State to Support Gas-to-Liquids Plant
Friday, October 15, 2021The North Dakota Commerce Department announced the approval of $3 million in initial developmental capital to Cerilon GTL Inc., to develop a major gas-to-liquids (GTL) complex in North Dakota.
The ND Development Fund approved initial support for Cerilon GTL, which is a subsidiary of Calgary-based Cerilon Inc. State officials said further financial support is anticipated for development of the plant, the initial phase of which is estimated to cost $2.8 billion. The GTL project aligns with the state's strategy to diversify the energy industry and support clean, environmentally responsible energy development.
“The global investment community and markets are demanding low carbon energy,” said Gov. Doug Burgum. “North Dakota is well-positioned to be a global leader and coveted location for businesses looking to expand and respond to the many factors that are currently shaping the future of energy.”
The primary outputs of the Phase 1 GTL facility will consist of 24,000 barrels per day of ultra-low sulfur diesel and other specialty products. All products are in high demand, and the operations will support the growth of natural gas production in North Dakota while also supporting Burgum's challenge to make North Dakota carbon neutral by 2030.
The plant will be based in Trenton, which is southwest of Williston. State officials said the location will allow rail and pipeline access and offers opportunities for sequestration of carbon dioxide. Construction is expected to begin in early 2023. Cerilon GTL anticipates the establishment of additional phases and other facilities as part of its vision for the complex.
“The Cerilon GTL complex has the potential to be one of the largest economic expansion projects in the history of North Dakota,” Commerce Commissioner James Leiman said. “GTL facilities support the oil industry while reducing environmental impacts. The Williams County facility will be one of many expansions that make North Dakota a leader in carbon neutrality.”
The North Dakota Development Fund was created in 1991 as an economic development tool. It provides flexible funding through debt and equity investments for new or expanding North Dakota primary sector businesses. Click here to learn more about the fund.