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Oil, gas topics at authority meeting

MARIETTA – The oil and gas industry was a main topic of conversation during the Southeastern Ohio Port Authority’s annual meeting Tuesday, coupled with emphasis on projects to come in 2015.

Those projects include the possibility of a China-based company buying the Middleton Doll building in Belpre.

Around 70 people, from board members to business leaders and those in other area organizations, attended the meeting in Washington State Community College’s Graham Auditorium.

Port authority Secretary-Treasurer David Haas said many projects were completed in 2014.

“The Ingenuity Center … (is) about to come online,” he said. “We actually have that building under option right now.”

The center is a 35,000-square-foot manufacturing facility at the Commerce Park in Reno. The building was completed in February 2014. The port received $2.2 million in grants and loans to fund the project. It has been the hope that industry will move into the building and create around 25 jobs.

The port also helped to pair Shreveport, La.-based J.C. Fodale with a building in McConnelsville and is performing a $200,000 study on the former Kardex site, which is slated for completion in the first quarter of 2015.

Director Jim Black said many projects are still ongoing, including a sewer project on Ohio 7 and placing Oriana House, a halfway house, in Reno.

“(We’re working) on (an Ohio) 7 South sewer extension, (and) we’ll be serving six businesses,” he said. “It’s in cooperation with the City of Belpre.”

The engineering should begin this month, with a tentative construction date of July 2015.

Another business is moving into Belpre and plans should be finalized within the first quarter of 2015.

“(China-based Shangxlang Minmetals) is in negotiation for the Middleton Doll building,” said Black. “They will import metal from China, refine it and distribute it.”

The Lee Middleton Doll building was the home of the doll company from 1989 to March 2010, when the company closed and its assets were purchased by the Alexander Doll Co. of New York City. The building sat empty for nearly two years before it sold in December 2011 to Robert Morton through his bidder and son-in-law Bill Mayhew.

Bret Allphin, development director for Buckeye Hills-Hocking Valley Regional Development District, said it is always nice to hear successes of the port authority and upcoming projects.

“We work pretty closely with the organization,” he said. “It’s good to hear about commitments for next year. We’re all invested in the success of the port authority.”

Washington County Commission President David White spoke about the oil and gas industry and looking toward development downstream.

“We need infrastructure here in Washington County,” he said. “We all need to think outside the box (on how to do that).”

Haas said downstream development is necessary to keep oil and gas active in the county.

“We really don’t have a large site ready right now for a large manufacturer,” he said. “For some bigger manufacturers, the river and rail are very important. Shale is going to be more driven by downstream; we’re sitting on the largest natural gas field in the world … we’ve got something most don’t have with fresh water. We need to ensure we take the maximum advantage the shale play can bring us.”

White added that though oil is a commodity and therefore vulnerable to ups and downs, those in the county might not have much to fear.

“From the commissioners’ standpoint, we’re guardedly optimistic for 2015,” he said.

Tonya Anderson, Building Bridges to Careers coordinator for Marietta City Schools, said it was important to come to the port authority’s meeting so the group can work to help prepare students in the county.

“I felt we needed to be here because we want to know the careers and jobs that may be coming into the area for students,” she said. “I feel we need to be connected. We wanted to know more information about the oil and gas industry. (It will help us) bridge the gap between education and employment.”

Jackie Stewart, director of Energy In Depth-Ohio, spoke about injection wells, which have been a hot topic of conversation over the last few weeks. That’s after Heinrich Enterprise Inc., of Reno, applied to convert four of its oil production wells into injection wells that would accept brine water, a byproduct of oil and natural gas exploration.

“(Ohio has) additional regulations in place,” said Stewart. “It’s highly regulated with more stringent regulations than the EPA.”

Stewart said if oil and gas is to be active in the state, Ohio must stay competitive, which involves a skilled workforce and access to resources like water.

“I think Washington County is a great example of a county in Ohio that is getting it right,” she said. “Water right now is required in the exploration and production process, and access to road systems. Washington County is in a really phenomenal place. I think Ohio must continually be mindful that there are other (shale) basins out there and we are not the only game in town.”

“(Ohio has) additional regulations in place,” said Stewart. “It’s highly regulated with more stringent regulations than the EPA.”

Stewart said if oil and gas is to be active in the state, Ohio must stay competitive, which involves a skilled workforce and access to resources like water.

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