The US Army on Wednesday ordered a full environmental review on Formosa Group’s proposed petrochemical plant in St. James Parish, Louisiana, following concerns by local and environmental groups on the project’s health impact on the area. The US Army Corps of Engineers will conduct the review, which will likely take years to complete. A spokesperson from Taiwan-based Formosa said the company is committed to working with the Corps on the review.
Local environmental groups welcomed the Army’s decision, hailing it as a victory for the environmental justice movement. Formosa’s $9-billion Sunshine Project received support from Louisiana’s Democratic governor, John Bel Edwards, who expected the plant to drive the state’s economy. The project was put on hold in November after the Corps suspended its Clean Water Act permit amid a lawsuit brought by the opposing groups.
The Sunshine Project will be built in two phases. The first phase will include a 1.2 million tons/year ethane cracker, a 600,000 tons/year propane dehydrogenation (PDH) unit, and downstream polyethylene (PE), polypropylene (PP), and ethylene glycol (EG) units. The second phase will add another 1.2 million tons/year ethane cracker and downstream polyethylene (PE) and ethylene glycol (EG) units.