CEO
24/10/2024 15:55
(Adds CEO comments from conference in paragraph 3, 5 and 6,
background in paragraph 4)
By Arathy Somasekhar
HOUSTON, Oct 24 (Reuters) - U.S. energy pipeline
operator Enterprise Products EPD.N is not considering adding a
new crude oil line out of the Permian shale field in West Texas,
co-CEO Jim Teague said on Thursday.
A wave of consolidation in the top U.S. shale field has
concentrated output in the hands of companies that are promising
to restrain output so as not to crash prices by overproducing.
Teague also said that Enterprise continues to advance its
proposed deepwater oil export project, Sea Port Oil Terminal
(SPOT), but "nobody wants to be (the) first" customer to sign
up.
Multi-year regulatory delays, a loss of commercial backers
and slowing U.S. shale oil production growth has SPOT and three
rival offshore oil-export projects
struggling
.
A change in crude flows as many Western nations banned
imports of Russian crude after the country's invasion of
Ukraine, pushing Russian oil to flow to Asia, also has undercut
the outlook for U.S. deepwater export projects that can load
supertanker directly.
"Things have changed, but my gut feeling is that we'll be
able to get SPOT across the finish line," Teague said while
speaking at an RBN Energy conference in Houston.
(Reporting by Arathy Somasekhar, editing by Franklin Paul)
((Arathy.Somasekharmailto:Gary.McWilliams@thomsonreuters.com; +1
469-691-7668;))