Enterprise Products’ Oil Pipeline Volumes Rise on Permian Basin Output Growth

Enterprise Products Partners (EPD.N) first-quarter crude oil pipeline volumes increased slightly. The pipeline and storage company said on Tuesday, helped by production growth in the top U.S. shale basin.

Enterprise has remained bullish on oil production from the Permian Basin. It spread across Texas and New Mexico and is looking to build a crude oil export terminal. The target is on the Gulf Coast to help push some of those barrels into the foreign market.

The company’s Sea Port Oil Terminal (SPOT) project received a record of the decision late last year, a significant milestone in obtaining a license.

Enterprise said on Tuesday it expects the SPOT project to receive other permits and a license in the second half of 2023, Jim Teague, the company’s co-chief executive officer, told analysts on a conference call.

“Across our integrated system we continue to see crude oil, natural gas, and NGL production growth from the Permian Basin,” Teague said in a statement, adding that domestic and international demand for U.S. energy and energy products remains resilient.

Enterprise sees growth opportunities from gathering and processing in the Permian broadly, the company said.

Total crude oil pipeline transportation volumes rose to 2.3 million barrels per day (bpd) in the three months to March 31, from 2.2 million bpd a year earlier, the company said.

Crude oil marine terminal volumes rose 5.7% to 841,000 bpd.