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Pennsylvania Coal, Oil Sectors Attract $1.25bn Dollar FDI
By Margaret Nongo-Okojokwu
The Pennsylvania coal, oil and natural gas sector has attracted $1.245 billion Foreign Direct Investments (FDI) according to data obtained from FDI.Com, a cross-border investment monitor.
FDI.com said the investment in the sector was over a period of about 12 years, from January 2003 to July 2015.
In addition, the report stated that the average project size in terms of jobs created translated to 100 jobs per project, while the average investment in each of 10 projects translated to $124.5 million.
The company, however, noted that the report includes estimated values on capital investment and the number of jobs created in cases where information was not available at project announcement.
Giving a breakdown of investments in the region over the period, the report stated that in 2012, EmberClear, a company in Calgary, Canada, announced the investment of $400 million in Allentown, Pennsylvania, in an electricity project in the Coal, Oil and Natural gas sector of the state.
According to the report, EmberClear investment, which created an estimated 11 jobs, was for the building of a natural gas-fired power plant in Allentown, Pennsylvania, capable of producing 300 megawatts of electricity for 300,000 local households when it is commissioned.
Furthermore, in the same year, ArcelorMittal, a company based in Luxembourg invested $50 million in a manufacturing project aimed at modernising and upgrading its coke operations in Monessen, Pennsylvania.
According to the report, the investment was designed to enable the company restart coke production at the facility helped created 113 new jobs at the site. The facility is capable of producing 370,000 tons of metallurgical coke per year.
In 2011, the report stated that PBS Coals, a subsidiary of Severstal, a company based in Cherepovets, Russia invested an estimated $356.4 million, in an extraction project in Friedens, Pennsylvania, with plans to double output at the unit by 2015.
The report said the company is currently investing in a number of mining projects worldwide, adding that PBS Coals site provides metallurgical and steam coals from both surface and deep mines for the metals, energy and industrial sectors.
Continuing, the report stated that, “Talisman Energy, based in Calgary, Canada, is investing $15.7 million in the United States, in the Coal, Oil and Natural Gas sector a in Sales, Marketing and Support project. Canada-based energy company, Talisman plans to occupy an additional 2,045 square meter at the Pennwood Commons office complex in Cranberry Township, Pennsylvania.
“Talisman already occupies 4,645 square meter at the complex and the expanded space will accommodate 100 additional employees, with the company planning to hire between 60 and 100 more people in the future.
“The office oversees all of the company’s US operations, including its exploration activity in Texas.”
Also, in 2011, Shell invested $20.8 million in a sales marketing and support project in the Pennsylvania Coal, Oil and Natural Gas sector.