Last month, the Odessa Development Corporation and Nacero Inc announced their plans to build a $6.5 billion to $7 billion lower-carbon gasoline manufacturing facility at a site in Penwell, Texas.
In fact, this will be the first facility in the US to produce gasoline from natural gas. Furthermore, it will be the first in the world to do so with carbon capture and sequestration.
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Odessa and Nacero: plans to build lower-carbon gasoline manufacturing facility
Odessa Development Corporation and Nacero Inc. announced last month their plans to build a lower-carbon gasoline manufacturing facility. Accordingly, this facility will be in Penwell, Texas, and has an estimated cost of $6.5 billion to $7 billion.
In fact, the facility will be built in two phases. Therefore, both companies expect phase one to produce 70,000 barrels per day of gasoline components (ready for blending). Similarly, phase two will increase that capacity to 100,000 barrels per day.
According to a statement available on Nacero’s website, the facility will produce gasoline that contains no sulfur. Besides, it will have half the lifecycle carbon footprint of traditional gasoline.
Additionally, Odessa and Nacero said that the gasoline would be compounded by a combination of natural gas, captured bio-methane, and mitigated flare gas.
Odessa Development Corporation Chairman Tim Edgmon said, “this project proves once again that West Texas in general, and Odessa in particular, leads the nation in energy innovation and production.”
In fact, all of the plant’s electricity will come from renewable sources. Besides, the plant will be the first in the U.S. to make gasoline from natural gas and the first in the world to do so with carbon capture and sequestration.
Reception and more info about the project
Moreover, the Odessa Development Corporation and the Economic Development Department of the Odessa Chamber of Commerce; led negotiations that resulted in Penwell as the chosen site for the facility.
“Ector County is the ideal location for us;” Nacero President and Chief Executive Officer Jay McKenna said in a company statement.
Thus, “from a geographic and logistics standpoint, you can’t beat it. In fact, we will be a major new market and beneficial home for the natural gas that is currently flared in the Permian Basin.”
In this sense, Odessa and Nacero will start constructing the Penwell facility before the end of the year. Besides, they expect to employ a peak of 3,500 skilled workers during the four years of phase one construction.
Notably, when fully operational, the plant will employ 350 full-time operators and maintenance personnel in three shifts. Also, both companies will give them an annual forecast salary of approximately $85,000 per person.