South Louisiana Methanol LP announced on Thursday that it will invest $1.3 billion in a new methanol production facility on the banks of the Mississippi River. Located across the river from the Nucor Corp. project in Convent, La., the South Louisiana Methanol project will create 63 new direct jobs with an additional 374 new indirect jobs.

Austin, Texas-based Zero Emission Energy Plant Ltd., or ZEEP, and New Zealand-based Todd Corp. are joint owners of the project.

Methanol is used by manufacturers to produce everyday goods, such as plastics, polyester fibers and fabrics, pesticides, fuel additives, pharmaceuticals and adhesives for the wood products industry.

Part of the reason ZEEP and Todd Corp. chose St. James Parish is for the strategic shipping location at the Port of South Louisiana – the largest port in the Western Hemisphere by capacity. Since 2008, more than $32 million in investments and upgrades have been made to the port.

“The inexpensive price and high inventories of natural gas in Louisiana – coupled with our incomparable workforce and strong business climate – helped make it clear to South Louisiana Methanol that Louisiana is the best place to invest and create jobs, “ said Gov. Bobby Jindal.

To secure the project, the state will offer an incentive package that includes a $5 million performance-based grant for infrastructure costs, and the services of Louisiana's workforce development program, LED FastStart. In addition, the company is expected to utilize the state's Quality Jobs and Industrial Tax Exemption programs.