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The Underlying Politics and Unconventional Well Fundamentals of an Appalachian Storage Hub

FracTracker is closely mapping and following the petrochemical build-out in Appalachia, as the oil and gas industry invests in petrochemical manufacturing. Much of the national attention on the build-out revolves around the Appalachian Storage Hub (ASH), a venture spearheaded by Appalachian Development Group.

The ASH involves a network of infrastructure to store and transport natural gas liquids and finds support across the political spectrum. Elected officials are collaborating with the private sector and foreign investors to further development of the ASH, citing benefits such as national security, increased revenue, job creation, and energy independence.

Left out of the discussion are the increased environmental and public health burdens the ASH would place on the region, and the fact that natural gas liquids are the feedstock of products such as plastic and resins, not energy.

The “Shale Revolution”

the allegheny plateau

The Allegheny Plateau. Wikipedia

The “Shale Revolution” brought on by high-volume hydraulic fracturing (fracking) in this region encompasses thousands of wells drilled into the Marcellus and Utica-Point Pleasant shale plays across much of the Allegheny Plateau. This area spans from north of Scranton-Wilkes Barre, Pennsylvania, just outside the Catskills Mountains to the East in Susquehanna County, Pennsylvania, and down to the West Virginia counties of Logan, Boone, and Lincoln.  The westernmost extent of the fracking experiment in the Marcellus and Utica shale plays is in Noble and Guernsey Counties in Ohio.

Along the way, producing wells have exhibited steeper and steeper declines during the first five years of production, leading the industry to develop what they refer to as “super laterals.” These laterals (the horizontal portion of a well) exceed 3 miles in length and require in excess of 15 million gallons of freshwater and 15,000 tons of silica sand (aka, “proppant”)[1].

The resource-intense super laterals are one way the industry is dealing with growing pressure from investors, lenders, the media, state governments, and the public to reduce supply costs and turn a profit, while also maintaining production. (Note: unfortunately these sources of pressures are listed from most to least concerning to industry itself!)

Another way the fracking industry is hoping to make a profit is by investing in the region’s natural gas liquids (NGLs), such as ethane, propane, and butane, to support the petrochemical industry.

The Appalachian Storage Hub

Continued oil and gas development are part of a nascent effort to establish a mega-infrastructure petrochemical complex,  the Appalachian Storage Hub (ASH). For those that aren’t familiar with the ASH it could be framed as the fracking industry’s last best attempt to lock in their necessity across Appalachia and nationwide. The ASH was defined in the West Virginia Executive as a way to revitalize the Mountain State and would consist of the following:

“a proposed underground storage facility that would be used to store and transport natural gas liquids (NGLs) extracted from the Marcellus, Utica and Rogersville shales across Kentucky, Ohio, Pennsylvania and West Virginia. Construction of this hub would not only lead to revenue and job creation in the natural gas industry but would also further enable manufacturing companies to come to the Mountain State, as the petrochemicals produced by shale are necessary materials in most manufacturing supply chains…[with] the raw materials available in the region’s Marcellus Shale alone…estimated to be worth more than $2 trillion, and an estimated 20 percent of this shale is composed largely of ethane, propane and butane NGLs that can be utilized by the petrochemical industry in the manufacturing of consumer goods.”

This is yet another example of fracking rhetoric that appeals to American’s sense of patriotism and need for cheaper consumer goods (in this case, plastics), given that they are seeing little to no growth in wages.

While a specific location for underground storage has not been announced, the infrastructure associated with the ASH (such as pipelines, compressor stations, and processing stations) would stretch from outside Pittsburgh down to Catlettsburg, Kentucky, with the latter currently the home of a sizeable Marathon Oil refinery. The ASH “would act like an interstate highway, with on-ramps and off-ramps feeding manufacturing hubs along its length and drawing from the available ethane storage fields. The piping would sit above-ground and follow the Ohio and Kanawha river valley.”

The politics of the ASH – from Columbus and Charleston to Washington DC

Elected officials across the quad-state region are supporting this effort invoking, not surprisingly, its importance for national security and energy independence.

State-level support

West Virginia Senator Joe Manchin (D) went so far as to introduce “Senate Bill 1064 – Appalachian Energy for National Security Act.”  This bill would require Secretary of Energy Rick Perry and his staff to “to conduct a study on the national security implications of building ethane and other natural-gas-liquids-related petrochemical infrastructure in the United States, and for other purposes.”

Interestingly, the West Virginia Senator told the West Virginia Roundtable Inc’s membership meeting that the study would not examine the “national security implications” but rather the “additional security benefits” of an Appalachian Storage Hub and cited the following to pave the way for the national security study he is proposing: “the shale resource endowment of the Appalachian Basin is so bountiful that, if the Appalachian Basin were an independent country, the Appalachian Basin would be the third largest producer of natural gas in the world.”

Senator Manchin is not the only politician of either party to unabashedly holler from the Appalachian Mountaintops the benefits of the ASH. Former Ohio Governor, and 2016 POTUS primary participant, John Kasich (R) has been a fervent supporter of such a regional planning scheme. He is particularly outspoken in favor of the joint proposal by Thailand-based PTT Global Chemical and Daelim to build an ethane cracker in Dilles Bottom, Ohio, across the Ohio River from Moundsville, West Virginia. The ethane cracker would convert the region’s fracked ethane into ethylene to make polyethylene plastic. This proposed project could be connected to the underground storage component of the ASH.

The Democratic Pennsylvania Governor Tom Wolf has consistently advocated for the project, going so far as to sign “an unprecedented agreement at the Tri-State Shale Summit, promising collaboration between the states in securing crackers for the region and, by extension, support of the storage hub.”

Dilles Bottom, OH ethane cracker site. Photo by Ted Auch, aerial assistance provided by LightHawk.

Not to be outdone in the ASH cheerleading department, West Virginia Governor Jim Justice (R), who can’t seem to find any common ground with Democrats in general nor Senator Manchin specifically, is collaborating with quad-state governors on the benefits of the ASH. All the while, these players ignore or dismiss the environmental, social, and economic costs of such an “all in” bet on petrochemicals and plastics.

Even the region’s land-grant universities have gotten in on the act, with West Virginia University’s Appalachian Oil and Natural Gas Research Consortium and Energy Institute leading the way. WVU’s Energy Institute Director Brian Anderson pointed out that, “Appalachia is poised for a renaissance of the petrochemical industry due to the availability of natural gas liquids. A critical path for this rebirth is through the development of infrastructure to support the industry. The Appalachian Storage Hub study is a first step for realizing that necessary infrastructure.”

National-level support

The Trump administration, with the assistance of Senator Manchin’s “Senate Bill 1337 – Capitalizing on American Storage Potential Act”, has managed to stretch the definition of the Department of Energy’s Title XVII loan guarantee to earmark $1.9 billion for the Appalachian Development Group, LLC (ADG) to develop the ASH, even though any project that receives such a loan must:

  1. utilize a new or significantly improved technology;
  2. avoid, reduce or sequester greenhouse gases;
  3. be located in the United States; and,
  4. have a reasonable prospect of repayment.

This type of Public-Private Investment Program  is central planning at its finest, in spite of the likelihood that the prospects of the ASH meeting the second and fourth conditions above are dubious at best (even if the project utilizes carbon capture and storage technologies).

Public-Private Investment Programs have a dubious past. In her book “Water Wars,” Vandana Shiva discusses the role of these programs globally and the involvement of institutions like the World Bank and International Monetary Fund:

“public-private partnerships”…implies public participation, democracy, and accountability.  But it disguises the fact that the public-private partnership arrangements usually entail public funds being available for the privatization of public goods…[and] have mushroomed under the guise of attracting private capital and curbing public-sector employment.”

