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RE: Shell, Saudi commit to massive U.S. refinery project

Home Forums Refining Community Refinery News Shell, Saudi commit to massive U.S. refinery project RE: Shell, Saudi commit to massive U.S. refinery project

#7252

Charles Randall
Participant

This is update on Motiva Refinery & Coker expansion for Pt. Arthur and it looks like there is approval to go ahead with the $7 billion project that completes by 2010. It has been in discussion since the price escalation from $3 billion to $7 billion had post phoned final investment decisions several time (& it even looked like it might be scrapped at one time).
All three Pt Arthur refineries: Valero, Total & Motiva are looking at expansions & coker additions. But several US refineries are adding capacity in range of Motiva’s +325 MBD, so it might surpass current largest refinery but Motiva’s ending +610 MBD refinery & coker will probably be in multiple tie for title of US largest refinery.
Motiva has had series of problems from death worker last month from industrial accident and repeated hits from Hurricanes Rita to recent Humberto has caused loss refinery product & petcoke production and downtimes.
Background: Saudi’s bought 50% of Texaco’s Pt Arthur refinery in 1989 to form Star Refinery JV which later became Motiva JV between Shell, Saudi’s & Shell, but with the purchase of Texaco by Chevron in 2001, their share in Motiva had to be sold to partners Shell & Saudi group. 

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