A Houston, Texas-based gas processing firm is expanding its presence in Ohio and Pennsylvania with a plan to manufacture oil and gas production equipment in Youngstown, Ohio.
Valerus, which has a large maintenance facility in Fayette County, will partner with Brilex Industries of Youngstown to build equipment that strips water out of locally extracted gas and allows companies to process valuable oil and natural gas liquids. The partnership is expected to create 30 local jobs in 2013, the company said, and the first equipment should roll out sometime next year.
This is the first such facility for Valerus above the Mason-Dixon line. Other company equipment facilities process gas from shale formations in the south, out of locations in Texas and Louisiana.
The new facility will build equipment to be used in development of the Utica and Marcellus shale formations of the Mid-Atlantic region, said Pete Lane, CEO of Valerus.
The company chose the Youngstown location so it could service development in Pennsylvania and Ohio, he said, and because the city has a pre-existing manufacturing workforce.
"The Utica is still at an early stage and we hear from customers a lot of excitement," said Mr. Lane.