Sentinel Midstream Texas has formed a joint venture with ExxonMobil Pipeline Co. that owns crude oil pipelines and related transportation infrastructure in the Houston area.
The joint venture, Enercoast Midstream, provides the critical last-mile link for Permian, Gulf of Mexico and other barrels in the Houston crude oil market.
For the joint venture, ExxonMobil will contribute two existing crude oil pipelines into Enercoast: a 16-inch pipeline originating at Webster Terminal with delivery points at ExxonMobil's Baytown Refinery and Seabrook export terminal and a 20-inch crude pipeline with access to Moore Road station. Sentinel contributed cash for a majority equity position and will be the operator for the joint venture.
Sentinel will undertake efforts to commercialize capacity on Enercoast's system while pursuing opportunities to grow its operating footprint by building or acquiring new pipelines.
“We are extremely pleased to establish a joint venture