GEISMAR, La. (WAFB) - Governor John Bel Edwards and Methanex executive, Mark Allard, announced Friday, July 19 that the company will make at least a $1.3 billion investment to build a third methanol plant in Geismar. The planned project will join two existing plants and represents a cumulative capital investment of more than $2.5 billion for methanol facilities in Ascension Parish.
As part of the project, Methanex will create 62 new direct jobs with an average annual salary of $80,000 per year, plus benefits. Louisiana Economic Development estimates the project will produce another 301 indirect jobs, for a total of 363 new jobs.
“Methanex has found a good home in Louisiana, thanks to our talented workforce, our strong business climate, abundant natural gas supplies, and the affordable cost of doing business here. The two production facilities that Methanex built in Ascension Parish in recent years have been successful for the company and have had a very positive impact on the state and local economies. We welcome the company’s third production plant in Geismar, where our advanced infrastructure has proven time and again to be a competitive advantage for Louisiana,” said Edwards.
The three Methanex plants combined will make it one of the largest methanol facilities in the world, the governor’s office says. The complex plans to grow to 230 direct new jobs, as well as another 1,500 indirect jobs in the Baton Rouge area. About 1,000 construction jobs will be created during building as well.
The project will generate up to 1.8 million metric tons of methanol per year.
“Louisiana is a very attractive location for methanol production and the state’s investment attraction programs provide an excellent backdrop for this additional investment. As the global leader in the methanol industry, we evaluate growth opportunities around the world, and we are pleased that Ascension Parish will become home to our largest production site globally, with production capability of approximately 4 million metric tons per year,” said Allard, the company’s vice president for North America.
Methanex is the world’s largest supplier of methanol, which is a clear, biodegradable ingredient found in many products, including windshield washer fluid, recyclable plastic bottles, plywood floors, paint silicone sealants, and synthetic fibers. It’s also a clean fuel being used more frequently in the energy sector for blending gasoline and other fuels.
Methanex hopes to start construction during the second half of 2019, with the plant opening the second half of 2022.
Click here for more details about the project.