Enterprise purchases terminal facilities

June 1, 2009
Enterprise Products Partners LP has purchased the Mont Belvieu TX rail and truck terminal facilities of Kilgore TX-based Martin Midstream Partners LP.

Enterprise Products Partners LP has purchased the Mont Belvieu TX rail and truck terminal facilities of Kilgore TX-based Martin Midstream Partners LP. With the acquisition, Enterprise adds to its service offerings the capability to offload, store, and transport refinery grade propylene (RGP) from railcars for use at its Mont Belvieu propylene/propane and natural gas liquids (NGLs) fractionation complex.

The new facilities also offer expansion opportunities for the partnership, such as future rail loading and offloading of other NGLs, including butanes. In the transaction, the partnership also acquired the infrastructure necessary to load propane for sale to local distributors.

Rail assets acquired from Martin also include storage facilities that can accommodate up to 85 cars, giving Enterprise greater logistical control in staging and management of incoming supplies. The improved efficiency will allow Enterprise to double the number of cars coming into Mont Belvieu and optimize capabilities of the offloading facility.

At Mont Belvieu, Enterprise fractionates RGP into polymer-grade propylene, which is used by petrochemical facilities to produce plastic consumer products. The partnership also has approximately 100 million barrels of underground storage capacity for NGLs at its Mont Belvieu facility. Other infrastructure Enterprise received as part of the transaction includes a seven-bay truck rack and 11 aboveground propane storage tanks with total capacity of 330,000 gallons.