SunGas Renewables unveils green methanol facility in Louisiana
SunGas Renewables Inc. has announced the creation of Beaver Lake Renewable Energy, LLC (BLRE), a subsidiary set to build a new green methanol production facility in Central Louisiana in the United States. The facility is projected to produce nearly 400,000 metric tons of green methanol per year for marine fuel.
BLRE’s green methanol is slated to fuel A.P. Moller – Maersk’s fleet of methanol-powered container vessels, utilising wood fiber from local, sustainably-managed forests. The project will also sequester nearly a million tons per year of carbon dioxide, resulting in a negative carbon intensity. The sequestration process will be executed by Denbury Carbon Solutions.
BLRE’s project, located at the former International Paper facility in Rapides Parish, is expected to begin construction in late 2024. Commercial operations is expected in 2027. The facility represents an estimated USD2 billion investment.
SunGas Renewables and Maersk announced a strategic green methanol partnership in late 2022. The BLRE facility will be the first to produce green methanol for Maersk under this partnership. SunGas Renewables selected Central Louisiana for the BLRE project due to the region’s long history of sustainable forestry, the available infrastructure, and strong local and state support.
CEO of SunGas Renewables, Robert Rigdon, highlighted that the project is part of their ongoing mission to make a meaningful impact in the energy transition, promising a low-carbon energy solution.