A Little Rock, AR-based developer considers its home state to be the top location to build and operate a multi-billion dollar facility to convert natural gas into diesel fuel, according to the Economic Development Alliance of Jefferson County (EDA).
The facility is designed to produce approximately 33,000 b/d of diesel and naphtha and has an anticipated capital cost of about $3 billion.
Energy Security Partners LLC (ESP) has identified multiple locations suitable for the gas-to-liquids facility and considers Jefferson County, in central Arkansas, as the prime choice, according to EDA. The county offers access to the Arkansas River, proximity to high-voltage lines, interstate gas and product pipelines, access to a major railroad, and proximity to a major interstate, EDA officials said. EDA "has been coordinating support for this project since ESP began discussions in 2013," they said.
The GTL project would qualify for incentives available through Jefferson County's 3/8-cent sales tax.
Last week, the Economic Development Corporation of Jefferson County (EDCJC) approved resolutions expressing its intent to offer a formal incentives package of $3.925 million, and to use those incentive funds to purchase land, conduct site preparation, and support the installation of infrastructure. ESP would be required to meet construction milestones, job creation thresholds, and capital investment expectations in order to earn credits toward payback of the incentive amount. "The intent is for ESP to use these credits to lease the property from the EDCJC and cover improvements costs," EDA said.
The project is projected to create 2,500 construction jobs and 225 plant operator jobs upon completion.