A Texas-based oil transportation and storage firm is partnering with ExxonMobil to expand its operations through a Louisiana pipeline with terminals.
According to a Friday morning press release, the partnership between ExxonMobil and Sentinel Midstream, the second joint venture between the two companies, will be called Enercoast Midstream Louisiana. Enercoast will provide pipeline connectivity between crude oil terminals in Raceland, St. James and Anchorage, Louisiana.
For the partnership, ExxonMobil contributed two existing crude oil pipelines—a 16-inch crude pipeline originating at St. James with a delivery point at Anchorage, and a 16-inch crude pipeline originating at Raceland and St. James with a delivery point at Anchorage. With the Anchorage delivery points, these pipelines will connect the ExxonMobil Baton Rouge, Placid and Delek Krotz Springs refineries.
Sentinel contributed cash for a majority equity position and will operate the joint venture, according to the release. Sentinel will also undertake efforts to commercialize capacity on Enercoast’s system while pursuing opportunities to further grow its footprint in Louisiana.
Enercoast began serving shippers as a common-carrier pipeline Friday. Read more.
