Koch Methanol Investments has upped its stake in its YCI Methanol One joint venture, a partnership with China’s Yuhuang Chemical Industries (YCI).

The US group is now the indirect, majority owner and managing member of the jv, which is currently investing $1.85 billion to build a 1.7 million t/y methanol plant in St. James Parish, Louisiana, USA.

Koch said the venture is on track for an “on-budget phase 1 project completion” in the third quarter of 2020. The partners are also evaluating an expansion that would more than double methanol production at the site.

YCI, a wholly owned subsidiary of Shandong Yuhuang Chemical, previously entered into an agreement with Koch in August 2018, when the Kansas-based company took a minority interest in the jv.  As part of this original investment, Koch received the exclusive offtake rights from the plant as well as the rights to construct, own and operate the methanol terminal assets to facilitate the outbound flow of methanol via sea, rail and road.

Koch did not disclose the size of its majority holding or how much more it has invested in the jv.