Houston, Texas-based midstream oil company Enterprise Products Partners (EPP) and London-based liquefied gas carrier Navigator Holdings – through its subsidiary Navigator Gas – announced on Wednesday they plan to jointly develop an ethylene marine export terminal on the Houston Ship Channel.
Located at EPP’s existing Morgan’s Point complex on the shores of Galveston Bay, the 50/50 joint venture (JV) terminal would see the terminal constructed and operated by EPP.
Navigator would provide the transportation expertise with its 14 handymax ethylene-capable ships, part of its massive 38-strong fleet of liquefied gas carriers.
Ethylene is a colourless, flammable gas widely used in the chemical industry.
The planned terminal would connect to EPP’s high-capacity salt dome storage and pipeline system, which is under construction.
Formation of the JV is subject to definitive agreements being negotiated and the approvals of each company’s board of directors.