Strategic Biofuels kicks off Louisiana Green Fuels project

Louisiana-based green energy supplier Strategic Biofuels has started construction works on its Louisiana Green Fuels (LGF) project, the first renewable diesel project in North America to achieve “negative” carbon emissions.

Courtesy of Louisiana Green Fuels/Strategic Biofuels

According to Strategic Biofuels, the LGF project is estimated at $2.8 billion, with the State Bond Commission and the Louisiana Community Development Authority granting their approval to LGF for a $1.1 billion tax-exempt bond cap to support the project.

“We are proud to have all levels of government at the local, state, and federal levels backing the Louisiana Green Fuels project, and we are thankful for the immense support. Funding and support from all sources is essential to the success of what we are trying to accomplish, and we are full steam ahead on bringing online the world’s first and most deeply carbon-negative renewable diesel fuel plant,” said Paul Schubert, Strategic Biofuels CEO.

Strategic Biofuels said that the LGF project will use forestry waste to produce renewable fuel and electric power while capturing and sequestering the carbon dioxide produced, resulting in Life Cycle Associates scoring the carbon intensity at “minus 294.”

Courtesy of Louisiana Green Fuels/Strategic Biofuels

The project officially kicked off on 8 December in Columbia, Louisiana with the ceremonial event signalling construction commencing at the Port of Columbia on several infrastructure improvement projects.

Infrastructure improvement projects will mostly be funded by a $15 million grant from the DOTD Port Priority Program (PPP). However, The Delta Regional Authority (DRA) awarded a $508 000 grant to help with infrastructure improvements at the Port of Columbia as well. These funds are being used to supplement the PPP funds.

Strategic Biofuels noted that the PPP funds will widen and strengthen Riverton Camp Road, the primary access road, and complete the first step that will sustain the construction of the LGF project.

The Department of Homeland Security and FEMA also awarded a $1 million grant to the Port through their Port Security Grant Programme.

According to Strategic Biofuels, the company itself has received the highest tax-exempt bond allocations from the State of Louisiana over the last two years and unanimous support from the Caldwell Parish government and the broader community for the project.

Louisiana Governor John Bel Edwards said: “I’ve been thrilled to see the rapid progress Louisiana Green Fuels has generated over the past year. On behalf of our great state, we look forward to continuing to support the Strategic Biofuels team as they continue to move this project forward. It will have a long-lasting impact on northeast Louisiana, the country and the world.”

The construction of the first project for the Port of Columbia will be led by Progressive Construction and will begin in December.

Louisiana will also host another clean fuel project, named Ascension Clean Energy (ACE).

Singapore-based tanker owner and operator Hafnia and Clean Hydrogen Works (CHW) will collaborate on the development of this global-scale clean hydrogen-ammonia production and export project worth $7.5 billion.

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