Linde’s Global Hydrogen Business will construct a $250 million world-scale hydrogen plant in St. James Parish, Louisiana.
The project, initiated by Praxair before its merger with Linde, also will generate an estimated 150 construction jobs at the height of construction.
Linde will build, own and operate the steam methane reformer, which will have a capacity in excess of 170 million standard cubic feet per day of high-purity hydrogen. Once complete, this project will increase the company’s Gulf Coast hydrogen capacity to more than 1.7 billion standard cubic feet per day.
Oil refineries use hydrogen to produce ultra-low-sulfur diesel and other transportation fuels that meet today’s more stringent environmental standards, while chemical companies use hydrogen to produce intermediate and specialty chemicals.
Construction of the new facility will start by late 2019, with commercial operations scheduled to begin as soon as 2021. The hydrogen plant is expected to be one of the largest hydrogen plants in the U.S. The new facility will be integrated with Linde’s extensive production network as part of the company’s Mississippi River corridor hydrogen pipeline system, which supplies some of the leading chemical manufacturing companies in Louisiana’s Southeast and Capital regions. The 90-mile pipeline network stretches from Baton Rouge to St. Charles Parish.
“Linde is committed to be the preferred hydrogen supplier in the U.S. Gulf Coast and this investment further reinforces our strategy to support industrial growth in this vibrant region,” President Dan Yankowski said. “We understand that hydrogen is a critical requirement for our customers and are committed to providing long-term reliability.”
The company is expected to utilize the state’s Industrial Tax Exemption Program.
“Linde’s commitment to Louisiana is a vote of confidence in our state’s industrial corridor, and it represents another great win for Louisiana’s growing economy,” Governor John Bel Edwards said. “Our business-friendly climate, our natural resources, our world-class infrastructure and our highly skilled and highly engaged workforce are all contributing to the industrial expansion we’re seeing in Louisiana. This new investment from Linde will create new opportunities for our people and support increased economic activity in the region.”
“St. James Parish welcomes Linde and their construction of a $250 million steam methane reformer facility,” St. James Parish President Timmy Roussel said. “This type of project works well with our land use plan in every way. We also look forward to working with Linde in placing as many local hires as possible to fill those $80,000 annual average wage positions. I am happy for Linde and for St. James Parish as well, because St. James Parish is a great place to live, work, play and grow.”
“Greater New Orleans Inc. congratulates and commends Linde for their expansion in the River Region of Greater New Orleans,” said President & CEO Michael Hecht of GNO Inc. “We are seeing record industrial investment in Louisiana, from around the world, thanks to our unbeatable combination of access to natural gas, pipeline infrastructure and world-class workforce.”