Enterprise Products Partners (NYSE:EPD) is a diverse and fully integrated mid-stream energy company operating in North America. It was founded in 1968 by Dan Duncan and two partners as a wholesaler of natural gas liquids. By 1972 it had completed the construction of its first pipelines, and by 1973 it was starting to make acquisitions. Over the next few years and decades, the company steadily added new operations that either expanded then-current operations or added new revenue streams for the business.
Since then, Enterprise Products Partners L.P. has grown to be 1 of the US largest midstream companies with operations that center on Houston, Texas but reach as far as the Rockies, the Upper Midwest, the Great Lakes region and New England. Enterprise is an important part of the company's name, it operates based on the enterprise model and strives to ensure each new hire is in tune with company culture.
The company operates as a Master Limited Partnership or MLP that provides a full range of midstream energy services to energy companies and consumers. Operations include natural gas and natural gas liquids storage, processing and transport, and storage and transport of crude, petrochemicals and refined products. Owners of the stock or units are known as limited partners and entitled to a share of profits which are paid as dividends. The company reported nearly $57 billion in revenue for 2022 and was expected to grow revenue at a 5% CAGR.
Enterprise Products Partners was ranked 89th on the 2022 Fortune 500 and is well known as a dividend grower. The company began paying a dividend in 1998 and has increased it yearly. Enterprise Products Partners Investors can benefit from the dividend reinvestment plan by registering as an owner of record.
Enterprise Products Partners L.P. operates in 4 primary segments that are NGL Pipeline & Services, Crude Oil Pipelines & Services, Natural Gas Pipelines & Services and Petrochemical and Refined Products/Services.
The company owns and operates more than 51,000 miles of pipeline, including natural gas, NGL, crude and propylene pipes. The company has 19,400 miles of NGL pipelines, 19,600 miles of Onshore natural gas pipelines, 4,600 miles of crude oil pipelines, 2,300 miles of offshore pipelines and just under 1,000 miles of propylene pipelines.
The company’s other operations include NGL and natural gas storage in Louisiana salt domes. Salt domes are naturally occurring features that are capable of storing vast quantities of gas and natural gas liquids. As of 2022, the company could store 177 million barrels of NGL and 760 million cubic meters of natural gas.
The company also operates a deep water terminal for exporting and importing natural gas liquids, including 20 docks. The refining and processing segment operates 19 dual-purpose facilities, 9 NGL processing facilities, 2 propylene processors, 3 isomerization plants and 26 natural gas fractionalization facilities. Facilities are located in Colorado, Louisiana, Mississippi, New Mexico and Wyoming and Texas. Operations are also served by a fleet of 255 tanker trucks.
