Phillips 66 Gets Green-Light for Texas Midstream Projects Worth $3B

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   |    Friday,February 07,2014

Phillips 66 has received approval from its board of directors to move forward with both its Sweeny Fractionator One and Freeport Liquefied Petroleum Gas (LPG) Export Terminal. These two projects represent an investment of more than $3 billion as part of the company’s Midstream growth program.

Tim Taylor, executive vice president, Phillips 66 Commercial, Marketing, Transportation and Business Development, commented: "It’s an extraordinary time of opportunity for our company and our industry, especially in the rapidly growing midstream space. Given the anticipated growth in natural gas liquids production, we see substantial advantages in having fractionation and export facilities on the Gulf Coast outside of Mont Belvieu. These projects allow us to maximize our existing infrastructure and will position us for further growth."

Projects:

• Sweeny Fractionator One
• Freeport LPG Export Terminal

(click to read more about each one in Shale Experts' Infrastructure Database)

Each of these projects will include NGL storage and additional pipelines with connectivity to market hubs in Mont Belvieu, Texas. Also included with these projects is a 100,000 barrel-per-day de-ethanizer unit that will be installed close to the Sweeny Refinery to upgrade domestic propane for export.

The two projects are in varying stages of development. For the Sweeny Fractionator One, site preparation is progressing, critical equipment has been ordered, and expansion of supporting infrastructure has begun. The company continues to work with the appropriate agencies to secure necessary permits for the Freeport LPG Export Terminal, and its construction will commence once all permits are approved. Together the projects will create more than 50 full-time jobs and over 1,000 temporary construction jobs.