Enterprise Products
Careers at Enterprise Products
Mission
Enterprise Products’ mission is to expand through growth projects.
Business segments
Enterprise Products is a provider of midstream energy services. The firm operates four reportable business segments:
- NGL Pipelines & Services – Includes natural gas processing plants and related NGL marketing activities; approximately 19,500 miles of NGL pipelines; NGL and related product storage facilities; and 15 NGL fractionators. Also includes NGL export docks and related operations.
- Crude Oil Pipelines & Services – Includes approximately 5,400 miles of crude oil pipelines and related operations, crude oil storage, marine terminals, and crude oil marketing activities.
- Natural Gas Pipelines & Services – Includes approximately 19,100 miles of natural gas pipeline systems that provide for the gathering and transportation of natural gas in Colorado, Louisiana, New Mexico, Texas and Wyoming. Also includes related natural gas marketing activities.
- Petrochemical & Refined Products Services – Includes (i) propylene fractionation and related operations, including 674 miles of pipelines; (ii) a butane isomerization complex, associated deisobutanizer units and related pipeline assets; (iii) octane enhancement and high purity isobutylene production facilities; (iv) refined products pipelines aggregating approximately 4,200 miles, terminals and related marketing activities; and (v) marine transportation.
History
In 1968 Enterprise Products Company was founded as a wholesale marketer of natural gas liquids (NGLs). Over the next two decades the firm completed construction of numerous pipelines, including ones at Mont Belvieu and Bavport in Texas and at Lake Charles, Louisiana. It also built various fractionators, including ones in Mont Belvieu and Petal, Mississippi.
In 1998 the company completed its first initial public offering, raising $247.2 million and becoming listed on the New York Stock Exchange. Over the next fifteen years it acquired numreous firms, expanding its presence. It also engaged in much consolidation, merging with TEPPCO Partners in 2009, Enterprise GP Holdings in 2010, and Duncan Energy Partners in 2011.
Benefits at Enterprise Products
Business model of Enterprise Products
Customer Segments
Enterprise Products has a niche market business model, with a specialized customer segment. The company targets its services at producers and consumers of natural gas, NGLs, crude oil, petrochemicals, and refined products.
Value Proposition
Enterprise Products offers two primary value propositions: accessibility and brand/status.
The company creates accessibility by providing a wide variety of options. Its operations include pipelines, natural gas processing, liquid and gas storage, NGL fractionation, import and export terminals, and marine transportation assets. It has partly amassed such a diverse portfolio through numerous acquisitions of competitors since its founding.
The company has established a strong brand due to its success. It is one of the largest publicly traded energy partnerships in the United States, with over $49 billion in assets. Its assets include 49,000 miles of pipelines; 250 million barrels of storage capacity for NGLs, crude oil, refined products and petrochemicals; and 14 billion cubic feet of natural gas storage capacity. Lastly, since its first initial public offering in 1998, it has completed more than $35 billion of organic growth projects and $26 billion of major acquisitions.
Channels
Enterprise Products main channel is its business development team. The company promotes its offering through its website, social media pages, and participation in conferences.
Customer Relationships
Enterprise Products’ customer relationship is primarily of a personal assistance nature. The company provides its energy services for customers while having limited interaction with them.
Key Activities
Enterprise Products’ business model entails discovering, producing, and delivering energy products to its customers.
Key Partners
Enterprise Products’ key partners are the suppliers that provide it with the raw materials it needs to manage its operations. It also maintains joint venture partnerships with a number of leading oil, natural gas, and petrochemical companies, including Chevron, BP, ConocoPhillips, ExxonMobil, Dow Chemical, Marathon, Spectra Energy, and Shell.
Key Resources
Enterprise Products’ main resources are its physical resources, which include its 25 natural gas processing plants and 22 NGL and propylene fractionators. It also maintains important human resources in the form of its employees that engage in energy discovery and production.
Cost Structure
Enterprise Products has a cost-driven structure, aiming to minimize expenses through significant automation. Its biggest cost driver is cost of sales, a variable expense. Other major drivers are in the areas of sales/marketing and administration, both fixed costs.
Revenue Streams
Enterprise Products has one revenue stream: revenues it generates from the sale of its energy services to customers. Sales typically occur through the formation of long-term contracts.
Our team
info: A.J. Teague previously held several leadership roles at Enterprise Products, including Executive Vice President, Chief Operating Officer, and Chief Commercial Officer. He also served as President of Tejas Natural Gas Liquids and as President of Marketing and Trading for MAPCO.
info: W. Randall Fowler previously held a number of leadership roles at Enterprise Products, including Executive Vice President, Chief Administrative Officer, and Chief Financial Officer. He also served as President, CEO, and Chief Financial Officer of DEP GP.
info: Graham W. Bacon earned a Bachelor’s degree in Chemical Engineering at Texas A&M University and an MBA at Oklahoma City University. He previously served as Group SVP, Operations and Environmental, Health, Safety & Training at Enterprise Products.
info: William Ordemann previously held several leadership positions at Enterprise Products, including EVP, Commercial, Chief Operating Officer, and Group Senior Vice President, Unregulated Liquids, Crude and Natural Gas Services.
