Texas-based NuBlu Energy has started construction on a natural gas liquefaction plant in Port Allen.

The facility will have a startup capacity of 30,000 gallons per day, expandable to 90,000 gallons. It also will have storage capacity of 100,000 gallons, the company said.

The plant is at 3450 S. Riverview Road, located along the Mississippi River off La. 1 north near the U.S. Railway Terminal. The company said it hopes to jump-start the inland marine LNG market by having a supply so close to the Mississippi River. It also will serve rail, long-haul transportation, power generation, gas interruption, asphalt and other energy markets, the company said. 

The facility will be able to load LNG transport trailers as well as containers for highway and waterborne transportation of its product.

The plant is expected to start operations during second-quarter 2017.

The plant is the company's first commercial facility, said Josh Payne, a general partner at NuBlu, based in Center, Texas.

NuBlu did not disclose its investment cost. The plant will employ 5 to 10 people.

"Our patented process allows the production of LNG at a fraction of the cost per gallon of other existing liquefaction technologies and our modular design allows the facilities to be deployed at a relatively low capital outlay,” General Partner Cory Duck said in a statement.