UNITED STATES SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-Q
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended June 30, 1996
Commission File Number 1-11234
ENRON LIQUIDS PIPELINE, L.P.
(Exact name of registrant as specified in its charter)
Delaware 76-0373562
(State or other jurisdiction of (I.R.S. Employer Identification
incorporation or organization) Number)
Enron Building
1400 Smith Street
Houston, Texas 77002
(Address of principal executive (Zip Code)
offices)
(713) 853-6161
(Registrant's telephone number, including area code)
Indicate by check mark whether the registrant (1) has filed
all reports required to be filed by Section 13 or 15(d) of the
Securities Exchange Act of 1934 during the preceding 12 months
(or for such shorter period that the registrant was required to
file such reports), and (2) has been subject to such filing
requirements for the past 90 days.
Yes [X] No [ ]
<PAGE>
ENRON LIQUIDS PIPELINE, L.P.
TABLE OF CONTENTS
Page No.
PART I. FINANCIAL INFORMATION
ITEM 1. Financial Statements
Consolidated Income Statement - Three Months
and Six Months Ended June 30, 1996 and 1995 3
Consolidated Balance Sheet - June 30, 1996
and December 31, 1995 4
Consolidated Statement of Cash Flows - Six
Months Ended June 30, 1996 and 1995 5
Consolidated Statement of Partners' Capital 6
Notes to Consolidated Financial Statements 7
ITEM 2. Management's Discussion and Analysis of
Financial Condition and Results of Operations 10
PART II. OTHER INFORMATION
ITEM 1. Legal Proceeding 15
ITEM 5. Other Information 15
ITEM 6. Exhibits and Reports on Form 8-K 15
<PAGE>
<TABLE>
PART I. FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS
ENRON LIQUIDS PIPELINE, L.P. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME
(In Thousands, Except Per Unit Amounts)
(Unaudited)
<CAPTION>
Three Months Ended Six Months Ended
June 30, June 30,
1996 1995 1996 1995
<S> <C> <C> <C> <C>
Revenues
Trade $13,952 $10,568 $30,701 $24,846
Related party 716 1,754 2,398 3,184
14,668 12,322 33,099 28,030
Costs and Expenses
Cost of products sold 1,771 345 3,266 1,326
Operations and maintenance
Related party 1,477 296 3,195 522
Other 2,464 2,587 5,661 4,574
Fuel and power 923 828 2,196 1,979
Depreciation and amortization 2,443 2,427 4,854 4,803
General and administrative
Related party 1,447 1,374 2,923 2,745
Other 637 872 1,448 1,663
Taxes other than income taxes 646 741 1,572 1,720
11,808 9,470 25,115 19,332
Operating Income 2,860 2,852 7,984 8,698
Other Income (Expense)
Equity in earnings of
partnerships 1,539 1,272 2,426 2,678
Interest expense (3,136) (3,125) (6,328) (6,194)
Other 417 954 614 1,140
Minority Interest (13) (16) (42) (57)
Income Before Income Taxes 1,667 1,937 4,654 6,265
Income Tax Expense 314 322 491 654
Net Income $ 1,353 $ 1,615 $ 4,163 $ 5,611
Net Income Per Unit $ 0.20 $ 0.24 $ 0.63 $ 0.85
Number of Units Used in
Computation 6,510 6,510 6,510 6,510
<FN>
The accompanying notes are an integral part of these consolidated financial
statements.
</TABLE>
<PAGE>
<TABLE>
PART I. FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS
ENRON LIQUIDS PIPELINE, L.P. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(In Thousands)
(Unaudited)
<CAPTION>
June 30, December 31,
1996 1995
<S> <C> <C>
ASSETS
Current Assets
Cash and cash equivalents $ 15,967 $ 14,202
Accounts receivable
Trade 5,693 7,913
Related parties 1,544 2,183
Inventories
Products 672 832
Materials and supplies 1,962 2,075
25,838 27,205
Property, Plant and Equipment, at cost 267,639 263,838
Less accumulated depreciation 31,619 26,984
236,020 236,854
Investments in Partnerships 33,734 32,613
Deferred Charges and Other Assets 7,039 6,992
TOTAL ASSETS $302,631 $303,664
LIABILITIES AND PARTNERS' CAPITAL
Current Liabilities
Accounts payable
Trade $ 4,824 $ 5,272
Related parties 3,012 2,664
Current portion of long-term debt 1,700 1,700
Accrued liabilities 6,817 2,808
Accrued taxes 1,776 2,155
Distribution payable 4,210 4,210
22,339 18,809
Long-Term Liabilities and Deferred Credits
Long-term debt 156,082 156,938
Other 2,773 2,264
158,855 159,202
Minority Interest 2,494 2,537
Partners' Capital
Common units 101,515 105,100
General Partner
Limited Partner Interest 16,242 16,787
General Partner Interest 1,186 1,229
118,943 123,116
TOTAL LIABILITIES AND PARTNERS' CAPITAL $302,631 $303,664
<FN>
The accompanying notes are an integral part of these consolidated financial
statements.
