ONEOK and MPLX LP have agreed to form joint ventures to construct a new large-scale 400,000-barrel per day (bpd) liquefied petroleum gas (LPG) export terminal in Texas City, Texas, U.S, and a new 24-inch pipeline from ONEOK’s Mont Belvieu, Texas, storage facility to the new terminal.
Texas City Logistics LLC, the export terminal joint venture, is owned 50% by ONEOK and 50% by MPLX, with MPLX constructing and operating the facility, and is expected to be completed in early 2028. ONEOK’s and MPLX’s share of the total investment in the export terminal is expected to be approximately $700 million (€672 million) each for a total of $1.4 billion (€1.3 billion). The export terminal will leverage Marathon’s existing location and infrastructure providing construction timing and cost benefits.
The 400,000-bpd loading throughput is expected to be primarily low ethane propane (LEP) and normal butane (NC4), with ONEOK and MPLX each contractually reserving 200,000-bpd for their respective customers.
Pierce H. Norton II, ONEOK president and chief executive officer says: ‘We are excited to collaborate with MPLX on these strategically located projects which expand and extend our NGL value chain providing additional optionality and value to our customers. Given our high expectations for future growth and demand for more energy infrastructure, including export capacity, these projects with MPLX complement our disciplined capital allocation strategy.’
