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Economic Incentives Services, LLC
<br />Last update:
<br />Information Request for: Project G 9/11/18
<br />BMT
<br />1Please confirm the NAICS/SIC code for the company and/or this specific project/operation 325110
<br />4Please provide a general description of the project (i.e. what type of operation will this be, what product(s) will be consumed/produced/stored/sold, markets/customers served, etc.)
<br />
<br />The new petrochemical plant will use best-in-class technology and benefit from access to low cost feedstock and energy from shale gas as well as an excellent infrastructure. Styrene
<br /> monomer, the precursor to a variety of plastics and other products, is the main product to be sold. The
<br />main feedstocks for the new plant are primarily oil and natural gas-based benzene and ethylene.
<br />Estimated
<br />Construction Construction Begin Operations
<br />6Please provide project timeline:Start (MM/YY)Complete (MM/YY)(MM/YY)
<br />Q3 2020Q1 2023Q3 2023
<br />7Please provide the construction budget related to the project (if lease, please note and include annual lease cost):
<br />PORTION OF
<br />CATEGORY
<br />TOTAL NEW INVESTMENT
<br />INVESTMENTSUBJECT TO S/U TAXDESCRIPTION OF PROPERTY
<br />Cost of Land :$- The required land for the proposed locations are owned by INEOS companies. The intention is to lease the land for use
<br />Cost of Building/Structures (Real Property): $ 5,000,000
<br />Cost of Machinery & Equipment (please describe):$ 326,000,000Includes process equipment, piping, feedstock, intermediate, finished product storage and other logistics infrastructure
<br />
<br />Cost of Engineering:$ 83,000,000
<br />Cost of Construction:$ 397,000,000includes cost to construct and install all processing equipment and structures.
<br />Other (catalyst, misc. chemicals, start-up costs):$ 29,000,000
<br />TOTAL $ 840,000,000
<br />* please change/add budget categories as needed/applicable and be as detailed as possible
<br />8Utility Needs: Please provide the estimated annual utility usage requirements and estimated capital cost to install/provide service to the site (company portion only).
<br />COST TO INSTALLANNUAL USAGE
<br />Water: $ 200,000 1200 MM gals/yr(gallons)MM = million
<br />Sewer:$ 100,000 (volume)
<br />Electric:$ 300,000 74 MM kw-hr/yr(kwh/kw)
<br />Natural Gas:$ 100,000 128 MMSCF/yr
<br />Telecommunications:TBDTBD
<br />9Please provide estimated annual spending on the following utilities (i.e. annual bill)
<br />WaterElectricityTelecomNatural Gas
<br />2023$ 410,739$ 1,982,875$14,063,476 Note: plant is expected to be fully commissioned by start of Q3 2023. First full year production will be in 2024
<br />2024$ 821,477$ 3,965,751$28,126,951
<br />2025$ 821,477$ 3,965,751$28,126,951
<br />2026$ 821,477$ 3,965,751$28,126,951
<br />202020212022
<br />10Estimated number of construction workers per year 41016181518
<br />11Average wages of construction workers$110,000/yr$110,000/yr$110,000/yr @ $55/hr
<br />12Total anticipated full-time employees at the proposed site before and after project completion:
<br />Direct Employees ONLY Contract Employees. (e.g. full-time but not direct employees)
<br />2021 0 current/existing headcount 0 current/existing headcount
<br />2022 21 net new jobs to be added in this year 0 net new contract jobs to be added in this year
<br />2023 53 net new jobs to be added in this year 0 net new contract jobs to be added in this year
<br />2024 0 net new jobs to be added in this year 0 net new contract jobs to be added in this year
<br />2025 0 net new jobs to be added in this year 0 net new contract jobs to be added in this year
<br />13What is the average annual salary of the new direct employees (without benefits)? Provide a breakdown by job category.
<br />EMPLOYEES
<br />PER AVG ANNUAL TOTAL ANNUAL
<br />CATEGORYSALARYAVG. HOURLY RATEPAYROLL
<br />Management/Supervisory:2 $ 144,000.00 $288,000.00
<br />Engineer/Operations 11 $ 124,200.00 $ 1,366,200.00
<br />Operators/Logistics 36 $ 124,200.00 $ 4,471,200.00
<br />Maintenance 16 $ 124,200.00 $ 1,987,200.00
<br />Safety/Environmental/QC 3 $ 96,000.00 $288,000.00
<br />IT/Security 3 $ 84,000.00 $252,000.00
<br />Acctg/Admin/Purchasing 3 $ 84,000.00 $252,000.00
<br />Totals for plant:74$ 111,550.00$ 8,904,600.00
<br />14Please check which benefits will be offered to employees:
<br />% paid by % paid by
<br />YESNOEMPLOYER EMPLOYEE
<br />Medical:X80%20%
<br />Dental:X80%20%
<br />Vision:X100%
<br />401 (k):X100%
<br />401 (k) Match:X9%
<br />Life insurance:X100%
<br />Flexible spending:X100%
<br />Short-term / Long-term disability:X100%
<br />15Please provide a brief description of the technical training requirements, if any, for new direct employees at the site:
<br />Employee/Position (1):Operators, Logistics, Maintenance and QC
<br />Description of Training:Technical training for each job role, both classroom and field for approximately 6-12 months pre-commissioning and start-up. Total cost of training (beginning
<br /> mid-2022) is approx. $4,800,000.
<br />Cost per Employee:Cost is equivalent approx. to $100,000 per employee - based on estimated duration of employment during pre-commissioning and start-up
<br />Employee/Position(2):
<br />Description of Training:
<br />Cost per Employee:
<br />16What is the estimated annual spending on direct employee training, if any:
<br />2022$- Note: plant is expected to be fully commissioned by start of Q3 2023. First full year production will be in 2024
<br />2023$ 250,000.00 This is for ongoing training following completion of pre-commissioning and start-up
<br />2024$ 500,000.00
<br />2025$ 500,000.00
<br />AmountDescription of Material
<br />17Amount (number, weight, or dollar) of raw material imported annually for production 895,050metric tons of Benzene and Ethylene raw material to be sourced domestically and from
<br /> overseas
<br />Description of Inventory
<br />18Estimated average value of inventory on hand (at full operations):$ 35,000,000.00 approximate value of inventory on-hand requirements for finished product SM, intermediate
<br /> product, and raw material benzene
<br /> $ 33,950,000.00 97%All finished product to be produced will be sold into the export market. The inventory which remains will be for tank heels and working cycle inventory -
<br /> inventory which will always remain as part of operations.
<br />19What percentage of your inventory will leave the state within 175 days?
<br />In-stateOut-of-stateDescription/Type of Sales
<br />20Estimated annual sales:$ 1,031.00 $- Million US dollars in revenue. All product is targeted to be sold on an ex-work basis to our customers, so revenue and commerical transfer
<br /> of sale will take place at the plant
<br />Completed form should be forwarded to:
<br />Eric Geisler
<br />713-665-7200
<br />geisler@edincentives.com
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