</TABLE>
<PAGE>
<TABLE>
PART I. FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS
ENRON LIQUIDS PIPELINE, L.P. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS
(In Thousands)
(Unaudited)
<CAPTION>
Six Months Ended
June 30,
1996 1995
<S> <C> <C>
Cash Flows From Operating Activities
Reconciliation of net income to net cash
provided by (used in) operating activities
Net income $ 4,163 $ 5,611
Depreciation 4,854 4,803
Equity in earnings of partnerships (2,426) (2,678)
Distributions from investments in
partnerships 3,862 3,364
Changes in components of working capital
Accounts receivable 2,859 1,061
Inventories 273 (1,424)
Accounts payable (100) 1,159
Accrued liabilities 4,009 1,092
Accrued taxes (379) (579)
Other, net 352 (347)
Net Cash Provided by Operating Activities 17,467 12,062
Cash Flows From Investing Activities
Additions to property, plant and equipment (3,867) (2,854)
Contributions to partnership investment (2,559) (108)
Net Cash Used in Investing Activities (6,426) (2,962)
Cash Flows From Financing Activities
Decrease in long-term debt (856) (864)
Issuance of long-term debt - 4,000
Decrease in short-term debt - (400)
Distributions to partners
Common units (7,118) (7,118)
General partner (1,218) (1,218)
Minority interest (84) (84)
Net Cash Used in Financing Activities (9,276) (5,684)
Increase in Cash and Cash Equivalents 1,765 3,416
Cash and Cash Equivalents, Beginning of Period 14,202 11,014
Cash and Cash Equivalents, End of Period $15,967 $14,430
<FN>
The accompanying notes are an integral part of these consolidated financial
statements.
</TABLE>
<PAGE>
<TABLE>
PART I. FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS
ENRON LIQUIDS PIPELINE, L.P. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF PARTNERS' CAPITAL
(In Thousands)
(Unaudited)
<CAPTION>
General Partner
Limited General Total
Common Partner Partner Partners'
Units Interest Interest Capital
<S> <C> <C> <C> <C>
Partners' Capital at December 31, 1995 $105,100 $16,787 $1,229 $123,116
Net Income 3,533 539 91 4,163
Distributions (7,118) (1,084) (134) (8,336)
Partners' Capital at June 30, 1996 $101,515 $16,242 $1,186 $118,943
<FN>
The accompanying notes are an integral part of these consolidated financial
statements.
</TABLE>
<PAGE>
PART I. FINANCIAL INFORMATION - (Continued)
ITEM 1. FINANCIAL STATEMENTS
ENRON LIQUIDS PIPELINE, L.P. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
1. General
The consolidated financial statements included herein
have been prepared by Enron Liquids Pipeline, L.P. (the
"Partnership") without audit pursuant to the rules and
regulations of the Securities and Exchange Commission.
Accordingly, they reflect all adjustments which are, in the
opinion of management, necessary for a fair presentation of
the financial results for the interim periods. Certain
information and notes normally included in financial
statements prepared in accordance with generally accepted
accounting principles have been condensed or omitted
pursuant to such rules and regulations. The Partnership
believes, however, that the disclosures are adequate to make
the information presented not misleading. These
consolidated financial statements should be read in
conjunction with the consolidated financial statements and
the notes thereto included in the Partnership's Annual
Report on Form 10-K for the year ended December 31, 1995
("Form 10-K").
The preparation of financial statements in conformity
with generally accepted accounting principles requires
management to make estimates and assumptions that affect the
reported amounts of assets and liabilities and disclosure of
contingent assets and liabilities at the date of the
financial statements and the reported amounts of revenues
and expenses during the reporting period. Actual results
could differ from those estimates.
