Shell

Beaver County | Energy Companies | Ethane | Industrywide Issues | Pennsylvania | Processing Plants | Shell

Shell Begins Building Bridge to PA Cracker Plant Site
September 2, 2015September 2, 2015

Shell continues to act as if it has already made the decision to build a $2-$3 billion ethane cracker plant complex in Beaver County, PA, even though they continue to refuse to say they’ve made a decision. What’s our evidence? In June Shell finally purchased the land where the cracker will be built, the former Horsehead zinc smelter property in Potter that will be the primary location of the cracker plant IF it gets built (see Shell Buys Beaver County, PA Property for Future Cracker Plant). Also in June Shell received an air quality permit from the PA Dept. of Environmental Protection (see Shell Receives Air Quality Permit from PA DEP for Cracker Plant), a critical authorization for them to proceed. The latest evidence? Shell just began construction of a bridge to haul dirt over a major highway without disrupting traffic…
Read More “Shell Begins Building Bridge to PA Cracker Plant Site”
Beaver County | Energy Companies | Ethane | Industrywide Issues | Pennsylvania | Processing Plants | Shell

Human Skulls & Bones Found at Shell PA Ethane Cracker Site
August 21, 2015August 21, 2015

Yes, despite oil prices in the basement and despite Shell’s announcement they are laying off 6,500 people worldwide and reducing spending by $7 billion *this year* (see Shell Lays Off 6,500 Worldwide – But Where?), despite all of that, Shell continues to work to prepare the future site of an ethane cracker plant in Monaca (Beaver County), PA. How do we know? In their digging at the site, workers for Shell have unearthed human skulls and other bones, likely from an old family cemetery that somebody long forgot about…
Read More “Human Skulls & Bones Found at Shell PA Ethane Cracker Site”
Allegheny County | Energy Companies | Pennsylvania | Shell

Shell Lays Off 6,500 Worldwide – But Where?
August 11, 2015August 11, 2015

Shell recently announced that the company would reduce spending by $7 billion in 2015–a 20% cut from 2014 spending levels. Ouch. Even more painful, Shell said they are cutting more than 6,500 jobs globally (they employ 94,000) in preparation for a long period of low oil prices. How will Shell’s announcement affect their northeast drilling program (SWEPI) and the planned ethane cracker plant in Beaver County, PA? We don’t know. There are rumors circulating about Shell’s Pittsburgh office–but since we can’t verify those rumors, we won’t repeat them. As for the ethane cracker plant, there’s never a shortage of rumors that say it will, and won’t, get built. Here’s what is known…
Read More “Shell Lays Off 6,500 Worldwide – But Where?”
Air Quality | Anti-Drilling/Fossil Fuel | Beaver County | Energy Companies | Industrywide Issues | Litigation | Pennsylvania | Regulation | Shell

Big Green Groups File to Block Shell Cracker Air Quality Permit
August 7, 2015August 7, 2015

Simply amazing. Two Big Green environmental groups–the Philadelphia-based Clean Air Council and the Washington, DC-based Environmental Integrity Project–are trying to scuttle the Shell ethane cracker in the Pittsburgh area that would bring thousands of new jobs and eventually pump something like $20 billion into the regional economy, with a ripple effect of jobs and prosperity for the entire tri-state region. The two groups have just filed an appeal with state regulators saying the PA Dept. of Environmental Protection (DEP) erred when granting an air quality permit that will allow the plant to operate (see Shell Receives Air Quality Permit from PA DEP for Cracker Plant). These two litigious Big Green groups hope to tie the whole matter up in court and “encourage” (scare) Shell away from its investment. It’s hard to put into words the depth of depravity of people who do disgusting things like this…
Read More “Big Green Groups File to Block Shell Cracker Air Quality Permit”
Beaver County | Electrical Generation | Energy Companies | Ethane | Industrywide Issues | Pennsylvania | Processing Plants | Shell

