Efforts to establish a new natural gas conversion plant at Sarnia's TransAlta site are ramping up.
British Columbia-based Ainsworth Energy wants to construct a $1.5 billion USD plant to convert natural gas to methanol to gasoline at the Vidal Street South plant.
Owner Michael Ainsworth said they haven't made a final investment decision yet, but it's their preferred site and engineering work continues.
He said they've partnered with a well-known technology provider on the project. It's hoped a final decision will be made as early as the second quarter of 2020.
Sarnia Mayor Mike Bradley is pleased to see the project moving in the right direction. He said they've been in contact with Ainsworth Energy for four years.
"This is following the pattern that we've developed, using the former Lanxess and TransAlta sites to attract heavy industry into this part of the valley," said Bradley. "We're simply renewing sites that have been used for decades for different purposes."
If all goes according to plan, the facility would open in 2022-2023 following just over two years of construction on the 70-acre space.
Dozens of local construction jobs are expected to be created.
It would generate 15,000 barrels of high octane (91) and low carbon gasoline per day, and comply with new federal and provincial regulations.
All of the natural gas would be imported from western Canada under a partnership with Javelin Global Commodities.
The company is looking forward to getting environmental approvals and undertaking species-at-risk studies.
