The Herald-Dispatch
HAVERHILL, Ohio - Haverhill Chemicals LLC, announced Friday it will immediately begin suspending operations at its plant in Scioto County, Ohio.
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The Herald-Dispatch
HAVERHILL, Ohio - Haverhill Chemicals LLC, announced Friday it will immediately begin suspending operations at its plant in Scioto County, Ohio.
A press release from Haverhill officials cites unanticipated costs as the cause of the shutdown.
"Since acquiring the plant three years ago from Sunoco, the company has incurred tens of millions of dollars in unbudgeted and unanticipated expenses required to improve the condition and reliability of the plant," the release reads. "That unexpected investment of time and capital made operations unsustainable."
The company began idling units this week, and officials said it was "working to define ways to be competitive in its market."
The plant, which produces phenol and other chemicals used in the plastics industry, has been around about 50 years, with its most recent major renovation occurring in 1998. An employee died at the plant in April 2014, according to a Occupational Safety and Health Administration report . The plant was cited for 21 serious and two other safety violations in October 2014. OSHA proposed fines of $134,000.
About 75 of its 170 employees are represented by the Tri-State Building and Trades Council in Ashland.
"That plant's important to us," said Mark Johnson, business manager for the building and trades council. "We want to see it running and viable and profitable."
The company had 69 union workers earlier this week and had up to 200 working there earlier this year.
"The numbers vary, but about 75 families depend on that plant," Johnson said. "They can't keep it running without feedstock. There's a demand for phenol."
In the release, the company said it will continue to seek a solution that may allow the plant to continue operations during the shutdown phase.
It is unclear how many jobs will be affected by the shutdown.
The plant, located on a 600-acre site along the Ohio River, has been owned by a number of companies over the years, including Sunoco. Haverhill Chemicals began operating the plant on Nov. 1, 2011.
The website of Houston-based Haverhill Chemicals has been down since Wednesday "for maintenance." Haverhill officials could not be reach for further comment Friday.
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