Plastics and chemicals manufacturer NOVA Chemicals Corp. recently sold its ethylene storage business and trading hub in Mont Belvieu, TX to a subsidiary of midstream energy firm Enterprise Products Partners L.P., the parties announced in a joint release.
“The acquisition, which gives Enterprise the largest ethylene market hub in Texas since it was established in 2001, will complement Enterprise’s own growing ethylene network in the region,” Chris D’Anna, senior vice president, Petrochemicals of Enterprise’s general partner, said in a statement. “The combined system offers multiple benefits for producers, consumers, and traders, such as increased physical connectivity, greater market liquidity and pricing transparency, as well as improved access to Enterprise’s ethylene midstream services, including our export terminal and growing Gulf Coast pipeline system.”
Following the sale, NOVA will remain a long-term storage customer in the Enterprise system.
“This transaction provides the best long-term solution for the Mont Belvieu ethylene storage busines and trading hub, allowing NOVA to focus on our core business of ethylene and polyethylene production, including the safe and successful completion of our world-class Advanced SCLAIRTECH technology facility in Ontario that will delivery recycle ready resins for sustainable packaging solutions,” said John Thayer, senior vice president, sales and marketing for NOVA.