The City Council approved $23 million in taxpayer-backed incentives for a proposed $542 million liquefied natural gas export facility in North Jacksonville.
The 18-0 vote Dec. 10 will allow Houston-based Eagle LNG Partners to move forward with development of the plant, first announced in 2013, on 200 acres along Zoo Parkway at the St. Johns River.
Eagle LNG President and CEO Sean Lalani said in November the company is planning a groundbreaking in the first quarter of 2020.
Lalani said the facility is part of the company’s expansion into markets in the Caribbean and Central America.
If signed by Mayor Lenny Curry, Ordinance 2019-844 will offer a $23 million Recaptured Enhanced Value Grant for the project. It will refund Eagle LNG 50% of the increase in the site’s property taxes the first 10 years the facility is in operation.
A project summary by the city Office of Economic Development released Nov. 8 says Eagle LNG will invest $58 million in site facilities and install about $484 million in manufacturing equipment.
Two Council committees amended the agreement last week, easing some of the job creation targets tied to the REV grant award.
Eagle LNG will be required to create at least 10 jobs by Dec. 31, 2023, or the REV grant will terminate. The original agreement called for 12 jobs.
For each year that the new jobs are not retained, that amendment would make Eagle LNG ineligible for the next year's REV Grant installment payment.
Lalani said the facility will contribute about $50 million to the Duval County tax base, split between the city's general fund and the school district.
The Office of Economic Development said the export facility will generate $5 million in ad valorem taxes in its first year of operation.