Energy Transfer Expands Nederland Export Terminal with Fully Subscribed Ethane Capacity
Energy Transfer LP announced plans to significantly expand its Nederland NGL Export Terminal in Texas, reinforcing its position as one of North America’s leading exporters of natural gas liquids (NGLs). The expansion comes in response to growing customer demand for U.S. energy exports and will add substantial new ethane and liquefied petroleum gas (LPG) export capabilities to the facility.
Under the project, Energy Transfer will increase ethane export capacity at the Nederland terminal by approximately 240,000 barrels per day (bpd), while also adding 55,000 bpd of LPG export capacity. The company said the entire additional ethane capacity has already been committed through long-term customer agreements extending into the 2040s, underscoring strong confidence in future global demand for U.S. NGL exports.
The announcement highlights the continued growth of international markets for ethane and other NGL products, which are widely used in petrochemical manufacturing, plastics production, heating, and various industrial applications. As countries seek reliable energy supplies and petrochemical feedstocks, U.S. exporters have increasingly benefited from abundant domestic production and extensive export infrastructure.
Energy Transfer noted that since initiating ethane exports from the Nederland facility in 2021, it has shipped more than 430 million barrels of ethane to customers worldwide. The company views this achievement as evidence of the growing role that U.S. energy exports play in global markets and believes the latest expansion will further strengthen its competitive position.
According to the company, the Nederland facility serves as a key component of its integrated “wellhead-to-water” network. This system connects production regions, processing plants, storage facilities, pipelines, and export terminals, enabling Energy Transfer to move NGL products efficiently from producing basins to international customers. The company believes this integrated platform provides a significant advantage in meeting rising export demand while maintaining operational reliability.
In addition to increasing export capacity at the terminal itself, Energy Transfer plans to expand the capacity of its NGL pipeline system that transports products from Mont Belvieu, Texas, to the Nederland export complex. The enhanced pipeline infrastructure will support increased refrigeration capacity needed for higher export volumes and ensure efficient product movement between key storage and export assets.
The expansion project also includes the construction of two additional NGL ship docks. These new marine facilities are expected to improve loading efficiency, accommodate increased vessel traffic, and support the terminal’s growing export operations. The additional docks are considered a critical component of the broader expansion strategy, enabling the facility to handle larger volumes of refrigerated NGL products destined for international markets.
Energy Transfer is simultaneously advancing previously announced storage expansion projects at Nederland. The company expects expanded refrigerated propane storage capacity of approximately 1.2 million barrels and refrigerated butane storage capacity of about 800,000 barrels to become operational during the first half of 2027.
These new storage facilities will complement the terminal’s existing refrigerated ethane storage tank, which has a capacity of approximately 1.3 million barrels. Once completed, Energy Transfer said the Nederland complex will possess the largest refrigerated storage capacity for ethane, propane, and butane among export facilities located along the U.S. Gulf Coast.
Industry observers view storage infrastructure as a critical component of export operations because it allows exporters to manage fluctuations in production, shipping schedules, and market demand. Increased storage capacity can enhance operational flexibility and improve the ability to meet customer commitments during periods of heightened export activity.
The Nederland expansion project is expected to enter service in phases beginning in 2028. This staged approach will allow Energy Transfer to progressively bring new infrastructure online while maintaining ongoing operations at the terminal.
A major milestone is expected to occur in mid-2029 when the two additional ship docks are anticipated to be completed. At that point, refrigerated NGL export capacity at the Nederland facility is projected to exceed 1.25 million barrels per day, making it one of the largest export hubs of its kind in the world.
The company’s broader export portfolio will also benefit from growth at its Marcus Hook NGL Export Facility in Pennsylvania. Energy Transfer previously announced plans to expand export capacity at Marcus Hook, with the project expected to be completed by mid-2027. Following that expansion, the facility is projected to have export capacity of approximately 420,000 barrels per day.
When combined, the Nederland and Marcus Hook facilities will provide Energy Transfer with total refrigerated NGL export capacity of roughly 1.7 million barrels per day. This extensive network positions the company to capitalize on growing international demand for U.S. NGL products while offering customers access to multiple export points across the country.
The expansion reflects broader trends shaping global energy markets. Rising petrochemical production, increasing demand for cleaner-burning fuels, and ongoing industrial development in emerging economies continue to drive consumption of NGL products. Ethane, in particular, has become a key feedstock for petrochemical manufacturers due to its cost advantages and widespread availability from U.S. shale production.
Energy Transfer’s latest investment signals confidence that these market trends will continue for decades. With all new ethane export capacity already under long-term contract, the company has secured a strong foundation for future growth while providing customers with reliable access to U.S. energy supplies.
As construction progresses over the coming years, the Nederland expansion is expected to strengthen Energy Transfer’s role in global energy trade, enhance export capabilities along the Gulf Coast, and support the continued development of North American NGL markets. The project also reinforces the strategic importance of integrated infrastructure systems that connect production regions with growing international demand centers around the world.
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