John Randy Burkhalter - Vice President, Investor Relations Michael A. Creel - Chief Executive Officer & Director A. James Teague - Chief Operating Officer, Director & Executive VP W. Randall Fowler - Chief Financial Officer, Director & Executive VP Albert A. Martinez - Senior Vice President-NGL Marketing & Supply Anthony C. Chovanec - Vice President, Enterprise Products Holdings LLC Graham W. Bacon - Group Senior Vice President, Operations and Environmental William Ordemann - Group Senior VP-Unregulated NGLs & Crude

Ted J. Durbin - Goldman Sachs & Co. Brandon Blossman - Tudor, Pickering, Holt & Co. Securities, Inc. Mark La France Reichman - Simmons & Company International John Edwards - Credit Suisse Securities (USA) LLC (Broker) Nick S. Raza - Citigroup Global Markets, Inc. (Broker) Kristina Kazarian - Deutsche Bank Securities, Inc. Andrew Ramsay Burd - JPMorgan Securities LLC Jeff Birnbaum - Wunderlich Securities, Inc. Helen Jung Ryoo - Barclays Capital, Inc. Charles Marshall - Capital One Securities, Inc. James Carreker - USCA Securities LLC

Good morning. My name is Kelly, and I will be your conference operator today. At this time, I would like to welcome everyone to the Enterprise Second Quarter Earnings Conference Call. All lines have been placed on mute to prevent any background noise. After the speakers' remarks, there will be a question-and-answer session. Thank you. I'd now like to turn the call over to Randy Burkhalter. Sir, you may begin your conference.

Thank you, Kelly. Good morning, everyone, and welcome to the Enterprise Products second quarter earnings call. Our speakers today for the call will be Mike Creel, Chief Executive Officer of Enterprise's General Partner; followed by Jim Teague, Chief Operating Officer; and then Randy Fowler, Chief Administrative Officer. Other members of our senior management team are also in attendance for the call today. During this call, we will make forward-looking statements within the meaning of Section 21E of the Securities and Exchange Act of 1934 based on the beliefs of the company as well as assumptions made by, and information currently available to, Enterprise's management team. Although management believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to be correct. Please refer to our latest filings with the SEC for a list of factors that may cause actual results to differ materially from those in the forward-looking statements made during this call. And with that, I will turn the call over to Mike Creel. Michael A. Creel - Chief Executive Officer & Director: Thanks, Randy. This morning we reported solid second quarter results for what is typically a seasonally weak quarter. We had record NGL, crude oil, petrochemical & refined products transportation in this quarter. Crude oil pipeline volumes increased 13% to a record 1.5 million barrels per day. Refined products & petrochemical transpiration volumes increased 9% to a record 875,000 barrels per day. NGL transportation volumes increased 4% to a record 3 million barrels per day, which includes an 18% increase LPG export volumes to a record 288,000 barrels per day. We also benefited from contributions from recently acquired and newly constructed assets they began service during the last 12 months and from lower operating expenses. This led…

Okay. Thank you, Randy. Kelly, we're ready to take questions from our listeners.

. Your first question will come from the line of Ted Durbin. Ted J. Durbin - Goldman Sachs & Co.: Thanks. Good morning. Michael A. Creel - Chief Executive Officer & Director: Good morning, Ted. Ted J. Durbin - Goldman Sachs & Co.: I'll start with the Eagle Ford, please, and the assets. I'm just wondering if you can give us a sense of the utilization rate on those assets right now, where you can take that to and how that might impact the multiple that you paid on a cash flow basis. A. James Teague - Chief Operating Officer, Director & Executive VP: What are we moving, Bill? Into 260s, 280, plus our legacy which is 15, so probably knocking on the – oh, EFS – I don't know. Michael A. Creel - Chief Executive Officer & Director: Yes. We'd have to take a look at that and get back to you, it's different for each of the CGPs, but we have spare capacity and we're now out actively and marketing that to third parties. We are finding that we're probably much better we received when we go out to market it to other producers, and then a producer marketing it to a producer. And we're pretty high on the fact that we're going to bring a lot of third party business into that system. Ted J. Durbin - Goldman Sachs & Co.: Okay. I guess we'll wait and see on that one. And then can we – just shifting over the questions, just on the Midland to Sealy crude line, can you give us an update on the contracting status of that? I realize it's still early days, but of the 450,000, are you half full, are you – how far along are you on that? A. James Teague - Chief Operating Officer, Director & Executive VP: We are not quite half-full, but we've got about four people we're dealing with. I expect three of those to come across the finish lines pretty quick. Ted J. Durbin - Goldman Sachs & Co.: And any sense right now on the tariff you might need to make that an economic project? Michael A. Creel - Chief Executive Officer & Director: It's an economic project what've we got today. Ted J. Durbin - Goldman Sachs & Co.: What you've today. Okay great. I'll leave it at that. Thanks.

