Sector News

Air Liquide to provide engineering services to Yuhuang Chemical’s $1.85bn methanol plant in US

August 27, 2015
Chemical Value Chain

Air Liquide Global E&C Solutions has been awarded a contract for engineering works for Yuhuang Chemical’s (YCI) new $1.85bn methanol manufacturing complex in St James Parish, Louisiana, US.

The plant is expected to have a capacity of 1.7 million tonnes a year.

The contract includes procurement services to the Chinese company for long lead and other equipment required for the plant.

YCI manufacturing vice-president Jerry Oliver said: “With an overall goal to complete this plant in early 2018, starting work on detailed engineering now is important and timely.”

Work on the project will be carried out in three phases and construction on the first phase is slated to begin in the fourth quarter.

YCI announced plans to build the methanol manufacturing facility in July 2014, as part of its strategy to take advantage of cheaper shale gas prices in the US to produce chemicals.

Louisiana Economic Development said that the project will create 400 new jobs and 2,365 new indirect jobs.

The initial phase of the methanol project is set to begin operations by 2018.

Following the completion of the first plant, the company plans to build a second plant, which would boost its methanol capacity to three million metric tonnes a year.

In the third phase, YCI will construct a methanol derivatives plant that will produce intermediate chemicals.

Source: Chemicals Technology

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