US-based Energy Transfer Partners and Regency Energy Partners announced the construction of a 100,000 barrels per day natural gas liquids (NGL) fractionation facility by Lone Star NGL in Texas, US.
The project aims at developing additional storage facilities for y-grade liquids and other components including interconnectivity infrastructure to provide NGL suppliers and NGL access to storage, other fractionators, pipelines and multiple markets.
The project is expected to complete the fractionation service in the first quarter of 2013 at an estimated cost of between $350 and $375m.
The company is in the process of increasing its fractionation capabilities by 340,000 barrels per day.
Lone Star senior vice president Greg Bowles said the project will help meet the growing demand for fractionation and storage capacity in Mont Belvieu region.
"This project is strategic for our long-term growth plans and demonstrates the types of opportunities we intend to pursue to provide our customers comprehensive services in the liquids energy markets." Bowles said.