The Repauno terminal’s Phase 2 expansion is on track to begin operations in early 2027, according to sponsor FTAI Infrastructure (FIP). The project will materially increase East Coast LPG export capacity and provide another outlet for growing Northeast NGL supply, although East Daley Analytics expects utilization to ramp in stages rather than immediately reach full capacity.
FTAI is a relatively small infrastructure company with assets spanning railroads and energy terminals, including the Jefferson Terminal in Beaumont, TX and the Repauno Port & Rail Terminal in southern New Jersey. The Repauno expansion is led by Hank Alexander, who previously served as Senior Vice President of Commercial Operations at Energy Transfer (ET).
Management has described Repauno as “the only available gateway on the East Coast that has meaningful room for expansion,” a view East Daley largely shares.
Today, Repauno has ~24 Mb/d of LPG export capacity, primarily handling butane. The 1,600-acre site is supported by a 158 Mbbl underground LPG storage cavern. Phase 2 will add a new 630 Mbbl cryogenic storage tank and 72 Mb/d of incremental export capacity, bringing total capacity to 96 Mb/d.
FIP originally expected the project to enter service in 4Q26, according to an April 2025 Repauno bond filing. East Daley has moved the expected startup to 1Q27 following FIP’s latest 2Q26 earnings commentary; management guided to operations starting in 2027.
The bigger question is how quickly the new capacity fills.
FIP’s latest investor materials suggest Phase 2 will begin operations at a relatively high utilization. East Daley sees a more gradual ramp. Known contracted volumes imply ~41 Mb/d of incremental demand beginning in January 2027, including a 20 Mb/d contract that we believe is tied to Range Resources (RRC), plus another 21 Mb/d commitment. That represents a substantial initial step-up in throughput, but still leaves ~31 Mb/d of the Phase 2 expansion unfilled.
The project is backed by an additional 30 Mb/d contract that is scheduled to begin in January 2029. East Daley therefore does not expect Repauno to approach full Phase 2 utilization until 2029, when contracted commitments would increase to roughly 71 Mb/d of incremental volumes.
The distinction matters for Northeast NGL balances. Repauno provides a strategically important relief valve for growing Appalachian liquids production, giving producers another path to waterborne markets outside of ET’s Marcus Hook terminal and the Gulf Coast export outlets. However, the contracted ramp suggests the market may need another two years of Northeast supply growth before the full value of the expansion is realized. See East Daley Analytics’ NGL Hub Model for more details. – Julian Renton Tickers: ET, FIP, RRC.
One Market, One Model: Gain a Holistic View of North America Supply & Demand
East Daley Analytics is pleased to announce the Canada Supply & Demand report. The Canada S&D completes our North American model, providing a fully integrated supply and demand forecast for crude oil and natural gas. East Daley follows molecules from Canadian production through US infrastructure to end-markets. Clients now have a continental view to anticipate trends, from how Canadian gas is reshaping Midwest markets, to how crude imports flow to Gulf Coast refiners. The Canada S&D report and dataset is available exclusively in Energy Data Studio. Reach out to learn more about East Daley’s North American energy model.
The Daley Note
Subscribe to The Daley Note for energy insights delivered daily to your inbox. The Daley Note covers news, commodity prices, security prices and EDA research likely to affect markets in the short term.