Project presenter says Lake Charles methanol plant’s carbon intensity is roughly half the standard; permitting and financing continue

Linda Miller delivered an update on a proposed liquid methanol project during the Lake Charles Harbor & Terminal District meeting on April 22, saying the project’s carbon intensity measures substantially lower than a published benchmark and outlining permitting and financing steps.

Miller told commissioners the National Energy Technology Laboratory (NETL) publishes a carbon-intensity figure of about 5.75 for similar technology; she said the project’s calculated carbon intensity is 2.68. She attributed the lower figure to design choices, including use of waste heat via a steam turbine that supplies most on-site power and reuse of syngas in preheaters, reducing reliance on purchased natural gas. ‘‘But it's 5.75. And ours is 2.68,’’ Miller said.

On fuel and permitting, Miller said the project has secured natural-gas supply arrangements with BP for the next 20 years and is advancing permitting: a Title V permit was issued and a hearing was scheduled in Sulfur. She said the project did not require a PSD permit but that certain TAPs (toxic air pollutants) required Title V handling. Miller said she will represent the company at the Sulfur hearing.

On financing and schedule, Miller said the project team is working with DOE but is also lining up three banks as a parallel path because DOE processes — including a potential environmental impact statement update — could add roughly six months. ‘‘That could take 6 or more months,’’ she said, describing the potential timeline impact. Miller said Technip has completed design and bids are out for equipment and modules, with pricing expected in July and some construction contracts targeted by June.

Commissioners asked about whether the plant footprint would change; Miller said any land adjustment would likely be small and related to dock siting and that per-acre rent would change accordingly. She also said some project revenues depend on federal tax credits (references to 45V or 45Q-style incentives), and that guidance and regulation timing has introduced uncertainty for equity partners.

What’s next: Miller said permitting and financing steps will continue, with a Sulfur hearing scheduled immediately after the meeting and pricing and equipment bid results expected over subsequent months.