WESTLAKE, La. – In a significant move to bolster the region’s industrial landscape, Lake Charles Methanol II, LLC (LCM) has announced plans to invest $3.24 billion in constructing a cutting-edge manufacturing plant at the Port of Lake Charles. The facility will specialize in producing low-carbon intensity methanol and other chemicals, utilizing advanced auto thermal gas reforming technology coupled with carbon capture and secure geologic storage processes.
The ambitious project is expected to generate a wealth of economic opportunities for Calcasieu Parish and the broader Southwest Region of Louisiana. If realized as envisioned, the venture will create 123 direct new jobs within Calcasieu Parish, offering an estimated average annual salary of $135,955. Additionally, Louisiana Economic Development (LED) forecasts the creation of 605 indirect new jobs, bringing the total potential job count to 728 in the region. The construction phase alone is estimated to generate over 2,300 job opportunities at its peak.
Louisiana Governor Jeff Landry expressed enthusiasm for the project, emphasizing its potential to inject billions of dollars into the local economy while creating a substantial number of high-paying jobs. He underscored the state’s commitment to supporting LCM’s growth initiatives and hailed the project as a testament to Louisiana’s attractiveness for large-scale investments.
The proposed facility will utilize natural gas and renewable gas feedstocks to produce hydrogen, with captured carbon dioxide utilized in the production process. Lake Charles Methanol plans to collaborate with a third-party entity to capture and sequester approximately 1 million metric tons of carbon dioxide annually, effectively reducing the carbon intensity of the hydrogen used in methanol synthesis.
Don Maley, President of LCM, highlighted the project’s dual benefits of delivering significant economic advantages to local communities while advancing environmentally beneficial technologies. He expressed confidence in Lake Charles as an ideal location for the venture, citing strong support from governmental authorities and the community.
The project is currently undergoing a Front-End Engineering Design (FEED) study and regulatory permitting processes. A final investment decision and the commencement of construction are anticipated in mid-2024, with commercial operations slated to begin by late 2027.
Local officials also welcomed the announcement, emphasizing the project’s potential to bolster economic prosperity and job creation in the region. Bryan Beam, Calcasieu Parish Administrator, and Hal McMillin, Mayor of Westlake, lauded the project’s anticipated positive impact on the local workforce and economy.
To secure the project in Louisiana, LED extended a competitive incentives package, including workforce development solutions through LED FastStart, a $5 million Performance-Based Grant, and participation in the state’s Industrial Tax Exemption and Quality Jobs programs.
George Swift, President and CEO of the Southwest Louisiana Economic Development Alliance, hailed the project as a significant addition to the region’s industrial landscape, praising the collaborative efforts of regional stakeholders in realizing such transformative ventures.
Prospective job seekers and interested parties can register for updates on Lake Charles Methanol job opportunities, hiring events, and news developments via LakeCharlesMethanol.com.
About Lake Charles Methanol:
Lake Charles Methanol is a Houston-based clean energy development company committed to advancing the hydrogen economy and decarbonizing industry while fostering job creation, environmental benefits, and energy independence.
About LED:
Louisiana Economic Development is dedicated to enhancing the state’s business environment and fostering economic growth. In 2023, LED facilitated over $25 billion in capital investment, resulting in the creation of 19,000 potential new and retained jobs. Learn more about LED’s initiatives at OpportunityLouisiana.gov.
