Shell Begins Operations At Polymers Plant In Pennsylvania

Shell Chemical Appalachia LLC, a subsidiary of Shell plc, today announced it has commenced operations of its Pennsylvania Chemical project, Shell Polymers Monaca (SPM). The Pennsylvania facility is the first major polyethylene manufacturing complex in the Northeastern United States and has a designed output of 1.6 million tonnes annually.

“Building this world-class facility is a fantastic achievement and one the team can be proud of; it’s a showcase of Shell’s project delivery expertise,” said Huibert Vigeveno, Shell Downstream Director. “With great market access, innovative offers and connected infrastructure, Shell Polymers Monaca is well positioned and ready to serve customers with high-quality, competitive products.”

Strategically located within a 700-mile radius of 70 percent of the U.S. polyethylene market, SPM sits on 384 acres adjacent to the Ohio River in Beaver County, Pennsylvania. SPM contracted most of its natural gas feedstock at Final Investment Decision from the nearby Utica and Marcellus basins. The advantages of proximity are not limited to production; SPM also offers customers shorter supply chains, which translates to increased flexibility and access to polyethylene pellets that can be used in a wide variety of products such as common household goods, consumer and food packaging, as well as industrial and utility products.

The start-up of Shell Polymers Monaca represents an important step in growing Shell’s chemicals business as part of its Powering Progress strategy. The company is increasingly participating in value chains closer to end-use customers and using advantaged feedstocks to deliver more high value products while reducing exposure to commodity chemicals over time.

“I’m proud that in delivering this facility we’ve had a strong and innovative safety focus; invested in the community through employment and education; and helped repair and improve the local environment by remediating a brownfield site. These commitments are core to Shell’s Powering Progress strategy today and will remain so in the years to come,” said Vigeveno.

• Shell started main construction at Shell Polymers Monaca in April 2017 after taking a Final Investment Decision in June 2016.
• Shell Polymers Monaca will produce ~ 3.5 billion pounds (1.6 million tonnes) of polyethylene annually and is expected to ramp up to full production by the second half of 2023.
• The plant will have three reactors: two gas phase reactors and a slurry reactor.
• SPM products will serve customers who manufacture commodity and specialty films, pipe, blow-moulded containers and injection-moulded parts.
• SPM hosts 600 full time positions with several thousand more resulting from private industry and public services required for support.
• Shell has invested in measures to prevent pellet loss and as a member of Operation Clean Sweep is applying and sharing industry best practices.
• Shell continues to invest in the plastic circular economy globally and is a founding member of the Alliance to End Plastic Waste
• Powering Progress sets out Shell’s strategy to accelerate our transition to a net-zero emissions energy business, including reducing emissions from our operations, from the fuels and other energy products we sell to our customers, and capturing and storing any remaining emissions using technology or balancing them with offsets. For more information visit www.shell.com/poweringprogress

Shell’s net carbon footprint
Also, in this press release we may refer to Shell’s “Net Carbon Footprint” or “Net Carbon Intensity”, which include Shell’s carbon emissions from the production of our energy products, our suppliers’ carbon emissions in supplying energy for that production and our customers’ carbon emissions associated with their use of the energy products we sell. Shell only controls its own emissions. The use of the term Shell’s “Net Carbon Footprint” or “Net Carbon Intensity” are for convenience only and not intended to suggest these emissions are those of Shell plc or its subsidiaries.

Shell’s net-Zero Emissions Target
Shell’s operating plan, outlook and budgets are forecasted for a ten-year period and are updated every year. They reflect the current economic environment and what we can reasonably expect to see over the next ten years. Accordingly, they reflect our Scope 1, Scope 2 and Net Carbon Footprint (NCF) targets over the next ten years. However, Shell’s operating plans cannot reflect our 2050 net-zero emissions target and 2035 NCF target, as these targets are currently outside our planning period. In the future, as society moves towards net-zero emissions, we expect Shell’s operating plans to reflect this movement. However, if society is not net zero in 2050, as of today, there would be significant risk that Shell may not meet this target.