Houston-based pipeline operator Enterprise Products Partners has entered into long-term agreements with Chevron which support the development of Enterprise’s Sea Port Oil Terminal (SPOT) in the Gulf of Mexico.
The SPOT project consists of onshore and offshore facilities, including a fixed platform located approximately 30 nautical miles off the Brazoria County, Texas coast. The terminal is designed to load VLCCs at rates of approximately 85,000 barrels per hour, or up to approximately 2m barrels per day.
Under the agreements, Chevron agreed to use Enterprise’s pipeline network to move crude oil from the Permian Basin of West Texas to Enterprise’s ECHO Terminal in southeast Houston.
“We are very pleased to announce these agreements with Chevron. As a result, we are announcing our final investment decision for our offshore crude oil terminal, subject to government approvals,” said Jim Teague, CEO of Enterprise’s general partner.
“The SPOT facility provides opportunity to significantly expand our export capacity and access multiple market centers as we increase our crude oil produced out of the Permian,” said George Wall, president of Chevron Supply and Trading.