OCI plans to build a new greenfield world-scale methanol
plant in Beaumont, Texas, the company announced on Thursday.
The plant is expected to have a capacity of up to 5,000 tpd,
equivalent to approximately 1.75 million tpy. It is expected
to start production in late 2016.
It will be the first methanol facility of this scale in the
US and will be the countrys largest methanol production
facility based on nameplate capacity.
The project will use novel methanol technology
and will incorporate
best available environment
al control technology
, according to the
company. OCI subsidiary Natgasoline LLC submitted
applications for environment
al approvals at both
state and federal levels in February 2013.
The plant will take up a portion of a 514-acre plot of land
recently acquired by OCI.
The project has been awarded a grant of $ 2.1 million from
the Texas Enterprise Fund, as well as incentive commitments
from local entities, including the city of Beaumont,
Jefferson County, the Beaumont Independent School District,
the Port of Beaumont and the Sabine-Neches Navigation
The Texas Enterprise Fund is a cash grant used as a financial
incentive tool for project
s that offer significant
projected job creation and capital investment and where a
single Texas site is competing with another viable
out-of-state option. OCI estimates that the new Beaumont
project will create approximately 3,000 construction
jobs over the next
three years and has committed to create 240 permanent jobs.
Following the success of OCI Beaumonts facility,
OCI is pleased to have selected the State of Texas once again
to expand its North American methanol
activities," said OCI
chief executive Nassef Sawiris.
This is OCI's third natural gas monetization project
in the US following the
refurbishment of OCI Beaumonts integrated methanol and
ammonia facility and the construction
of a $1.8 billion
nitrogen fertilizer complex in Wever, Iowa.
"We believe that the prospects for the US methanol
industry will remain
positive for the foreseeable future because of growing US and
global demand, continued access to attractively priced
natural gas feedstock
and the United
States current position as a net importer," Sawiris
OCI said its construction group will be involved in the construction
of the plant,
creating job opportunities in Texas and facilitating the
completion of the project