Certain reclassifications have been made to the
consolidated financial statements for the prior year to
conform with the current presentation.
2. Litigation
As previously reported in Note 5 to the financial
statements included in the Form 10-K, on June 17, 1992,
Enterprise Products Company and the other owners of the Mont
Belvieu Fractionator (the "Plaintiffs") filed a lawsuit in a
Texas state court against Tenneco, Tenneco Oil and Enron
Natural Gas Liquids Corporation ("ENGL"). The Plaintiffs in
the lawsuit alleged, among other things, that Tenneco Oil
breached the operating agreement among the owners of the
Mont Belvieu Fractionator when it assigned its partnership
interest in Mont Belvieu Associates to ENGL. The Plaintiffs
sought damages in an unspecified amount.
On February 9, 1993, the Plaintiffs amended their
complaint in this lawsuit to name Enron Corp. ("Enron"),
Enron Liquids Pipeline Company (the "General Partner"), the
Partnership and the Enron Liquids Pipeline Operating Limited
Partnership ("ELPOLP") as additional defendants and to
allege that Enron's purchase of the stock of ENGL in 1991
and the sale of the stock of ENGL to the Partnership in
August 1992 constituted breaches of the Agreement among the
owners of the Mont Belvieu Fractionator. The Court dismissed
ENGL, Enron, the General Partner, the Partnership and ELPOLP
(collectively, the "Enron Defendants") from the lawsuit. The
Court of Appeals reversed the lower Court's dismissal of the Enron
defendants. The Texas Supreme Court heard argument in the
case in April 1996. On July 8, 1996 the Texas Supreme Court
reversed the decision of the Court of Appeals and rendered
judgment in favor of the Enron Defendants. The Plaintiffs
have filed a Motion for Rehearing.
Pursuant to the Omnibus Agreement, Enron will indemnify
the Partnership, ELPOLP and ENGL for any losses and
liabilities incurred in connection with this litigation.
The Enron Defendants intend to continue to vigorously defend
the lawsuit.
On September 12, 1995, the State of Illinois filed suit
against the General Partner for events related to a fire
that occurred in September 1994 at the North System's above-
ground natural gasoline storage sphere at Morris, Illinois.
The suit seeks civil penalties in the stated amount of
$50,000 each for three counts of air and water pollution,
plus $10,000 per day for any continuing violation. The
State also seeks an injunction against future similar
events. If attempts at settlement are unsuccessful, the
General Partner will vigorously defend itself and the
Partnership against the charges. The Partnership believes
that the ultimate resolution of this matter will not have a
material adverse effect on its financial position or results
of operations.
3. Income Taxes
The Partnership is not a taxable entity for Federal
income tax purposes. ENGL, however, is subject to Federal
corporate income taxes. Accordingly, for financial
reporting purposes, no recognition has been given to income
taxes related to the operations of the Partnership other
than those recorded by ENGL.
4. Distributions
On June 20, 1996, the Partnership declared a cash
distribution for the quarterly period ended June 30, 1996,
of $0.63 per unit. The distribution will be paid on August
14, 1996, to unitholders of record as of July 31, 1996.
5. Investment in Mont Belvieu Associates
Summarized income statement information for the
Partnership's investment in Mont Belvieu Associates, of
which it holds a 50% interest, is presented below (in
thousands):
<TABLE>
<CAPTION>
Three Months Ended Six Months Ended
June 30, June 30,
1996 1995 1996 1995
<S> <C> <C> <C> <C>
Income Statement
Revenues $ 6,819 $ 6,196 $12,376 $12,724
Expenses $ 3,988 $ 3,645 $ 7,649 $ 7,447
Net Income $ 2,831 $ 2,551 $ 4,727 $ 5,277
</TABLE>
6. Chevron Contract Buyout
In late April 1996, the Partnership was notified by
Chevron, USA ("Chevron") that it was exercising its right to
terminate the gas processing agreement at the Partnership's
Painter gas processing facility effective as of August 1,
1996. Under a contract that was to extend through December
1998, Chevron provided all gas that was processed at the
Painter facility. The gas processing agreement with Chevron
provided for early termination by Chevron subject to a one
time termination payment based upon an agreed contractual
schedule. Under this schedule, the buyout payment, which
was due on August 1, 1996, is approximately $2.86 million.
Following an event of force majeure at the gas processing
facility, which idled the facility in June, Chevron asserted
that its termination election was revocable prior to actual
delivery of the termination payment, and that the force
majeure event extends the termination date until the plant
resumes operations and reduces the termination payment.
