Shale is Good News For Ohio's Mahoning Valley
The Marcellus and Utica shale deposits are sparking not only an oil and gas boom but a revival of manufacturing in Rust Belt communities.
Vindy.com (Cocklin) covered the opening festivities for a new plant in Youngstown, OH, owned by Exterran. The company is a provider of services and equipment for oil & gas production, processing, treating, transportation and storage. According to the article Exterran “will fabricate production equipment at its Youngstown facility, used to treat and process oil and gas after it is extracted from the ground.”
“Since 2010,” the article noted, “Northeast Ohio has witnessed a rush of capital investment in manufacturing related to the oil and gas industry. TMK-IPSCO spent millions in Brookfield on a facility that manufactures steel pipe for well sites and storage facilities. Both Republic Steel and US Steel spent heavily in Lorain [Ohio] to ramp up production of seamless pipe for the industry… Late last year, V&M’s $1.1 billion expansion in Youngstown started operations to meet increased demand for small-diameter oil and gas pipe.”
Later, Vindy.com reported that Exterran CEO Brad Childers “envisions growth and heightened employment at the plant as the [Mahoning] Valley moves closer to increased drilling and production of those key natural resources ... As Childers pointed out…the Mahoning Valley is a ‘great center point’ for transportation in the Marcellus and Utica shale plays, it has a quality work force and enticing attractions in tax abatements. That mix helped Youngstown beat finalists in West Virginia and Pennsylvania to land the new plant.”
In a report by WFMJ.COM (Alexander), “[Ohio Governor John] Kasich said Ohio has turned around its image as a state that's unfriendly to business. ‘In 2010, Ohio ranked 44th as a business friendly state; not good’ he said. Now the Governor said CEO magazine ranked Ohio 22nd on the list and the ‘fastest improving “job-friendly” state on the list’ ... But, training Ohio workers to be a part of the emerging oil and gas boom needs to be a priority, Kasich said. He said the Mahoning Valley and the entire state ‘has to be serious about job training’ and ‘make sure that our people are prepared’ lest companies bring trained workers from other states.”
Published Date : 6/10/2013