popular articles

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.

Please share:

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.

Register free of charge for uninterrupted access.

Publicite

Recently published in

Azerbaijan restarts oil exploration with ExxonMobil, BP and MOL

Baku signs multiple deals with major industry players to boost exploration as oil reserves decline and ACG production slows.
French group Vallourec announces the integration of Thermotite do Brasil, enhancing its industrial capabilities in Brazil for offshore pipeline coating services.
French group Vallourec announces the integration of Thermotite do Brasil, enhancing its industrial capabilities in Brazil for offshore pipeline coating services.
Commercial crude reserves in the United States declined more than expected, following increased refinery activity according to EIA data published on June 4.
Commercial crude reserves in the United States declined more than expected, following increased refinery activity according to EIA data published on June 4.
TotalEnergies has signed an agreement with Shell to increase its stake in Brazil’s offshore Lapa field to 48%, while divesting its interest in Gato do Mato.
TotalEnergies has signed an agreement with Shell to increase its stake in Brazil’s offshore Lapa field to 48%, while divesting its interest in Gato do Mato.

SBM Offshore sells its stake in FPSO Aseng to GEPetrol

SBM Offshore has signed a divestment agreement with GEPetrol to fully withdraw from the FPSO Aseng project in Equatorial Guinea, with an operational transition phase of up to one year.
Meren Energy has launched a partial divestment process for its EG-18 and EG-31 assets to attract new partners and reduce its exposure in Equatorial Guinea.
Meren Energy has launched a partial divestment process for its EG-18 and EG-31 assets to attract new partners and reduce its exposure in Equatorial Guinea.
The oil services joint venture extends its contract with Brunei Shell Petroleum for maintenance and upgrade operations on offshore installations in the South China Sea.
The oil services joint venture extends its contract with Brunei Shell Petroleum for maintenance and upgrade operations on offshore installations in the South China Sea.
Renaissance Africa Energy confirmed to the Nigerian government the operational takeover of Shell Petroleum Development Company’s onshore assets, stating it had surpassed the 200,000 barrels per day production mark.
Renaissance Africa Energy confirmed to the Nigerian government the operational takeover of Shell Petroleum Development Company’s onshore assets, stating it had surpassed the 200,000 barrels per day production mark.

Woodside initiates 65 millions USD arbitration procedure against Senegal

Australian company Woodside Energy has filed a complaint with ICSID against Senegal, challenging a CFA40bn tax reassessment related to the offshore Sangomar oil project.
Nigeria introduces a tax credit capped at 20% for oil operators meeting cost reduction targets, with a focus on gas and offshore projects.
Nigeria introduces a tax credit capped at 20% for oil operators meeting cost reduction targets, with a focus on gas and offshore projects.
Following the withdrawal of two British companies, Morocco launches a MAD2.5mn ($270,000) expert mission to boost the appeal of its offshore oil and gas sector.
Following the withdrawal of two British companies, Morocco launches a MAD2.5mn ($270,000) expert mission to boost the appeal of its offshore oil and gas sector.
International Petroleum Corporation repurchased 89,200 common shares between 26 and 30 May under its buyback programme compliant with Canadian and European regulations.
International Petroleum Corporation repurchased 89,200 common shares between 26 and 30 May under its buyback programme compliant with Canadian and European regulations.

US oil rig count falls to lowest level since 2021

US energy companies reduced the number of active rigs for the fifth consecutive week, reaching their lowest level since November 2021, according to data published by Baker Hughes.
The Swedish government will implement new disclosure rules for foreign vessels, specifically targeting tankers linked to Russia’s hard-to-trace oil fleet.
The Swedish government will implement new disclosure rules for foreign vessels, specifically targeting tankers linked to Russia’s hard-to-trace oil fleet.
Brazilian group Petrobras formalises its return to Angola with two memorandums of understanding signed with Sonangol and the national oil regulator, targeting offshore exploration without immediate financial commitment.
Brazilian group Petrobras formalises its return to Angola with two memorandums of understanding signed with Sonangol and the national oil regulator, targeting offshore exploration without immediate financial commitment.
The Abuja Court of Appeal rejected Malabu Oil & Gas’s lawsuit against Agip, Eni’s subsidiary, by upholding the statute of limitations on the OPL 245 oil block case.
The Abuja Court of Appeal rejected Malabu Oil & Gas’s lawsuit against Agip, Eni’s subsidiary, by upholding the statute of limitations on the OPL 245 oil block case.

Galp targets 40% increase in oil production in Brazil

Portugal’s Galp expects a production surge in Brazil driven by the offshore Bacalhau field, in partnership with Sinopec, Equinor and ExxonMobil.
North Atlantic has entered exclusive negotiations to acquire the Gravenchon refinery, France’s second-largest, from ExxonMobil in a deal reshaping the industrial landscape of the Seine Valley.
North Atlantic has entered exclusive negotiations to acquire the Gravenchon refinery, France’s second-largest, from ExxonMobil in a deal reshaping the industrial landscape of the Seine Valley.
TotalEnergies sells its 12.5% stake in the offshore Bonga oil field to Shell for $510mn, raising the British group's share to 67.5% in the OML 118 block off the Nigerian coast.
TotalEnergies sells its 12.5% stake in the offshore Bonga oil field to Shell for $510mn, raising the British group's share to 67.5% in the OML 118 block off the Nigerian coast.
The Trump administration authorizes Chevron to maintain limited stakes in Venezuela while prohibiting oil production and export, marking a decisive shift for the oil sector amid geopolitical tensions with Maduro’s government.
The Trump administration authorizes Chevron to maintain limited stakes in Venezuela while prohibiting oil production and export, marking a decisive shift for the oil sector amid geopolitical tensions with Maduro’s government.

SK Innovation Intensifies Oil Investments with New Projects in Asia

SK Innovation, through its subsidiary SK Earthon, is accelerating investments in offshore oil exploration projects in Southeast Asia, enhancing South Korea's energy security through a regional strategy focused on operational efficiency.
Production at the Mero-4 field began on May 24 using a 180,000 barrels/day FPSO, the result of international cooperation among six partners operating offshore Brazil.
Production at the Mero-4 field began on May 24 using a 180,000 barrels/day FPSO, the result of international cooperation among six partners operating offshore Brazil.
As Western nations debate an adjustment to the price ceiling on Russian oil, Moscow firmly rejects these measures as market-distorting, citing a lack of significant impact on its current exports.
As Western nations debate an adjustment to the price ceiling on Russian oil, Moscow firmly rejects these measures as market-distorting, citing a lack of significant impact on its current exports.
Carlo McLeod joins the new presidential unit dedicated to hydrocarbons as Namibia centralises oil sector governance under the head of state.
Carlo McLeod joins the new presidential unit dedicated to hydrocarbons as Namibia centralises oil sector governance under the head of state.

Advertising