Chemical giant LyondellBasell Industries and Enterprise Products Partners Thursday announced affiliates have executed long-term contracts that support construction of Enterprise’s second propane dehydrogenation plant (PDH 2).
The facility will consume up to 35,000 barrels per day of propane and produce up to 1.65 billion pounds per year of polymer grade propylene (PGP), Kallanish Energy reports.
PDH 2 will be located at Enterprise’s complex in the Mont Belvieu, Texas area. The facility is scheduled to begin service in the first half of 2023.
“For nearly 30 years, Enterprise has proven to be a capable, reliable partner for LyondellBasell,” said Bob Patel, CEO of LyondellBasell. “These agreements allow us to leverage Enterprise’s construction expertise, operating experience and robust network as we continue to deliver an outstanding value proposition for our customers.”
Enterprise’s Mont Belvieu NGL fractionation and storage system supporting PDH 2 currently has 760,000 Bpd of NGL fractionation capacity, with another 300,000 Bpd under construction.
In addition, these complexes have more than 100 million barrels of natural gas liquids and petrochemical storage. The integration of the PDH 1 and PDH 2 plants with Enterprise’s propylene fractionation facilities provides operational flexibility for both processes, and a combined PGP supply of more than nine billion pounds annually.
“We are very pleased to enter into these agreements to further expand our already extensive relationship with LyondellBasell,” said A.J. “Jim” Teague, CEO of Enterprise’s general partner.
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