Looking to support local oil and natural gas development operations in the Marcellus and Utica shale plays, Valerus and Brilex Industries have established a partnership to manufacture oil and gas production equipment in Youngstown, OH, for building surface facilities operating in the shales.
Valerus, which manufactures equipment that is in high demand in the region, including separators, gas processing units, coalescing filters, glycol regenerators and absorber towers, and Brilex, which is a Youngstown-based firm known for fabricating, machining, and complete machine assembly, said they will ship the first order of locally-manufactured equipment to customers later this month.
The partnership is expected to create over 30 local jobs in 2013 as a result of increased manufacturing at the facility. Valerus said the deal will provide its customers with access to production equipment more quickly — and at reduced transportation costs — while ensuring quality. With facilities in Smithfield, PA, and Bridgman, MI, Valerus has served the region since 2009.
Nick Sajatovic, vice president, manufacturing and supply chain for Valerus, said the partnership brings Valerus’ “global expertise in integrated oil and gas solutions” together with the “technical expertise, quality and local community presence of Brilex.
Brian Benyo, president, Brilex Industries, added that the partnership “will benefit the local economy and bring value to the region’s growing oil and gas industry.”
As Marcellus and Utica oil and gas development continues to heat up, towns and municipalities are being forced to pick a side. Last month the Youngstown city council voted 5-2 in favor of an ordinance that could open city-owned land to oil and gas drilling (see Shale Daily, Oct. 19). Ordinance No. 12-280 authorizes the city’s Board of Control to seek competitive proposals and enter into a contract to lease city-owned land for oil and gas extraction. The board, which has the power to execute contracts and agreements on behalf of the city, includes the mayor, the city’s law director and the its finance director.
The city will reportedly use revenue from oil and gas leasing toward the demolition of blighted housing and neighborhood revitalization projects.
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