Your next question will come from the line of Brandon Blossman. Brandon Blossman - Tudor, Pickering, Holt & Co. Securities, Inc.: Good morning guys. Michael A. Creel - Chief Executive Officer & Director: Good morning, Brandon. Brandon Blossman - Tudor, Pickering, Holt & Co. Securities, Inc.: Just a couple of quick ones: $2.4 billion projects in service 2015; any color on kind of the trajectory of EBITDA adds over the next few months or few quarters on that to add incremental projects? Michael A. Creel - Chief Executive Officer & Director: I think the easiest way to look at that we've got presentations on our website that show the amount of dollars going into service for each of the next several quarters. Clearly there is a ramp up associated with some of those, not all of them, but we also have other assets that are already in service that are ramping up. So, not a real easy way to answer your questions, but I think you can at least get a sense for the dollar amount of the assets going in the service in the third quarter to fourth quarter. A. James Teague - Chief Operating Officer, Director & Executive VP: Yes, the two largest projects are the Rancho II pipeline, so we should begin to see a ramp on that beginning later in the third quarter and then the other big project that will come online is our – the expansion of our LPG export facility which – that's a year-end completion. So really, you will not see that EBITDA come on until 2016, but that should be a fairly immediate ramp up on that. Brandon Blossman - Tudor, Pickering, Holt & Co. Securities, Inc.: Okay, good. That's actually very helpful color. And then using LPG as a segue…

Your next question will come from the line of Mark Reichman. Mark La France Reichman - Simmons & Company International: Good morning. Just a few questions; with respect to the Onshore Crude Oil segment, could you please just compare and contrast the Permian and the Eagle Ford Basins with respect to your outlook for production growth and associated volume growth on your facilities?

Mark, this is Tony. In our forecast, we have volumes growing for both of those plays through 2025. Obviously, the Eagle Ford as far as maturity is ahead of the new horizontal plays in the Permian, but we're excited about both of them, very excited about both of them. So, if you look at – go ahead. Mark La France Reichman - Simmons & Company International: But South Texas volumes are down little bit this quarter year-over-year, right?

The South Texas legacy system, the oldest part of the system was down but the Eagle Ford was actually up year-over-year. Mark La France Reichman - Simmons & Company International: Okay, okay. That's helpful. And then also, it looks to me like there is ample long haul capacity serving the Permian, yet Enterprise is going to add the Midland to ECHO pipeline or add 540,000 barrels per day in 2017, in light of current market fundamental does that project still appear attractive? A. James Teague - Chief Operating Officer, Director & Executive VP: Oh, heck, yes. I think there's some differences. One thing is we take them to the heart of the refining market; we don't take them to needle it. We take them to the heart of the refining market and we take them to the places – how many ship docks are we going to have that can load this stuff out?