Chevron offered to pay a reduced termination payment of
approximately $2.45 million to extinguish any further
obligation it may have. The Partnership believes that under
the terms of the contract Chevron's obligation to pay the
termination payment of $2.86 million on August 1, 1996 was
not affected by the force majeure event, and intends to
pursue its remedies under the contract. Excluding the buyout
payment, early termination of the Chevron gas processing
agreement will result in an estimated loss of revenues of
$1.7 million in the last five months of 1996 and $3.9
million in both 1997 and 1998.
As mentioned above, on June 14, 1996, a force majeure
event occurred at the Painter nitrogen rejection unit (NRU)
and processing facilities that required shut-down of the gas
processing facilities for a period extending beyond the
termination date of the Chevron gas processing contract.
Accordingly, the Partnership made the decision not to repair
the NRU and processing facilities unless and until
commercial operation of the plant is restored. The
fractionation, terminaling and storage operations conducted
at the Painter facility are continuing. The fractionation
agreement with Chevron, which extends through April 1997,
remains in effect, and the Partnership has fractionation
agreements with other third parties at the Painter facility.
The Partnership is actively pursuing discussions with
several third parties regarding a possible transaction
involving an exchange or sale of the Painter facilities, and
continues to evaluate its strategic alternatives for the
commercial application of the Painter facilities.
Although the Partnership can give no assurances, it
believes that distributions to unitholders will continue at
the current level for the foreseeable future despite the
cessation of gas processing operations at the Painter
facility.
<PAGE>
PART I. FINANCIAL INFORMATION - (Continued)
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF
FINANCIAL CONDITION AND RESULTS OF OPERATIONS
ENRON LIQUIDS PIPELINE, L.P. AND SUBSIDIARIES
Results of Operations
Second Quarter 1996 Compared With Second Quarter 1995
Net income of the Partnership decreased 13% to $1.4
million in 1996 from $1.6 million in 1995. The decrease
primarily reflects lower earnings on the North System and
the Painter Plant, partially offset by higher earnings on
the Central Basin Pipeline.
Revenues of the Partnership increased $2.3 million
(19%) in the second quarter of 1996 compared to the same
period in 1995. The increase in revenues was due primarily
to a 39% increase in transport volumes on the Central Basin
Pipeline combined with revenues earned at the Bushton
Facility in connection with the Mobil Natural Gas, Inc.
processing agreement ("Mobil Agreement") assigned to the
Partnership as of October 1, 1995, and an increase in normal
butane transportation volumes and revenues on the North
System. These increases were partially offset by lower
overall revenues on the North System, net of tariff
divisions to third party pipelines, reflecting the shutdown
in July 1995 of a synthetic natural gas facility that was
supplied by a major shipper and by lower revenues at the
Painter Plant resulting from unscheduled downtime of the
facility.
Operating statistics for the second quarter are as
follows:
<TABLE>
<CAPTION>
Second Quarter
1996 1995
<S> <C> <C>
North System
Delivery Volumes (MMBbl) 6.4 6.9
Average Tariff ($/Bbl) $0.72 $0.79
Cypress Pipeline
Delivery Volumes (MMBbl) 2.8 2.1
Average Tariff ($/Bbl) $0.49 $0.49
Central Basin Pipeline
Delivery Volumes (MMcf/d) 152 109
Average Tariff ($/Mcf) $0.18 $0.15
Cora Terminal
Transport Volumes (MM Tons) 1.5 1.4
Average Revenues ($/Ton) $1.25 $1.40
Painter Gas Processing Plant
Processing Volumes (MMcf/d) 21 34
Average Revenues ($/Mcf) $0.34 $0.34
Fractionator Volumes (MBbl/d) 4.5 2.9
Average Revenues ($/Bbl) $1.00 $1.11
</TABLE>
Cost of products sold increased significantly on the
Central Basin Pipeline primarily as a result of a product
selling arrangement which allows for increased throughput.
Central Basin does not assume commodity price risk in this
arrangement and gross margin on product sales is nominal.
Operations and maintenance expense increased to $3.9
million in the second quarter of 1996 compared to $2.9
million in the same period in 1995. This increase is
primarily due to expenses incurred in connection with the
Mobil Agreement.
