The terminal would be capable of fully loading VLCCs, developer Enterprise Products Partners claimed.
This will provide the most efficient and cost-effective solution to export crude oil to the largest international markets in Asia and Europe, the company said.
Enterprise has started front-end engineering and design (FEED) and preparing applications for regulatory permitting. Based on initial designs, the project could include about 80 miles of 42-inch diameter pipeline to an offshore terminal capable of loading and exporting crude oil at around 85,000 barrels per hour.
This week, Enterprise was completing the second partial loading of a VLCC at its jointly owned Seaway marine terminal in Texas City. The ‘Eagle Victoria’ is loading about 1.1 mill barrels of crude oil at the Texas City facility.
“On the heels of our second successful loading of a VLCC at the Texas City terminal, we are now planning to expand our capabilities to load crude oil faster and more cost efficiently without the need for lightering vessels,” said AJ ‘Jim’ Teague, CEO of Enterprise’s general partner. “Given the long-term outlook for growing supplies of US 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.
“In addition to our best in class reliability, Enterprise’s crude oil supply aggregation capabilities of over 4 mill 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.
“Capital and infrastructure to support our project would be solely provided by private capital and would not be reliant nor contingent upon state or federal government agency financial support or infrastructure development. We believe this would enable us to deliver this project in a timely manner once permits are granted and the project is underwritten,” Teague said.
A final investment decision (FID) will be subject to receiving the requisite state and federal permits and customer demand, Enterprise said.