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Shell signs agreement to evaluate US petrochemical site

19 March 2012

Shell chemical

Shell Chemical has entered into a land option agreement with Horsehead to evaluate a site in the Appalachian region near Monaca, Pennsylvania, US, for a potential petrochemical complex.

The complex will include an ethane cracker, polyethylene (PE) and mono-ethylene glycol (MEG) units.

Shell Chemicals new business development general manager Dan Carlson said the company looks forward to working with the communities in Pennsylvania and gas producers across Appalachia, so as to continue its efforts to develop a petrochemical complex.

Shell says the next steps for the project include additional environmental analysis of the Pennsylvania site, further engineering design studies, assessment of the local ethane supply and continued evaluation of the economic viability of the project.

Shell selected the site by considering various factors such as good access to liquids rich natural gas resources, water, road and rail transportation infrastructure, power grids, economics, and sufficient acreage to accommodate facilities for a world scale petrochemical complex and potential future expansions.

Shell also has long-term plans to monetise natural gas, including extracting ethane and other natural gas liquids for petrochemicals production.

The company's other plans include shipping solutions for liquefied natural gas (LNG), proprietary gas-to-liquids technology to produce fuels, lubricants and chemicals, and LNG for heavy duty vehicles, marine and rail transport.

 

Image: Royal Dutch Shell headquarters, located in The Hague, Netherlands. Photo: P.L. van Till.