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Verde Clean Fuels selects Chemex Global to provide FEED for proposed natural gas-to-gasoline facility

Published by , Editorial Assistant
Hydrocarbon Engineering,

Verde Clean Fuels, Inc. has selected Chemex Global, LLC as the contractor to spearhead the FEED phase of the company’s previously announced joint development agreement (JDA) with Cottonmouth Ventures, LLC, for the proposed development, construction, and operation of a natural gas-to-gasoline facility in the Permian Basin, US.

This FEED contractor selection is the first step in furtherance of the JDA, which provides a pathway forward for the parties to reach final definitive documents and Final Investment Decision (FID).

This facility, to be located in Martin County, Texas, US, is anticipated to be a commercial-scale version of Verde’s existing demonstration facility in Hillsborough, New Jersey, US. The expected result of the project is to utilise the Ccompany’s proprietary STG+® technology to produce approximately 2900 bpd day of commodity-grade gasoline. With the selection of Chemex, FEED work will now commence and is expected to be completed in early 2025. Upon FEED completion and reaching FID, it is anticipated that engineering, procurement and construction (EPC) work will then commence, with the goal to complete construction in 2027.

“With the potential to mitigate the flaring of up to 34 million ft3/d of natural gas, this proposed project could serve as a template for additional natural gas-to-gasoline projects throughout the Permian Basin and other pipeline-constrained basins in the US, as well as addressing flared or stranded natural gas opportunities internationally,” said Ernie Miller, CEO of Verde. “We’re excited to continue to move this potential project forward with a highly experienced partner like Chemex.”

“Chemex Global is pleased to be selected as the FEED contractor on this project, and we look forward to partnering with Verde to advance a commercial-scale implementation of its proprietary STG+ technology,” said Chemex Chief Commercial Officer, Matt Rodgers. “It is exciting to work with an innovative company like Verde, and to apply our multidisciplinary modular project execution expertise to this significant opportunity.”

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