Shell Will Build Gas-Fired Electric Plant to Power PA Cracker
July 24, 2015July 24, 2015

If Shell builds an ethane cracker plant in Beaver County, PA, as they’ve been teasing since 2011, the massive plant will require a lot of electricity to power it–enough electricity to power 100,000 homes. Shell does not plan to just hook up to the local utility for its electricity. Instead, they will build their own natural gas-powered electric generating plant on location. Any electricity they generate but can’t use will be sold to the local power grid…
Read More “Shell Will Build Gas-Fired Electric Plant to Power PA Cracker”
CNG/LNG | Energy Companies | Energy Services | Exporting | Industrywide Issues | Kinder Morgan | Shell

KM Buys Shell’s Share in Elba LNG Export Plant, Marcellus Exports?
July 16, 2015July 16, 2015

Kinder Morgan, the country’s largest midstream/pipeline company, announced yesterday they are buying out Shell’s share of a joint venture in building an LNG (liquefied natural gas) export facility at the existing LNG import facility on Elba Island, Georgia–near Savannah. Currently Kinder owns 51% of the Elba Island LNG export project and Shell owns 49%. Kinder will now own 100% of the project after they pay Shell $630 million. Depending on how fast the Federal Energy Regulatory Commission (FERC) acts, Kinder believes construction will begin by the end of this year an LNG exports will begin “in late 2017.” What does this have to do with Marcellus/Utica? Maybe nothing, but we suspect something. Kinder’s arch rival Williams owns the mighty Transco pipeline that connects, via the Elba Express pipeline, to the LNG facility. Currently Elba Island imports LNG. However, Williams has been on a mission to send Marcellus gas south–including to Georgia (see Marcellus Gas Heading to Georgia via Transco Pipeline). We don’t think it’s much of a stretch that Marcellus Shale gas, via the Transco, will be at least some of, if not the primary, source for gas exported from the Elba facility…
Read More “KM Buys Shell’s Share in Elba LNG Export Plant, Marcellus Exports?”
Beaver County | Energy Companies | Ethane | Industrywide Issues | Pennsylvania | Processing Plants | Shell

Shell Greenlights Offshore Platform – Good Sign for PA Cracker?
July 2, 2015July 2, 2015

Time, once again, to haul out the tea leaves to see if there’s anything we can divine from an announcement yesterday by Shell that they’ve made a “final investment decision” (or FID) to move forward with a multi-billion dollar project to build a new deep-water offshore drilling platform in the Gulf of Mexico. What in the world does that have to do with the Marcellus/Utica? Good question! Let us read the tea leaves and connect some dots for you…
Read More “Shell Greenlights Offshore Platform – Good Sign for PA Cracker?”
Air Quality | Beaver County | Energy Companies | Ethane | Industrywide Issues | Pennsylvania | Processing Plants | Regulation | Shell | Statewide PA

Shell Receives Air Quality Permit from PA DEP for Cracker Plant
June 23, 2015June 23, 2015

Finally, after months and months of waiting, the Pennsylvania Dept. of Environmental Protection (DEP) has granted an air quality permit that allows Shell to operate a proposed ethane cracker plant in Monaca (Beaver County), PA. MDN told you the DEP signaled they would approve the air quality permit back in March (see PA DEP Signals Approval for Shell Ethane Cracker Air Quality Plan). Three months later the DEP finally issued the permit–no small miracle given the agency is now run by PennFuture DEP Sec. John Quigley. Shell had stated getting the permit would be a “critical” step in the process to moving forward. Now that they have the permit, what kinds of encouraging words do we have from Shell? The permit “does not mean we have made a final decision to build the project.” Which is the same standard line they’ve delivered since 2011 when this whole process began (see Shell Commits to Building a Billion Dollar Chemical Plant in the Marcellus Region of U.S.). Four years of being teased with this project has led us to think we’ve contracted post traumatic cracker disorder (PTCD)…
Read More “Shell Receives Air Quality Permit from PA DEP for Cracker Plant”
Beaver County | Belmont County | Energy Companies | Ethane | Industrywide Issues | Ohio | Pennsylvania | Processing Plants | Shell

