ExxonMobil has partnered with Enterprise Products Partners to expand the capacity of the Bahia natural gas liquids (NGL) pipeline, a major piece of Permian Basin infrastructure. The deal will boost the pipeline’s daily transportation capacity by 400,000 barrels, bringing the total capacity to 1 million barrels per day.
The decision is cemented by ExxonMobil’s purchase of a 40% stake in the Bahia pipeline, a move meant to consolidate the company’s presence in the midstream sector, which handles the processing, storage and transport of oil and gas.
Announcing the partnership, ExxonMobil confirmed that the expansion plan includes a 92-mile extension of the infrastructure into Eddy County, New Mexico.
This new segment will also integrate with an existing ExxonMobil natural gas processing plant, thereby boosting the now unified “Cowboy Connector” system.
On top of that, the extension will connect strategic assets in the Permian Basin straight to Mont Belvieu, Texas, a major Gulf Coast hub for NGL processing and fracking materials.
The new pipeline will aid the efficient transportation of raw NGLs to facilities where they are processed into essential inputs, thanks to the integrated system.
The smoother process will not just make life easier for the chemical and manufacturing industries, but it will also bolster export routes to global markets.
ExxonMobil concluded by saying that the investment will optimize its operational integration and support its sustained production growth in the region.
With the transaction scheduled to end in early 2026, the expanded pipeline infrastructure is projected to be fully operational by the last quarter of 2027.