15. A. James Teague - Chief Operating Officer, Director & Executive VP: Yeah, 15 ship docks. So we can give them just unbelievable water access. I think what they see – and I made it in my comments – I think what these guys see is it's easy to – we start at our terminal in Midland. And people deliver their crude to our terminal. Every gathering system out there wants a connection to our terminal. So we have a strong aggregation position. And then when I look at the markets they can access, we don't – we drain in Midland, I think it's going to be similar to Seaway in Cushing. So we're pretty excited about this pipeline. I think we're going to do very well with it. Michael A. Creel - Chief Executive Officer & Director: Mark, one of the biggest indicators for the need for a pipeline is the willingness of a strong company signup for capacity. And with the capacity we have, this is already a very nice project for us. As Jim said, we've got plenty of room to sign up additional shippers and there is a lot of interest. Mark La France Reichman - Simmons & Company International: Okay. Then on the other hand, what's your assessment of the match between in-bound and out-bound capacity at Cushing and the potential to add capacity out of Cushing? A. James Teague - Chief Operating Officer, Director & Executive VP: Yes. I have to look at it. Ryan, do you know.

This is Ryan Coleman (30:32), I work with Tony in the Fundamentals Group. Right now, it looks like Cushing's got a little bit of excess capacity with the Seaway lines and with the competitive pipeline out of Cushing. There's going to still be some incremental volumes coming in from the Bakken area and Canada. I saw a press release that Obama is going to decide about Keystone XL by the end of his term; that might impact things as well. It's still up in the air, but right now, it looks like Cushing has plenty of capacity to drain, but things are going to change and we're just going to be well positioned to take advantage of that if Cushing gets along. Mark La France Reichman - Simmons & Company International: Okay. And then just lastly, could you just talk a little about available and expected growth in capacity of the Port of Corpus. Maybe a contrast between the Eagle Ford JV's plan for a deepwater terminal with other projects in the area. I know NuStar has some projects that are under development. I mean, is there a risk that capacity could get over-built at Corpus? A. James Teague - Chief Operating Officer, Director & Executive VP: I guess there's always a risk, where our advantage is we are with plains we own the pipeline that has the supply, so we can aggregate the supply to the terminal.

And we control quite a bit of the supply as well. A. James Teague - Chief Operating Officer, Director & Executive VP: And we control quite a bit of that supply. Mark La France Reichman - Simmons & Company International: Okay, great. Well, thank you very much.

Your next question will come from the line of John Edwards. John Edwards - Credit Suisse Securities (USA) LLC (Broker): Yeah. Good morning, everybody. Michael A. Creel - Chief Executive Officer & Director: Good morning. John Edwards - Credit Suisse Securities (USA) LLC (Broker): Just can you guys comment a little bit, are you seeing given the commodity price environment we're in, any negatives with respect to contract renewals on various pipes? A. James Teague - Chief Operating Officer, Director & Executive VP: Yeah. Hi, John. This is Jim. You've got to be willing to sell the producer what he wants or sell the customer what he wants, because (32:33) when we started – for example, when we did our deal in the Eagle Ford, when we built all those assets down there – if you looked at the margins at the time, the smart play would be to do percent of liquids; we chose to do fees. And didn't look too smart at the time, but it looks brilliant today. As these contracts rollover, I think going out and doing demand fees is going to be more difficult, but in this price environment, you probably would step up and do percent of liquids. And instead of demand fees, maybe you're talking acreage dedication. So, you've got to be willing to – in answer to your question – rolling over demand fee, take-or-pay contracts is not easy. Renewing based on what the customer needs, we'll be successful at doing. But you've got to get in front of it and you've got to offer them what they can live with. John Edwards - Credit Suisse Securities (USA) LLC (Broker): Okay. So translating all that, are you thinking it's flattish, slightly... A. James Teague - Chief Operating Officer, Director & Executive VP:…

During today's call, we will be limiting question to one question and one follow-up question per line. Your next question will come from the line of Nick Raza.

