Enterprise Signs Texas Crude Oil Transportation Agreement

Enterprise Products Partners is to provide firm crude oil transportation and marketing services to two producers in the Eagle Ford Shale play of South Texas, US.

Under a ten-year agreement, the producers will gain access to a 50,000 barrels per day capacity on the new 140 mile-long, 24in-diameter crude oil pipeline that Enterprise is currently building.

The pipeline will begin service in the second quarter of 2012 and will provide shippers access to major storage hubs and refining centres.

Approximately 150 rigs are operating in Eagle Ford Shale, drilling more than 500 wells.

Current production from the play is about 80,000bpd of crude oil and condensate.