SunGas Renewables Inc. announced the formation of Beaver Lake Renewable Energy, LLC (BLRE), which will construct a new green methanol production facility in Central Louisiana, reports Yahoo Finance.
A wholly owned subsidiary of SunGas Renewables, BLRE is expected to generate from the facility nearly 400,000 metric tons of green methanol per year for marine fuel while creating more than 1,150 jobs during construction and more than 100 local jobs during operation.
Green methanol production
Green methanol produced by BLRE is expected to be used to fuel A.P. Moller – Maersk’s fleet of methanol-powered container vessels and will utilize wood fiber from local, sustainably-managed forests.
The methanol will have a negative carbon intensity through sequestration of nearly a million tons per year of carbon dioxide produced by the project, which will be executed by Denbury Carbon Solutions.
SunGas Renewables anticipates BLRE will invest approximately $2 billion to construct the project at the former International Paper facility in Rapides Parish. The BLRE facility is expected to begin construction in late 2024 with commercial operations commencing in 2027.
The BLRE project
In late 2022, SunGas Renewables announced a strategic green methanol partnership with Denmark-based Maersk, the world’s second-largest container shipping company, to produce green methanol from multiple facilities around the country. Maersk is a leader in decarbonizing marine shipping by using green methanol to fuel its new and growing fleet of methanol powered container vessels. The BLRE project is SunGas Renewable’s first facility to produce green methanol for Maersk.
SunGas Renewables chose Central Louisiana for the BLRE project due to its long history of sustainably managed forests, available infrastructure to support the facility, and strong local and State support. SunGas Renewables, a spin-out of GTI Energy, is providing its System 1000 renewable syngas product to third parties for renewable hydrogen and biofuels production while also developing and investing in low-carbon biofuels businesses.
The SunGas Renewables System 1000 contains pressurized fluidized bed gasification technology, originally developed by GTI Energy, integrated with other large-scale proven commercial technologies to provide an optimized and reliable green syngas manufacturing platform for production of green methanol for marine fuel, renewable natural gas, green hydrogen and other renewable biofuels from sustainably sourced biomass and wood fiber.
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Source: Yahoo Finance
