Good News, Bad News (Editorial)

Inside one of two of Standard Lithium Ltd.'s demonstration plants in El Dorado, which started producing lithium products in May 2020. (Madison Ogle)

As Standard Lithium moves closer to a decision on whether to build a $1.5 billion lithium extraction plant in Lafayette County, another huge energy project in Arkansas, a $3.5 billion plant to turn natural gas into diesel and jet fuel, is in trouble.

No one has covered the burgeoning lithium industry in Arkansas more thoroughly than Arkansas Business’ Kyle Massey, so his article last month about Standard’s plans for the Lafayette County facility moving closer to reality carries weight.

But so too does his column last week detailing renewed skepticism about Energy Security Partners’ proposed natural gas-to-liquid plant in Jefferson County. The skepticism appears justified. Energy Security Partners, the parent company of GTL Americas, is in default on its land deal for the plant site 15 miles northwest of Pine Bluff, a default first reported by the Pine Bluff Commercial.

As Massey noted: “The default appeared to put the whole project, with its 2,500 construction jobs and 250 permanent positions, in jeopardy.”

We remain hopeful that both billion-dollar-plus projects will move forward, bringing jobs and private investment to Arkansas. But skepticism, particularly whenever projects call for the investment of public funds, is healthy.