In response to the Department of Energy’s Title XVII largesse, Congresswoman Pramila Jayapal and Ilhan Omar introduced Amendment 105 in Rule II on HR 2740. According to Food and Water Watch, this amendment would restrict “the types of projects the Department of Energy could financially back. It would block the funding for ALL projects that wouldn’t mitigate climate change.”

On Wednesday, June 19th Congress voted 233-200 along party lines to pass the amendment, preventing funds from the Energy Policy Act of 2005  to be provided to any “project that does not avoid, reduce, or sequester air pollutants or anthropogenic emissions of greenhouse gases”.

International interest

The only condition of Department of Energy’s Title XVII loan program ASH is guaranteed to meet is the third (be located in the United States), but as we’ve already mentioned, the level of foreign money involved complicates the domestic facade.

Foreign involvement in the ASH lends credence to Senator Manchin’s and others’ concerns about where profits from the ASH will go, and who will be reaping the benefits of cheap natural gas. The fact that the ASH is being heavily backed by foreign money is the reason Senator Manchin raised an issue with the outsized role of state actors like Saudi Arabia and China as well as likely state-backed private investments like PTT Global Chemical’s. The Senator even cited how a potential $83.7 billion investment in West Virginia from China’s state-owned energy company, China Energy, would compromise “domestic manufacturing and national security opportunities.”

“Critical” infrastructure

With all of the discussion and legislation focused on energy and national security, many don’t realize the output of the ASH would be the production of petroleum-based products: mainly plastic, but also fertilizers, paints, resins, and other chemical products.

Not coincidentally, Republican Ohio State Representatives George Lang and Don Jones just introduced House Bill 242, and attempt to support the plastic industry by “prohibit[ing] the imposition of a tax or fee on [auxiliary or plastic] containers, and to apply existing anti-littering law to those containers.”

There will most certainly be a battle in the courts between the state and urban counties like Cuyahoga County, Ohio, who’s council just voted to ban plastic bags countywide on May 28.

Bills like this and the not unrelated “critical infrastructure” bills being shopped around by the American Legislative Exchange Council will amplify the rural vs urban and local vs state oversight divisions running rampant throughout the United States.  The reason for this is that yet another natural resource boom/bust will be foisted on Central Appalachia to fuel urban growth and, in this instance, the growth and prosperity of foreign states like China.

Instead of working night and day to advocate for Appalachia and Americans more broadly, we have legislation in statehouses around the country that would make it harder to demonstrate or voice concerns about proposals associated with the ASH and similar regional planning projects stretching down into the Gulf of Mexico.

Producing wells mapped

Impacts from the ASH and associated ethane cracker proposals will include but are not limited to: an increase in the permitting of natural gas wells, an increase in associated gas gathering pipelines across the Allegheny Plateau, and an exponential increase in the production of plastics, all of which are harmful to the region’s environment and the planet.

The production of the region’s fracked wells will determine the long-term viability of the ASH. From our reading of things, the permitting trend we see in Ohio will have to hit another exponential inflection point to “feed the beast” as it were. Figure 1 shows an overall decline in the number of wells drilled monthly in Ohio.

Figure 2, below it, shows the relationship between the number of wells that are permitted verse those that are actually drilled.

Figures 1. Monthly (in blue) and cumulative (in orange) unconventional oil and gas wells drilled in Ohio, January, 2013 to November, 2018

 

 Figure 2. Permitted Vs Drilled Wells in Ohio, January, 2013 to November, 2018

That supply-demand on steroids interaction will likely result in an increased reliance on “super laterals” by the high-volume hydraulic fracturing industry. These laterals require 5-8 times more water, chemicals, and proppant than unconventional laterals did between 2010 and 2012.

Given this, we felt it critical to map not just the environmental impacts of this model of fracking but also the nuts and bolts of production over time. The map below shows the supply-demand links between the fracking industry and the ASH, not as discrete pieces or groupings of infrastructure, but rather a continuum of up and downstream patterns.

The current iteration of the map shows production values for oil, natural gas, and natural gas liquids, how production for any given well changes over time, and production declines in newer wells relative to those that were fracked at the outset of the region’s “Shale Revolution.” Working with volunteer Gary Allison, we have compiled and mapped monthly (Pennsylvania and West Virginia) and quarterly (Ohio)[2] natural gas, condensate, and natural gas liquids from 2002 to 2018.

This map includes 15,682 producing wells in Pennsylvania, 3,689 in West Virginia, and 2,064 in Ohio. We’ve also included and will be updating petrochemical projects associated with the ASH, either existing or proposed, across the quad-states including the proposed ethane cracker in Dilles Bottom, Ohio and the ethane cracker under construction in Beaver County, Pennsylvania, along with two rumored projects in West Virginia.


View Map Full Screen

Conclusion

We will continue to update this map on a quarterly basis, will be adding Kentucky data in the coming months, and will be sure to update rumored/proposed petrochemical infrastructure as they cross our radar. However, we can’t be everywhere at once so if anyone reading this hears of legitimate rumors or conversations taking place at the county or township level that cite tapping into the ASH’s infrastructural network, please be sure to contact us directly at info@fractracker.org.

By Ted Auch, Great Lakes Program Coordinator, FracTracker Alliance with invaluable data compilation assistance from Gary Allison

Feature Photo: Ethane cracker plant under construction in Beaver County, PA. Photo by Ted Auch, aerial assistance provided by LightHawk.

[1] For a detailed analysis of the HVHF’s increasing resource demand and how lateral length has increased in the last decade the reader is referred to our analysis titled “A Disturbing Tale of Diminishing Returns in Ohio” Figures 12 and 13.

[2] Note: For those Bluegrass State residents or interested parties, Kentucky data is on its way!

Mapping the Petrochemical Build-Out Along the Ohio River

New maps show the build-out of oil and gas infrastructure that converts the upper Ohio River Valley’s fracked gas into petrochemical products

In 2004, Range Resources purchased land in Washington County, Pennsylvania and “fracked” the first well in the Marcellus Shale, opening the flood gates to a wave of natural gas development.

Since then, oil and gas companies have fracked thousands of wells in the upper Ohio River Valley, from the river’s headwaters in Pennsylvania, through Ohio and West Virginia, and into Kentucky.

Industry sold natural gas as a “bridge fuel” to renewable energy, but 15 years since the first fracked Marcellus well, it’s clear that natural gas is more of a barrier than a bridge. In fact, oil and gas companies are not bridging towards clean energy at all, but rather investing in the petrochemical industry- which converts fracked gas into plastic.

This article dives into the expanding oil, gas, and petrochemical industry in the Ohio River Valley, with six maps and over 16,000 data points detailing the build-out of polluting infrastructure required to make plastic and other petrochemical products from fossil fuels.

Fracking for plastic

The petrochemical industry is expanding rapidly, with $164 billion planned for new infrastructure in the United States alone. Much of the build-out involves expanding the nation’s current petrochemical hub in the Gulf Coast, yet industry is also eager to build a second petrochemical hub in the Ohio River Valley.

The shale rock below the Ohio River Valley releases more than methane gas used for energy. Fracked wells also extract natural gas liquids (NGLs) which the petrochemical industry manufactures into products such as plastic and resins. Investing in the petrochemical industry is one way to capitalize on gases that would otherwise be released to the atmosphere via venting and flaring. As companies continue to spend billions more on drilling than they’re bringing in, many are looking towards NGLs as their saving grace.

These maps look at a two-county radius along the upper Ohio River where industry is most heavily concentrated.

Step 1. Extraction

The petrochemical lifecycle begins at the well, and there are a lot of wells in the Ohio River Valley. The majority of the natural gas produced here is extracted from the Marcellus and Utica Shale plays, which also contain “wet gas,” or NGLs, such as ethane, propane, and butane.

Rig in Greene County, PA. Photo by Ted Auch.

