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Nova Chemicals celebrates Marcellus ethane to Ontario cracker

By Bob Downing Published: January 17, 2014

From Nova Chemicals on Thursday:

Calgary, Alberta (January 16, 2014) – NOVA Chemicals Corporation (NOVA Chemicals) today celebrated its commitment to the Sarnia, Ontario region during a ceremony to commemorate the first barrels of ethane sourced from the Marcellus Shale Basin being utilized at its Corunna, Ontario cracker.

NOVA Chemicals began consuming this new feedstock in late December 2013 as part of a project to revamp its Corunna, Ontario cracker to utilize up to 100% natural gas liquid feedstock in line with its strategy to ensure the long-term economic viability of its Ontario assets.

“The introduction of Marcellus Shale ethane into the feedstock diet at our Corunna cracker marks a tremendous milestone in our journey to utilize more cost-competitive feedstock in Ontario, which should result in stronger and more consistent financial performance for our Ontario-based assets,” stated NOVA Chemicals CEO Randy Woelfel. “This is a critical component to our NOVA 2020 growth strategy of capitalizing on new feedstock sources to meet our current needs and expanding customer demands.”

“We are excited to be the first petrochemical company to use this emerging feedstock source as we move toward the completion of our cracker revamp and increase the volumes of ethane consumed through the quarter. Our cracker revamp coupled with the availability of new, cost-competitive feedstock sources creates a great foundation for our recently announced growth plans in the Sarnia, Ontario region,” commented Tom Thompson, NOVA Chemicals Manufacturing Leader Sarnia.

“I want to congratulate NOVA Chemicals on its success in drawing the first barrels of ethane into its Corunna site and diversifying the feedstock supply to the Sarnia-Lambton chemical and manufacturing cluster,” said the Honourable Dr. Eric Hoskins, Minister of Economic Development, Trade and Employment. “NOVA Chemicals is a key partner and anchor company in the region that has shown strong support for Ontario’s manufacturing sector by investing here as part of its long-term growth strategy. Attracting investments from global players like NOVA Chemicals is part of the Ontario government's economic plan to create jobs by supporting a dynamic and innovative business climate.”


Pipeline progress to supply ethane to Corunna cracker.

Initial groundbreaking for Corunna Revamp Project. Scott Randall, Project Team Leader and Tom Thompson, Manufacturing Leader in front.

Commemorating the first barrels of Marcellus Shale based ethane at NOVA Chemicals' Corunna facility Pictured: MPP Bob Bailey, MPP for Sarnia-Lambton Mayor Steve Arnold, Mayor St. Clair Township Randy Woelfel, CEO Tom Thompson, Regional Manufacturing Director, Sarnia

This video shows the 20 km transport and lift of the Corunna tower, using one of the world's largest mobile cranes.

Corunna ethane separator tower lift as part of the Corunna Revamp Project.

Quotes

"The introduction of Marcellus Shale ethane into the feedstock diet at our Corunna cracker marks a tremendous milestone in our journey to utilize more cost-competitive feedstock in Ontario, which should result in stronger and more consistent financial performance for our Ontario-based assets. This is a critical component to our NOVA 2020 growth strategy of capitalizing on new feedstock sources to meet our current needs and expanding customer demands."
-Randy Woelfel, NOVA Chemicals CEO

"We are excited to be the first petrochemical company to use this emerging feedstock source as we move toward the completion of our cracker revamp and increase the volumes of ethane consumed through the quarter. Our cracker revamp coupled with the availability of new, cost-competitive feedstock sources creates a great foundation for our recently announced growth plans in the Sarnia, Ontario region."
-Tom Thompson, NOVA Chemicals Manufacturing Leader, Sarnia

"While work continues on the first phase of the NOVA 2020 growth strategy, including the revamping of the Corunna, Ontario cracker facility, I was pleased to learn that NOVA Chemicals now plans to move forward with the second phase of its NOVA 2020 growth strategy in Sarnia-Lambton. A key component of these projects is that NOVA has invested $250M towards converting the Corunna facility to run on 100% natural gas liquids and away from heavier carbon chain feed stocks such as Naphtha. While these changes made clear business sense for NOVA, the environmental benefits created from the changeover are also quite tangible and provide a window into NOVA’s commitment to our region’s growing awareness of the need for responsible and sustainable production efforts by our Industrial community."
-Pat Davidson, Member of Parliament, Sarnia-Lambton

"We in St. Clair Township are very pleased and thankful with the foresight that NOVA Chemicals had in leading the way to utilize this latest feedstock development. Their commitment to safety in this project and implementation is one of the reasons they are a world leader in processing petrochemicals....we look forward to their continued investment in our community and local economy for many years to come."
-Steve Arnold, Mayor of Sarnia

"As the MPP for Sarnia-Lambton, and on behalf of the Province of Ontario, I want to congratulate Nova Chemicals and the Corunna site on achieving the goal of being the first North American facility to utilize ethane from the Marcellus Shale Basin. Sarnia-Lambton has a long and storied history as a hub of energy and chemistry innovation. The processes and technologies developed locally have been shared the world over; our expertise makes Sarnia-Lambton the perfect setting for this cutting edge innovation."
-Bob Bailey, MPP Sarnia-Lambton

"I want to congratulate NOVA Chemicals on its success in drawing the first barrels of ethane into its Corunna site and diversifying the feedstock supply to the Sarnia-Lambton chemical and manufacturing cluster. NOVA Chemicals is a key partner and anchor company in the region that has shown strong support for Ontario’s manufacturing sector by investing here as part of its long-term growth strategy. Attracting investments from global players like NOVA Chemicals is part of the Ontario government's economic plan to create jobs by supporting a dynamic and innovative business climate."
-The Honourable Dr. Eric Hoskins, Minister of Economic Development, Trade and Employment

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