Equity in earnings of partnerships increased $0.3
million (21%) in the second quarter of 1996 compared to the
same period in 1995 reflecting higher earnings from the
Heartland Partnership as a result of increased pipeline
throughput.
Results of Operations
Six Months Ended June 30, 1996 Compared With Six Months
Ended June 30, 1995
Net income of the Partnership decreased 26% to $4.2
million in 1996 from $5.6 million in 1995. The decrease
primarily reflects lower earnings on the North System, the
Painter Plant and the Mont Belvieu Fractionator, partially
offset by higher earnings on the Central Basin Pipeline.
Revenues of the Partnership increased $5.1 million
(18%) in the first half of 1996 compared to the same period
in 1995. The increase in revenues was due primarily to a
45% increase in transport volumes on the Central Basin
Pipeline combined with revenues earned at the Bushton
Facility in connection with the Mobil Agreement. Due to
increased propane and normal butane deliveries, the North
System's volumes increased 5% in the first half of 1996
despite the July 1995 closing of a synthetic natural gas
facility owned by a customer of a North System shipper.
Such propane volumes, however, resulted in a lower average
tariff than shipments to the synthetic natural gas facility
resulting in a decrease of $0.9 million (7%) in the North
System's revenues, net of tariff divisions to third party
pipelines. Also, revenues decreased at the Painter Plant
due to unscheduled downtime and at the Cora Terminal due to
downtime caused by severe winter weather.
Operating statistics for the first half of 1996 and
1995 are as follows:
<TABLE>
<CAPTION>
Six Months Ended
June 30,
1996 1995
<S> <C> <C>
North System
Delivery Volumes (MMBbl) 15.8 15.0
Average Tariff ($/Bbl) $0.80 $0.88
Cypress Pipeline
Delivery Volumes (MMBbl) 5.6 4.7
Average Tariff ($/Bbl) $0.49 $0.49
Central Basin Pipeline
Delivery Volumes (MMcf/d) 149 103
Average Tariff ($/Mcf) $0.17 $0.15
Cora Terminal
Transport Volumes (MM Tons) 2.8 2.9
Average Revenues ($/Ton) $1.33 $1.36
Painter Gas Processing Plant
Processing Volumes (MMcf/d) 27.6 34
Average Revenues ($/Mcf) $0.34 $0.34
Fractionator Volumes (MBbl/d) 4.9 3.5
Average Revenues ($/Bbl) $0.97 $1.08
</TABLE>
Cost of products sold increased significantly on the
Central Basin Pipeline primarily as a result of the product
selling arrangement referred to previously.
Operations and maintenance expense increased to $8.9
million in the first half of 1996 compared to $5.1 million
in the same period in 1995. This increase is primarily due
to expenses incurred in connection with the Mobil Agreement
as well as a new storage agreement with a Partnership
affiliate on the North System that went into effect on
January 1, 1996. The new storage agreement increases the
North System's storage capacity in the Bushton area from 1.5
MMBbl to 5.0 MMBbl.
Equity in earnings of partnerships decreased $0.3
million (9%) in the first half of 1996 compared to the same
period in 1995 reflecting lower earnings at the Mont Belvieu
Fractionator. This decrease was primarily due to lower
volumes processed as a result of higher natural gas prices
relative to natural gas liquids ("NGLs") prices which led
customers to sell natural gas rather than remove the NGLs.
This decrease was partially offset by higher earnings from
the Heartland Partnership as a result of increased pipeline
throughput.
The Partnership was notified by Chevron that it was
exercising its right to terminate the gas processing
agreement at the Partnership's Painter gas processing
facility effective as of August 1, 1996. Although the
Partnership can give no assurances, it believes that
distributions to unitholders will continue at the current
level for the foreseeable future despite the cessation of
gas processing operations at the Painter facility (see Note
6 in the Notes to Consolidated Financial Statements).
