“The construction of this new iBDH plant will extend our butane value chain and allow full utilisation of our existing olefins assets,” said A.J. 'Jim' Teague, chief executive officer of Enterprise’s general partner. “In developing this project, we are leveraging Enterprise’s extensive integrated midstream network to turn a plentiful, cost advantaged natural gas liquid into a higher valued product.”

Historically, steam crackers and refineries have been the major source of propane and butane olefins for downstream use. However, with the increased use of light-end feedstocks, specifically ethane, the need for on-purpose olefins has increased. Much like Enterprise’s propane dehydrogenation unit, currently scheduled for start of operations in the 2Q17, the iBDH unit will help meet market demand where supplies have been reduced. The new iBDH plant will increase Enterprise’s production of both high purity and low purity isobutylene to be used primarily as feedstock to manufacture lubricants, rubber products and alkylate for gasoline blendstock, as well as methyl tert-butyl ether (MTBE) for export.