September 21, 2020 Read More →

Ohio River Valley petchem boom turns into petchem pause

Allegheny Front:

At a marina in Moundsville, West Virginia, Dan Williamson looked out across the Ohio River at a quiet stretch of land on the other side.

“There’s a little activity going on,” said Williamson, a spokesman for PTT — an oil and gas company based in Thailand that wants to build an ethane cracker on the far side of the river, in Dilles Bottom, Ohio. “But really we’re kind of in between phases right now.”

The plant would turn the region’s plentiful natural gas into plastics. It’s taken years to develop, and a final decision on whether the company would build the plant was due this summer. But then came the pandemic.

“Don’t believe company announcements — believe the ribbon cutting,” said Kathy Hipple, an analyst with the Institute for Energy Economics and Financial Analysis, a left-leaning think tank that works toward sustainable energy.

She says Daelim’s decision to pull out of the PTT project is a red flag.

“We view this as a market signal that the project has possibly become far too risky for them to continue,” Hipple said. “The other possibility is that the economics of building a petrochemical complex have changed tremendously.”

[Reid Frazier]

More: In the Ohio River Valley, the Petrochemical Boom Is on Hold

Posted in: IEEFA In the News

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