Houston-based Enterprise Products Partners pipeline giant reported a $659 million profit in the fourth quarter. That’s a 4 percent decline from the end of fourth quarter of 2015, but also a 4 percent sequential improvement from the third quarter of 2016.
Enterprise’s quarterly revenues actually grew 5 percent to $6.48 billion from $6.16 billion at the end of 2015. Enterprise continues to expand to take advantage of its position as a leading processor of natural gas products from the shale boom.
Enterprise announced it will build a new isobutylene petrochemical plant outside of Houston at its Mont Belvieu campus. The project, which could be completed by the end of 2019, would produce 425,000 tons of isobutylene a year.
Enterprise said it will use the isobutylene as feedstock to manufacture lubricants, rubber products and gasoline additives like alkylate and methyl tert-butyl ether, or MTBE, which is typically exported to Asian markets.
Enterprise did not immediately give any information on the project cost.
Enterprise increased its payout to investors from 40.5 cents per unit up to 41 cents a unit.