Primus Green Energy stated that it will finalize plans for the development of a modular 160MT/day methanol plant in the Marcellus shale region near New Martinsville, West Virginia.
Image: Primus Green Energy to finalize on methanol plant in US. Photo: Courtesy of Cheryl Empey/FreeImages.com.
Primus is planning to partner with Jereh Oil and Gas Engineering, an international, integrated oil and gas company for the execution of the project. Production from the plant is scheduled to start in 2020.
Primus Green Energy stated that it will leverage its STG+ technology at the new plant, which was developed for use across natural gas feedstocks, including wellhead and pipeline gas, dry or wet associated gas, ‘stranded’ ethane, excess syngas from underutilized reformers, or mixed natural gas liquids.
As per the company, production areas with stranded and associated gas can be good for potential market because many areas could lack traditional natural gas pipeline infrastructure, especially in remote locations.
By creating local, ‘in-basin demand’, could enable the monetization of gas that would otherwise be stranded or flared.
Primus Green Energy CEO Steven Murray said: “Primus has long-envisioned development of a methanol plant in the Marcellus region, but it is our relationship with Jereh and other strategic partners that has resulted in substantially improved economics and will allow us to move the project forward.
“With gas supply and methanol offtake agreements from an integrated oil & gas company, assistance from Sumitomo Mitsui Banking Corporation to arrange project debt financing, and design work by Koch Modular Process Systems, the project economics are very strong.”
The STG+ process is claimed to have been validated rigorously through more than 10,000 hours of operation at the company’s scale commercial testing plant in Hillsborough, New Jersey.
Compared with other technologies, the STG+ process is considered to have reliable production quality products that meet or exceed industry quality standards.
The STG+ process is claimed to have advantages such as the ability to process a wide range of feedstock natural gas qualities (C1 through C12), record low capital and operating costs, high liquid product quality, zero wastewater and unmatched process simplicity.