Enterprise owns interests in approximately 16,900 miles of NGL pipelines, 160 million barrels of working capacity of NGL and related product storage and import and export facilities. These NGL pipelines transport mixed NGLs and other hydrocarbons from natural gas processing facilities, refineries and import terminals to fractionation plants, petrochemical plants, export facilities and refineries; and deliver propane to customers along the Dixie pipeline and certain sections of the Mid-America Pipeline system. Our pipelines provide transportation services to customers on a fee basis; therefore, the gross operating margin for this business is generally dependent upon the volume of product transported and the level of fees charged to customers. Typically, our pipeline customers retain title to the products transported by our NGL pipelines and the associated commodity price risk.
Enterprise's most significant NGL pipelines are the Mid-America and Seminole pipeline systems which total 9,441 miles. The Mid-America system covers thirteen states and is a regulated NGL pipeline system consisting of three NGL pipelines: the 3,021 mile Rocky Mountain pipeline, the 2,769 mile Conway North pipeline and the 2,278 mile Conway South pipeline.
The Rocky Mountain section of the pipeline transports mixed NGLs from the Rocky Mountain Overthrust and San Juan Basin areas to the Hobbs hub located on the Texas-New Mexico border. The Conway North segment links the NGL hub at Conway, Kansas to refineries, petrochemical plants and propane markets in the upper Midwest. In addition, the Conway North segment has access to NGL supplies from Canada's Western Sedimentary Basin through third-party connections. The Conway South pipeline connects the Conway hub with Kansas refineries and provides bidirectional transportation of NGLs between Conway, Kansas and the Hobbs hub. The Mid-America Pipeline System interconnects with our Seminole Pipeline and Hobbs NGL fractionator and storage facility at the Hobbs hub.
During 2010, approximately 51% of the volumes transported on the Mid-America Pipeline System were mixed NGLs originating from natural gas processing plants. The remaining volumes consisted of purity NGL products originating from NGL fractionators located in Kansas, Oklahoma and Texas, as well as deliveries from Canada.
The 1,373 mile Seminole pipeline is a regulated pipeline that transports NGLs from the Hobbs hub and the Permian Basin area of west Texas to markets in south Texas including our NGL fractionation facility in Mont Belvieu, Texas. The primary source of throughput for Seminole is the volume originating from the Mid-America Pipeline system.
The following table summarizes the significant NGL pipelines and related storage assets of our NGL Pipelines & Services business segment.
| Facility | Ownership Interest | Miles | Operator | Function |
|---|---|---|---|---|
NGL Pipelines |
||||
Mid-America Pipeline System |
100.0% |
8,068 |
Enterprise |
Transports mixed NGLs produced from natural gas processing plants in Wyoming, Utah, Colorado and New Mexico to the Seminole pipeline in West Texas. |
Dixie Pipeline |
100.0% |
1,306 |
Enterprise |
Transports propane from fractionators and refineries in Texas, Louisiana, and Mississippi to customers throughout the Southeast. |
Seminole Pipeline |
90.0%(1) |
1,373 |
Enterprise |
Transports NGLs from the Hobbs hub and the Permian Basin area of West Texas to markets in southeast Texas including our fractionation facility in Mont Belvieu, Texas. NGLs originating on the Mid-America Pipeline System are the primary source of throughput for this pipeline. |
Chaparral NGL System(3) |
100.0% |
1,010 |
Enterprise |
Transports NGLs from natural gas processing facilities in West Texas and New Mexico to Mont Belvieu, Texas. |
South Texas NGL System |
100.0%(2) |
1,482 |
Enterprise |
Gathering and transportation pipelines that deliver mixed NGLs from our South Texas natural gas processing plants to our South Texas NGL fractionation facilities. |
Louisiana Pipeline System |
100.0% |
948 |
Enterprise |
Gathering and transportation pipelines that deliver mixed NGLs originating in Louisiana and Texas to refineries and petrochemical companies located along the Mississippi River corridor to southern Louisiana. |
Skelly-Belvieu Pipeline |
50.0%(4) |
572 |
Enterprise |
Transports mixed NGLs from Skellytown, Texas to Mont Belvieu, Texas. |
Promix NGL Gathering System |
50.0% (5) |
368 |
Enterprise |
Gathers mixed NGLs from natural gas processing plants in southern Louisiana for delivery to our Promix NGL fractionator. |
Lou-Tex NGL Pipeline |
100.0% |
205 |
Enterprise |
Transports NGL products and refinery grade propylene between Louisiana and Texas markets. |
Houston Ship Channel Pipeline System |
100.0% |
298 |
Enterprise |
Connects our Mont Belvieu, Texas facilities with our Houston Ship Channel import/export terminals and various third-party petrochemical plants, refineries and other pipelines located along the Houston Ship Channel. |
Rio Grande Pipeline |
70.0%(6) |
249 |
Enterprise |
Transports mixed NGLs to a pipeline interconnect at the Mexican border south of El Paso, Texas. |
Others (9 systems) (7) |
Various |
1,001 |
Various |
Transports NGLs in the Gulf Coast. |
(1) We hold a 90% interest in this system through a majority owned subsidiary, Seminole Pipeline Company (“Seminole”).
(2) The ownership interest presented reflects consolidated ownership of these systems by EPO (34%) and Duncan Energy Partners (66%).
(3) The Chaparral NGL system includes the 180-mile Quanah Pipeline. The Quanah Pipeline begins in Sutton County, Texas and connects to the Chaparral Pipeline near Midland, Texas.
(4) Our ownership interest in this pipeline is held indirectly through our equity method investment in Skelly-Belvieu Pipeline Company.
(5) Our ownership interest in this pipeline is held indirectly through our equity method investment in K/D/S Promix LLC.
(6) We hold a 70% interest in this system through a majority owned subsidiary, Rio Grande Pipeline Company (“Rio Grande”).
(7) Includes our Tri-States, Belle Rose, Wilprise, Chunchula, Bay Area and South Dean pipelines located in the coastal regions of Alabama, Louisiana, Mississippi and Texas; Port Arthur, Wilcox, Panola and San Jacinto located in East Texas; and our Meeker pipeline in Colorado.