Organic projects in 2017
So far in this series, we’ve talked about Energy Transfer Partners’ (ETP) recent market and financial performances. In this part, we’ll look at its expansion plans for 2018. But first, let’s look at ETP’s organic projects placed into service in 2017.
Energy Transfer Partners brought online some of its largest organic projects in 2017, including the following:
- It placed two major natural gas pipeline projects into service in Mexico, namely the Trans-Pecos Pipeline and the Comanche Trail Pipeline.
- The controversial Bakken Pipeline project was placed into service in June 2017. However, the project is still facing some legal hurdles.
- It completed Phase 1A of the Rover Pipeline project. It recently received FERC (Federal Energy Regulatory Commission) approval for Phase 1B of the project. That could increase total transportation capacity of the Rover Pipeline to 1.7 bcfd (billion cubic feet per day).
The company also placed two processing plants into service in 2017, including the Panther Plant and the Arrowhead Plant.
ETP expects to place the complete Rover Pipeline project into service by the end of the first quarter of 2018. Once complete, the 713-mile pipeline is expected to move 3.3 bcfd of natural gas from the Marcellus and Utica Shale plays to US markets and to the Union Gas Dawn Storage Hub in Ontario, Canada, according to the company’s press release.
In addition to the Rover Pipeline, ETP expects to bring online some major projects in 2018, including the Mariner East 2 pipeline project, the Revolution System project, Phase 2 of the Bayou Bridge project, and Lone Star Fractionation V. The Mariner East 2 pipeline project has faced major delays due to environmental and regulatory hurdles.
In the next part, we’ll analyze Energy Transfer Partners’ current valuation.