Gulf Coast Ammonia LLC (GCA), Miami Beach, Fla., which plans an $800 million world-scale anhydrous ammonia plant along the Texas Gulf Coast (GM May 25, 2015), is advancing in Texas City, Texas, where it has already achieved a 10-year property tax abatement from the Texas City. GCA told local planners that the abatement was necessary to retain financing. The project is being developed by Agrifos Partners LLC, New York City, and Borealis AG, Vienna, which is involved in polyolefins, base chemicals and fertilizers. Initial filings indicate the plant is expected to produce over 750,000 mt/y.
Next up for the project is to gain approval for a Texas Commission on Environmental Quality (TCEQ) permit that would allow the company to discharge some 2.2 million gallons per day of utility wastewater and storm water into Lower Galveston Bay. The State Office of Administrative Hearings (SOAH) is scheduled to conduct a formal contested case hearing on the matter Nov. 19 in Austin, Texas.
According to the TCEQ, degradation reviews have preliminarily determined that existing water quality uses will not be impaired by granting the permit. The area does have high aquatic life use and is used for recreation and as oyster waters. However, TCEQ says preliminary determinations can be reexamined and be modified if new information is received.
While ammonia production is expected to remain on the shore at a 25-acre brownfield site at 201 Bay Street South, Texas City, GCA is planning an offshore dock and pipeline tower that in itself is controversial, according to a story in the Houston Chronicle. The pipeline system would include ammonia lines, potable water, sewer, electrical and communications.
The plant, pipeline, and/or discharge have been criticized not only by a local shrimper, represented by an environmental group, but by other industrial producers, the Port of Texas City, and the Galveston Texas City Pilots. The latter two groups fear the offshore barge and dock facility connected by a pipeline some 3,800 feet from shore would be a dangerous addition to the high-traffic Texas City Ship Channel. Port President Karol Chapman said some 12,000 ships sail past this point each year.
“You’ll have a barge or a ship tied up alongside that dock, and we have prevailing southerly winds out there, let’s say they get up to 20 mph, what impact would that have on (ships) ability to to pass,” said Chapman. He suggested that it might cost more money in dredging, but that GCA should consider a dock next to their facility instead of offshore.
GCA had no comment on the project last week.