Shell Shuts Unit After Fire at Its Ethylene Cracker in the U.S.

Shell suspends a unit at its Pennsylvania petrochemical complex following a fire on June 4, with ongoing environmental checks and an internal investigation to determine when the facility can resume operations.

Share:

Comprehensive energy news coverage, updated nonstop

Annual subscription

8.25€/month*

*billed annually at 99€/year for the first year then 149,00€/year ​

Unlimited access • Archives included • Professional invoice

OTHER ACCESS OPTIONS

Monthly subscription

Unlimited access • Archives included

5.2€/month*
then 14.90€ per month thereafter

FREE ACCOUNT

3 articles offered per month

FREE

*Prices are excluding VAT, which may vary depending on your location or professional status

Since 2021: 35,000 articles • 150+ analyses per week

A fire led Shell to temporarily halt production at one unit of its petrochemical complex located in Potter Township, Pennsylvania. The incident, which occurred on June 4, 2025, in one of the seven furnaces dedicated to ethylene production, was quickly brought under control by emergency teams. According to Shell, only the affected unit, furnace number five, currently remains offline. Fifteen employees were evacuated as a precautionary measure, with only one minor injury reported.

Operational Impact and Internal Investigation

The Shell Pennsylvania Petrochemicals Complex, commissioned in late 2022, annually produces approximately one million tons of ethylene-derived plastics. The shutdown of this furnace could temporarily affect the site’s overall production capacity, although Shell has not specified the exact scale of the impact or the timeline for returning the furnace to operation. An internal investigation is underway to precisely determine the cause of the fire and assess the full extent of the damage.

Shell confirmed that the other units at the site continue normal operations, as no other infrastructure was impacted. The company is collaborating closely with the Pennsylvania Department of Environmental Protection (DEP) to ensure site compliance with current environmental regulations, particularly regarding potential accidental emissions.

Responses and Regulatory Monitoring

Specialized teams from the DEP immediately visited the site following the incident. The department confirmed that air-quality tests conducted shortly after the fire did not detect any sustained presence of benzene or 1,3-butadiene, two potentially hazardous substances commonly associated with petrochemical cracking facilities. Nevertheless, the DEP continues to monitor the complex closely, requiring Shell to submit a detailed report on any potential accidental emissions resulting from this incident.

This complex had already faced a financial penalty in 2023 due to environmental violations identified by the DEP involving air emissions exceeding regulatory limits. Shell had resolved that issue by paying a fine of USD 10 million and aligning with regulatory demands.

Immediate Industrial Consequences

Currently, the overall industrial operations of the complex remain stable, with Shell not indicating any significant disruptions at a global scale. However, the duration of the outage for furnace number five remains uncertain and could influence the company’s commercial and strategic decisions in the coming months. The ethylene market, a critical raw material for plastic production, remains attentive to developments regarding this situation.

The exact date for fully resuming operations will depend on the results of Shell’s internal investigation and regulatory inspections. While awaiting these results, clients and commercial partners of the complex remain alert to any potential impacts on planned deliveries and Shell’s ability to fulfill contractual commitments.

The United Kingdom is replacing its exceptional tax with a permanent price mechanism, maintaining one of the world’s highest fiscal pressures and reshaping the North Sea’s investment attractiveness for oil and gas operators.
Pakistan confirms its exit from domestic fuel oil with over 1.4 Mt exported in 2025, transforming its refineries into export platforms as Asia faces a structural surplus of high- and low-sulphur fuel oil.
Turkish company Aksa Enerji has signed a 20-year contract with Sonabel for the commissioning of a thermal power plant in Ouagadougou, aiming to strengthen Burkina Faso’s energy supply by the end of 2026.
The Caspian Pipeline Consortium resumed loadings in Novorossiisk after a Ukrainian attack, but geopolitical tensions persist over Kazakh oil flows through this strategic Black Sea corridor.
Hungary increases oil product exports to Serbia to offset the imminent shutdown of the NIS refinery, threatened by US sanctions over its Russian majority ownership.
Faced with falling oil production, Pemex is expanding local refining through Olmeca, aiming to reduce fuel imports and optimise its industrial capacity under fiscal pressure.
Brazil’s state oil company will reduce its capital spending by 2%, hit by falling crude prices, marking a strategic shift under Lula’s presidency.
TotalEnergies has finalised the sale of its 12.5% stake in Nigeria’s offshore Bonga oilfield for $510mn, boosting Shell and Eni’s positions in the strategic deepwater production site.
Serbia is preparing a budget law amendment to enable the takeover of NIS, a refinery under US sanctions and owned by Russian groups, to avoid an imminent energy shutdown.
Nigeria’s Dangote refinery selects US-based Honeywell to supply technology that will double its crude processing capacity and expand its petrochemical output.
Iraq secures production by bypassing US sanctions through local payments, energy-for-energy swaps, and targeted suspension of financial flows to Lukoil to protect West Qurna-2 exports.
Restarting Olympic Pipeline’s 16-inch line does not restore full supply to Oregon and Seattle-Tacoma airport, both still exposed to logistical risks and regional price tensions.
Faced with tightened sanctions from the United States and European Union, Indian refiners are drastically reducing their purchases of Russian crude from December, according to industry sources.
Serbia’s only refinery, operated by NIS, may be forced to halt production this week, weakened by US sanctions targeting its Russian shareholders.
Glencore's attributable production in Cameroon dropped by 31% over nine months, adding pressure on public revenues as Yaoundé revises its oil and budget forecasts amid field maturity and targeted investment shifts.
The profitability of speculative positioning strategies on Brent is declining, while contrarian approaches targeting extreme sentiment levels are proving more effective, marking a significant regime shift in oil trading.
Alaska is set to record its highest oil production increase in 40 years, driven by two key projects that extend the operational life of the TAPS pipeline and reinforce the United States' strategic presence in the Arctic.
TotalEnergies increases its stake to 90% in Nigeria’s offshore block OPL257 following an asset exchange deal with Conoil Producing Limited.
TotalEnergies and Chevron are seeking to acquire a 40% stake in the Mopane oil field in Namibia, owned by Galp, as part of a strategy to secure new resources in a high-potential offshore basin.
The reduction of Rosneft’s stake in Kurdistan Pipeline Company shifts control of the main Kurdish oil pipeline and recalibrates the balance between US sanctions, export financing and regional crude governance.

All the latest energy news, all the time

Annual subscription

8.25€/month*

*billed annually at 99€/year for the first year then 149,00€/year ​

Unlimited access - Archives included - Pro invoice

Monthly subscription

Unlimited access • Archives included

5.2€/month*
then 14.90€ per month thereafter

*Prices shown are exclusive of VAT, which may vary according to your location or professional status.

Since 2021: 30,000 articles - +150 analyses/week.