MOSCOW (MRC) -- Enterprise Products Partners says it is reviewing its capital spending program due to the potential impacts of lower commodity prices and demand on customers, according to Seeking Alpha.
Enterprise says it is "evaluating opportunities to reduce or defer capital expenditures, as well as continuing to explore joint venture opportunities with strategic partners."
The company says it will provide specifics to its 2020 capex guidance with its Q1 results due on April 29.
Enterprise also declares a Q1 distribution of USD0.445/unit, a 1.7% increase over its year-ago distribution.
As MRC informed before, Enterprise Products Partners and LyondellBasell Industries said in September 2019 they had executed long-term contracts to support construction of EPD's second propane dehydrogenation plant at the Mont Belvieu, Tex. complex. The decision to build the PDH 2 plant stems from recently executed long-term polymer grade propane (PGP) supply contracts between Enterprise and LyondellBasell Industries N.V.
Besides, we remind that Enterprise Products Partners' Mont Belvieu PDH in Texas restarted from planned maintenance in the first week of December, 2019. The PDH unit went offline for maintenance on November 13, 2019. That day, the company said in a filing with the Texas Commission on Environmental Quality that the RAC "B" turbine shut down, which resulted in flaring. The flaring was estimated to last 72 hours. The unit has a capacity of 750,000 mt/year.
Propylene is the main feedstock for the production of polypropylene (PP).
According to MRC's ScanPlast report, PP shipments to the Russian market were 127,240 tonnes in January 2020, up by 33% year on year. ZapSibNeftekhim's homopolymer PP accounted for the main increase in shipments.
Enterprise Products Partners L.P. is an American midstream natural gas and crude oil pipeline company with headquarters in Houston, Texas. It acquired GulfTerra in September 2004. The company ranked No. 105 in the 2018 Fortune 500 list of the largest United States corporations by total revenue