Hey. Thanks, guys. Could you just educate us a little bit more on the – some of the Petrochemical & Refined Products Services? It seems like that that segment had a pretty good quarter and just what was going on there? Michael A. Creel - Chief Executive Officer & Director: Well, our MTV plant has been running and running very well. The margins from that business are higher than forecast to normal butane being down so much has given good spreads to gasoline and with the naphtha prices being down, it also makes octane very valuable right now. So that business is running very well. On the refined products side, our Beaumont terminal that we activated just over a year ago, it's running at full capacity, 100%. The integration with the Oiltanking Beaumont refined products assets is going out very well. We'll be pretty much complete with that in fourth quarter of this year. So we'll be – we're already filling out the unused volume available at those assets. And so that integration is really bearing fruit also. Those are the primary factors for us.

Great. And do you sort of expect that to occur in the coming quarters as well, I mean a repeat of better results? Michael A. Creel - Chief Executive Officer & Director: I do.

All right. Fair enough. That's all I got.

Your next question will come from the line of Kristina Kazarian.

Hey guys. Just a follow-up on organic growth backlog, can you talk a little bit about some of the most attractive regions, product type, so you guys seeing customer downstream pull versus (42:14) pushing just start off there? A. James Teague - Chief Operating Officer, Director & Executive VP: I think that if you look at our system mapping, you'll get pretty good idea of where we're focused. The acquisition that we did in the Eagle Ford, the Permian pipeline, the crude build out that we're doing long, the Texas Gulf Coast, our export facilities, I mean that's the business that we're trying to grow.

Okay. And then just a follow up on that: can you guys just give an update on the Marcellus propane takeaway projects the one that links Teppco and MAPL? A. James Teague - Chief Operating Officer, Director & Executive VP: Yes, the guys are out hustling it; they're meeting with people frankly, we haven't got a deal yet. So I think it's a pretty neat looking project. We'll see if people – if it gets any traction. That is a project – we're going to want demand fees and we're going to want commitments.

And so are those the barriers to getting it done that where it's nothing as much on the willingness to sign up for demand fees? A. James Teague - Chief Operating Officer, Director & Executive VP: Yes, a little surprising. When you think that we picked up propane and railcars and over the last three months where they paid us to pick it up. So, you would – negative values, you think somebody would step up.

Great. Thanks, guys.

Your next question will come from the line of Jeremy Tonet.

Good morning. It's actually Andy Burd here for Jeremy. Quick housekeeping question on sustaining CapEx based on guidance from earlier this year, it seems like we might be a little bit back loaded. Is this just a timing issue in terms of project or was this always the plan, just a little commentary would be great? W. Randall Fowler - Chief Financial Officer, Director & Executive VP: Yes. I'll take a shot at it and then I'll turn it over to Graham. I think part of it is if you come in and you look at the way – just the way we spent our sustaining CapEx in 2014, it was a little back-end loaded just because first quarter, we don't just with the weather more of it's deferred to later in the year. So, a lot of it's back-end loaded, but Graham.

Yeah, I think as Randy had indicated, it's back-end loaded, we play in a little bit of catch-up, but we also took a very disciplined approach to our sustaining capital as we went into the year and we're working hard to manage that those sustaining capital dollars and looking at where we're getting the best value from it which is why the forecast is down a little bit from where we were in the first of the year.

Okay. So, it's more cost saving initiatives and saving money than pushing things back necessarily into next year?

Yee, we are looking very closely at our cost savings, some of them is – combination of cost saving is some deferrals from weather events earlier in the second quarter.

Great. Thanks very much.

Your next question will come from the line of Jeff Birnbaum.

Good morning, everyone. Michael A. Creel - Chief Executive Officer & Director: Good morning.

So, just wanted to kind of go back to the Permian a bit, I mean, with some of the projects that you've already announced this year kind of some of the comments I think Jim made earlier on, it's an area you expect to grow significantly over the next years. I guess, you're thinking about that growth as likely coming organically with the projects you've announced potentially some more? Or do you – and you expect the market develop such you'd see some more attractive M&A opportunities developing out there? A. James Teague - Chief Operating Officer, Director & Executive VP: We're not banking on M&A opportunities. We – so I guess, if you look at our plans today, it would be organic. And I think one of the biggest strengths we have that supports that pipeline is our Midland terminal position. It's a – it aggregates a heck of a lot of crude and condensate. I think if we go upstream with that, that's going to be whether we can get a deal that we like, otherwise just the position we have in Midland tied to this pipeline is pretty dad-gum strong Permian position. Bill? William Ordemann - Group Senior VP-Unregulated NGLs & Crude: And the Midland terminal is the pricing point for crude out there and I think we have a tremendous amount of land and tremendous amount of opportunity to expand. We've got some expansion ongoing as we speak. We've got some expansion that will take place that will be associated with the Midland to Houston pipeline and then we've got more expansion that's going to take place that's going to be a result of the shippers on the Midland to Houston pipeline and that aggregate supply. So, I view of Midland, the Midland terminal has kind of a special place in the next few years.

