The project will be both Proman’s first methanol plant in Europe and its first renewable power-to-methanol plant globally.

The collaborative agreement is for the construction of two plants – a 65 megawatt (MW) electrolyzer fed by renewable power and a methanol plant – on the Rodenhuize peninsula of the North Sea Port in Belgium.

Together these two plants will form North-C-Methanol, aiming to reduce CO₂ emissions by 140,000 t/y while generating 44,000 t/y of renewable methanol locally. The methanol can be used as feedstock by the local chemical industry, and as a sustainable fuel for ships, road vehicles and trains.

The methanol facility will use the green hydrogen generated by the electrolyzer to convert the collected CO₂ emissions of major local industrial players, such as ArcelorMittal, Alco Bio Fuel and Nippon Gases, into green methanol.

Proman said the project will create a new circular economy in the North Sea Port area, with waste material from production sites utilized by other businesses. All by-products of the methanol production, such as oxygen, heat and water, will also be recycled locally.

Over time, North-C-Methanol’s capacity could be increased from 65 MW in 2024 to 600 MW by 2030, with a planned expansion into new products, including ammonia.

“Green methanol presents a significant opportunity to bridge the gap from fossil-based to renewable energy, and this landmark project provides an exciting new model for sustainable, zero-waste production,” said Proman CEO David Cassidy.

The other partners in the project are North Sea Port, financing company PMV, Mitsubishi Power, storage group Oiltanking, Development Agency East-Flanders (POM), gas infrastructure firm Fluxsys, green energy producer Engie, steel manufacturer ArcelorMittal and biorefinery Alco Bio Fuel.

The partners have not disclosed a timescale for the project.