From the Star Beacon:
Plans for the proposed Ashtabula Energy refinery on Lake Road have been put on hold to defer cost, according to company officials.
The proposed $200 million industrial processing plant in Ashtabula would have converted Marcellus and Utica shale natural gas to diesel fuel, lubricants, solvents and waxes and created about 40 permanent, full-time jobs, company officials have previously said. Ashtabula Energy is a division of Velocys, whose officials had said the project would mean 400 temporary jobs to build the plant.
"Our recent analysis has confirmed that the wax market in North America and the projected plant economics remain attractive, but given the challenges in raising equity for capital projects of this nature at present and in order to defer costs, it was prudent to hold the project, pending reassessment," CEO David Pummell said in a statement.Read more by clicking here.
Velocys officials could not be reached for further comment Friday.
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