(hydrocarbonprocessing) -- Royal Dutch Shell is considering building a giant plant in Louisiana that would convert natural gas into diesel fuel, several people familiar with the company's plans said. The Anglo-Dutch company is expected to take up to two years to develop detailed engineering plans to determine if the plant is economically viable.
Royal Dutch Shell is considering building a giant plant in Louisiana that would convert natural gas into diesel fuel, several people familiar with the company's plans said.
The plant, which could cost more than USD10 billion, would be similar in size to Shell's Pearl gas-to-liquids facility in the Mideast nation of Qatar, the people said.
Pearl, which went into operation last June, turns natural gas into enough diesel to fill more than 160,000 cars a day.
Shell declined to comment on its plans. The Anglo-Dutch company is expected to take up to two years to develop detailed engineering plans to determine if the plant is economically viable before submitting the project for approval by the company's board.
Shell's plans are the latest sign that companies are seeking new ways to exploit extensive natural-gas discoveries in the US.
MRC