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Enterprise to Provide Anadarko with Natural Gas Midstream Services in the Eagle Ford Shale.

HOUSTON -- Enterprise Products Partners L.P. (NYSE:EPD) today announced that it has entered into long-term agreements with Anadarko Petroleum Corporation (NYSE:APC) to provide a comprehensive package of natural gas transportation and processing, and natural gas liquids (NGL) fractionation and transportation services that will facilitate Anadarko's growing liquids-rich natural gas production in the prolific Eagle Ford Shale in South Texas. As part of the arrangements, the partnership will construct a new 17-mile, 20-inch diameter natural gas gathering pipeline originating at Anadarko's central production facilities located in Dimmit County, Texas, and interconnecting with Enterprise's existing South Texas pipeline system. The new pipeline is expected to be in service in late-October 2010.

"We are very pleased to expand our relationship with Anadarko, a leader in the development of the Eagle Ford Shale in South Texas," said A.J. "Jim" Teague, Enterprise executive vice president and chief commercial officer. "In meeting Anadarko's needs, we are continuing our plan of combining the complementary advantages of our large network of existing South Texas assets with new construction to create an integrated solution that provides our customers with access to attractive natural gas and NGL markets to maximize the value of their Eagle Ford Shale production."

The services provided to Anadarko under these new six-year agreements include firm natural gas transportation and processing services utilizing Enterprise's growing South Texas midstream infrastructure. In addition to natural gas transportation and processing services, the NGLs recovered from Anadarko's natural gas volumes will be transported and fractionated in Enterprise's integrated NGL pipeline and fractionation assets throughout Texas.

Current processing capacity at Enterprise's existing facilities in South Texas is 1.5 billion cubic feet per day. An additional 600 million cubic feet per day ("MMcf/d") is expected to be available in mid-2012 with the completion of a recently announced cryogenic gas processing plant in Lavaca County, Texas.

Activity in the Eagle Ford Shale continues to increase as approximately 100 rigs working in the play have drilled more than 175 wells to date with approximately 150 additional wells in various stages of drilling and completion. Total current production from the play is estimated at approximately 300 MMcf/d of natural gas and 40,000 barrels per day of crude oil and condensate.

Teague added, "As we expand our footprint in the Eagle Ford Shale, adding new infrastructure is expected to become more efficient and cost-effective, making it that much easier for us to attract new customers and add incremental volumes. We have used this competitive advantage with great success in the past and look forward to similar results as current negotiations with other potential producers continue."

Enterprise Products Partners L.P. is the largest publicly traded energy partnership and a leading North American provider of midstream energy services to producers and consumers of natural gas, NGLs, crude oil, refined products and petrochemicals. The partnership's assets include: 49,100 miles of onshore and offshore pipelines; approximately 195 million barrels of storage capacity for NGLs, refined products and crude oil; and 27 billion cubic feet of natural gas storage capacity. Services include: natural gas transportation, gathering, processing and storage; NGL fractionation, transportation, storage, and import and export terminaling; crude oil and refined products; offshore production platform services; petrochemical transportation and storage; and a marine transportation business that operates primarily on the United States inland and Intracoastal Waterway systems and in the Gulf of Mexico. Enterprise Products Partners L.P. is managed by its general partner, Enterprise Products GP LLC, which is wholly owned by Enterprise GP Holdings L.P. (NYSE:EPE). For more information on Enterprise GP Holdings L.P., visit www.enterprisegp.com.

This press release includes "forward-looking statements" as defined by the Securities and Exchange Commission. All statements, other than statements of historical fact, included herein that address activities, events or developments or transactions that Enterprise expects, believes or anticipates will or may occur in the future, including anticipated benefits and other aspects of such activities, events, developments or transactions, are forward-looking statements. These forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially, including required approvals by regulatory agencies, the possibility that the anticipated benefits from such activities, events, developments or transactions cannot be fully realized, the possibility that costs or difficulties related thereto will be greater than expected, the impact of competition and other risk factors included in the reports filed with the Securities and Exchange Commission by Enterprise. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of their dates. Except as required by law, Enterprise does not intend to update or revise its forward-looking statements, whether as a result of new information, future events or otherwise.
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Publication:Business Wire
Geographic Code:1U7TX
Date:Sep 21, 2010
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