Charleston Gazette. The state of West Virginia has agreed to give $196 million in tax breaks and other incentives to Northern Appalachia Fuel LLC (NAF), the developer of a proposed coal-to-liquids plant near Benwood, West Virginia. NAF is a joint venture between CONSOL Energy Inc. and Synthesis Energy Systems Inc. (Earlier post.)
The incentives include up to $160 million in Economic Opportunity Tax Credits; tax increment financing of up to $35 million; $120,000 in funding for employee training; and up to $800,000 over a two-year period if necessary to further improve the access road to the facility.
The plant is targeted to produce 720,000 metric tons per year of methanol that can be used as a feedstock for the chemical industry. The partners also expect that the project will be capable of converting methanol production to approximately 100 million gallons/year of 87 octane gasoline.