We now know the specific location of a previously announced $400 million shale gas collection and processing plant being built in Columbiana County, Ohio by a joint venture between Chesapeake Energy, M3 Midstream and EV Energy Partners.
A 117-acre site about a mile south of Hanoverton located at 11687 Route 644 and also known as “old Delp farm” was sold to Utica East Ohio Midstream LLC, a subsidiary of M3 Midstream, for $1.8 million according to records filed on Friday.
The plant will serve as a collection and compression site for natural gas extracted by shale drillers in the region, with an initial capacity of 600 million cubic feet per day. It includes a cryogenic processing plant that extracts natural gas liquids (NGL) from the shale gas, such as propane, butane and ethane.
The NGLs will be piped from the plant across Carroll County to a $500 million shale gas storage and transfer hub being constructed in Harrison County by MarkWest Energy Partners as part of the project.
The dry natural gas from the Hanoverton plant will be transferred into local natural gas pipelines.*
The plant will be built over the next five years, with the first phase coming online in 2013.
*Lisbon (OH) Morning Journal News (May 12, 2012) – Company buys land for gas plant