Cracker plant progresses ECONOMIC OUTLOOK/ENERGY
FRIDAY, FEB. 2, 2018
PROGRESS I
Plant to eventually provide 600 permanent jobs
Contributed
C o n s t r u c t i o n o f a $ 6 b i l l i o n e t h a n e c r a c k e r f a c i l i t y i n Mo n a c a , P a . , g o t u n d e r w a y l ast fa ll an d th e p la n t w i ll in cl u de a 250- me ga wa tt e l e ctri c p l a nt to p ro v id e i t s p o we r.
From staff reports
MONACA, Pa. — Work progresses on a $6 billion ethane cracker that is generating excitement up and down the Ohio River about future economic possibilities, while a cracker in Belmont County remains on hold, pending a corporate decision. The Monaca ethane cracker is the work of Shell. According to reports in various news publications, actual construction on structures finally got under way in late fall after more than a year of site preparation work for the huge facility. Work has included new bridges as well as highway and rail relocation. Marcellus Drilling News said the plant will include a 250-megawatt electric plant to provide power to
FYI
The cracker is to provide up to 6,000 construction jobs, which have yet to peak, and will be run by about 600 permanent employees, according to a press release from Shell.
the cracker. The power plant will be fed by natural gas from the shale field. The cracker will use ethane from the Marcellus and Utica shale to produce 1.6 million metric tons of polyethylene, which is used as a feedstock for manufacturing various plastic goods. The cracker is to provide up to 6,000 construction jobs, which have yet to peak, and will be run by about 600 permanent employees, according to a press release from Shell. During an update at the Shale Insight conference in
September, shell officials explained an expectation for plastics manufacturing to expand in the region within about three years. The project will feature seven reactors to “crack” ethane gas by heating it to 1,600 degrees. Polyethylene pellets are part of the output as the gas is separated into various substances. Similar economic predictions for spinoff business abound for a proposed cracker at Dilles Bottom in Belmont County, where PTT Global Chemical has undertaken site prepara-
tion but not made a final go, no-go decision on its $5 billion project. Officials with the Thailand-based petrochemical firm said the decision would come in 2017, but the year ended with no announcement. PTT later said it would have more to say in early 2018. A memorandum of understanding was signed by PTT with JobsOhio, the state’s economic development agency in October. A press release regarding the memorandum indicated JobsOhio and PTT would establish a joint community infra-
structure plan “to enhance the well-being and quality of life” for area residents, though local officials remain unclear on what that memorandum actually means. The PTT project was announced in April 2015 and state officials, including Gov. John Kasich, attended an announcement ceremony in September 2015 regarding the cracker. PTT has invested $100 million for engineering for the cracker. The former R.E. Burger power plant was demolished and the site cleared. PTT has acquired the site for more than $13 million. Like Shell, PTT is expected to take about 6,000 people to build with hundreds to be working full-time once a cracker is opened.