Are OH Officials Worried about Shell’s PA Ethane Cracker? Nope
June 22, 2015June 22, 2015

In April Ohio officials announced Belmont County, OH has been chosen as the site of a potential ethane cracker plant (see It’s Official: Belmont County Chosen as POSSIBLE Cracker Plant Site). Which led us to admit that since we’ve been teased with a cracker for over three years now–with NO ONE actually committing to such a plant–we’re experiencing “cracker fatigue.” But not long after Shell made some serious moves toward committing to build a cracker plant in western Pennsylvania, not far from Pittsburgh. The most recent positive sign is that Shell finally, after three years of faffing about, earlier this month purchased the property the plant would be built on (see Shell Buys Beaver County, PA Property for Future Cracker Plant). Does a Shell cracker reduce the likelihood of an cracker plant being built less than two hours away in Belmont County, OH? Not according to officials in Ohio. In fact, they’re not worried at all…
Read More “Are OH Officials Worried about Shell’s PA Ethane Cracker? Nope”
BG Group | Energy Companies | Industrywide Issues | M&A | Shell

Shell-BG Megamerger Approved by US Federal Trade Commission
June 18, 2015June 18, 2015

Well that was quick! On Tuesday Shell announced they’re received approval by the U.S. Federal Trade Commission to proceed with their buyout/takeover of BG, the former British Gas. You may recall we brought you the news about the Shell-BG deal in April, pointing out at the time the deal is mainly about LNG (see LNG Love Story: Shell Makes Play to Buy BG in $69.7B Megamerger). Getting approval from the FTC this fast is a good sign, according to Shell CEO Ben van Beurden. Shell needs to obtain approval from every country where BG does business–not just the U.S. According to Shell, they’re still on track to complete the merger in “early 2016″…
Read More “Shell-BG Megamerger Approved by US Federal Trade Commission”
Beaver County | Energy Companies | Ethane | Industrywide Issues | Pennsylvania | Processing Plants | Shell

Shell Buys Beaver County, PA Property for Future Cracker Plant
June 17, 2015June 17, 2015

Another positive sign that Shell may move forward with building a $2-$3 billion ethane cracker plant in Beaver County, PA. Yesterday it was reported that Shell closed on the former Horsehead zinc smelter property in Potter that would be the primary location of the cracker plant. Previously Shell extended their option to buy the property–three different times. They’ve finally bought the property–for $13.5 million according to the deed transfer, although it’s quite possible Shell paid way more than that for the property. One real estate expert in the area said the property is worth $75-$100 million. In addition to buying the old Horsehead site, Shell, over time, has also purchased 12 other parcels in the area…
Read More “Shell Buys Beaver County, PA Property for Future Cracker Plant”
Beaver County | Economic Impact | Energy Companies | Ethane | Industrialization | Industrywide Issues | Pennsylvania | Processing Plants | Shell

Shell Sets Expectations for What Happens if PA Cracker is Built
June 4, 2015June 4, 2015

In yet another signal that Shell is very serious about building a $3 billion ethane cracker plant northwest of Pittsburgh, the company recently held public meetings in Beaver County, PA, where the plant would be built, to tell members of the local community what they can expect to hear, see, and smell during and after construction–if the plant gets built. Shell wants to be right up front about what happens when an industrial plant like the one they’re building comes into existence. We find that a “good neighbor” kind of thing to do. Look, there will be some inconveniences for a time when this thing gets built. Construction activity at the site will happen 24/7 for a number of years (yes, years) until it is completed. Let’s talk about it right up front so no one is surprised. Although Shell stresses at these meetings that a “final decision has not yet been made,” increasingly it looks (to us) like it has…
Read More “Shell Sets Expectations for What Happens if PA Cracker is Built”
BG Group | BP | Energy Companies | Equinor/Statoil | Industrywide Issues | Shell | Taxation | Total