12,507

active, unconventional wells in the upper Ohio River Valley

Of particular interest to the petrochemical industry is the ethane in the region, which can be “cracked” into ethylene at high temperatures and converted into polyethylene, the most common type of plastic. The Department of Energy predicts that production of ethylene from ethane in the Appalachian Basin will reach 640,000 barrels a day by 2025 – that’s 20 times the amount produced in 2013.

In our first map, we attempted to show only active and unconventional (fracked) wells, a difficult task as states do not have a uniform definition for “unconventional” or “active.” As such, we used different criteria for each state, detailed below.

This map shows 12,660 wells, including:

  • 12,507 shale oil and gas wells:
    • 5,033 wells designated as “active” and “unconventional” in Pennsylvania
    • 2,971 wells designated as “drilled,” “permitted,” or “producing,” and are drilled in the Utica-Point Pleasant and Marcellus Shale in Ohio
    • 4,269 wells designated as “active” or “drilled” in the Marcellus Shale in West Virginia
    • 234 wells designated as “horizontal” and are not listed as abandoned or plugged in Kentucky
  • 153 Class II injection wells, which are used for the disposal of fracking wastewater
    • 2 in Pennsylvania
    • 101 in Ohio
    • 42 in West Virginia
    • 8 in Kentucky

The map also shows the Marcellus and Utica Shale plays, and a line demarcating the portions of these plays that contain higher quantities of wet gas. These wet gas regions are of particular interest to the petrochemical industry. Finally, the Devonian-Ohio Shale play is visible as you zoom in.

View Map Full Screen | How FracTracker Maps Work

Step 2. Transportation

Burned hillside near Ivy Lane after the Revolution Pipeline Exploded

Site of the Revolution Pipeline explosion. Photo: Darrell Sapp, Post Gazette.

A vast network of pipelines transports the oil and gas from these wells to processing stations, refineries, power plants, businesses, and homes. Some are interstate pipelines passing through the region on their way to domestic and international markets.

A number of controversial pipeline projects cross the Ohio River Valley. Construction of the Mariner East II Pipeline is under criminal investigation, the Revolution Pipeline exploded six days after it came on line, protesters are blocking the construction of the Mountain Valley Pipeline, and the Atlantic Coast Pipeline is in the Supreme Court over permits to cross the Appalachian Trail.

Accurate pipeline data is not typically provided to the public, ostensibly for national security reasons.  The result of this lack of transparency is that residents along the route are often unaware of the infrastructure, or whether or not they might live in harm’s way. While pipeline data has improved in recent years, much of the pipeline data that exists remains inaccurate. In general, if a route is composed of very straight segments throughout the rolling hills of the Upper Ohio River Valley, it is likely to be highly generalized.

The pipeline map below includes:

  • natural gas interstate and intrastate pipelines
  • 8 natural gas liquid pipelines
  • 7 petroleum product pipelines
  • 3 crude oil pipelines
  • 18 pipeline projects that are planned or under construction for the region, including 15 natural gas pipelines and 3 natural gas liquids pipelines. To view a spreadsheet of these pipelines, click here.

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Step 3. Oil and Gas Transport and Processing

Pipelines transport oil and the natural gas stream to an array of facilities. Compressor stations and pumping stations aid the movement of the products through pipelines, while processing stations separate out the natural gas stream into its different components, including NGLs, methane, and various impurities.

At this step, a portion of the extracted fossil fuels are converted into sources of energy: power plants can use the methane from the natural gas stream to produce electricity and heat, and oil refineries transform crude oil into products such as gasoline, diesel fuel, or jet fuel.

A separate portion of the fuels will continue down the petrochemical path to be converted into products such as plastics and resins. Additionally, a significant portion of extracted natural gas leaks unintentionally as “fugitive emissions” (an estimated 2-3%) or is intentionally vented into the atmosphere when production exceeds demand.

This map shows 756 facilities, including:

  • 29 petroleum and natural gas power plants
    • 3 electric utilities
    • 24 independent power producers
    • 1 industrial combined heat and power (CHP) plant
    • 1 industrial power producer (non CHP)
  • 10 pumping stations, which assist in the transmission of petroleum products in pipelines
  • 645 compressor stations to push natural gas through pipelines
  • 21 gas processing plants which separate out NGLs, methane, and various impurities from the natural gas stream
  • 46 petroleum terminals, which are storage facilities for crude and refined petroleum products, often adjacent to intermodal transit networks
  • 3 oil refineries, which convert crude oil into a variety of petroleum-based products, ranging from gasoline to fertilizer to plastics
  • 2 petroleum ports, which are maritime ports that process more than 200 short tons (400,000 pounds) of petroleum products per year

*A small portion of these facilities are proposed or in construction, but not yet built. Click on the facilities for more information. 

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Step 4. Storage

After natural gas is extracted from underground, transported via pipeline, and separated into dry gas (methane) and wet gas (NGLs), its components are often pumped back underground for storage. With the expansion of the petrochemical industry, companies are eager to find opportunities for NGL storage.

Underground storage offers a steady supply for petrochemical manufacturers and allows industry to adapt to fluctuations in demand. A study out of West Virginia University identified three different types of NGL storage opportunities along the Ohio and Kanawha River valleys:

  1. Mined-rock cavern: Companies can mine caverns in formations of limestone, dolomite, or sandstone. This study focused on caverns in formations of Greenbrier Limestone.
  2. Salt cavern: Developing caverns in salt formations involves injecting water underground to create a void, and then pumping NGLs into the cavern.
  3. Gas field: NGLs can also be stored in natural gas fields or depleted gas fields in underground sandstone reservoirs.

Above-ground tanks offer a fourth storage option.

Natural gas and NGL storage contains many risks. These substances are highly flammable, and accidents or leaks can be fatal. A historically industrialized region, the Ohio River Valley is full of coal mines, pipelines, and wells (including abandoned wells with unknown locations). All of this infrastructure creates passages for NGLs to leak and can cause the land above them to collapse. As many of these storage options are beneath the Ohio River, a drinking water supply for over 5 million people, any leak could have catastrophic consequences.

Furthermore, there are natural characteristics that make the geology unsuitable for underground storage, such as karst geological formations, prone to sinkholes and caves.

Notable Storage Projects

Appalachia Development Group LLC is heading the development of the Appalachia Storage & Trading Hub initiative, “a regional network of transportation, storage and trading of Natural Gas Liquids and chemical intermediates.” The company has not announced the specific location for the project’s storage component. Funding for this project is the subject of national debate; the company applied for a loan guarantee through a federal clean energy program, in a move that may be blocked by Congress.

Energy Storage Ventures LLC plans to construct the Mountaineer NGL Storage facility near Clarington, Ohio along the Ohio River. This facility involves salt cavern storage for propane, ethane, and butane. To supply the facility, the company plans to build three pipelines beneath the Ohio River: two pipelines (one for ethane and one for propane and butane) would deliver NGLs to the site from Blue Racer Natrium processing plant. A third pipeline would take salt brine water from the caverns to the Marshall County chlorine plant (currently owned by Westlake Chemical Corp).

The storage map below shows potential NGL storage sites to feed petrochemical infrastructure as well as natural gas storage for energy production:

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Step 5. Petrochemical Manufacturing

While conventional oil and gas extraction has occurred in the region for decades, and fracking for 15 years, the recent petrochemical build-out adds an additional environmental and health burdens to the Ohio River Valley. Our final map represents the facilities located “downstream” in the petrochemical process which convert fossil fuels into petrochemical products.

An image of plastic pellets

Polyethylene pellets, also called nurdles, manufactured by ethane crackers. Image source.

Ethane Crackers

Much of the petrochemical build-out revolves around ethane crackers, which convert ethane from fracked wells into small, polyethylene plastic pellets. They rely on a regional network of fracking, pipelines, compressor stations, processing stations, and storage to operate.

