After a week’s delay and some concern, West Virginia officials announced a new project to produce clean hydrogen from natural gas in Mason County and deposit greenhouse gas emissions beneath state-owned wildlife areas.
The state Economic Development Authority approved up to $62.5 million in forgivable loans for Houston-based Fidelis New Energy. Gov. Jim Justice then announced the project Wednesday and introduced company leaders during an event at the state Culture Center.
The project, which was delayed after first being set for announcement last week, is described as a lifecycle carbon neutral hydrogen production facility.
The Mountaineer Gigasystem and Monarch Cloud Campus is meant to be in Point Pleasant. Developers say it will result in 800 full-time jobs and work for 4,200 construction workers. The hydrogen is to be used for a variety of purposes, including carbon-neutral hyperscale datacenters, greenhouses, transportation and steel production.
To work toward zero emissions, the state Division of Natural Resources would directly award leases to Fidelis for the development of pore spaces for carbon capture and sequestration on state-owned properties.
“We have a large, ambitious project to get done, and we are all in,” said Dan Shapiro, the company’s chief executive.
The project drew some skeptical remarks during a public comment segment of the Economic Development Authority meeting. Representatives of environmental organizations questioned the use of state dollars, the level of oversight and the viability of carbon capture.
Justice, several times, responded with assurances.
“We’re going to do the right things,” Justice said. “We’re not going to endanger our state. We’re not going to endanger our state parks. We’re not going to endanger our way of life. But with all of that, this could be an opportunity, an opportunity of jobs and greatness within this state.”
Karan May, campaign representative for the Sierra Club in West Virginia, described concerns about the environmental effects of the project.
“Also, what I’m obviously concerned about is the speed at which it feels like it’s being pushed through and I’m very interested in working together, bringing stakeholders to the table. I think that West Virginia citizens count as stakeholders, and I think there are so many questions that have been raised,” she said.
She asked whether the Department of Environmental Protection would provide oversight, and whether the agency has enough oil and gas inspectors to be effective. She wondered about compliance with the U.S. Environmental Protection Agency.
Joe Carney, a Charleston resident, asked about the potential effects of carbon capture in state forests.
“How would the carbon dioxide be transported to state forests — by big trucks or pipelines? Once it gets there, I assume you’re going to have to have an injection well to inject it clear down into the ground. How big would the injection well plant pad be?”
He asked about the need for a compressor or pump and what the noise level might be.
Justice said state officials would focus on answering questions like those.
“But along the way, if there is endangerment of our state forest, endangerment to the place that I know you go and enjoy — no way on the planet. We want to always preserve the greatness of our forest and all the goodness surrounding,” Justice said.
“If it’s noise, if it’s environmental, if it’s massive amount of trucks, that’s just not a go. I mean, that’s just all there is to it.”