Big European Oil Companies Want UN to Slap Carbon Tax on U.S.
June 1, 2015June 1, 2015

The Europeans are sometimes, well, stupid. How else can you explain six large oil companies–BG Group, BP, Eni, Royal Dutch Shell, Statoil and Total–buying into the tax scheme called carbon credits? The six sent a letter (copy below) to the United Nations Framework Convention on Climate Change (UNFCCC) begging the UN to introduce carbon pricing systems and “create clear, stable, ambitious policy frameworks that could eventually connect national systems” that would “reduce uncertainty and encourage the most cost effective ways of reducing carbon emissions widely.” This is madness. Create laws that supersede each country’s sovereignty and impose a worldwide tax on carbon–the stuff you breathe out with every breath–as some sort of solution for the imaginary problem of man-made global warming? If the UN does such a thing, it will spell the end of the companies sending the letter! What do you call a company trying to commit economic suicide? Do the investors of these six companies know the heads of those companies are trying to destroy the company and their investments along with it? No wonder Europe is in decline…
Read More “Big European Oil Companies Want UN to Slap Carbon Tax on U.S.”
Beaver County | Energy Companies | Ethane | Industrywide Issues | Pennsylvania | Processing Plants | Shell

More Signs Shell is Close to Decision on PA Ethane Cracker Plant
May 15, 2015May 15, 2015

More signs that Shell is much closer to a decision on whether or not it will build an ethane cracker plant in Monaca (Beaver County), PA. An executive vice president with Shell Chemicals, speaking off-script at an event in Germany, said the company expects to make a decision “soon.” After that an official Shell spokesman, speaking on-script, came along to clean up the EVP’s poopy mess and said there is no timeline on a decision. Another positive sign, according to the EVP, is that the front-end engineering and design study on the project has been completed. But according to the spokesman, even though the study is done, there are “still hurdles” before making such a large investment decision. So it’s a tit for tat, back and forth. Our take: even though we’re suffering from cracker fatigue, we continue to be hopeful that Shell will be the first of those to announce a possible cracker to actually pull the trigger and build it…
Read More “More Signs Shell is Close to Decision on PA Ethane Cracker Plant”
Beaver County | Energy Companies | Ethane | Industrywide Issues | Pennsylvania | Processing Plants | Shell

Shell to Close on PA Cracker Plant Property in “Next Few Months”
May 11, 2015May 11, 2015

Last week we told you a positive sign that the proposed $2-$3 billion ethane cracker plant to be built by Shell in Monaca (Beaver County), PA was the joint information session recently held by the Dept. of Environmental Protection and Shell to discuss an air quality permit the DEP will issue for the project (see Progress: DEP & Shell Hold Info Session on PA Cracker Plant). Here’s yet another very encouraging sign: Horsehead Corporation, which still owns the site Shell would use to build the plant, said in their first quarter update that they expect to close on a sale of the property to Shell “within the next few months”…
Read More “Shell to Close on PA Cracker Plant Property in “Next Few Months””
Air Quality | Beaver County | Energy Companies | Ethane | Industrywide Issues | Pennsylvania | Processing Plants | Shell

Progress: DEP & Shell Hold Info Session on PA Cracker Plant
May 6, 2015May 6, 2015

Another positive sign that Shell continues to be very serious about building a multi-billion dollar ethane cracker plant in Monaca (Beaver County), PA. Yesterday representatives from Shell and the PA Dept. of Environmental Protection held a two-hour meeting (with Q&A) to discuss the air quality permit required to build the plant. The Pittsburgh Post-Gazette reports the crowd in attendance was almost all in favor of the project. Air wasn’t the only issue discussed–some had questions about potential noise from the plant. The session began with Q&A and ended with two dozen or so speakers who had signed up to give official, on the record comments about the plant…
Read More “Progress: DEP & Shell Hold Info Session on PA Cracker Plant”