Bechtel PIcked for Pioneering Penwell Plant

(Americas) Nacero Progresses Plans for Gas-to-gasoline Facility

By Malcolm Ramsay

Engineering group Bechtel is to develop new energy transition infrastructure in Texas on behalf of fuel specialist Nacero.

The proposed natural gas-to-gasoline manufacturing facility will be the first gasoline manufacturing plant in the world to integrate carbon capture, sequestration, and 100 percent renewable power.

"For America to achieve its domestic energy and climate change mitigation goals we need big vision and laser-focused execution. Bechtel is center stage in helping us get there,” said Jay McKenna, President and CEO of Nacero. “We are thrilled to partner with Bechtel for our flagship facility in Penwell. Bechtel's experience with large-scale projects and commitment to excellence is second to none.”

Two-phase Construction

The Penwell project will be one of the largest U.S. energy transition infrastructure projects, and is expected to employ 3,500 construction workers on site over a four-year first phase of construction, followed by a two-year second phase.

Once complete it will deliver capacity of 115,000 barrels per day and is forecast to add more than US$25 billion to the economy of the Odessa region. The plant will use low-cost natural gasoline, biomethane from local farms and landfills, and mitigated flared gas from the Permian basin as feedstock.
“This project is truly a game-changer. It will give everyday American drivers a chance to participate in the energy transition, and will be a model for the kind of environmental improvement America is looking to bring about. We are delighted by this opportunity to support Nacero's pioneering approach to delivering lower carbon fuel with our record of large-scale project success,” said Paul Marsden, president of Bechtel Energy.

Bechtel will deliver a lump sum, turnkey engineering, procurement and construction price proposal based on its environmental, social, and governance, or ESG, practices. Headquartered in Reston, Virginia, Bechtel operates across 160 countries through four global businesses: infrastructure; nuclear, security and environmental; oil, gas and chemicals; and mining and metals.

Cost Savings

Nacero also recently signed Danish catalysis company Haldor Topsoe to license process technology for the facility. The firm will deliver its Topsoe Improved Gasoline Synthesis, or TIGAS, gas turbine generator technology, for an upgrading unit at the Penwell plant.
“The TIGAS technology enables us to cut both the production cost and the lifecycle carbon footprint of everyday fuel by 50 percent. As a result, we will be able to profitably sell our environmentally superior fuel at competitive prices. We will use existing vehicles, markets, and infrastructure to quickly, predictably, and cost effectively bring Nacero Blue and Green gasoline to U.S. markets and help mitigate climate change," McKenna added.
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