Methanex gets environmental green light for $1billion methanol plant

6/2/03
Environmental approval has been granted for the construction of a $1billion methanol processing plant on the Burrup Peninsula.
Premier Geoff Gallop said the announcement that the Methanex project had received the green light was great news for Western Australia and another significant milestone in the development of a state-of-the-art, gas-processing precinct in the Pilbara.
"Methanex's environmental approval comes hot on the heels of environmental approval for both Liquigaz and Dampier Nitrogen and the achievement of project finance for Burrup Fertilisers' $630million liquid ammonia plant," Dr Gallop said.
"With Native Title now cleared over the whole of the Burrup/Maitland, the Pilbara is set to enhance its reputation as the economic powerhouse of the nation."
The Premier said the Methanex project would provide significant economic and employment benefits for WA.
"The Methanex project will involve an initial $1billion capital investment and directly create 1,000 construction and 150 full-time operational jobs," he said.
"The project will also stimulate significant indirect employment in the local economy."
"Over the life of the project, the State Government will collect an additional $200million in royalty and payroll tax revenue, which it can reinvest in the priority areas of health, education and community safety."
Dr Gallop said the State's new gas-processing industry represented exciting downstream industry development opportunities, with WA set to benefit from the convergence of international technological expertise and new investment.
"These projects will prove invaluable contributors to the development of a range of industries, and have the potential to drive our resources and technical sectors into the future," he said.
"Along with Liquigaz, Methanex will produce clean-fuels through the conversion of natural gas into methanol, which could be used to power fuel cells in public transport vehicles under the State Government's Sustainable Transport Energy Program (STEP), announced recently by Planning and Infrastructure Minister Alannah MacTiernan."
Pending financial closure, construction of the Methanex project is expected to commence in mid-2003.
Methanex Australia is a wholly-owned subsidiary of the Canadian-based Methanex Corporation. Methanex currently produces a quarter of the world's methanol, with plants in North and South America and New Zealand.
Premier's office: 9222 9475