Enterprise Products Partners To Cancel Midland-to-ECHO 4 Crude Oil Pipeline Project

(RTTNews) - Enterprise Products Partners L.P. (EPD) said the company and certain of its customers have amended agreements that provide Enterprise the ability to use the partnership's existing pipelines to support its crude oil transportation agreements and to cancel the 450,000 barrels per day Midland-to-ECHO 4 crude oil pipeline project. The company said the cancellation of M2E4 will reduce aggregate growth capital expenditures for 2020, 2021 and 2022 by approximately $800 million.

As a result of the cancellation, the company expects to record an impairment charge of approximately $45 million to its earnings for the third quarter of 2020.