Joined by executives from Thailand's PTT Global Chemical (PTTGC), Governor John R. Kasich welcomed Daelim Industrial Co. to Ohio. South Korean-based Daelim, through its American subsidiary, is joining with PTTGC's American subsidiary on a feasibility study for a petrochemical ethane cracker complex in Belmont County that will transform the Ohio Valley and the statewide economy. Although a final investment decision on the project has not yet been made, PTTGC America already has invested more than $100 million on the project in preparation for the proposed plan.
"It's great to see these two world-class companies coming together to develop an exciting 21st century industry that will dramatically transform Ohio," Kasich said. "Building this massive ethane cracker plant here will be a game-changer, not only for Eastern Ohio, but for the entire state as it will create so many new opportunities for economic development. Today's announcement is an encouraging step forward for this project and that's good news for Ohio families."
The collaboration with Daelim brings plans for a larger plant, more jobs and more investment than what was originally anticipated when PTTGC America first announced its result of a feasibility study in 2015. Production is now estimated at 1.5 million metric tons per year, which are at least 500,000 metric tons per year more than was previously anticipated. The plant will result in more capital investment and more jobs.
"The investment plans include significantly more ethylene output at a larger facility that would have a greater economic impact throughout the state for decades to come," said John Minor, JobsOhio president and chief investment officer. "Ohio has the energy resources and attractive business climate, and now this potential joint venture between two world-class companies."
PTTGC America and Daelim also are on track to acquire the property needed for the project. Once the companies close on the purchase of a 300-acre parcel, targeting in April, the companies will own almost 500 acres of needed land to build the complex. PTTGC America and Daelim hope to make a final investment decision on the project by the end of the year.
PTTGC America is a wholly owned subsidiary of PTT Global Chemical, Thailand's largest and Asia's leading integrated petrochemical and refining company. With more than 4,000 employees around the globe, PTTGC's vision is to be a leading chemical company for better living, helping to create a better quality of life through its products and production processes. With a combined olefins and aromatics capacity of 9.7 million tons per year plus a refining capacity of 280,000 barrels of crude oil and condensate per day, PTTGC produces petroleum products, polymers, EO-based products, green chemicals and HVS products for a wide variety of industries.
Daelim Chemical USA is a wholly owned subsidiary of Daelim Industrial Co., Ltd., a leading engineering, procurement and construction and petrochemical conglomerate in South Korea. Daelim is fully equipped to provide unrivalled added value across the entire energy supply chain, including its strong engineering, procurement and construction track record, deep relationships with major global financial institutions and nearly 40 years of experience in the petrochemical business with manufacturing facilities of full range from olefins to a variety of downstream products.
JobsOhio is a private, nonprofit corporation designed to drive job creation and new capital investment in Ohio through business attraction, retention and expansion efforts. JobsOhio works with six regional partners across Ohio: Appalachian Partnership for Economic Growth, Columbus 2020, Dayton Development Coalition, REDI Cincinnati, Regional Growth Partnership and Team NEO. Learn more at www.jobs-ohio.com. Follow us on LinkedIn, Twitter and Facebook.