Williston, N.D., (Jan, 17) - The Williams County Board of County Commissioners have approved a loan of $10 million to Cerilon GTL ND for the purchase of land in the Marley Crossing area to construct a 24,000 barrel per day Gas-to-Liquids (GTL) plant with carbon capture and sequestration as a key component.
The loan carries a 2.5% simple interest rate to be paid annually, which must be paid back within four years. The loan is secured by the property that is being purchased as well as farm and water leases. Additional collateral for the loan will include an existing land purchase agreement for additional property, certain corporate work product assets related to the property, and the use of the property for the proposed GTL plant.
When completed, the Cerilon GTL ND plant will have the lowest carbon footprint of any GTL plant in the world. Cerilon's facility will convert natural gas into high value and low emission synthetic energy products, including ultra-low sulfur diesel, naphtha, and lubricant base oils. The plant creates a platform for the production of other valuable products such as ammonia and fertilizer. Cerilon GTL ND's parent company, Cerilon, is based in Alberta, Canada. The team has been integral in the support of major GTL plants across the globe.
The Cerilon GTL plant anticipates bringing upwards of 1,000 construction jobs and 95 permanent jobs to the area, creating new technology job opportunities along the way. The project also will bring enhanced community and infrastructure development as well as long-term property and sales tax revenue. Overall, the plant will help to accommodate the state's growing production of oil and natural gas through innovation, not additional flaring, by offloading natural gas prior to entering any distribution pipeline and creating a value-added product. This project supports the pathway to Governor Burgum's goal of carbon neutrality, resulting in a cleaner environment and greener energy options.
Williams County previously issued a $6 million no-interest loan in late 2021, which is required to be paid back over a 24-month period once commercial operations commence or seven years, whichever is earlier.
Reader Comments(1)
Iwonder writes:
I feel that “IF” there is an leak of any kind Cerilon should be charged $10,000.00 a day until fixed. Look at the oil leaks that has already happened and how long it has taken them to fix them! I feel the Williston area is becoming a waste land. Makes me sad and angry. Just wondering if all farmers in that area knew this was going to happen.
02/01/2023, 5:45 am