping South Field in the South China Sea holds at least 100 MMtons of oil equivalent.