News Summary
Bia Energy Operating Company has announced plans for a $1.2 billion low carbon methanol production facility in Bossier City, Louisiana. The facility aims to reduce carbon emissions by over 92% using advanced technology. Covering 74 acres, it is projected to produce 550,000 metric tons of methanol annually, creating approximately 465 jobs. Construction is set to begin in late 2024 with commercial operations expected by late 2026.
Bossier City, Louisiana – Bia Energy Operating Company has announced significant updates regarding its ambitious $1.2 billion low carbon methanol production facility, set to be constructed at the Port of Caddo-Bossier industrial multimodal facility in northwest Louisiana. The project aims to achieve a remarkable reduction in carbon emissions by over 92%, utilizing advanced CO2 capture technology alongside hydrogen as both fuel and feedstock.
The facility will occupy 74 acres and is expected to produce up to 550,000 metric tons of blue and bio-methanol each year. With the completion of the Front-End Engineering Design (FEED) study and major permits already secured, the project is set for construction, which is expected to commence in late 2024. The plant’s anticipated commercial operations are slated to begin in late 2026.
In a strategic move to ensure the plant’s success, Bia Energy has secured a 20-year Commercialization and Marketing Services Agreement with Macquarie Commodities Trading. This agreement is part of the company’s broader effort to establish fixed-price offtake agreements across various sectors, including chemical manufacturing, maritime activities, and other industrial processes.
Job Creation and Economic Impact
The construction phase of the facility will create approximately 350 jobs at its peak, with an additional 75 direct new jobs expected upon the plant’s operational launch. Louisiana Economic Development forecasts that the project could bring a total of around 465 new jobs to the region when including indirect employment opportunities. This investment is anticipated to significantly stimulate local economic activity, injecting substantial growth into North Louisiana’s job market.
Technical and Logistical Features
Bia Energy has partnered with CapturePoint LLC to facilitate CO2 capture and transport, directing emissions to a storage site located in central Louisiana. In addition, the facility is designed with advanced docks, tank farms, and piping, allowing for efficient barge shipments of the finished product via the J. Bennett Johnston/Red River Waterway.
To manage the construction of the plant, Bia Energy has engaged Houston-based S&B Engineers and Constructors as the Engineering, Procurement, and Construction (EPC) contractor. The financial structure for the project includes $650 million sourced from state-issued bonds, with the remaining funds to be raised through private equity partners.
Broader Context and Future Prospects
This project comes at a time when the European Union is implementing new initiatives aimed at mandating lower carbon fuels for the shipping industry, thereby creating an urgent and lucrative market for low carbon alternatives. Additionally, legislative efforts are being made to support the development of hydrogen hubs in Louisiana, further enhancing the viability and competitiveness of the Bia Energy project in the context of the global methanol market.
By harnessing cutting-edge technology and sustainable practices, Bia Energy is positioning itself to significantly contribute to the local economy and the broader goals of reducing carbon emissions and advancing green energy solutions.
Overall, Bia Energy’s low carbon methanol production facility signifies a critical development in the pursuit of sustainable industrial practices, and it is regarded as a substantial step towards promoting a competitive stance for U.S.-produced low carbon methanol on the global stage.
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Bia Energy Announces New Low Carbon Methanol Facility in Bossier City
Additional Resources
- KSLA: Bia Energy Announces Developments on Low Carbon Methanol Project
- KTBS: Two Companies Announce Major Investment at Port of Caddo-Bossier
- Shreveport-Bossier Advocate: Bia Energy Moves Forward
- Port Strategy: Paving the Way for Green Methanol Corridors
- Wikipedia: Methanol
Author: STAFF HERE SHREVEPORT WRITER
The SHREVEPORT STAFF WRITER represents the experienced team at HEREShreveport.com, your go-to source for actionable local news and information in Shreveport, Caddo Parish, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as Mudbug Madness Festival, Red River Revel Arts Festival, and Independence Bowl. Our coverage extends to key organizations like the Shreveport-Bossier Chamber of Commerce and Shreveport Regional Arts Council, plus leading businesses in gaming, healthcare, and energy that power the local economy such as Horseshoe Casino, Ochsner LSU Health, and Atmos Energy. As part of the broader HERE network, including HEREBatonRouge.com and HERENewOrleans.com, we provide comprehensive, credible insights into Louisiana's dynamic landscape.
