The ACC says that the government needs to help make this manufacturing boom a reality. The pipeline infrastructure in the area needs to continue to improve, specifically with regard to pipelines dedicated to natural gas liquids. The group says these investments in infrastructure would be dwarfed by the $35.8 billion that could be invested in petrochemical and plastic production. The investments could also lead to 100,818 jobs, 25,664 in the petrochemical and plastic manufacturing itself and the rest in related areas.
When the right infrastructure is in place, natural gas processors will remove highly valuable liquids from the gas stream, including ethane, propane, and butane. These liquids are needed for petrochemical manufacturing, and after they are pulled out the remaining “dry” gas (mostly methane) is sent to market to be burned. Right now, because the infrastructure is not in place, as much as 40% of the ethane is being left in the gas stream and burned in powerplants and homes. That is not an ideal situation and infrastructure is already improving to capture and store more liquids. ACC assumes that five ethane “crackers” will eventually be built to produce products from natural gas in the region, including one already under construction in Beaver County, Pennsylvania.
Our region is so attractive to the oil and gas industry in part because of the dedicated workforce that makes production in this area so reliable. Securing exploration and production rights in Ohio, Pennsylvania, and West Virginia is easy when you team up with dedicated professionals like those at Cimmaron Land. Call us if you want to learn more.