Air Liquide, AkzoNobel Specialty Chemicals, Enerkem and the Port of Rotterdam signed a project development agreement covering initial investments in a waste-to-chemistry facility in Rotterdam.

The facility will convert up to 360,000 tons of waste into 220,000 tons (270 million liters) of methanol.

The initial investments, which cover detailed engineering, the setup of a dedicated joint venture and completing the permitting process, will be worth 9 million euros ($11.19 million). The consortium aims to take the final investment decision for the estimated 200-million-euro ($249- million) project later in 2018. The plant will have two production lines and Dutch Rabobank is the lead advisor for the financing process.

The facility will be built within the Botlek area of the Port of Rotterdam using Enerkem's technology, and will convert non-recyclable mixed waste, including plastics, into syngas and then into methanol for use in the chemical industry and for the transportation sector.

Today, methanol is generally produced from natural gas or coal.