2.12.10 Nova signs partnership deal for Marcellus Shale pipeline

Nova Chemicals Corp. could supply one of its Canadian plants with natural gas from Marcellus Shale deposits in Western Pennsylvania through a proposed pipeline venture.

Nova and Buckeye Partners said they had signed a memo of understanding to develop a pipeline to carry mixed natural gas liquids from Pittsburgh to Nova’s plant in Corunna, Ontario.

Marcellus Shale is a geological rock formation found in an area that stretches from West Virginia and eastern Ohio, through Pennsylvania, western Maryland and western New York into Ontario. Energy experts believe that the gas found in the shale holds widespread potential as a future source of fuel and could provide significant revenues to companies who drill for it and the local economies where it is captured.

Nova’s Corunna facility — a refinery and petrochemical complex — is in a region of western Ontario called Chemical Valley that is home to other potential customers for the pipeline. Buckeye Partners will solicit interest from other businesses that operate near the Nova plant before it finalizes plans for the pipeline.

Read the rest at the Pittsburgh Post Gazette