Enterprise Products to sell 40% interest in Bahia NGL pipeline to Exxon Mobil

Enterprise Products (EPD) announced it has executed an agreement with ExxonMobil (XOM), which will acquire a 40% undivided joint interest in Enterprise’s Bahia natural gas liquids pipeline. The closing of the transaction is subject to regulatory approvals and is expected by early 2026. The 550-mile Bahia pipeline, which has begun commissioning activities and will begin commercial operations immediately thereafter, will have an initial capacity to transport 600,000 barrels per day of NGLs from the Midland and Delaware basins of West Texas to Enterprise’s Mont Belvieu fractionation complex. Upon closing of the transaction, Enterprise and ExxonMobil plan to increase Bahia’s capacity to 1M BPD by adding incremental pumping capacity and constructing a 92-mile extension of Bahia to ExxonMobil’s Cowboy natural gas processing plant in Eddy County, New Mexico. The extension will also connect to multiple Enterprise-owned processing facilities in the Delaware Basin. The expansion and extension are expected to be completed in the fourth quarter of 2027, with ExxonMobil’s interest referred to as the “Cowboy Connector.” Enterprise will serve as operator of the combined system.