This suite of agreements, together with other customer agreements, support expansion of Enterprise’s crude oil system from the Permian Basin to Enterprise’s ECHO terminal in Houston
Image: Enterprise announces pipeline transportation, storage and marine services agreements with Chevron. Photo: courtesy of Johannes Rupf from Pixabay.
Enterprise Products Partners L.P. (NYSE: EPD) (“Enterprise”) and Chevron U.S.A. Inc. (CUSA), a wholly-owned subsidiary of Chevron Corporation (NYSE: CVX), today announced the execution of long-term agreements for crude oil transportation, storage and marine terminaling services. This suite of agreements, together with other customer agreements, support expansion of Enterprise’s crude oil system from the Permian Basin to Enterprise’s ECHO terminal in Houston, Texas.
“These agreements support our Permian offtake strategy by providing greater takeaway capacity for our increasing Permian production,” said George Wall, President of Chevron Supply and Trading, a division of CUSA. “As our production scales up, we will have the means to get those energy resources to the market.”
These agreements also provide for storage at the ECHO terminal in Houston. The terminal has a total capacity of 8.3 million barrels and connects to all refiners in Houston, Pasadena, Texas City and Beaumont/Port Arthur. ECHO is among three integrated delivery points for NYMEX’s HCL crude oil futures contract.
“We are pleased to provide one of the premier Permian producers with transportation, terminaling and storage services,” said A.J. “Jim” Teague, Chief Executive Officer of Enterprise’s general partner.
Source: Company Press Release