Enterprise Pushes Forward in Restoring Production Facilities to Normal

Enterprise Products Partners L.P. announced that the partnership continues to move forward in returning its facilities to normal operations and assessing the full impact of Hurricane Ike to its onshore and offshore assets.

At the Mont Belvieu, Texas complex, natural gas liquids (NGLs) and propylene fractionation activity continue to increase. The NGL fractionation rate has returned to pre-storm levels of approximately 220,000 barrels per day and the propylene fractionation rates are near pre-storm levels. Throughput on the major pipelines connected to the Mont Belvieu complex is also increasing as operations resume at customer facilities.

The partnership's import/export system, which includes a terminal facility along the Houston Ship Channel and pipeline network connected to Mont Belvieu, has also resumed normal operations. Enterprise's butane isomerization and isooctane units at Mont Belvieu have resumed normal operations following the restoration of hydrogen supplies necessary to operate the equipment.

With the exception of the North Terrebonne plant in Louisiana, Enterprise-operated natural gas processing and fractionation facilities located in the impacted areas are operational and either processing or waiting for natural gas flows to resume to the facilities. Crews have begun the repair process and are developing a plan to resume service at North Terrebonne as quickly as possible. In the meantime, some of the natural gas can be diverted to another Enterprise plant for processing.

Detailed inspections of Enterprise-operated offshore assets have revealed more damage in some cases than initial observations indicated. Assessments of the platforms and pipelines continue, utilizing subsea remote operated vehicles as well as operations and engineering personnel stationed aboard the facilities where appropriate. The platforms impacted by Hurricane Ike include Garden Banks 72, High Island A264 and South Marsh Island 205.

In addition, Enterprise has discovered that a 42-inch diameter segment of pipe that is part of the High Island Offshore System (HIOS), which transports natural gas from various producing fields in the western Gulf of Mexico, has been severed. As a result, natural gas volumes into the system are limited to certain receipt points upstream of the break and require third party pipeline systems for delivery to onshore facilities. Enterprise is investigating damage to the pipeline, which is located in about 130 feet of water, and is developing a plan to repair and return the affected portion to service as quickly and safely as possible.

Pressure tests that have been completed on the Poseidon and Cameron Highway Offshore Pipeline crude oil systems indicate no operational issues. Poseidon is currently transporting crude oil and plans are being finalized to resume service on Cameron Highway later today.

On the natural gas side, the Independence Trail pipeline and Hub system is operating normally and presently delivering more than 900 million cubic feet per day of natural gas. The Viosca Knoll Gathering System (VKGS) and the Falcon pipeline are currently operating; however, throughput on the western portion of VKGS is restricted due to pipeline damage sustained during Hurricane Gustav. Deliveries of natural gas through the partnership's Anaconda pipeline have been suspended following the loss of a third party platform at Eugene Island 371. Enterprise is pursuing options that would connect Anaconda directly to the export pipelines previously served by the platform.