In 2017, Royal Dutch Shell began construction on the first ethane cracker to be built outside of the Gulf Coast in 20 years. Located in Beaver County, Pennsylvania, this plant is expected to produce 1.6 million tons of polyethylene plastic pellets per year. In the process, it will release an annual 2.2 million tons of carbon dioxide (CO2).

A second ethane cracker has been permitted in Belmont County, Ohio. Several organizations, including the Sierra Club, Center for Biological Diversity, FreshWater Accountability Project, and Earthworks have filed an appeal against Ohio EPA’s issuance of the air permit for the PTTGC Ethane Cracker.

Shell Ethane Cracker

The Shell Ethane Cracker, under construction in Beaver County, is expected to produce 1.6 million tons of plastic per year. Photo by Ted Auch, aerial assistance provided by LightHawk.

Methanol plants also convert part of the natural gas stream (methane) into feedstock for a petrochemical product (methanol). Methanol is commonly used to make formaldehyde, a component of adhesives, coatings, building materials, and many other products. In addition to methanol plants and ethane crackers, the map below also shows the facilities that make products from feedstocks, such as fertilizer (made from combining natural gas with nitrogen to form ammonia, the basis of nitrogen fertilizer), paints, and of course, plastic.

These facilities were determined by searching the EPA’s database of industrial sites using the North American Industry Classification System (NAICS).

In total, we mapped 61 such facilities:

  • 2 methanol plants (both in construction)
  • 3 ethane crackers (one in construction, one under appeal, and one uncertain project)
  • 12 petrochemical manufacturing facilities (NAICS code 32511)
  • 31 plastic manufacturing facilities
    • 2 plastic bag and pouch manufacturing facilities (NAICS code 326111)
    • 2 plastic packaging materials and unlaminated film and sheet manufacturing facilities (NAICS code 32611)
    • 2 plastic packaging film and sheet (including laminated) manufacturing facilities (NAICS code 326112)
    • 1 unlaminated plastic film and sheet (except packaging) manufacturing facility (NAICS code 326113)
    • 1 unlaminated plastics profile shape manufacturing facility (NAICS code 326121)
    • 2 laminated plastics plate, sheet (except packaging), and shape manufacturing facilities (NAICS code 32613)
    • 21 facilities listed as “all other plastics product manufacturing” (NAICS code 326199)
  • 11 paint and coating manufacturing facilities (NAICS code 325510)
  • 2 nitrogenous fertilizer manufacturing facilities (NAICS code 325311)

View Map Full Screen | How FracTracker Maps Work

Visualizing the Build-Out

How are these facilities all connected? Our final map combines the data above to show the connections between the fossil fuel infrastructure. To avoid data overload, not all of the map’s features appear automatically on the map. To add features, view the map full screen and click the “Layers” tab in the top right tool bar.

View Map Full Screen | How FracTracker Maps Work

A better future for the Valley

The expansion of oil and gas infrastructure, in addition to the downstream facilities listed above, has rapidly increased in the last few years. According to the Environmental Integrity Project, regulatory agencies in these four states have authorized an additional 15,516,958 tons of carbon dioxide equivalents to be emitted from oil and gas infrastructure since 2012. That’s in addition to emissions from older oil and gas infrastructure, wells, and the region’s many coal, steel, and other industrial sites.

View the Environmental Integrity Project’s national map of emission increases here, which also includes permit documents for these new and expanding facilities.

The petrochemical build-out will lock in greenhouse gas emissions and plastic production for decades to come, ignoring increasingly dire warnings about plastic pollution and climate change. A recent report co-authored by FracTracker Alliance found that the greenhouse gas emissions across the plastic lifecycle were equivalent to emissions from 189 coal power plants in 2019 – a number that’s predicted to rise in coming years.

What does the petrochemical build out look like in the Ohio River Valley?

 

But it doesn’t have to be this way. The oil and gas industry’s plan to increase plastic manufacturing capacity is a desperate attempt to stay relevant as fracking companies “hemorrhage cash” and renewable energy operating costs beat out those of fossil fuels. Investing instead in clean energy, a less mechanized and more labor intensive industry, will offer more jobs and economic opportunities that will remain relevant as the world transitions away from fossil fuels.

In fact, the United States already has more jobs in clean energy, energy efficiency, and alternative vehicles than jobs in fossil fuels. It’s time to bring these opportunities to the Ohio River Valley and bust the myth that Appalachian communities must sacrifice their health and natural resources for economic growth.

People gather at the headwaters of the Ohio River to advocate for the sustainable development of the region. Add your voice to the movement advocating for People Over Petro by signing up for the coalition’s email updates today!

Download the maps

 

 

 

 

 

 

 

This data in this article are not exhaustive. FracTracker will be updating these maps as data becomes available.

By Erica Jackson, Community Outreach and Communications Specialist, FracTracker Alliance

The Hidden Costs of a Plastic Planet

Plastic has been getting a lot of negative press lately.

It’s killing marine life, forming vortexes in the ocean, and being burned instead of recycled. But until recently, most of the attention has focused on plastic pollution – the waste that turns up after a product has served its purpose.

Now that’s changed- the Center for International Environmental Law (CIEL) has recently released “Hidden Costs of a Plastic Planet;” two reports that show us the consequences of plastic across its entire lifecycle. The first, Plastic & Health, explores human health impacts, while the second Plastic & Climate, tackles greenhouse gas emissions.

For the first time, we know the full scope of plastic’s impact – and it’s not looking good.

FracTracker is proud to partner with CIEL and several other organizations, including Earthworks, 5 Gyres, TEJAS, UPSTREAM, GAIA, Exeter University, and Environmental Integrity Project to release these reports.

Access the full reports and executives summaries here:

 

You know, now what?

These reports make it clear: the impacts of plastic are serious, and they’re everywhere. We have the evidence to justify an immediate global move away from our disposable, single-use lifestyle. Tackling this toxic crisis will require action across all levels of society- corporations must consider the full life cycle of their products, policy makers must enact plastic reduction measures, and of course, industry needs to rectify its toxic impacts. Eager to encourage these entities to take action, the FracTracker team is committed to doing our own part to solve this plastics problem, and we hope that it inspires individuals, companies, community leaders, and politicians to join in.

Here’s what we’re doing to help the world #BreakFreeFromPlastic:

1. Continue working towards a world free from oil and gas.

Since over 99% of plastic is made from oil and gas, keeping fossil fuels in the ground is the only way to eliminate all of plastic’s toxic impacts. Plastic & Climate found that extracting and transporting oil and gas for plastic production releases over 100 million metric tons of carbon dioxide equivalents per year. There are many opportunities for these releases to occur, including from methane leakage and flaring, the drilling process, deforestation of forests for pipelines and well pads, and emissions from truck traffic.

Pipeline construction causes deforestation, releasing carbon stored in trees and preventing further carbon sequestration

The FracTracker team will continue to study, map, and analyze the risks of this industry to encourage both a switch to renewable energy and a movement away from plastic production.

2. Expose the risks of the fracking-driven plastics boom in the Gulf Coast & Ohio River Valley

Unconventional technology has opened up access to large reserves of natural gas liquids, such as ethane, and plastic manufacturing is one way to increase demand for this glut. In fact, the oil and gas industry is hoping to increase demand for plastic worldwide by 40%! Two regions with access to natural gas liquids that are rapidly expanding plastics manufacturing capacity are the Gulf Coast and the Ohio River Valley.

