Phillips 66’s Freeport, Texas, liquefied petroleum gas (LPG) export terminal has been exporting and will continue to export near maximum capacity at about eight cargoes a month for the foreseeable future. Phillips 66 is also considering plans to build new fractionators at Sweeny, Texas, but the company will not decide on a possible second ethane cracker project until 2019-2020.
Of that monthly export total of eight cargoes, six term cargoes are contracted to third parties, and two spot cargoes are available to Phillips 66 to use as part of the company’s commercial LPG trading operations. This ratio may shift, however, as the export cargoes are not ratable.
Phillips 66 commissioned its 150,000- bpd LPG export terminal at Freeport in the fourth quarter of 2016, and it shipped out its first commercial cargo in mid-December, at which point the terminal’s export operations netted an EBITDA (earnings before interest, tax, depreciation and amortization) of $5.5 million. In January, the Freeport facility exported eight cargoes, and at press time, the export volume was expected to stay the same through March.
For more information, visit www.Phillips66.com or call (281) 293-6600.
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