Magnolia LNG gets tax exemption incentive from Louisiana
Perth-based LNG Limited has received an Industrial Tax Exemption Program (ITEP) incentive for the Magnolia LNG project from the State of Louisiana.
LNG Limited said that the ITEP was awarded following the approval from the Louisiana Board of Commerce and Industry, local governments, and Governor of Louisiana.
The ITEP program is designed to offer a tax incentive for manufacturers who make a commitment to jobs and payroll in Louisiana.
Magnolia was eligible for the property tax incentive for a portion of the building and materials, machinery and equipment, and labor costs of a $4.35 billion project. Magnolia LNG will generate 1,500 construction jobs and 200 permanent direct positions for Louisiana.
According to the company, the savings from this exemption improve Magnolia’s competitiveness in the global LNG market and provide a boost towards a final investment approval.
The Magnolia LNG project proposes to construct and operate up to four liquefaction production trains, each with a capacity of 2.2 mtpa or greater.
Construction and operation include two 160,000-cbm full containment storage tanks, ship, barge, and truck loading facilities, and supporting infrastructure.