Eager to justify this build-out, politicians and industries tout the ways plastic is part of a sustainable future. They say that without investing in plastic, we’re not taking full advantage of our resources, and that by using natural gas to make plastic instead of burning it, we’re keeping greenhouse gasses from entering the atmosphere. Speaking on manufacturing plastic from natural gas with public radio station WHYY, Pennsylvania’s Governor Wolf stated:

“I want to move to a point where what we’re using the gas for is for products that go into that sustainable energy future: lightweight products…so that we’re not burning this, we’re actually creating products that would make that energy future that we all want, that would address the issues of climate change in an effective way.”

The Shell Ethane Cracker in Pennsylvania is projected to produce 1.6 million tons of plastic per year, which Governor Wolf states is part of a “sustainable energy future.” Photo by Ted Auch, aerial assistance by LightHawk.

But the data say otherwise.

Plastic does not address the issues of climate change. In fact, using natural gas for plastic perpetuates climate change. Climate & Plastics found that this year, “the production and incineration of plastic will add more than 850 million metric tons of greenhouse gases to the atmosphere—equal to the emissions from 136 one-thousand-megawatt coal power plants.” If plastic production grows as currently predicted, by 2030, emissions could reach 1.34 gigatons per year, or 291 new coal plants.

The rate of plastic production is directly at odds with global carbon emissions targets.

While plastic can be used for lightweight parts of electric vehicles or reusable materials, the plastic being produced by the current build out is primarily polyethylene plastic, most commonly used for packaging and single use products- plastic bags, bottles, jugs, containers, and plastic films and linings; products that countries and cities are phasing out.

3. Encourage plastic alternatives

While renewable energy is becoming increasingly available, so too are plastic alternatives. Across the world, communities are rethinking the products we use everyday. Thanks to historic legislation, zero waste stores,  and towns, and plastic-free bloggers, it’s never been a better time to cut back on plastic – and the FracTracker team is doing our part.

Rebecca, our Administrative and Human Resources Specialist, has cut her plastic use by switching to toothpaste tablets and bars of soap. Karen, our Eastern Program Coordinator, makes her own reusable beeswax food wraps. And Erica Jackson and Isabelle Weber in the Pittsburgh office keep reusable utensils in their backpacks. The whole team is cutting back on single-use plastic products, and are always on the look-out for non oil and gas-based products.

We also realize that with companies like Coca Cola selling 3,000 plastic bottles every second, and Nestlé  producing 1.7 million tons of plastic packaging a year, corporations play a key role in this movement.

Through the Story of Stuff’s #Messageinabottle project and Greenpeace’s #Isthisyours campaign, we’re also encouraging corporations to reimagine how the package and transport products.

Now YOU know, what will you do to help your company, community, or yourself #BreakFreeFromPlastic?

Appalachia storage hub prospects map by FracTracker

Storing Natural Gas Liquids in Appalachia

Last month, the Department of Energy (DOE) submitted a report titled Ethane Storage and Distribution Hub in the United States to Congress. The report sums up several other recent geologic studies and economic analyses that evaluate the potential to create a large petrochemical hub in southwest Pennsylvania, Ohio, West Virginia, and northeastern Kentucky.

Most people call this region Appalachia because of the mountains, or the Ohio River Valley because of the namesake river. The petrochemical industry looks deeper: they’ve branded it Shale Crescent USA, after the shale gas thousands of feet underground. This article summarizes recent developments on storing natural gas liquids, including ethane, in this region – whatever you prefer to call it.

Background

The United States currently produces more natural gas than any other country in the world, with much of the fracked gas coming from the Marcellus and Utica shales in Appalachia. The DOE report predicts that production in this region will continue growing from an estimated at 8.19 trillion cubic feet (Tcf) in 2017, to 13.55 Tcf in 2025 and 19.5 Tcf in 2050.

Natural Gas Production Estimates:

8.19 Tcf in 2017
13.55 Tcf in 2025
19.5 Tcf in 2050

In addition to oil and gas, fracking produces natural gas liquids (NGLs), such as ethane, propane, and butane. NGLs are a key component of the petrochemical industry, which takes these resources and converts them into plastics and resins. As industry extracts more natural gas, it will also be left with more NGLs to manage.

Hoping to profit off NGLs, the oil and gas industry is investing in petrochemical production. In the Appalachian basin, the DOE predicts that production of ethylene from ethane will reach 640,000 barrels a day by 2025 (this is 20 times the amount the region produced in 2013). The Gulf Coast of the U.S., as well as countries in Asia and the Middle East, are also growing their production capacities. Globally, ethylene production is projected to grow 31% from 2017 to 2025.

The rise of the petrochemical industry is coming at a point when there’s an increasing global awareness of the disaster that is plastic pollution. As much as 12.7 million tons of plastic waste goes into the ocean each year, affecting over 700 species of marine animals. On land, plastic waste is often shipped to less developed nations, where it ends up polluting poor communities and contaminating their drinking water and air.

Nevertheless, politicians in PA, OH, and WV are working hard to attract petrochemical build-out in Appalachia. The region already houses much of the infrastructure needed for a petrochemical hub, such as fracked wells that pump out NGLs and processing plants to separate these liquids from the rest of the natural gas stream. One thing it’s missing, however, is significant capacity to store natural gas liquids – particularly ethane.

Why does industry need storage?

Ethane storage offers several benefits to the petrochemical industry. For one, it would serve as a steady supply of ethane for plants like ethane crackers, which “crack” ethane into ethylene to make polyethylene plastic. With this constant supply (transported to crackers via pipeline), plants can operate 24 hours a day, year round, and avoid using energy to shutdown and restart. Storage also allows industry to adapt to fluctuations in demand. If demand decreases, ethane can be set aside instead of being burned off when a natural gas stream is processed.

Another argument for expanding petrochemical activity in Appalachia is to diversify the industry’s geography. The current petrochemical hub in Texas and Louisiana (where over 95% of the country’s ethylene production takes place) is subject to extreme weather events. In 2017, Hurricane Harvey caused over half of the nation’s polyethylene production capacity to shut down. The report mentions “extreme weather events” multiple times as justification for building a petrochemical hub in Appalachia. This stance strongly suggests that the DOE is preparing for increased hurricanes and flooding from climate change, although this is never explicitly stated. Unsurprisingly, the industry’s role in causing climate change is left out from the report as well.

What does storage look like?

While the term ‘natural gas liquid’ may seem like an oxymoron, it refers to the different forms the substances take depending on temperature and pressure. At normal conditions, NGLs are a gas, but when pressurized or exposed to extremely cold temperatures,  they act as a liquid. NGLs occupy significantly less space as a liquid, and are therefore moved and stored as a pressurized or refrigerated liquid.

Storage can be in above ground tanks, but is often underground in gas fields or underground caverns. NGLs are highly volatile, and storing them above ground puts workers and surrounding communities at risk. For example – last week, an above ground storage tank exploded at a natural gas processing plant in Washington County, PA, sending four people to the hospital. While underground storage is often perceived as “safer,” it still poses significant risks, particularly in a geography like Appalachia full of wells, coal mines, and pipelines. This underground infrastructure can cause NGLs to leak during storage or the land above them to collapse.

A study out of West Virginia University, titled “A Geologic Study to Determine the Potential to Create an Appalachian Storage Hub For Natural Gas Liquids,” identified three different types of storage opportunities along the Ohio and Kanawha river valleys:

Underground storage options

  1. Mined-rock cavern: Companies can mine caverns in formations of limestone, dolomite, or sandstone. The formation must be at least 40 feet thick to hold NGLs. This study focused on formations of the Greenbrier Limestone, which occurs throughout southwestern Pennsylvania, West Virginia, and Kentucky.
  2. Salt cavern: Developing salt caverns involves injecting water underground to create a void, and then pumping NGLs into the cavern. Suitable salt caverns have “walls” at least 100 feet thick above and below the cavern. The study recommended salt caverns 1,500 to 3,000 feet deep, but considered those as deep as 6,700 feet.
  3. Gas field: NGLs can also be stored in natural gas fields or depleted gas fields in underground sandstone reservoirs. Suitable gas fields are 2,000 feet deep or more according to the WVU study.

