Pacific Northwest could become hub for methanol production

Protestors hold a sign that reads “No Methanol,” as they protest in Tacoma, Wash., outside a public meeting to gather opinion on a proposed methanol plant

The Pacific Northwest could become a major hub for methanol production if three proposed refineries are built along the Columbia River and Puget Sound.
A China-backed consortium, Northwest Innovation Works, has proposed two plants in Washington state and a third in Oregon to convert natural gas to methanol, which would be shipped to China to make plastics and other consumer goods.
But those plans are running into opposition. On Friday, the company temporarily put its project in Tacoma on hold, saying it has been “surprised by the tone and substance of vocal opposition.”
Washington state Gov. Jay Inslee has embraced the projects as a boost to the state’s clean energy future. He has said the investments — about USD7 billion for the three plants — would be one of the largest foreign investments in the U.S. by a Chinese company.
Supporters say the projects would create hundreds of jobs and infuse billions to the region. Opponents are concerned about environmental and health impacts.
More than 1,000 people attended a hearing this month on the Tacoma project, which would produce 20,000 metric tons a day and dwarf other methanol plants planned or being built in the U.S. A citizens group is sponsoring an initiative to require voter approval for water permits exceeding 3.8 million liters a day. The city of Federal Way passed a resolution opposing the project.
“We’re talking about building enormous petrochemical refineries on the shorelines of our most important water bodies. That’s dangerous,” said Eric de Place, policy director for Sightline Institute, a progressive think tank.
Company president Murray Godley said in a statement Friday that the project “provides an exciting opportunity for Washington and Oregon to become world leaders in addressing climate change through innovation by producing methanol and the products we use every day in more environmentally responsible way.”
Methanol, a wood alcohol, is used to make olefins, a component in everyday products such as eyeglasses, insulin pumps and fleece jackets, said Mandy Putney, a company spokeswoman.
Most methanol in China is produced using coal, but the Northwest plants would usenatural gas, which is cleaner, she said.
As prices have dropped, natural gas has attracted industrial consumers who use methanol as a feedstock, said Katie Teller, an economist with the U.S. Energy Information Administration. Several methanol plants have been proposed recently, a few have come on line and more are expected in the next few years, she said. Phuong Le, Seattle, AP