Financial Condition
General
The Partnership's primary cash requirements, in
addition to normal operating expenses, are debt service,
sustaining capital expenditures, discretionary capital
expenditures, and quarterly distributions to partners. In
addition to utilizing cash generated from operations, the
Partnership could meet its cash requirements through the
utilization of credit facilities or by issuing additional
limited partner interests in the Partnership. The
Partnership has credit facilities with Enron which provide
for up to $5.0 million in uncommitted credit. In addition,
the Partnership has a $15.0 million committed line of credit
with a bank of which $7.0 million was available at June 30,
1996. The Partnership also has the ability to borrow up to
an additional $25.0 million in accordance with the
provisions of the First Mortgage Notes. Additionally, Enron
Transportation Services, L.P. ("ETS"), one of the operating
limited partnerships of the Partnership, has established a
$2.0 million revolving line of credit with a bank which
could be used to meet its cash requirements. Pursuant to
the Omnibus Agreement between the Partnership and the
General Partner, Enron has agreed that, if necessary, it
will contribute up to $25.4 million to the Partnership
through September 30, 1997 in exchange for additional
partnership interests to support the Partnership's ability
to distribute the Minimum Quarterly Distribution, as defined
in the Partnership Agreement.
Cash Provided by Operating Activities
Cash flow from operations totaled $17.5 million during
the first half of 1996 compared to $12.1 million in the same
period in 1995. The increase is primarily due to timing of
scheduled interest payments on long-term debt.
Cash Used in Investing Activities
Cash used in investing activities totaled $6.4 million
during the first half of 1996 compared to $3.0 million
during the first half of 1995. Additions to property, plant
and equipment totaled $3.9 million in the first half of 1996
compared to $2.9 million during the same period in 1995.
The higher additions to property, plant and equipment
primarily reflect construction costs of a propane terminal
on the North System located in Tampico, Illinois.
Contributions to Partnership investment for 1996 reflect the
Partnership's partial funding of its $6.5 million share of
an expansion project in progress at the Mont Belvieu
Fractionator. In July, 1996, Mont Belvieu Associates
negotiated a loan agreement to fund such expansion which
fulfilled the Partnership's funding obligations and allowed
the return of fundings to date.
Cash Used in Financing Activities
Cash used in financing activities totaled $9.3 million
during the first half of 1996 as compared to $5.7 million
during the same period in 1995. Both periods primarily
reflect cash distributions paid to unitholders, and
additionally in 1995, reflects the issuance of $4.0 million
of long-term debt.
Information Regarding Forward Looking Statements
This filing includes forward looking statements within
the meaning of Section 27A of the Securities Act of 1933 and
Section 21E of the Securities Exchange Act of 1934.
Although the Partnership believes that its expectations are
based on reasonable assumptions, it can give no assurance
that its goals will be achieved. Price trends and overall
demand for NGLs, CO2 and coal in the United States and the
condition of the capital markets and equity markets could
cause actual results to differ from those in the forward
looking statements herein.
<PAGE>
PART II. OTHER INFORMATION
ENRON LIQUIDS PIPELINE, L.P. AND SUBSIDIARIES
ITEM 1. Legal Proceedings
See Part I, Item 1, Note 2 to Consolidated Financial
Statements entitled "Litigation" which is incorporated herein
by reference.
ITEM 5. Other Information
None.
ITEM 6. Exhibits and Reports on Form 8-K
(a) Exhibits.
None.
(b) Reports on Form 8-K.
None filed during the quarter ended June 30, 1996.
<PAGE>
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of
1934, the Registrant has duly caused this report to be signed on
its behalf by the undersigned thereunto duly authorized.
ENRON LIQUIDS PIPELINE, L.P.
(A Delaware Limited Partnership)
By: Enron Liquids Pipeline Company,
as General Partner
Date: August 8, 1996 By: /s/ E.G. Parks
E.G. Parks
Senior Vice President and
Controller
<TABLE> <S> <C>
<ARTICLE> 5
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-31-1996
<PERIOD-END> JUN-30-1996
<CASH> 15,967
<SECURITIES> 0
<RECEIVABLES> 7,237
<ALLOWANCES> 0
<INVENTORY> 2,634
<CURRENT-ASSETS> 25,838
<PP&E> 267,639
<DEPRECIATION> 31,619
<TOTAL-ASSETS> 302,631
<CURRENT-LIABILITIES> 22,339
<BONDS> 158,855
0
0
<COMMON> 118,943
<OTHER-SE> 0
<TOTAL-LIABILITY-AND-EQUITY> 302,631
<SALES> 14,668
<TOTAL-REVENUES> 14,668
<CGS> 1,771
<TOTAL-COSTS> 11,808
<OTHER-EXPENSES> (1,943)
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 3,136
<INCOME-PRETAX> 1,667
<INCOME-TAX> 314
<INCOME-CONTINUING> 1,353
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 1,353
<EPS-PRIMARY> 0.20
<EPS-DILUTED> 0.20
</TABLE>
