Is the future of a plastics industry in the Appalachian Basin uncertain?
Tuesday, March 24, 2020
Just two years ago, the Trump administration and the chemical industry believed there was a huge growth potential for the development of a plastics manufacturing center in the Appalachian Basin, according to the Courier-Journal.
IHS Markit expected there to be the potential for as many as five ethane cracker plants with the capability to turn ethane from fracking in the Marcellus in Utica shales into ethylene and polyethylene — the most commonly produced petrochemicals and components of plastic products.
However, more recently analysts have concluded that a proposed $5.7 billion ethane plant in Belmont County, Ohio, may never be constructed because of circumstances, including coronavirus pandemic, a crashing economy, cratering oil prices, slowing demand for plastics and what could be the final months of a fossil fuel-friendly Trump administration. The plant’s fate is seen as a sign of trouble for the future of the Appalachian Basin becoming a major petrochemical hub.
Learn more: Courier-Journal > Market headwinds buffet Appalachia’s future as center for petrochemicals
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Shale FAQ
What is fracking?
Fracking is a slang term for hydraulic fracturing. Fracturing is a process by which highly pressurized fluid is pumped thousands of feet into the ground to fracture rock formations. The goal is to release the natural gas that’s locked inside the rock.
Is it safe?
What most concerns people about fracturing is ground water contamination. The worry is that fractures underground, caused by the process, will extending upwards and into aquifers, releasing gas and chemicals into the ground water supply. There’s been no confirmed reports of such a thing happening. Though surface spills and drill site blowouts can lead to localized environmental concerns.
Will my water catch on fire?
Flammable water is caused by the release of methane gas into a drinking water supply. Methane gas occurs naturally and can be released by any kind of drilling, including water wells. In Pennsylvania officials fined Chesapeake Energy $1 million for contaminating ground water with methane. It was determined that the company had not properly cemented it’s boreholes and gas migrated up the well, between rock and into aquifers.