Okay, great. Thank you. And I apologize if I'm repeating something. I got knocked off the call earlier for a bit. But Randy, when do you think you expect to hit kind of that peak 4.25 leverage and when do you think you can get back to a mid-3s leverage ratio and kind of how do you see perhaps that impacting your appetite for deal making or anything like that? W. Randall Fowler - Chief Financial Officer, Director & Executive VP: One, I don't think it's impacted our appetite for M&A. As far as peak debt to EBITDA of 4.25 or so, probably the second half of this year, probably later this year; could be year end. As far as working that back down into between 3.5 and 4, that's probably going to be more of the year-end 2016 getting into 2017. Mike talked about $8.3 billion worth of capital projects coming along. Several of those are second half of 2016. So coming in and working that number down below 4 would happen after those projects ramp up. So again you're probably by then, you're talking about year-end 2016, getting into 2017. Michael A. Creel - Chief Executive Officer & Director: So when you're talking about year-end 2016, you're starting to look at it on a 12-month trailing basis. So, the cash flow will come on immediately, so it does change the profile a little bit.

Yes. Okay, perfect. Thanks so much.

Your next question will come from the line of Helen Ryoo.

Thank you. Good morning. I had a question about the Savage deal that was I guess some audit pools (48:48) and talked about besides being considering investment in your shale gas and besides had signed some agreements with them. Could you talk a little bit detail as to what kind of agreement that is? Is it related to the LPG export, ethane export or any color you could give would be appreciated. A. James Teague - Chief Operating Officer, Director & Executive VP: That story was misleading. That deal is related to, I mean, to ethane export and the sale of ethane.

Okay. And it was misleading because there was no contract signed or...? A. James Teague - Chief Operating Officer, Director & Executive VP: Misleading – the report that came out on the shale gas, I mean it was – what I meant by that was and there's two reports that came out. The first specifically talked about their involvement with Enterprise and shale gas. And the involvement was basically with our export arrangement for ethane and the potential sale of ethane to the customer.

Okay. Michael A. Creel - Chief Executive Officer & Director: I guess, in a sense, Helen, it was right because ethane comes out of that shale pad.

So I guess, they have an agreement with you for the ethane export; that's the bottom line? Michael A. Creel - Chief Executive Officer & Director: I think the bottom line is that would imply they have an agreement with us.

Okay, understood. And then just a quick follow-up on comments about the ethane rejection and how it has been affecting your frac volume and NGL pipeline. What are you seeing in ethane rejection now and what is your expectation on that going forward? A. James Teague - Chief Operating Officer, Director & Executive VP: We think, Tony, perhaps 600,000 barrels a day industry wide. And I think we're seeing, the ethane percentage in wide rate we bring in at about 30% to 32%.

30% to 32%. A. James Teague - Chief Operating Officer, Director & Executive VP: 30%. So, I mean there is a lot of potential ethane, at the right prices if somebody wants to build more crackers. We're not too confident that over the next year that's going to get any better.

