Entergy inks deal to power second Methanex plant in Geismar

Entergy inks deal to power second Methanex plant in Geismar




On the same morning Entergy confirmed plans to downsize its Louisiana workforce as part of a companywide strategic "redesign process," the New Orleans-based energy provider also announced it has signed a deal to power the second methanol plant that Methanex is planning to relocate from Chile to Geismar. Canada-based Methanex announced in late April its plans for the second plant relocation. Entergy says the deal it has with the company is for 10 years, and will continue on a year-to-year basis thereafter. Entergy adds it will upgrade its electric transmission system to meet the increased demand the methanol plant is anticipated to generate. Methanex's first Geismar plant is expected to be operational by the end of next year, and the second plant is expected to be operational by early 2016. Methanex will receive a $1.2 million performance-based grant from the state for site infrastructure improvements on the second plant. In total, the two Geismar plants will bring a $1.1 billion investment to Ascension Parish. LED officials estimate the two plants could bring a total of 1,368 in direct and indirect jobs to the area. —Staff report



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