In a world of… No wait, that’s a movie promo. Nevertheless, the phrase aptly describes the state of every sector of the oil and gas industry that’s landed in this Brave New World of adaptation, mutation, transformation, and innovation. As we well know, many have not survived this iteration of “Survivor” when comparing the reality TV show to the reality shale operators, midstreamers, and downstream players now find themselves in. Many more are expected to succumb to its ravages until Planet Earth conquers COVID-19, restoring demand and prices. But others, like midstream giant Enterprise Products, proves it can ride out the storm and still make a buck or a billion.

Enterprise Products

Enterprise Products Partners L.P. is an American midstream natural gas and crude oil pipeline company with headquarters in Houston, Texas. It acquired GulfTerra in September 2004. The company ranked No. 105 in the 2018 Fortune 500 list of the largest United States corporations by total revenue.

Houston-based Enterprise Products has announced wrapping up 2Q with $1 billion in profit. This marks eight consecutive quarters the company has scored a billion-dollar win. 2Q also allowed the company to generate $1.6 billion in cash flow, 9.6 MBPD of pipeline volumes, record NGL fractionation volumes of 1.2 MBPD, and NGL export volumes of 701 MBPD.

Was everything rosey for Enterprise this quarter?  Of course, not.

Prices for fuels cratered, exports fell precipitously low due to global demand destruction, and feedstock availability for its petrochem facilities suffered a hard pinch. But when Enterprise saw an opportunity to lease its storage capacity during The Great American April Oil Glut, the company jumped, which hedged in part the weaknesses in its natural gas gathering, processing and petrochemical businesses.

Since the first of the year, Enterprise has mantled several achievements that keep this diversified midstream operator one of several that have managed to keep pace during a rolling tide. Here’s a quick look:

January 2020

  • Enterprise loads its first vessel at new ethylene export terminal
  • Begins service at isobutane dehydrogenation plant
  • Begins service at Mentone natural gas processing plant
  • Begins service at natural gas processing plant in East Texas
  • Reports record 2019 financial results

February 2020  

  • Extends open season on an expansion of the company’s Seaway Pipeline from Cushing, Okla., to the Texas Gulf Coast to flow 200,000 BPD

June 2020

  • Loads a record 175 million pounds of ethelyne exceeding loading capacity for the month Expects to complete construction of an aboveground ethylene tank by end of year to bring total loading capacity to an annual 2.2 billion pounds.
  • Enters into a long-term agreement to supply polymer grade propylene Japan’s Marubeni Corporation from the company’s PDH 2 facility near Mont Belvieu. Once completed in 2023, PDH 2 will have the capacity to upgrade 35,000 BPD of propane into 1.65 billion pounds per year of polymer grade propylene.

July 2020

  • Enterprise declares an industry first when it co-loads a combination of NGLs and olefins on the same vessel at its Morgan’s Point export terminal.

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