Where could storage sites be located?

The West Virginia University study identified and ranked thousands of gas fields, several salt caverns, and many regions in the Greenbrier Limestone that could serve as NGL storage. Most of the top-ranked opportunities are in West Virginia, near the state’s borders with Ohio and Pennsylvania, and several cross beneath the Ohio or Kanawha rivers. The researchers conclude with three “prospects,” which are circled in Figure 1.

A map of storing natural gas liquids opportunities in the Ohio River Valley

Figure 1. NGL storage opportunities identified by the Appalachian Oil and Natural Gas Consortium at West Virginia University

The table below lists the specific storage opportunities in each prospect, as well as the available data on depth, thickness, and acreage of the formations. Also listed are the counties that the storage facility would cross into.

Name Type Depth (feet) Thickness (feet) Counties Land Size (acres)
Salina F4 Salt cavern Salt cavern >100 to 150 Primarily Columbiana, OH, also Hancock, WV & Beaver, PA 83,775
Salina F4 salt cavern Salt cavern 100 to 150 Primarily Jefferson, OH, also Brooke & Hancock WV, & Washington, PA 129,017
Ravenna-Best Consolidated Field Depleted gas field 4,107 to 6,497 25 to 156 Mahoning, OH 69,000
No specific field was ranked Gas field in Oriskany sandstone 3,000 to 7,000 0 to 70+ Throughout the prospect

Existing NGL Storage

Storage in the United States

Currently, the U.S. has two major NGL storage hubs (both in salt caverns): One is in Mont Belvieu, Texas and the other in Conway, Kansas. These facilities are strategically located near the petrochemical industry’s hub along the Gulf Coast. There is also underground storage in Sarnia, Ontario.

Industry in Appalachia is connected to these storage facilities via pipelines, including Sunoco’s Mariner West that transports ethane to Sarnia, and the Appalachia-Texas-Express (ATEX) pipeline that takes ethane to Mont Belvieu. However, as suggested above, NGL storage in Appalachia is also under development.

Appalachia Storage & Trading Hub

Appalachia Development Group LLC is heading the development of the Appalachia Storage & Trading Hub initiative. The company has not announced the specific location for underground storage, but has been working hard to secure the funds  for this development.

In September of 2017, Appalachia Development Group submitted part 1 of a 2-part application for a $1.9 billion loan to the US DOE Loan Program Office. The DOE approved the application the following January, inviting the company to submit the second part, which is currently pending. This second part goes through the DOE’s Title XVII innovative clean energy projects loan program.

According to the DOE, this program “provides loan guarantees to accelerate the deployment of innovative clean energy technology.” Paradoxically, this means the DOE may give clean energy funds to the petrochemical industry, which is fueled by fossil fuels and does not provide energy but rather plastic and resins.

Steven Hedrick, the CEO of Appalachia Development Group, was part of a West Virginia trade delegation that traveled to China in 2017 to meet with China’s largest energy company. This meeting, which included President Trump and China’s President Xi Jinping, resulted in China Energy agreeing to invest $83.7 billion to support natural gas and petrochemical development in West Virginia. (Of note: This agreement has faced uncertainty following Trump’s tariffs on Chinese goods). West Virginia Governor Jim Justice later criticized Hedrick’s involvement in the meeting, where he promoted the interests of his private company.

Mountaineer NGL Storage Project

Another company, Energy Storage Ventures LLC, has plans to construct NGL storage near Clarington, Ohio. This facility would be on land formerly belonging to Quarto Mining Company’s Powhatan Mine No. 4. Called “Mountaineer NGL Storage,” the project would develop salt caverns to store propane, ethane, and butane. Each cavern could store 500,000 barrels (21 million gallons) of NGLs.

The video below, made by the Energy Storage Ventures, describes the process of developing salt caverns for storage.

The Mountaineer NGL Storage Project location is about 12 miles south of the PTTGC ethane cracker (if built), in Dilles Bottom Ohio. It’s also roughly 60 miles south of the Shell ethane cracker (under construction) in Potter Township, PA. If developed, the project could supply these plants with ethane and allow them to continuously operate. According to Energy Storage Ventures President, David Hooker, the project would also trigger $500 million in new pipelines in the region and $1 billion in fractionation facilities to separate NGLs.

Energy Storage Ventures wants to build three pipelines beneath the Ohio River. Two pipelines (one for ethane and one for propane and butane) would deliver NGLs to the storage site from Blue Racer Natrium, a fractionation plant that separates dry natural gas from NGLs. A third pipeline would take salt brine water from the caverns to the Marshall County chlorine plant (currently owned by Westlake Chemical Corp). These facilities, as well as the locations of the two ethane crackers storage could serve, are in the map below. This map also includes the potential storage opportunities the researchers at West Virginia University identified.

View map full screen | How FracTracker maps work

Referring to concerns about building pipelines and caverns near the Ohio River, a drinking water source for 5 million people, the company’s president David Hooker stated, “This is not rocket science. These things have operated safely for years… Salt, at depth, is impermeable. You won’t see any migration out of the salt.”

This video is a rendering of what the 200-acre site will look like, including the salt water impoundment structure (capable of holding 3.25 million barrels), and the infrastructure needed to deliver products and equipment by rail and truck:

The company has stated that it owns both the land and mineral rights it needs to develop the caverns, but the project has also faced delays.

Where is this plastic going?

One common argument for a petrochemical hub in Appalachia is the region’s proximity to the downstream sector of petrochemical industry. Manufacturers such as PPG Industries, Dow Chemical Inc., and BASF are all based in the area and could make use of the feedstock from an Appalachian hub.

However, the report doesn’t make it clear where the plastic and resin end products will land. It does state that the demand in the United States isn’t enough to swallow up two major petrochemical hubs worth of plastic.

Export markets

The DOE report states that, “the development of new petrochemical capacity in Appalachia is not necessarily in conflict with Gulf Coast expansion.” Since the Gulf Coast already has the infrastructure for export, it could focus on international markets while Appalachia meets domestic demand. Alternatively, the Appalachian hub could serve European destinations while the Gulf Coast hub delivers to Pacific Basin and South American destinations. Plastic consumption is highly correlated with population, so countries with large, growing populations such as India and China are likely markets.

It’s important to note that the U.S. isn’t the only country increasing its production of petrochemical derivatives, and as the report notes, exports from the US “may face a challenge from global capacity surplus.” Figure 2 shows that global production of ethylene is expected to surpass global consumption, shown in Figure 3. The graph of consumption likely ignores the impact of plastic-reducing policies that hundreds of countries and cities are implementing. As such, it may be an over-estimation.

Historical and Projected Ethylene Production Capacity by Global Area

Figure 2. Historical and future ethylene production by global region. Source

Graph of ethylene consumption by global area.

Figure 3. Ethylene consumption by global region. Source

In the end, it appears that the industry’s plan is to build first, and worry about markets later, hoping that a growing supply of affordable plastic will increase consumption.

Perhaps the reason industry is so eager to forge a market is because oil and gas is struggling with a lot of debt. A study out of the Sightline Institute found that as of the first half of 2018, “US fracking-focused oil and gas companies continued their eight-year cash flow losing streak.”  The Center for International Environmental Law found that petrochemicals generally have a larger profit margin than oil and gas: “In 2015, ExxonMobil’s Chemicals segment accounted for roughly 10% of its revenues but more than 25% of its overall profits.”

