Enterprise Products Partners has announced an agreement with ExxonMobil for the Bahia natural gas liquids (NGL) pipeline expansion and joint interest acquisition. 

Under the terms of the agreement, ExxonMobil will acquire a 40% undivided joint interest in the Enterprise pipeline. 

The Bahia pipeline, spanning 550 miles (885km), has the initial capacity to transport 600,000 barrels per day of NGLs. 

Pipeline commissioning activities have begun, with commercial operations commencing soon after.

It will transport NGLs from the Midland and Delaware basins in West Texas to Enterprise’s Mont Belvieu fractionation complex. 

The acquisition transaction is expected to close by early 2026, subject to regulatory approvals. 

Upon closing, Enterprise and ExxonMobil will increase Bahia’s capacity to one million barrels per day by adding pumping capacity. 

To increase the capacity, the joint venture will build a 92-mile extension to ExxonMobil’s Cowboy natural gas processing plant in Eddy County, New Mexico. 

This extension will also connect to several Enterprise-owned processing facilities in the Delaware Basin. Enterprise will serve as the operator of the combined system. 

The expansion and extension are scheduled for completion in the fourth quarter of 2027 (Q4 2027). 

Enterprise general partner and co-CEO A.J. Teague said: “We are pleased to partner with ExxonMobil on the Bahia NGL pipeline. 

“As the ratio of natural gas and NGL production to crude oil production continues to increase in the Permian, the Bahia pipeline will be an essential artery to deliver mixed NGLs to the fractionation complex in Mont Belvieu. 

“From 2024 to 2030, NGL production in the Permian Basin is expected to increase by over 30%. This expansion supports this growth by providing critical takeaway capacity for the basin.” 

Enterprise provides midstream energy services in North America, offering services such as natural gas gathering, treating, processing, transportation and storage. 

ExxonMobil said the expanded pipeline project will connect its growing production in the Permian Basin to US Gulf Coast refining and chemical facilities. 

This strategic investment would deliver long-term value for shareholders, strengthen its value chain and improve logistics flexibility, stated ExxonMobil.  

ExxonMobil reported net income of $7.5bn for the quarter ending 30 September 2025, a 12% decrease from $8.6bn in the same period last year.