Origin Materials facility to convert wood residues into hydrothermal carbon

Origin Materials and Louisiana Governor John Bel Edwards have announced a major new facility to process wood residues into hydrothermal carbon for fuel pellets, and PET products.

Subject to the finalisation of economic incentives, Origin has selected a site in Geismar, Louisiana, for the construction of its first world-scale manufacturing facility – Origin 2.

Origin’s patented technology platform can turn the carbon found in sustainable wood residues into useful materials while capturing carbon in the process. The facility would produce hydrothermal carbon, which can be used in fuel pellets as activated carbon, and as a replacement for carbon black. The plant would also produce carbon-negative materials to make polyethylene terephthalate (PET) plastic, which is used in packaging, textiles, clothing, and other applications.

Origin’s 150-acre facility would create an estimated 500 construction jobs, 200 local full-time positions, and between 500 and 1,000 indirect local jobs. The plant would convert an estimated 1 million dry tonnes of wood residues annually into products for a wide range of end-markets.

“Origin is excited to announce this investment in sustainable manufacturing with the Governor of Louisiana,” said John Bissell, co-CEO of Origin.

“The local talent is world-class across refining, forestry and agronomy, feedstock logistics, and chemicals. The site sits along the Mississippi River with easy access to barge and rail and plentiful local wood residue feedstock.

“The proposed incentive package for building in the area is compelling and the local industrial cluster can provide access to hydrogen, ethylene, water treatment and more.”

The pending state and local incentives are estimated to be worth more than $100 million (€89 million). In addition, a private activity bond volume cap allocation from the State of Louisiana, pending finalisation, is expected in the amount of at least $400 million (€357 million). Private activity bonds are tax-exempt bonds authorised by state and local governments for the financing of qualified projects with private capital.”

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