Johnson Matthey partners with SunGas Renewables on new US biomethanol plant

06 May 2025

JM’s methanol technology selected by SunGas Renewables for its Beaver Lake Renewable Energy project to be built in Louisiana
This is the 7^th project contributing to JM's strategic milestone of 20 additional large-scale projects in Catalyst Technologies' portfolio by the end of the 2025/26 financial year

SunGas Renewables has selected Johnson Matthey (JM) as a technology partner for its flagship project – Beaver Lake Renewable Energy – a biomethanol plant planned in Rapides Parish, Louisiana.

The plant will be an investment of more than $2 billion, creating more than 1000 jobs during construction and around 100 permanent jobs. The site will be one of the largest such plants currently planned in the US and the biomethanol will primarily be for use as marine fuel, but can also be used as a feedstock for SAF production and the wider chemicals industry.

It is expected to produce more than 500,000 metric tonnes of biomethanol every year; the equivalent of powering up to 9 of some of the largest oceangoing container vessels^[1] today. SunGas Renewables has now announced the start of front-end engineering design (“FEED”) – being carried out by Kiewit and Jacobs Engineering - marking the beginning of the final stage of development for the project.

SunGas Renewables is developing the project with C2X, a leading developer of methanol projects. C2X and ENEOS, Japan’s leading energy company, recently announced a combined investment of USD 100 million from ENEOS and existing C2X shareholders A.P. Moller Holding and A.P. Moller – Maersk, to primarily advance the development of the Beaver Lake Renewable Energy project. Following completion of the FEED phase, construction is expected to start in the second half of 2026.

JM has been selected as a key technology partner providing methanol synthesis technology and catalysts. JM’s methanol technology converts syngas from biomass gasification into biomethanol, effectively managing impurities from the upstream gasification process. The technology is well proven at scale and combines JM’s methanol synthesis loop with a highly effective methanol synthesis catalyst delivering sustained, high feedstock efficiency while enhancing operational performance.

Alberto Giovanzana, Managing Director Licencing, said:“This is JM’s first biomethanol licence win in the US and there will be more to come. We’re excited to support SunGas Renewables’ plans to transform an old industrial site, bringing real economic benefits to the area - with our world-leading methanol synthesis technology playing its part. Once operational, this large-scale production facility is destined to help meet the growing demand for low carbon biofuels in the years ahead.”

David LaMont, Sr. Vice President of Corporate Development at SunGas Renewables,said:“Johnson Matthey’s long-standing expertise in methanol technology, combined with their commitment to the biofuels market, makes them an excellent partner for the Beaver Lake project. Johnson Matthey’s proven solutions bring confidence to our mission at SunGas of delivering high-quality, clean biofuels at scale. Together, we’re working to ensure Beaver Lake helps usher in a new generation of advanced biofuels infrastructure in the U.S.”

^{[1] This number is based on a 17,000 TEU container vessel operating at 70% load which will use 222 tons of methanol per day. Assuming 250 days of operation per year this amounts to 55,500 tpa of methanol per vessel Methanol fuelled ships. A ship with capacity over 14,500 TEU is classified as an Ultra Large Container Vessel}