M-U Ethane Faces a 2028 Problem: Full Export Docks

Last week, we covered Enterprise Products Partners signaling a "rate reset" on ATEX, the ethane pipeline that carries Marcellus/Utica ethane to Mont Belvieu (see Enterprise Signals ‘Rate Reset’ on ATEX M-U Ethane Pipeline). We ended that post with an open question: East Daley Analytics has argued the era of cheap ethane is ending as export terminals and new crackers soak up supply, and if ethane prices rise, the tariff problem partly solves itself. East Daley's August production webinar takes a swing at that question — and the answer is complicated. The firm expects U.S. ethane exports to roughly double by the end of 2028. It also expects the export docks to run out of room in January 2028.

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