Louisiana's Lake Charles Won't Get Fuel Plant

NEW ORLEANS, LA — A South African energy and chemical company says it's dropping plans for an $11 billion to $14 billion U.S. plant to convert natural gas to liquid fuels because of low oil prices and a volatile market. For the same reasons, it says it's also pulling out of Canadian shale.

Sasol made the announcement Thursday in a news release posted on its website.

The plant would have been near Lake Charles.

A parish government official calls the decision a minor setback in $100 billion in development across southwest Louisiana. Calcasieu Parish Police Juror Hal McMillin says that includes an $11 billion ethane cracker being built by Sasol, which already has three operating plants in the area.

Sasol says it will sell its shale assets in Canada's Montney Basin.

By JANET McCONNAUGHEY, Associated Press

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