Enterprise Clarifies Media Reports Regarding Proposed Ethylene Cracker

Rhea-AI Summary

Enterprise Products Partners L.P. (NYSE: EPD) has filed applications for tax abatements related to six proposed projects, including an ethane to ethylene cracker. However, no projects are finalized or approved. The company has been working on the ethylene facility for years but has not yet sanctioned its construction. Enterprise is a major player in midstream energy services, managing over 50,000 miles of pipelines and significant storage capacities for various energy products. The press release emphasizes the forward-looking nature of these statements and potential regulatory risks.

Positive

• None.

Negative

• No projects have been finalized or approved.
• The ethane to ethylene facility remains unsanctioned despite years of effort.

HOUSTON--(BUSINESS WIRE)-- Enterprise Products Operating LLC (“Enterprise”), a subsidiary of Enterprise Products Partners L.P. (NYSE: EPD), recently filed applications for tax abatements for six proposed projects, including a proposed ethane to ethylene cracker that could be located in one of at least three jurisdictions. None of the six projects and their locations have been finalized, approved or sanctioned at this time. Furthermore, to clarify multiple media reports, while Enterprise has been working to develop and commercially underwrite an ethane to ethylene facility for a number of years, the company has neither approved nor sanctioned the construction of such a facility.

Enterprise Products Partners L.P. is one of the largest publicly traded partnerships and a leading North American provider of midstream energy services to producers and consumers of natural gas, NGLs, crude oil, refined products and petrochemicals. Services include: natural gas gathering, treating, processing, transportation and storage; NGL transportation, fractionation, storage and marine terminals; crude oil gathering, transportation, storage and marine terminals; petrochemical and refined products production, transportation, storage, and marine terminals and related services; and a marine transportation business that operates on key U.S. inland and intracoastal waterway systems. The partnership’s assets include more than 50,000 miles of pipelines; over 260 million barrels of storage capacity for NGLs, crude oil, refined products and petrochemicals; and 14 billion cubic feet of natural gas storage capacity. Please visit www.enterpriseproducts.com for more information.

This press release includes “forward-looking statements” as defined by the Securities and Exchange Commission. All statements, other than statements of historical fact, included herein that address activities, events, developments or transactions that EPD and its general partner expect, believe or anticipate will or may occur in the future are forward-looking statements. These forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from expectations, including required approvals by regulatory agencies, the possibility that the anticipated benefits from such activities, events, developments or transactions cannot be fully realized, the possibility that costs or difficulties related thereto will be greater than expected, the impact of competition, and other risk factors included in EPD’s reports filed with the Securities and Exchange Commission. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of their dates. Except as required by law, EPD does not intend to update or revise its forward-looking statements, whether as a result of new information, future events or otherwise.

View source version on businesswire.com: https://www.businesswire.com/news/home/20220627005815/en/

Randy Burkhalter, Investor Relations, (713) 381-6812 or (866) 230-0745, rburkhalter@eprod.com

Rick Rainey, Media Relations (713) 381-3635, rrainey@eprod.com

Source: Enterprise Products Operating LLC

FAQ

What are the recent tax abatement applications filed by EPD for?

Enterprise Products Partners L.P. filed for tax abatements for six proposed projects, including an ethane to ethylene cracker.

Is the ethane to ethylene facility approved by EPD?

No, the ethane to ethylene facility has not been approved or sanctioned by Enterprise Products.

What is the status of Enterprise Products' proposed projects?

None of the six proposed projects, including the ethylene cracker, have been finalized or approved.

What is the significance of the recent press release from EPD?

The press release highlights ongoing efforts for project development but clarifies that no construction has been sanctioned.