EPD To Expand LPG Export Facility Located On The Houston Ship Channel

Enterprise Products announces additional expansion of its LPG export facility: Co announced an additional expansion of its LPG export terminal located on the Houston Ship Channel that will increase its capability to load fully-refrigerated, low-ethane propane. By enhancing the refrigeration capacity of the LPG export facility, Enterprise will increase its loading capacity by an additional 1.5 million barrels ("MMBbls"), or three cargoes per month. This will increase total design capacity to approximately 9 MMbbls per month upon completion of the expansion project, which is expected to occur in the first quarter of 2015.

[Personal comment: this is another story I either would have missed or not been interested in had it not been for RBN Energy. This article posted September 4, 2013, taught me a lot and was linked at the MillionDollarWay blog.]

Regular readers know that I do not care for Motley Fool (due to their teasers to buy subscriptions) but they do post some good information. Today, five very different midstream MLP opportunities:

EPD is another venerable, trusted name. Over the years, it's had some of the most conservative coverage ratios in the space, accounting for its premium to peers. Like Kinder Morgan, its size makes growth more challenging than smaller peers, but that size, its strong balance sheet, wide coverage, and consistent growth are exactly what conservative investors have come to trust. They'll pay up for the track record.

Two of the more interesting names to pop out are smaller, higher-growth opportunities. High growth can translate to vastly greater total-return potential even if current yields appear weaker. The top names in five-year returns are those that grew their distributions the most, despite carrying lower yields. That retained capital is what fuels their growth. Enterprise is an excellent example of how lower yield and growth can drive higher returns over time.

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