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FBN’s Sandra Smith with Jim Teague, Enterprise Products Partners COO, on his company’s plan to move oil from Oklahoma down to Texas through a join...
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So what to do with all that period Sandra Smith has the exclusive interviews CE OO of one of the nation's largest pipeline operators with his company's planned Santa.
That's right Larry we -- we're welcoming Jim -- right now he's actually on the other trading floor in New York is -- -- New York Mercantile Exchange.
He's the chief operating officer of enterprise product partners -- thank you so much for joining us that.
You can happen.
All right so you and your company are the operator of this -- pipeline we have a -- -- that that shows.
The pipeline stretching from Cushing Oklahoma down to the Texas gulf close.
Your company has a plan to unleash the record amount of oil that fitting in Cushing Oklahoma.
And get it down south can you describe your plan for a -- back.
Sure -- -- yes.
We're joint venture pipeline.
It's enterprise and Enbridge.
And that -- the pipe will be in service probably next week of the week after.
Initially it'll -- 150000.
Barrels -- -- by the end of the year first -- next year end all have the capacity.
Of 400000 barrels of it will it really has to distinguishing.
Qualities.
Enbridge has the supply system north -- pushing that -- -- did.
And then enterprise has the Houston crude oil terminal and the distribution system.
That'll -- that market connected -- need to all the re planning and the Houston Beaumont Port Arthur area.
So Jim for people who aren't -- that oil was going the other way next week your -- -- to reverse that pipeline and send that oil.
Down to the refineries on the Texas Gulf Coast that are using a lot of foreign oil first are you on track to reverse that pipeline next -- Well.
I don't know what is the seventeenth next week our target date -- by the seven to itself that's next week the middle life hopefully that it should start getting now.
-- -- on next week on the seven thing.
Seven thanks again.
-- -- I can tell you that the energy industry is really highly anticipating this reversal of the pipeline.
People want to know what is going to be the long term effect on sending this oil south to those Texas refineries.
You're probably asking the wrong person -- -- the long term effect.
You know and center the think it's kind of -- -- to me is we're focused on C life.
-- -- But there's a lot of domestic crude being produced making its way -- the Gulf Coast.
You've got crude coming out of the eagle for -- -- the Gulf Coast we've got shale plays all over the country.
That are looking at that we'll produce more domestic crude oil the effect of the total.
Is going to be to back out imports.
We import about five million barrels a night of crude oil from places other than Canada and Mexico.
Are in that neighborhood.
We look if you could if if if that production could grow.
At the same right that -- shale gas right.
That's that's probably shell gas -- -- we've grown 25 BCF a -- that's equivalent of four million barrels a day of crude oil.
What if we produced four million barrels a day of crude -- We are going good and you -- -- -- Jim I guess the question would be could this reduce overall our dependency and for now could this make us.
Independent with our own oil in North America using Canada oil and North Dakota oil -- better us.
And I don't know if it makes -- independent.
It to put this real close to it in my mind and this Jim -- editorial.
I doubt that I'm not speaking for enterprise but if you just look at what happened to shale gas seven years ago -- -- and LNG import facilities.
Because we're gonna have to import our natural gas.
Today we're producing 25 BCF and -- the price -- two dollars and it's wonderful boost decide.
With Quaid plays in the Bakken and eagle bird with crude plays and that might boost the number the Utica.
And then what's one known at Canada.
I gotta believe we're gonna get close to -- if we use our heads.
That's -- that's a big statement from a guy that close to see here on the ground -- in the oil situation in this country.
And globally GMT thank you so much for joining us.
From the New York Mercantile Exchange in that is breaking news that he does say that that pipeline to -- -- -- is on track to be reversed -- may seventeenth next week.
On Thursday something that emptied himself says -- highly reduce our dependency on foreign oil.
And could dramatically change the oil environment here in the United States and globally -- -- south pass it back to you guys -- -- -- thank you.
Thank you.
One point two trillion automatic cuts are about -- there's a vote in the house today to keep it from happening but can anyone in DC.
Agree to anything we dobbs weighs in on this very dangerous game of chicken that's coming up next.
On the way to break that -- government's borrowing power take a look at ten and thirty year treasuries keep in mind at thirty year auction today at lot of demand.
