CONSOL Energy Announces Plans to Supply European Cracker Facilities with Ethane from the Marcellus Shale in Western Pennsylvania
PITTSBURGH, Feb. 13, 2014 /PRNewswire/ -- CONSOL Energy Inc. (NYSE: CNX) announced today that it has entered into agreement with Ineos Europe AG, part of the Ineos Group, to export ethane via Sunoco Logistics' Mariner East infrastructure and the Marcus Hook Delaware River port for use in Ineos' European cracker complexes.
The agreement builds on plans to transport high-value propane and ethane by pipeline from Western Pennsylvania to Marcus Hook, where the materials will be processed and shipped by sea to domestic and export markets. This is the second ethane transaction that CONSOL Energy has recently announced, while the first transaction was with Royal Dutch Shell to supply ethane to its planned cracker facility in Beaver County, Pennsylvania.
"This agreement, and others like it, signify a vote of confidence that the Marcellus Shale resource base represents a long-term, reliable energy supply for industrial users both at home and abroad," commented Nick DeIuliis, President of CONSOL Energy. "We are pleased to partner with Ineos as we continue to expand upon opportunities to diversify end-user markets for our region's natural gas products."
Recent industry investment in midstream infrastructure is providing access to new opportunities by connecting the areas producing "wet" gas in Western Pennsylvania to international markets linked to the Port of Philadelphia, as well as other active and planned export facilities.
CONSOL Energy Inc. (NYSE: CNX) is a Pittsburgh-based producer of natural gas and coal. The company is one of the largest independent natural gas exploration, development and production companies, with operations centered in the major shale formations of the Appalachian basin. CONSOL Energy deploys an organic growth strategy focused on rapidly developing its resource base of 5.7 trillion cubic feet of proved natural gas reserves, while the company's premium coal assets are sold to electricity generators and steelmakers both domestically and internationally. CONSOL Energy is a member of the Standard & Poor's 500 Equity Index and the Fortune 500. Additional information may be found at www.consolenergy.com.
Ineos Europe AG is a global manufacturer of petrochemicals, specialty chemicals and oil products. It comprises 15 businesses each with a major chemical company heritage. Its production network spans 51 manufacturing facilities in 11 countries throughout the world. http://www.ineos.com/en/
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SOURCE CONSOL Energy Inc.