Enterprise to Export 1st US Crude Oil after Ban Lifted
- Business & Finance
North American provider of midstream energy services Enterprise Products Partners L.P. has agreed to provide pipeline and marine terminal services to load its first export of crude oil produced in the United States following the lifting of the 40-year-old crude oil export ban earlier this month.
Namely, on December 18, 2015 the US President Barack Obama signed into law the Consolidated Appropriations Act, 2016 that included Section 101 of Division O which officially ended the 40-year ban.
Enterprise Products Partners said that the 600,000 barrel cargo of domestic light crude oil is scheduled to load at the Enterprise Hydrocarbon Terminal (EHT) on the Houston Ship Channel during the first week of January 2016.
“We are excited to announce our first contract to export U.S. crude oil, which to our knowledge may be the first export cargo of U.S. crude oil from the Gulf Coast in almost 40 years,” said A.J. “Jim” Teague, chief operating officer of Enterprise’s general partner.
“Enterprise’s integrated system enabled us to quickly respond to customer demand for U.S. crude oil by international markets.”
Speaking on the lifting of the ban, Teague said that the new law “ facilitates economic growth and job creation for the United States as well as enhances our national and energy security. This action provides new markets to domestic producers, especially producers of light crude oil, and will provide global markets with supply diversification.”
Enterprise Products Partners L.P. is engaged in natural gas and crude oil gathering, treating, processing, transportation and storage, along with petrochemical and refined products transportation, storage and terminals; and a marine transportation business that operates primarily on the United States inland and Intracoastal Waterway systems.