Plastic is one way to subsidize this dying industry…

Beyond Storing Natural Gas Liquids

The motive behind developing storage is to catalyze and support a major industry. The DOE report states that the new infrastructure required “would include gathering lines, processing plants, fractionation facilities, NGLs storage facilities, ethane crackers, and then…plants for polyethylene, ethylene dichloride, ethylene oxide, and other infrastructure.” A hub would require more fracking and wastewater injection wells, cause even more heavy truck traffic that adds stress to roadways, and require additional power plant capacity to serve its electricity demand.

In other words, an Appalachia petrochemical hub would profoundly impact the region. The report contains an in-depth analysis of the economic impacts, but fails to mention any environmental concerns, social impacts on communities, or health effects. The other major studies on this buildout,  mentioned above, follow a similar pattern.

A quick look at industry along the Gulf Coast tells you that environmental, social, and health concerns are very real and produce their own economic debts. The petrochemical industry has created a “cancer alley” in Texas and Louisiana, disproportionately impacting low-income and minority communities. Yet, industry is preparing another hub without a single comprehensive environmental impact assessment or health assessment for the region. As each pipeline, fracked well, and plant is permitted separately, we can’t properly assess the cumulative negative impacts this development will have on our waterways, forests, soil, or air quality. Therefore, we also won’t know how it will affect our health.

Looking into the future

The report analyzes the industry through 2050. It states that NGL output in Appalachia:

… will continue to grow throughout the forecast period. As natural gas production gradually migrates away from liquids-rich gas areas, which are expected to slowly deplete, to dryer areas, the rate of growth in NGPL production will slow relative to the rate of natural gas production growth.

In 31 years, the kids growing up in Appalachia right now could be left with brownfields, dried-up wells, and abandoned ethane crackers. But it doesn’t have to be this way. Last year, the DOE reported that there are more jobs in clean energy, energy efficiency, and alternative vehicles than in fossil fuels. By using funds such as the DOE’s Title XVII innovative clean energy loan – for actual clean energy – we can bring economic development to the region that will be relevant past 2050 and that won’t sacrifice our health and natural resources for short-term private gains.

By Erica Jackson, Community Outreach and Communications Specialist

PTTGC’s Ethane Cracker Project - Map by FracTracker Alliance

PTTGC’s Ethane Cracker Project: Risks of Bringing Plastic Manufacturing to Ohio

In 2012, a battle between Ohio, West Virginia, and Pennsylvania was underway. Politicians and businesses from each state were eagerly campaigning for the opportunity to host Royal Dutch Shell’s “world-class” petrochemical facility. The facility in question was an ethane cracker, the first of its kind to be built outside of the Gulf Coast in 20 years. In the end, Pennsylvania’s record-breaking tax incentive package won Shell over, and construction on the ethane cracker plant began in 2017.

Once completed, the ethane cracker will convert ethane from fracked wells into 1.6 million tons of polyethylene plastic pellets per year.

Shell Ethane Cracker

Shell’s ethane cracker, under construction in Beaver County, PA. Image by Ted Auch, FracTracker.
Aerial support provided by LightHawk.

Ohio and West Virginia, however, have not been left out of the petrochemical game. In addition to the NGL pipelines, cryogenic plants, and fractionation facilities in these states, plans for ethane cracker projects are also in the works.

In 2017, PTT Global Chemical (PTTGC) put Ohio in second place in the “race to build an ethane cracker,” when it decided to build a plant in Belmont County, Ohio.

But first, why is the petrochemical industry expanding in the Ohio River Valley?

Fracking has opened up huge volumes of natural gas in the Marcellus and Utica shales in Pennsylvania, Ohio, and West Virginia. Fracked wells in these states extract methane, which is then transported in pipelines and used as a residential, industrial, or commercial energy source. The gas in this region, however, contains more than just methane. Classified as “wet gas,” the natural gas stream from regional wells also contains natural gas liquids (NGLs). These NGLs include propane, ethane, and butane, and industry is eager to create a market for them.

Investing in plastic is one way for the industry to subsidize the natural gas production, an increasingly unprofitable enterprise. 

An image of plastic pellets

Plastic pellets, also called “nurdles,” the end product of ethane crackers.

Major processing facilities, such as cryogenic and fractionation plants, receive natural gas streams and separate the NGLs, such as ethane, from the methane. After ethane is separated, it can be “cracked” into ethylene, and converted to polyethylene, the most common type of plastic. The plastic is shipped in pellet form to manufacturers in the U.S. and abroad, where it is made into a variety of plastic products.

By building ethane crackers in the Ohio River Valley, industry is taking advantage of the region’s vast underground resources.

PTTGC ethane cracker: The facts

PTTGC’s website states that the company “is Thailand’s largest and Asia’s leading integrated petrochemical and refining company.” While this ethane cracker has been years in the making, the company states that “a final investment decision has not been made.” The image below shows land that PTTGC has purchased for the plant, totaling roughly 500 acres, in Dilles Bottom, Mead Township.

According to the Ohio EPA, the plant will turn ethylene into:Recycling "2" symbol for HDPE plastic

  • 700,000 tons of high density polyethylene (HDPE) per year
  • 900,000 tons Linear low-density polyethylene (LLDPE)

HDPE is a common type of plastic, used in many products such as bags, bottles, or crates. Look for it on containers with a “2” in the recycling triangle. LLDPE is another common type of plastic that’s weaker and more flexible; it’s marked with a “4.”

The ethane cracker complex will contain:

  • An ethylene plant
  • Four ethylene-based derivatives plants.
  • Six 552 MMBtu/hour cracking furnaces fueled by natural gas and tail gas with ethane backup
  • Three 400 MMBTU/hr steam boilers fueled by natural gas and ethane
  • A primary and backup 6.2 MMBtu/hour thermal oxidizer
  • A high pressure ground flare (1.8 MMBtu/hour)
  • A low pressure ground flare (0.78 MMBtu/hour)
  • Wastewater treatment systems
  • Equipment to capture fugitive emissions
  • Railcars for pygas (liquid product) and HDPE and LLDPE pellets
  • Emergency firewater pumps
  • Emergency diesel-fired generator engines
  • A cooling tower

Impacts on air quality

The plant received water permits last year, and air permits are currently under review. On November 29, 2018, the Ohio EPA held an information session and hearing for a draft air permit (the permit can be viewed here, by entering permit number P0124972).

FracTracker has previously reported on the air quality impacts, risks, and fragmented permitting process associated with the Shell ethane cracker in Pennsylvania. How does the PTTGC plant stack up?

The plant will be built in the community of Dilles Bottom, on the former property of FirstEnergy’s R.E. Burger Power Station, a coal power plant that shut down in 2011. The site was demolished in 2016 in preparation for PTTGC’s ethane cracker. In 2018, PTTGC also purchased property from Ohio-West Virginia Excavating Company. In total, the ethane cracker will occupy 500 acres.

R.E. Burger Power Station

R.E. Burger Power Station, which has been demolished for the PTTGC Ethane Cracker. Image Source

Table 1, below, is a comparison of the previous major source of air pollution source, the R.E. Burger Power Station, and predictions of the future emissions from the PTTGC ethane cracker. The far right column shows what percent of the former emissions the ethane cracker will release.

Table 1: Former and Future Air Emissions in Dilles Bottom, Ohio

Pollutant R.E.Burger Power Station
(2010 emissions)

PTTGC Ethane Cracker
(predicted emissions)

Percent of former emissions

CO (carbon monoxide) 143.33 544 379.5%
NOx (nitrogen oxides) 1861.2 164 8.81%
SO2 (sulfur dioxide) 12719 23 0.18%
PM10 (particulate matter, 10) 179.25 89 49.65%
PM2.5 (particulate matter, 2.5) 77.62 86 110.8%
VOCs (volatile organic compounds) 0.15 396 264000%

As you can see, the ethane cracker will emit substantially less sulfur dioxide and nitrogen dioxides compared with the R.E. Burger site. This makes sense, as these two pollutants are associated with burning coal. On the flip side, the ethane cracker will emit almost four times as much carbon monoxide and 263,900% more volatile organic compounds (percentages bolded in Table 1, above).

