US pipeline operator Enterprise names Teague as CEO for retiring Creel

3/31/2015

By KELLY GILBLOM
Bloomberg

Enterprise Products Partners, the second- largest US pipeline owner, said chief operating officer Jim Teague will take over as CEO at year end.

Teague replaces Michael Creel, who is retiring after 16 years in leadership for the partnership, which owns 51,000 miles (82,000 kilometers) of oil, natural gas and petroleum products pipelines.

Teague joined in 1999 after a 23-year career at Dow Chemical, Enterprise said in a statement. Teague is 69, eight years older than Creel, according to the Houston-based partnership’s annual report filed this month.

Enterprise was founded by Dan L. Duncan, who was the third-richest Texan when he died in 2010 and whose legacy remains with the pipeline owner. The partnership is controlled by an entity owned by Dan Duncan LLC, a closely-held Texas company. The founder’s daughter, Randa Duncan Williams, serves as non-executive chairman of Enterprise’s general partner. Both Teague and Creel previously worked for companies formed by Duncan.

While new projects have slowed because of slumping oil prices, Teague’s long-term focus will be on building infrastructure, said Jason Stevens, an analyst at Chicago-based Morningstar Inc.

“The demand component in this country is driven by refining and petrochemicals, which is Teague’s expertise,” Stevens said by telephone. “He’s really probably the right guy for this market.”

Oiltanking Purchase

Enterprise will add W. Randall Fowler, whom it named chief administrative officer, to the office of the chairman, joining Williams and Teague.

Enterprise has dropped 8.9% this year. The partnership said in its annual report that it had received a subpoena from the US Federal Trade Commission regarding the acquisition of Oiltanking Partners, a deal that closed in February.

Kinder Morgan is the largest US pipeline owner by market value.