MOSCOW (MRC) -- The first ever shipment of shale gas from the US is set to arrive in Britain less than 24 hours after the Labour party vowed to ban fracking, the method by which the controversial energy source is extracted, TheGuardian.
Ineos, the petrochemical company founded and chaired by a billionaire, Jim Ratcliffe, will take delivery of a tanker full of ethane at its Grangemouth plant in Scotland on Tuesday, marking the first fruit of a USD2bn investment.
The gas has travelled more than 3,500 miles via a "virtual pipeline" of eight tankers to reach Grangemouth, where Ineos has built an import terminal as part of an overhaul costing GBP450m. The ethane will be fed into "crackers" that convert the gas into ethylene, used in the production of a range of plastic products.
"Shale gas can help stop the decline of British manufacturing and today is a first step in that direction," said Ratcliffe.
But consignments such as this one, due to arrive on a giant tanker named the Ineos Insight, will be the only source of shale gas for Grangemouth if the Labour party wins a general election.
Speaking at Labour’s annual party conference the shadow energy minister, Barry Gardiner, said the party would ban fracking and focus on low carbon energy sources if it wins the next general election. "Fracking locks us into an energy infrastructure that is based on fossil fuels long after our country needs to have moved to clean energy," said Gardiner. "So today I am announcing that a future Labour government (would) ban fracking."
Jeremy Corbyn, Labour’s leader, has previously said that fracking is "not compatible" with tackling climate change.
Although Ineos has begun importing from the US, where an abundance of shale gas has left the world’s largest economy with more than it needs, it would like to become the leading player if fracking takes off in the UK.
Ineos, which slashed its tax bill by moving its headquarters to Switzerland in 2010, was awarded 21 new licences in December, including sites in North Yorkshire, the north-west and east Midlands.
The awards increased the area of land over which it holds licences to 1m acres, nearly twice the area of the Yorkshire Dales national park.
But Ineos’s ambitions have been curtailed by slow progress in obtaining planning permission, which is necessary before it can exploit the licences.
A spokesperson for Ineos said earlier this year that it hoped to have 30 planning applications lodged before the end of the year but the company has since scaled back its plans to five, followed by a further 25 over the next 12 months.
As MRC informed earlier, on 23 March 2016, Ineos confirmed that its vessel, the INEOS Intrepid, arrived at the Ineos petrochemicals plant at Rafnes in Norway, carrying 27.500m3 of US shale gas ethane. This is the very first time that ethane from US shale gas has ever been exported from the USA and the first time it has been imported into Europe. It gives the continent the chance to benefit from US shale gas economics which did so much to revitalise manufacturing in the USA.
Ineos Group Limited is a privately owned multinational chemicals company consisting of 15 standalone business units, headquartered in Rolle, Switzerland and with its registered office in Lyndhurst, United Kingdom. It is the fourth largest chemicals company in the world measured by revenues (after BASF, Dow Chemical and LyondellBasell) and the largest privately owned company in the United Kingdom.
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