|Enterprise and Exxon Chemical Announce Propylene Concentration Unit|
|HOUSTON--(BUSINESS WIRE)--Aug. 19, 1999--Enterprise Products
Partners L.P. (NYSE:EPD) and Exxon Chemical Company today announced
that they have reached agreement in principle to form a joint venture
that will own and operate a new proplyene concentration unit currently
under construction. The unit, located in Port Allen, La., across the
Mississippi River from Exxon's refinery and chemical plant, will be
owned and operated by Baton Rouge Propylene Concentrator LLC, a joint
venture between affiliates Exxon Chemical and Enterprise.|
The unit will upgrade refinery-grade propylene produced by Exxon
and others into chemical grade propylene, a basic building block
petrochemical used in plastics, synthetic fibers, and foams.
Upon completion of the project, expected in mid-2000, the
facility will have the capacity to produce 1.5 billion pounds (680,000
metric tons) per year of chemical grade propylene. Construction began
in March 1999 with an average construction workforce of 150 people.
Approximately fifteen permanent jobs will be created by the project.
Under the agreement in principle, an Exxon Chemical affiliate and
Enterprise would own a 70 percent and 30 percent interest,
respectively, in the production capacity of the unit. Enterprise will
manage design and construction of the facility and will also serve as
the operator of the facility. Enterprise, an experienced facility
builder and operator, is the majority owner and operator of two
propylene concentration facilities at their Mont Belvieu, Texas,
complex with a total capacity of 2.1 billion pounds per year of
polymer grade propylene.
"We look forward to partnering with an industry leader such as
Exxon Chemical on this project. Enterprise brings value to this
project through our experience as an efficient, service oriented
builder and operator of natural gas liquid and propylene processing
facilities," said O.S. "Dub" Andras, president and chief executive
officer of Enterprise. "This project should be accretive for our
unitholders and will increase the scope of our operations in the
Mississippi River refinery and petrochemical corridor."
Enterprise Products Partners L.P. is one of the leading midstream
energy service companies in North America providing processing,
transportation and storage services to producers of natural gas
liquids and consumers of natural gas liquid products. Enterprise is an
owner of and operates some of the largest natural gas liquids
fractionation facilities in the United States, the largest isobutane
complex in the United States, two propylene fractionation facilities,
an MTBE production facility, an import/export terminal, approximately
35 million barrels of storage capacity and a 750-mile network of
pipelines all located along the Gulf Coast.
This press release includes forward-looking statements within the
meaning of Section 21E of the Securities Exchange Act of 1934 based on
the beliefs of the company, as well as, assumptions made by, and
information currently available to, management. Although Enterprise
believes that the expectations reflected in such forward-looking
statements are reasonable; it can give no assurance that such
expectations will prove to be correct.
CONTACT: Enterprise Products Partners L.P., Houston Randy Fowler, 713/880-6694 http//www.epplp.com