Instead of bringing massive crude oil tankers into the ports of South Texas, a Houston company plans to build a massive offshore crude oil export terminal.
Enterprise Products Partners L.P. announced the plan this week, indicating the terminal would be capable of fully loading Very Large Crude Carriers which have capacities of nearly 2 million barrels of oil.
The project would include about 80 miles of 42-inch diameter pipeline to the offshore terminal. It would be able to export oil at nearly 85,000 barrels an hour and some of that oil would come from the Cushing hub in Oklahoma.
“Given the long-term outlook for growing supplies of U.S. crude oil production, increasing global demand requiring super tankers, and the future limitations of Gulf Coast port and lightering capacities, we are confident this project will be embraced and supported by both domestic and international customers, “said A. J. “Jim” Teague, chief executive officer of Enterprise’s general partner. “In addition to our best in class reliability, Enterprise’s crude oil supply aggregation capabilities of over 4 million barrels per day, including from the Permian, Cushing, Eagle Ford and numerous third party connections, provide unmatched diversification, supply and quality optionality for international markets.”
He said capital and infrastructure for the project would be solely provided by private capital. It would not be reliant nor contingent on state or federal government money.