News

Mariner East 1 Startup

Jan 18, 2016

Mariner East 1 will be fully operational in February 2016, Sunoco Logistics has confirmed to Oil Price Information Service (OPIS). From the news article that appeared on TankTerminals.com:

The company began the commissioning sequence for ethane startup in December, the spokesman said.

Sunoco Logistics expects to begin the first ethane supply movements to Marcus Hook from the Marcellus Shale region via the company's Marine East 1 pipeline in January, he said.

The first shipments of ethane from Marcellus production will begin in February 2016.

With the commencement of Mariner East 1 all three of Range’s major ethane and propane projects are operational, providing Range with a significant overall revenue uplift.

Range currently has three ethane projects in the portfolio, which utilize Mariner West, ATEX, and Mariner East 1. Importantly, more than 70% of Range’s ethane is priced at indices other than Mont Belvieu in Texas and deliver a unique advantage for Range.  At Range’s option, the remaining portion can be sold as ethane or left in the gas steam as a Btu uplift.

Range is contracted to ship 20,000 barrels of ethane via pipeline to the Marcus Hook Industrial Complex outside of Philadelphia. Another 20,000 barrels of propane will be shipped via pipeline to Marcus Hook, where it can be sold in either the international market, or the local market, depending on which option yields the best price. Range also has access to propane storage at Marcus Hook, which allows faster loading of ocean-going vessels.

Altogether, these agreements provide Range with the ability to sell ethane in Canada, Europe, and at Mont Belvieu, as well as future petrochemical facilities in the Appalachian Basin.

For more information see Range’s latest Company Presentation

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