Sunoco Announces $2.5B Pennsylvania Pipeline Project

The Mariner East 2 project will create a pipeline from the Marcellus Shale to the former Marcus Hook refinery south of Philadelphia.

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Sunoco Logistics Partners L.P. announced today a $2.5 billion pipeline that will transport natural gas liquids from the Marcellus Shale to the Marcus Hook plant south of Philadelphia.

The plan, called Mariner East 2, will create a pipeline to take gases extracted via fracking from Western Pennsylvania, West Virginia and Eastern Ohio to the industrial complex at the former refinery in Marcus Hook. Philadelphia magazine’s Patrick Kerkstra recently wrote in the magazine about the possibility of Philadelphia becoming the country’s next energy hub.

“This vital energy project will provide a comprehensive solution in the region to transport, store and process NGLs from the Marcellus and Utica Shales, and will provide the foundation for the continuing rebirth of the local manufacturing sector,” Michael J. Hennigan, president and chief executive officer of Sunoco Logistics, said in a statement. “The project also enables the continuing development of the Marcus Hook Industrial Complex, as we convert a former refinery site into a world-class natural gas liquids hub in southeastern Pennsylvania.”

Sunoco says it will invest $3 billion in Pennsylvania during the entire Mariner East project. Mariner East 1 is expected to be operational by the end of the year, while Mariner East 2 should be completed by 2016. Mariner East 2 is expected to have a capacity of 275,000 barrels a day when it opens. It says the plan will create thousands of jobs.

Previously: LISTEN: Kerkstra Talks Fracking Boom on Radio Times

[Press Release | Chart via Sunoco]