The announcement of another cracker in the Appalachian Basin has prompted me to provide an update to the various comments that I’ve heard regarding cracker plants in the Appalachian Basin.
- Shell cracker plant – supposedly, Shell has told PA Governor Wolf that if his severance tax plan adversely affects the oil and gas industry, it may not proceed with the cracker plants. After all if there is less drilling in PA, where is Shell getting its feedstock? (RUMOR)
- Braskem plant – the Odebrecht officials are telling everyone they are re-evaluating its plan. I wondering the Petrobras problems are impacting this development.
- Appalachian Resins has supposedly purchased land in Salem Township Monroe County, OH.
- PTT Global Chemical – Marubeni joint venture has just announced plans for a cracker plant in Belmont County, OH
- Foreign entity is looking in Parkersburg, WV.
The possibility of five cracker plants in the Appalachian Basin is a phenomenon that no one visualized four or five years. The intelligent hypothesis was that all the Appalachian wet gas was going to the Gulf. It looks like a fair amount natural gas will stay in the Appalachian Basin and be the foundation for a petrochemical industry in PA, OH and WV.