BIS Informs Company of 'Intent to Deny' Ethane Exports to China
Gas and oil pipeline company Enterprise Products Partners said last week that it has received notice that the Bureau of Industry and Security plans to deny its request to ship ethane to China.
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BIS sent the company a notice June 3 about its “intent to deny Emergency Authorization Requests” for shipments of “three proposed cargoes of ethane to China,” Enterprise Products said. The shipment would have been for 2.2 million barrels.
The company was informed that it has 20 days to respond to BIS “with any comments or rebuttals” about the decision. “Unless Enterprise is advised by the 45th day after the date of the notification, these denials will become final without further notice,” the company said.
Enterprise Products said it received the notice from BIS about two weeks after the agency informed the company that it needed an export license to ship certain items, including certain ethane and butane products, if a party to the transaction is in China or is a Chinese military end user (see 2505300006). In its press release last week, Enterprise Products said “the licensing requirement for butane was subsequently withdrawn.”
A BIS spokesperson didn’t respond to a request for comment.
BIS sent similar letters to other companies and exporters as part of its ongoing effort to restrict a broad range of shipments that it believes are of strategic significance to China (see 2505290038).