Canada's Woodland Biofuels to invest $1.35 B at Port of Louisiana (U.S.) for renewable fuels plant
Canadian renewable fuel company Woodland Biofuels has announced an investment of $1.35 B at the Port of South Louisiana to establish a renewable natural gas (RNG) plant and ultra-green hydrogen (H2) facility.
The Toronto, Ontario-headquartered company uses waste biomass to produce sustainable biofuel, which can then be used in transportation, heating and electricity generation.
The new facility will be located at the Globalplex facility at the Port of South Louisiana, the company said in the release, with the first phase of commercial operations set to start in 2028.
RNG's environmental benefits include the reduction of natural gas usage and capturing climate-warming emissions that would otherwise be released into the atmosphere.
However, RNG is more expensive than natural gas, which is also experiencing a period of sustained low prices, currently down about 12% so far into the year.
Phase 1 of the Woodland project could see the removal of 210,000 metric tpy of carbon dioxide (CO2), and Phase 2 could remove nearly 660,000 metric tpy, storing them underground.
The privately held company did not disclose any financial details of the deal or capacity of RNG that it would be able to produce.
To further support the project, the Louisiana Economic Development would offer a package worth $250 MM in incentives to Woodland Biofuels, which includes performance-based grants and the comprehensive workforce development solutions, the company said.
"Woodland is thrilled to announce that we plan to build, right here at the Port of South Louisiana, the world's largest carbon negative RNG facility, followed by the world's largest carbon negative ultra-green hydrogen plant. Our sustainable biofuel plant will be an economic driver for St. John Parish and beyond," Woodland Biofuels CEO Greg Nuttall said. "We look forward to establishing deep ties with the local community, drawing on the existing world-class workforce and utilizing Louisiana's exceptional infrastructure to execute on our project."
Commercial operations for the first phase are projected to start in 2028.
"With a multigenerational skilled workforce and abundant natural resources, there is no place in the world better positioned to help energy companies grow and thrive," Secretary of Economic Development Susan Bourgeois said. "Woodland Biofuels' project would bring high-paying jobs to the great people of St. John the Baptist Parish for years to come. The state looks forward to working with the company to bring this project to completion."
"Port of South Louisiana is the second ranked port in the nation for energy transfer," Port of South Louisiana CEO Paul Matthews said. "This significant investment by Woodland Biofuels to construct the world's largest carbon negative renewable natural gas plant and a large-scale green hydrogen facility at our Globalplex Intermodal Terminal proves that PortSL and the state of Louisiana are leading the way in diversifying our energy industry, which will result in the creation of hundreds of high-paying jobs for River Region families."
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