Enterprise Products Partners LP announced the construction of a new 571-mile pipeline to deliver increasing volumes of natural gas liquids (NGLs) from the Permian Basin to Enterprise’s NGL fractionation and storage complex in Mont Belvieu, TX. The Shin Oak NGL Pipeline will originate at Enterprise’s Hobbs NGL fractionation and storage facility in Gaines County, TX. The 24-inch pipeline will have an initial design capacity of 250 Mbpd, expandable to 600 Mbpd. This project is supported by long-term customer commitments and is expected to be operational in the second quarter of 2019.
Besides mixed NGL supplies aggregated at the Hobbs facility, the Shin Oak Pipeline will provide takeaway capacity for mixed NGLs extracted at natural gas processing plants in the Permian region, including two Enterprise facilities that began service in 2016 and the Orla I plant that is scheduled to begin operations in the second quarter of 2018. In tandem with Enterprise’s existing NGL pipelines, this pipeline will also expand the company’s capacity to transport purity NGL products from Hobbs to Mont Belvieu.