There are opportunities to recover ethane from time-to-time. Particularly, on our variable cost in fact on couple of more large plants we brought ethane recovery this week. And I don't know how long that will last. If it lasts a week or two week, it would be great; if it doesn't, we'll pull it back down into rejection, but we have the opportunity operating on variable cost to capitalize on that, what I call our discretionary keep-whole ethane if our producers are rejecting it, we have the opportunity to go in and take it. A. James Teague - Chief Operating Officer, Director & Executive VP: And we – that's – I talked about a meeting every morning, that's one of the things we look at every morning on every gas plant, what should we be doing. And we may operate these plants. We may operate the plants down in Texas differently than we operate the plants on the Rockies on a given day, and then we may flip. We drove our operations people crazy with the way we'll flip them back and forth. We finally agreed with them that we'll give them three days notice before we do anything different.

But overall, you don't see ethane rejection, the level of ethane rejection improving throughout the remainder of the years up there? A. James Teague - Chief Operating Officer, Director & Executive VP: That's it.

Okay, all right. Thank you very much.

Your next question will come from the line of Charles Marshall.

Yes. Good morning, everyone. I'm just wondering if you can help sort of educate us on the announced project for the PGP and RGP asset down in Texas and Louisiana. Is the market that you are seeing down there and (52:29) secured by the customer contracts, et cetera? W. Randall Fowler - Chief Financial Officer, Director & Executive VP: Yes. We're expanding our PGP deliveries both South and East. The key thing to think about is, when our 1.65 billion pound PDH is coming up, that's not replacing our RGP PGP sales, where that's incremental, that's incremental volume that we have going out the door. We have PGP contracts that go out, that are not PDH, they stick around well beyond the startup of the PDH plant. So we're expanding our capability to deliver more PGP. We're also seeing the continued movement of the market in general towards PGP away from CGP so there is additional conversions. And then there is a lot of potential derivative talk out there, some announcements and some that haven't been announced yet. And so we're preparing for it.

And it's safe to say you've got contract supporting those? W. Randall Fowler - Chief Financial Officer, Director & Executive VP: Contract supporting it, yes.

Okay. Thank you for that. And then just one last quick one: it looks like your CapEx on the construction is up about $1 billion prior to your last announcement. Could you just kind of just elaborate what's in that backlog number now? A. James Teague - Chief Operating Officer, Director & Executive VP: Yes. The main additions to it were really around obviously the adding in the Midland to Sealy crude oil pipeline. The joint venture that we have with OXY, but in near-term what we added with RB with the RGP and PGP pipelines. Those have been the most significant adds. And there had been a number of smaller projects, but again smaller.

Okay. That's it for me guys. Thank you.

Your next question will come from the line of James Carreker.

Thanks. Given what's happened in the midstream space recently, I was wondering if you guys could comment on your appetite for large scale M&A. Michael A. Creel - Chief Executive Officer & Director: Nice try. A. James Teague - Chief Operating Officer, Director & Executive VP: Like I said, we've done over $6 billion of acquisitions in the last nine months. So, we're involved. One thing that we've consistently said about Enterprise is that we don't grow and do M&A just for the sake of getting bigger. We've got to do things that makes sense for our investors and one thing that is relatively unique about us is as opposed to other names that you see in that market is that we've only got one equity security. So, we have our common units, we don't have a general partner with IDRs that has different economics, management, sponsor of the partnership, individuals, our employees and outsiders are all interested in same security. So, we're focused on growing the value of each of units. So a large transaction that keeps us really big may not really create any value, it may actually destroy value. So, we look at a lot of things, we do the things that make sense.

I appreciate it, that's all I had. Thank you.

There are no further questions at this time. Speaker, are there are any closing remarks? Michael A. Creel - Chief Executive Officer & Director: Kelly, if you don't mind, would you give our listeners the replay information for the call today?

Yes, it's the end of call. For the replay beginning at 1:00 PM Eastern Time today through 11:59 Eastern Time on August 6, 2015; the conference ID number for the replay is 85121841. Again the conference ID number for the replay is 85121841. The number to dial in for the replay is 1800-585-8367 or 404-537-3406. Michael A. Creel - Chief Executive Officer & Director: Okay. Thank you, Kelly. And I'd like to thank everyone for joining us for our call today and have a good day. That's the end of the call. Thank you. Good bye.

This does conclude today's conference call. You may now disconnect.