A planned facility to produce a blend called synthesis gas, or “syngas,” from natural gas in Texas City, Texas, has been cancelled.

In a May 1 presentation to investors, industrial gases company Air Products announced it was cancelling plans for its facility that would have used natural gas to produce syngas, a mixture of hydrogen and carbon monoxide used to produce other chemicals, such as ammonia or methanol ,or as a fuel.

This new facility would have been located near Eastman Chemicals' Texas City complex, where Air Products already operates a syngas production unit and has plans to construct a hydrogen plant.