In addition to these pollutants, the ethane cracker will emit 38 tons per year of Hazardous Air Pollutants (HAPS), a group of pollutants that includes benzene, chlorine, and ethyl chloride. These pollutants are characterized by the EPA as being “known or suspected to cause cancer or other serious health effects, such as reproductive effects or birth defects, or adverse environmental effects.”

Finally, the ethane cracker is predicted to emit 1,785,043 tons per year of greenhouse gasses. In the wake of recent warnings on the urgent need to limit greenhouse gas emissions from the Intergovernmental Panel on Climate Change and National Climate Assessment, this prediction is highly concerning.

While these emission numbers seem high, they still meet federal requirements and nearly all state guidelines. If the ethane cracker becomes operational, pollutant monitoring will be important to ensure the plant is in compliance and how emissions impact air quality. The plant will also attract more development to an already heavily industrialized area; brine trucks, trains, pipelines, fracked wells, compressor stations, cryogenic facilities, and natural gas liquid storage are all part of the ethane-to-plastic manufacturing process. The plastics coming from the plant will travel to facilities in the U.S. and abroad to create different plastic products. These facilities are an additional source of emissions.

Air permitting does not consider the full life cycle of the plant, from construction of the plant to its demolition, or the development associated with it.

As such, this plant will be major step back for local air quality, erasing recent improvements in the Wheeling metropolitan area, historically listed as one of the most polluted metropolitan areas in the country. Furthermore, the pollutants that will be increasing the most are associated with serious health effects. Over short term exposure, high levels of VOCs are associated with headaches and respiratory symptoms, and over long term exposure, cancer, liver and kidney damage.

Emergency preparedness

In addition to air quality impacts, ethane cracker plants also pose risks from fires, explosions, and other types of unplanned accidents. In 2013, a ruptured boiler at an ethane cracker in Louisiana caused an explosion that sent 30,000 lbs. of flammable hydrocarbons into the air. Three hundred workers evacuated, but sadly there were 167 suffered injuries and 2 deaths.

While researching Shell’s ethane cracker in Beaver County, FracTracker worked with the Emergency Operations Center (EOC) in St. Charles Parish, Louisiana, to learn about emergency planning around the petrochemical industry. Emergency planners map out two and five mile zones around facilities, called emergency planning zones, and identify vulnerabilities and emergency responders within them.

With this in mind, the map below shows a two and five-mile radius around PTTGC’s property, as reported by Belmont County Auditor. Within these emergency planning zones are the locations of schools, day cares, hospitals, fire stations, emergency medical services, hospitals, and local law enforcement offices, reported by Homeland Infrastructure Foundation Level Data.

The map also includes census data from the EPA that identifies potential environmental justice concerns. By clicking on the census block groups, you will see demographic information, such as income status, age, and education level. These data are important in recognizing populations that may already be disproportionately burdened by or more vulnerable to environmental hazards.

Finally, the map displays environmental data, also from the EPA, including a visualization of particulate matter along the Ohio River Valley, where massive petrochemical development is occurring. By clicking on a census block and then the arrow at the top, you will find a number of other statistics on local environmental concerns.

View map full screen  |  How FracTracker maps work

Emergency planning zones for Shell’s ethane cracker are available here.

Within the 5 mile emergency planning zone, there are:

  • 9 fire or EMS stations
  • 17 schools and/or day cares
  • 1 hospital
  • 6 local law enforcement offices

Within the 2 mile emergency planning zone, there are:

  • 3 fire or EMS stations
  • 7 schools and/or day cares
  • No hospitals
  • 3 local law enforcement offices

Sites of capacity, such as the fire and EMS stations, could provide emergency support in the case of an accident. Sites of vulnerability, such as the many schools and day cares, should be aware of and prepared to respond to the various physical and chemical risks associated with ethane crackers.

The census block where the ethane cracker is planned has a population of 1,252. Of this population, 359 are 65 years or older. That is well above national average and important to note; air pollutants released from the plant are associated with health effects such as cardiovascular and respiratory disease, to which older populations are more vulnerable.

Conclusion

PTTGC’s ethane cracker, if built, will drastically alter the air quality of Belmont County, OH, and the adjacent Marshall County, WV. Everyday, the thousands of people in the surrounding region, including the students of over a dozen schools, will breathe in its emissions.

This population is also vulnerable to unpredictable accidents and explosions that are a risk when manufacturing products from ethane, a highly flammable liquid. Many of these concerns were recently voiced by local residents at the air permit hearing.

Despite these concerns and pushback, PTTGC’s website for this ethane cracker, pttgcbelmontcountyoh.com, does not address emergency plans for the area. It also fails to acknowledge the potential for any adverse environmental impacts associated with the plant or the pipelines, fracked wells, and train and truck traffic it will attract to the region.

With this in mind, we call upon PTTGC to acknowledge the risks of its facility to Belmont County and provide the public with emergency preparedness plans, before the permitting process continues.

If you have thoughts or concerns regarding PTTGC’s ethane cracker and its impact on air quality, the Ohio EPA is accepting written comments through December 11, 2018. We encourage you to look through the data on this map or conduct your own investigations and submit comments on air permit #P0124972.

Written comments should be sent to:

Ohio EPA SEDO-DAPC, Attn: Kimbra Reinbold
2195 Front St
Logan, OH 43138
Kimbra.reinbold@epa.ohio.gov

(Include permit #P0124972 within your comment)

By Erica Jackson, Community Outreach and Communications Specialist

Help us in addressing pressing energy issues

Launching FracTracker’s 2018-19 Annual Fund – Letter from Michele Fetting

Dear Friends,

Pittsburgh, Pennsylvania has come a long way. While still challenged by air and water pollution, the sun shines on the city – my city – revealing a place of promise. Greenways embrace our rivers, solar energy sprouts on rooftops, innovation and entrepreneurship blossom block-by-block. The new Pittsburgh is vibrant, hopeful, and alive.

But an ominous cloud could darken the region for decades – and I’m not referring to the chaotic weather that climate change is already delivering.

No, the approaching storm is petrochemical development – from monstrous ethane crackers poised to inundate the world with toxic plastic, to an acceleration of destructive fracking and pipeline construction pumping fuel and feedstock to these hazardous facilities. Call it a dystopia, but if greed prevails, it will infest our region and others, as well.

I prefer a healthier, more colorful future – and I bet you do, too.

I am proud of the accomplishments of the many environmental organizations I work with every day. They all are impressive. Each offers unique strengths and talents to improve communities and protect the natural world. I have been an admirer of FracTracker Alliance for many years. Born in the Burgh, they’ve branched out and collaborate nationwide to show and tell about the harms of extraction (and everything it represents) through their amazing maps and data-driven insights. Whether it’s in local meetings, statewide hearings, or national reports, their information arms advocates for better energy development and sustainable solutions. Their cool digital apps equip anyone – and hopefully everyone – with tools they can use to report oil and gas impacts wherever they happen.

FracTracker is working for us, but they need our help.

We need to fight petrochemical expansion on every front. In addition to an army of caring people, the battle requires data, visualizations, outreach, and technology – services that FracTracker offers with abundance and often at no cost to the user. Please consider a donation to FracTracker as they launch their Annual Fund Campaign for 2018-2019.

They exist to support others, and here’s a chance to support them.

FracTracker is lean and efficient, but it takes ample funding to continue to do what they do so well. Please give. We have a long struggle ahead, but with generosity and fortitude our hope-filled vision will prevail.

Sincerely,

Michele Fetting - Sq

Michele Fetting
Annual Fund Chair